There is a lien against my house!
Manuel Soto-Díaz, Jay M. Weller, P.A. - January 2005

There are many types of liens that can be filed against property. All arise out of a debt that is owed to a creditor, and all create certain rights against the charged property.

Some of them are relatively benign and expected; for example, you may have granted your mortgage holder a mortgage lien, a right to foreclose on your property should you fall into default. Or you may have granted to the holder of your automobile note a "security interest", a right to repossess the vehicle should you fail to pay according to the underlying agreement. The mortgage lien and the lien against your car are good examples of consensual liens. You, the buyer, the debtor, the obligor have willfully granted to the creditor a right to "take back" the property if you do not pay in accordance to the contract.

Other liens, however, are not consensual and usually arise because of a dispute about a debt, a lawsuit in which a judgment is entered against you, or taxes that are owed to a governmental agency. The following are examples of common non-consensual liens:

1. Mechanic's Lien
   the right of a sub-contractor, laborer, craftsmen, architect, etc. who has improved your real property, and who has not being paid fully, to place a lien on your property for the value of the goods/services provided. This type of lien is protected by Florida's constitution and affords the lienor the right to foreclose on your property if you fail to pay.
   
   
2. Judgment Lien
   this type of lien is granted by court judgment. After a creditor wins a civil lawsuit, it subsequently records the judgment, and thus creates a judgment lien against all real property situated in the county of its recordation.
   
   
3. Tax Lien
   If you don't pay your tax debts the federal, state, or local authorities may file a lien against your property.

You may have recently received news that a creditor has recorded a non-consensual lien against your home. This news is often shocking and disconcerting - and it should be - as the rights afforded to the lienor may include a right to sell your property to satisfy the underlying debt.

If you are considering filing a bankruptcy case, it is imperative that you discuss with your attorney any non-consensual liens against your property. The attorney's advice regarding you financial matters will be greatly influenced by this knowledge. Upon examining the character of the lien on your property, the attorney you consult can explain how a bankruptcy filing may allow you to pay all or part of the debt that gave rise to the lien.

This repayment plan is done under the protection of the bankruptcy court and would prevent your property from being sold. In some instances, you may be able avoid (eliminate) the lien entirely, as is the case with judgment liens.

Do not wait until it is too late to address liens against your property.

A lien may prevent you from refinancing your home, or in more serious cases, could put your home and other property into foreclosure. The Bankruptcy Code can provide a debtor substantial relief as regards non-consensual liens. If you believe that a creditor with a non-consensual lien is threatening to foreclose on your property, you should consult with an attorney right away. Time may not be on your side.

Julian Credit Management is a firm that practices exclusively in the area of Bankruptcy and Debt Consolidation and has offices in Clearwater (Pinellas County), Port Richey (Pasco County), Tampa (Hillsborough County), Lakeland (Polk County) and Orlando (Orange County). We represent persons throughout the State of Florida.

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