Opinion ID: 1939283
Heading Depth: 1
Heading Rank: 2

Heading: Equitable Partition

Text: All parties agreed that equitable partition was the appropriate vehicle to resolve their dispute. Based upon the parties' respective contributions of money, time, and labor, along with other equitable considerations, see Libby v. Lorrain, 430 A.2d 34, 40 (Me.1981), the referee concluded that Cote and Cercena are effectively equal contributors with Cohen to be credited at one-half of their level. Contrary to Cote's contention, that finding is not clearly erroneous. Both Cote and Cercena contributed roughly equal amounts of money to the lodge construction fund. Cercena provided the liquidity necessary to sustain the project. Cercena also contributed some labor to the project. Cote personally contributed more labor to the project than Cercena and, in effect, served as the general contractor in arranging for others to work on the construction. A significant portion of Cote's time and energy, however, was expended in constructing a garage that his partners did not want or authorize. The referee treated the garage as Cote's personal property to be removed by him from the premises. Cohen contributed significantly less money to the project and virtually no personal labor. Although the evidence might support different findings of fact relative to the parties' respective contributions, the referee's conclusions are not clearly erroneous. See Harmon v. Emerson, 425 A.2d 978, 982 (Me.1981). After determining each party's contribution, the referee recommended that Cercena be given the first option to purchase the other shares in the property. [1] Cercena would be permitted to buy the lodge by tendering to Cohen an amount equal to 20% of the appraised value of the lodge and to Cote 40% of the appraised value, less Cote's indebtedness to Cercena and Cohen on their other claims. The decision to give Cercena the first option to purchase falls well within the equitable discretion of the court. See Libby v. Lorrain, 430 A.2d at 40. Among the three contributors, Cohen has only a 20% equitable interest in the property and, as the referee concluded, should receive last priority in purchasing the property. Although Cercena and Cote contributed equally to the project, the equities between them favor Cercena. Cote committed a material breach of the parties' agreement through extensive personal use of lodge funds, used the property for his business and family rent-free for several years, and, on at least one occasion, interfered with his partners' use of the property. In these circumstances, it was not an abuse of discretion to give Cercena priority.