Section 1. Short title. This act shall be known as the Monroe
county in rem tax foreclosure act.
§ 1
Definitions. When used in this act, unless
otherwise expressly stated or unless the context otherwise requires:
(1)
"Tax lien" means any unpaid tax, assessment, or other charges
imposed on real property by the county of Monroe, which is a lien
on real property whether the same be evidenced by a "transfer of tax
lien", a "tax sale certificate", a "tax transcript", a "certificate
of tax sale" and whether evidenced by a written instrument, or a bookkeeping
entry on the sales book of the county of Monroe by virtue of section
twenty-seven of the Monroe county tax act.
(2)
"Monroe county tax act" means and refers to an act relating
to assessment, levy and collection of taxes in Monroe county enacted
by chapter four hundred forty-one of the laws of nineteen hundred
thirty-eight and all amendments thereto, including any amendment or
additions made at the same session of the legislature enacting the
within proposed in rem procedure.
(3)
"Monroe county tax foreclosure act" means and refers to an act
authorizing foreclosure of tax liens in the county of Monroe, as in
an action to foreclose a mortgage enacted by chapter four hundred
forty of the laws of nineteen hundred thirty-eight and all amendments
thereto, including any amendment or additions made at the same session
of the legislature enacting the within proposed in rem procedure.
(4)
"County" means the county of Monroe.
(5)
"Court" means the county court of Monroe county.
(6)
"Tax foreclosure attorney" shall mean special counsel now engaged
by county of Monroe or hereinafter so engaged to conduct actions to
foreclose Monroe county tax liens whether by action in rem or as in
an action to foreclose a mortgage, or by any existing statutory provision,
and in the absence of such duly engaged counsel, such term shall include
and authorize for all purposes of this act the Monroe county attorney
or such other person or officer directed by law to act as such county
attorney.
(7)
"Director of finance" as used herein shall indicate the chief
fiscal officer of the county of Monroe and for purposes of this act
shall include any deputy director of finance of the county of Monroe,
the county treasurer of the county of Monroe, the deputy county treasurer
of the county of Monroe, or any other person or officer directed by
law to act and perform the duties of such director of finance for
the purposes herein required.
(8)
"Legislature" means the legislature of the county of Monroe.
(9)
"Tax district" means, as used herein, the county of Monroe,
all villages within the county of Monroe and the city of Rochester.
(10)
"Office of director of finance" or such similar terminology,
as used herein, shall mean the chief fiscal office of the county of
Monroe and shall also indicate the office of the Monroe county treasurer.
(11)
"Eligible owner" means any person having any title in a parcel
for which an agreement is to be made pursuant to section six (c) of
this act.
§ 2
Applicability of procedure in rem. (1)
The provisions of this act shall be applicable only to tax liens
owned by the county of Monroe.
(2)
The provisions of this act shall not limit or be
limited by any existing remedy or procedure for the enforcement or
foreclosure of tax liens, provided for by the Monroe county tax foreclosure
act or by the Monroe county tax act, or by any other law, but the
remedy provided herein for foreclosure by action in rem shall be in
addition to such remedy or procedure and to any other remedies or
procedures provided by any general or special or local law.
(3)
The provisions of this act shall not affect pending actions
or proceedings, provided, however, that any pending action or proceeding
for the enforcement or foreclosure of tax liens may be discontinued
and a new action may be instituted pursuant to the provisions of this
act, in respect to any such tax lien.
§ 3
Jurisdiction. The county court of Monroe county shall have jurisdiction
of actions authorized by this act.
§ 4
Additional foreclosure remedy by action in rem. The county is
hereby vested with the power to foreclose tax liens held and owned
by it against land lying within such county pursuant to the provisions
of this act. Whenever it shall appear that the county owns a tax lien,
which has been due and unpaid for a period of at least one year from
the date on which the tax sale certificate was sold, then the lien
of such tax or tax sale certificate and the lien of any other such
tax or tax sale certificate owned by the county which has been due
and unpaid for any period less than one year from the date each such
tax lien or tax sale certificate was sold may be summarily foreclosed
by the county in the manner provided by the in rem provisions of this
act, as an additional remedy, and notwithstanding the provisions of
any general, special, or local law. Ownership by the county of such
tax lien, or of such tax sale certificate, or of a transfer of such
tax lien, or of any other instrument, or bookkeeping entry evidencing
transfer of such tax lien, or certificate of sale, to it shall be
conclusive evidence of the fact that the tax, assessment, or other
legal charges represented thereby have not been paid to the county,
or assigned by it.
