A lien is created:
1. By contract of the parties; or,
2. By operation of law.
Liens in GeneralCreation of Liens
Section § 2881
In simple terms, a lien can be established in two ways: either through an agreement between parties or automatically by the law itself.
lien creation contract agreement operation of law
Section § 2882
A lien doesn't automatically take effect just because of the law. It only comes into play when the specific action it is supposed to secure needs to be done.
No lien arises by mere operation of law until the time at which the act to be secured thereby ought to be performed.
lien operation of law secured action
Section § 2883
This law explains that you can make an agreement to put a lien, which is a claim, on property that you don't own yet. Once you get that property, the lien becomes valid. However, if you expect to receive property from an estate (someone's assets after they die) and want to create a lien on that property, the lien doesn't count until you actually receive the property. If the estate property is sold and the sale order is recorded, any potential lien you expected under your agreement is canceled.
(a)CA Civil Law Code § 2883(a) An agreement may be made to create a lien upon property not yet acquired by the party agreeing to give the lien, or not yet in existence. In that case the lien agreed for attaches from the time when the party agreeing to give it acquires an interest in the thing, to the extent of such interest.
(b)CA Civil Law Code § 2883(b) For purposes of subdivision (a), an agreement by a beneficiary of an estate that is subject to administration, as provided in Division 7 (commencing with Section 7000) of
the Probate Code, to create a lien upon real property in the estate that is undistributed at the time the agreement is entered into, shall create no lien upon the real property unless and until the real property is distributed to that beneficiary. Upon recordation of an order confirming the sale of the real property pursuant to Section 10313 of the Probate Code and the recording of a duly executed deed in accordance therewith, any expectancy of a lien in the real property under the agreement shall be extinguished.
lien acquired property estate beneficiary
Section § 2884
A lien can be set up through a contract to immediately secure future obligations that haven't yet come into being.
A lien may be created by contract, to take immediate effect, as security for the performance of obligations not then in existence.
lien creation contract for lien future obligations
Section § 2885
When a state agency files a tax lien on someone's real property, they must send a written notice to the property owner. If previous mail to that address was undelivered with no forwarding address, they aren't required to send this notice. Not sending the notice doesn't change the legal power or priority of the lien.
Any state agency, upon recording a state tax lien against real property, shall mail written notice of the recordation to the tax debtor, unless previous correspondence mailed to the address of record was returned undelivered with no forwarding address. Failure to notify the tax debtor shall not affect the constructive notice otherwise imparted by recordation, nor shall it affect the force, effect, or priority otherwise accorded such tax lien.
state tax lien real property tax debtor
