Notwithstanding an agreement to the contrary, a lien, or a contract for a lien, transfers no title to the property subject to the lien.
Liens in GeneralEffect of Liens
Section § 2888
This law means that even if there's an agreement saying otherwise, having a lien or a contract for a lien doesn't actually give someone ownership of the property involved. A lien only gives them a right to secure a debt, not a title to the property.
lien property title transfer of ownership
Section § 2889
This law states that any agreement that makes you give up property secured by a lien because you couldn't meet your obligations, or that stops you from reclaiming that property, is not valid.
All contracts for the forfeiture of property subject to a lien, in satisfaction of the obligation secured thereby, and all contracts in restraint of the right of redemption from a lien, are void.
forfeiture contracts property lien right of redemption
Section § 2890
Just because a lien is created doesn’t mean that anyone has to do the task or obligation the lien is meant to secure. In other words, a lien doesn't automatically create an obligation for a person to act.
The creation of a lien does not of itself imply that any person is bound to perform the act for which the lien is a security.
lien creation security interest obligation to perform
Section § 2891
Just because you have a claim, called a lien, on a property for a specific debt or obligation, it doesn't automatically give you the right to claim a lien on that same property for any other debts or obligations.
The existence of a lien upon property does not of itself entitle the person in whose favor it exists to a lien upon the same property for the performance of any other obligation than that which the lien originally secured.
lien property claim debt security
Section § 2892
If someone has a lien on property, they can't ask the property's owner to pay for any trouble or costs they encounter in dealing with that property, except in the same way someone borrowing it would under specific rules.
One who holds property by virtue of a lien thereon, is not entitled to compensation from the owner thereof for any trouble or expense which he incurs respecting it, except to the same extent as a borrower, under Sections 1892 and 1893.
lien holder property owner compensation limitation