§ 5
Certification of tax delinquency. The director of finance shall
from time to time file in the office of the clerk of the legislature
a list of parcels of property in such county, numbered serially, affected
by unpaid tax liens held and owned by the county which on the date
of such filing shall have been unpaid for a period of at least one
year or more after the date on which the tax lien or tax sale certificate
was sold; and shall further furnish to the legislature in such listing
all other transcripts of tax delinquencies and other abstracts from
the records in his office of such delinquencies affecting the parcels
enumerated. The parcels of delinquent real property shown on such
list or lists shall be segregated, grouped and classified by city,
town or village, so that all real property affected by such list or
lists and lying within each such city, town or village, shall be listed
under the respective city, town or village. A listing under towns,
which includes a village or villages therein, shall be deemed compliance
with this provision. The inadvertent failure of the director of finance
to include all the parcels in such list, or where more than one list
is filed, all such parcels in any of the listings for the designated
village, town or city shall not affect the validity of any proceedings
brought hereunder. The legislature may thereupon direct that the in
rem provisions of this act shall be applied to all or any part of
such real property and the delinquent taxes set forth in such transcripts,
as listed, and may direct the inclusion of other tax delinquency and
tax delinquent property subject to such in rem foreclosure. Such legislature
may direct foreclosure, as herein required, by separate and individual
action as to each such list against all delinquent parcels separately
listed and segregated within any one or more towns or villages of
the county or within the city of Rochester, as such lists are prepared
pursuant to the provisions hereof; and shall not approve for exclusion
from any such separate or segregated list or lists any delinquent
parcel therein without the accompanying written request of the director
of finance stating the reason therefor. No parcel shall be excluded
from any such list for any reason other than the following: (a) that
a question has been raised by a person having an interest in such
parcel as to the validity of the tax lien affecting such parcel, or
(b) that the tax district has instituted proceedings to enforce such
tax lien by other existing statutory method or is in the process of
instituting such proceedings and it satisfactorily appears that such
action can be more acceptably accomplished and completed, for good
and sufficient legal reasons, by foreclosure under other statutory
method than by in rem proceedings, or (c) that an agreement has been
duly made and executed between an eligible owner and the county, by
the director of finance, and filed with the director of finance for
the payment of such tax liens in installments, on the following terms
and conditions: (1) Eligible Owner. An agreement can only be entered
into by an eligible owner and only if such owner does not have any
title in any other parcel located within the county which is subject
to taxation against which there is an unpaid tax lien unless that
parcel is either already subject to an agreement, which is not in
default, authorized by this section or will be made subject to such
an agreement simultaneously with the making of the agreement which
is to serve as the basis for an exclusion pursuant to this section,
(2) Tax Delinquency. An agreement can be entered into between an eligible
owner and the county at any time after the last day of any sale of
tax sale certificates for unpaid taxes as provided by the Monroe county
tax act, (3) Term. The term of the agreement cannot exceed eighteen
months from the date of the agreement, (4) Payments. Payments shall
be made on a monthly basis unless the eligible owner and the county
agree to quarterly, semi-annual or annual payments instead of monthly
payments, but in no event shall payments be made more frequently than
monthly, (5) Prepayments. Prepayments can only be made with the consent
of the county and only in an amount equal to at least one installment
sum, or any multiple thereof, and only at the time an installment
payment is due, (6) Interest. Interest shall be computed on all unpaid
tax liens at the rate of one and one-half per centum for each month
and/or fraction thereof through the last installment payment date,
(7) Downpayment. A downpayment in an amount equal to at least twenty-five
per centum of the combined sum of the unpaid tax liens and interest,
as calculated in accordance with subparagraph (6) hereof, shall be
paid on the date of the agreement, (8) Balance. The balance due under
the agreement, after deducting the downpayment from the total combined
sum of the unpaid tax liens and interest, shall be paid, as nearly
as possible, in equal amounts on each payment due date. This amount
shall be determined by dividing the balance by the number of required
installment payments, (9) Payment Due Date. Each installment shall
be due on the same calendar date as the agreement date, (10) Late
Charge. If the county has not received the full amount of any installment
payment by the end of fifteen calendar days after the payment due
date, the eligible owner shall pay a late charge to the county. The
amount of the late charge shall be five percent of the overdue payment
of principal and interest, (11) Default. The eligible owner shall
be deemed to be in default of the agreement upon the happening of
any of the following events: (a) any installment payment is not made
within thirty days from the payment due date; (b) any current county
tax, assessment, fee or charge is not paid when due, that is, the
last date on which the net bill can be paid without interest and/or
penalty; (c) the subject parcel is sold and the new owner does not
obtain an assignment of the agreement; (d) the eligible owner is in
default of another agreement made and executed pursuant to this section.
