Final answer:
Partition in kind refers to the division of a property or asset by distributing shares or portions of the asset itself, instead of converting it into money.
Step-by-step explanation:
Partition in kind refers to the division of a property or asset by distributing shares or portions of the asset itself, rather than converting it into money. It is necessary when the real estate or property holds significant value and cannot be easily replaced by cash. This method allows each owner to retain their portion of the asset, ensuring the equal distribution of value among the owners.
For example, if a family inherits a large piece of land, they may choose to partition it in kind by dividing the land into smaller plots and distributing them among the family members. This ensures that each member receives a fair share of the property and its value.