AssessmentsRedemption and Its Termination
Section § 37150
If you've lost property to a district because of unpaid assessments, you can reclaim it within three years of the sale, as long as the official deed hasn't been given out yet. To do this, you must pay the original sale price plus 9% yearly interest, with a minimum of 0.75% per month. You also need to pay any new assessments and penalties on the property after the sale, again with 9% yearly interest. Plus, you'll cover recording fees for the sale and redemption certificates and any publication costs. The 'redemptioner' is the person who originally owned the property or their successor.
Section § 37151
This section lays out the process a collector must follow when someone redeems a property. Upon receiving the redemption money and the recorder's fee, the collector must issue two certificates of redemption. These certificates confirm the payment and provide details about the original sale record, including the date and location of the record.
Section § 37152
This law requires that when certificates of redemption are issued, one of the copies must be given to the person redeeming the property, known as the redemptioner.
Section § 37153
When issuing a duplicate certificate of redemption, the collector must also record it with the county recorder's office where the original certificate of sale is filed.
Section § 37155
This law explains that if a property has been sold due to unpaid assessments and has not been reclaimed by the original owner within three years, the local authority can officially claim ownership. The process involves the collector delivering a deed to the district once a formal decision is made, and proper notice is given. Once the deed is recorded, the original owner's chance to reclaim the property ends.
Section § 37155.1
This section outlines the requirements for publishing a notice before delivering a collector’s deed for a property sold to a district due to unpaid assessments. The notice must be published between 45 and 60 days before the deed is delivered, containing key details such as the date of notice, the elapsed time since the property was sold, and a statement that the board has requested the collector’s deed. It must also explain the redemption process and the implications if this is not completed, provide the date and time the deed will be executed, and include the contact details of the official providing further information. Other necessary details include property descriptions, amounts needed to redeem the property, and delinquent assessment years.
Section § 37155.2
This section requires that at least 45 days, but no more than 60 days, before a collector's deed is issued, a notice must be sent via certified mail to anyone with an interest in the property. This notice is based on the similar notice published earlier according to Section 37155.1. The collector must make a reasonable effort to identify the parties of interest, which are those who own any interest in the property that would end if a collector's deed is issued. These efforts include obtaining a lot book guarantee from a title insurer, checking county property tax records, and reviewing phone books for the area.
Section § 37155.3
When a notice is published as required, some extra costs are added to the amount owed to reclaim a property. These extra costs include the expense of publishing the notice and the cost of obtaining a lot book guarantee, which is a document detailing property ownership and interests.
Section § 37156
This section explains what must be included in a collector's deed when property is sold by a water district due to unpaid assessments. The deed should state the date of sale and confirm that no one has reclaimed (redeemed) the property within the allowed time. It provides a template for the document, which shows the property description and specifies that the collector grants the property to the district. The document must be signed and sealed by the district collector.
Section § 37157
This law states that when a collector transfers property to a district, the transfer must be documented like any other real estate transaction, which means recording the deed officially.
Section § 37158
This law states that once a property is sold through a collector's deed, the district gets complete ownership of it, free from any other claims, except for certain tax-related liens. If the property is owned by the U.S. or the State, the deed is evidence of possession rights. The district can then sell or lease the property, using a decision-making process to ensure the best outcome for the district. Any sale must be approved by a resolution documenting the sale terms.
Section § 37159
This section states that a collector's deed, once confirmed or proven, serves as initial proof that several legal steps were followed: the land was properly assessed and equalized, assessments levied correctly and went unpaid, the property was sold legally, was not reclaimed, and the deed was executed by the right official.
Section § 37160
This law states that once a collector's deed is acknowledged or verified, it is considered definitive proof that all processes leading up to the creation of the deed, starting from the assessor's evaluation, were conducted correctly. However, this does not apply if there was any actual fraud involved.
Section § 37161
This law says that if you want to challenge a collector’s deed by claiming it's invalid or doesn't properly transfer full ownership of the property, you must start this legal action within one year of the deed being officially recorded.
Section § 37162
This law says that if you want to challenge the validity or effectiveness of a sale, lease, or similar document created by a district concerning property it receives from a collector, you have to start your challenge within one year of the document being signed by the district.
Section § 37163
This law section outlines exceptions where previous sections 37161 and 37162 do not apply. These exceptions include cases where assessments were paid before a property sale, property redemption occurred after the sale, the land wasn't eligible for assessment, no assessments were due at the time of sale, fraud is present, the deed is obviously invalid, or if the property's owner was a minor or mentally incapacitated at the time of sale. In situations involving minors or those deemed insane, the period for challenging the sale doesn't start until the disability ends.
Section § 37164
In California, if you claim that an agreement or transaction like a deed, lease, or option is invalid or flawed, it's your responsibility to prove it. You must clearly state the specific reasons why you believe it to be invalid or irregular.