Found an issue on this page? Let us know and we will look into it as soon as possible.
Can I file a lien notice against a house, even after it was just sold?
Anonymous5 views3 answers
I didn't file a lien notice with the county that I had signed by both parties. The owners just sold the property, and because the lien wasn't formally filed with the county, the owners pocketed the proceeds from the sale. I've submitted a receipt of charges owed and we're meeting tonight, however, I'm not confident they'll have the funds owed. What recourse, if any, do I have? Can I still file a lien on the property even though its been sold or what should my next steps be?
Michael Christopher BurrChapter 13 Bankruptcy AttorneyChicago, IL ·
Usually, if the property is sold, you can't add the lien now. If funds are held up in escrow though, you might be able to hold them further. Generally though, you need to look to their other assets, or garnish paychecks or bank accounts. The owners will likely put the proceeds in a bank so that would be the best place to start.
If you were looking to guarantee your payment through a lien on the real property, then you needed to file it prior to the transfer being recorded. The new owners don't owe you this money, and if you try to file the lien now, they'll get it removed, and they'll come after you for the expense in having to do so. You've missed that opportunity. So, you'll have to try to collect against the previous owners any other way you can - lawsuit, judgment, and collection efforts. It'll be up to you, though, to find any assets, income, etc. to collect. You should have filed the lien much sooner.
