2009 California Code of Civil Procedure - Section 873.810-873.850 :: Article 4. Disposition Of Proceeds Of Sale

873.810.  The court shall order the proceeds of sale and any
security therefor to be paid, transferred, deposited in court, placed
in trust, or invested in State of California or United States
government obligations or interest-bearing accounts in an institution
whose accounts are insured by an agency of the federal government,
to or for the benefit of the persons in interest entitled thereto, as
may be appropriate or as specifically provided in this article.

873.820.  The proceeds of sale for any property sold shall be
applied in the following order:
   (a) Payment of the expenses of sale.
   (b) Payment of the other costs of partition in whole or in part or
to secure any cost of partition later allowed.
   (c) Payment of any liens on the property in their order of
priority except liens which under the terms of sale are to remain on
the property.
   (d) Distribution of the residue among the parties in proportion to
their shares as determined by the court.

873.830.  Where a part only of the property is sold, a tenant for
life or years in an undivided share of the whole property may have
his estate equitably set off in any part of the property not sold by
way of complete or partial satisfaction of his share of the proceeds.

873.840.  (a) The court shall ascertain the proportion of the
proceeds of sale that will be a just and reasonable sum for the
satisfaction of the estate of a tenant for life or years and shall
order such amount distributed to him or held for his benefit.
   (b) The court shall ascertain the proportional value of any vested
or contingent future right or estate in the property and shall
direct such proportion of the proceeds of sale to be distributed,
secured, or held in such a manner as to protect the rights and
interests of the parties.
   (c) Notwithstanding any other provision of this section, in the
case of an estate for life or defeasible estate with remainder over,
the court may direct that the entire proceeds of sale be placed in
trust as provided in this section upon a showing that the
establishment of such a trust is economically feasible and will serve
the best interests of the parties. The court shall appoint a
trustee, upon security satisfactory to the court, who under court
supervision shall invest and reinvest the proceeds, pay the income of
the investments, if any, to the life tenant or owner of the
defeasible interest, and upon termination of the life or defeasible
estate, deliver or pay the corpus of the trust estate to the
remainderman. The court shall retain jurisdiction over the settlement
of the accounts of the trustee and in all matters necessary for the
proper administration of the trust and the final distribution of the
trust fund.

873.850.  When the proceeds of the sale belonging to persons who are
parties to the action, whether known or unknown, have not been
allocated among such parties, the action may be continued as between
such parties, for the determination of their respective claims
thereto, which must be ascertained and adjudged by the court. Further
testimony may be taken in court, or by a referee, at the discretion
of the court, and the court may, if necessary, require such parties
to present the facts or law in controversy, by pleadings, as in an
original action.