In the event of a default, the county shall have the right to require
the entire unpaid balance, with interest and late charges, to be paid
in full. The county shall also have the right to elect to institute
either in personam or in rem tax foreclosure proceedings solely on
the basis of the remaining unpaid tax liens, (12) Current Taxes, Assessments,
Fees and Charges. The eligible owner shall pay when due all current
taxes, assessments, fees and charges of the county which become due
during the term of the agreement, (13) Sale of Parcel. If the subject
parcel is sold or otherwise conveyed during the term of the agreement,
the balance due under the agreement shall be immediately due and payable
unless the new owner applies for and obtains an assignment of the
agreement from the county, (14) Assignment of Agreement. The agreement
shall not be assignable unless the county approves such assignment
in writing. The county shall have the right to refuse approval of
the assignment for any reason, (15) Non-Waiver. Even if, at a time
when the eligible owner is in default, the county does not either
require the eligible owner to immediately pay in full as described
in subparagraph (11) hereof, or elect to institute tax foreclosure
proceedings, the county shall still have the right to do so if, at
a later time, the eligible owner is in default again, (16) Other Terms
and Conditions. The director of finance is authorized to make any
other terms and conditions, as he deems appropriate, consistent with
the provisions of this section, or (d) that such tax lien affects
a parcel which is either a known or suspected hazardous waste site.
The approval of such exclusion by the legislature shall be by resolution
recorded in its minutes stating the reasons therefor. Such request
for exclusion of any parcel or parcels shall be by separate listing
and in the event any such request is denied, such parcel shall then
be added to the original list from which it was omitted and at the
end thereof so as not to interrupt the continuity of serial numbering.
The legislature shall direct the tax foreclosure attorney in said
county to conduct and consummate any foreclosure proceedings in rem.[1]
[1]
Editor's Note: This subsection was amended by Chapter
499 of the Laws of 1990 and Chapter 325 of the Laws of 1992.
§ 6
Preparation of list of tax delinquent properties. The tax foreclosure
attorney shall prepare a list or lists to be known and designated
in each instance, "A list of delinquent taxes and properties", and
the parcels of real property affected thereby and set forth therein
shall be numbered serially. Such list or lists shall each bear the
following caption which shall be regarded as the title of the in rem
foreclosure hereunder:
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"State of New York, County Court, Monroe County. In the matter
of the foreclosure of tax liens by the County of Monroe in the ..................
(insert in blank space the name or names of the city, town or village
described in such list or lists) pursuant to the provisions of the
Monroe county in rem foreclosure act and the resolution of the legislature
designated as Resolution No. ......... of ........" As to each parcel
of real property affected, each such list shall contain:
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(1)
A brief description thereof sufficient to identify the same.
Such description shall be deemed sufficient when it states, as to
subdivision lots, the subdivision lot number and the map reference
of the subdivision as filed in the county clerk's office; as
to all other parcels the description as it appears on the latest tax
roll in the office of the director of finance. The account number,
if available, shall be indicated. If such lot or parcel is assessed
upon an approved tax map, it shall be identified and described as
indicated thereon.
(2)
The name of the last owner as the same appears on the latest
tax roll in the office of the director of finance, or a statement
that the owner is unknown, if such be the case.
(3)
A statement of the amount of each tax lien or tax sale certificate
unpaid and owned by the county for a period of at least one year or
more from the date on which such tax lien or tax sale certificate
was sold, including tax liens or liens of tax sale certificates which
shall have been due and unpaid for any period less than one year from
the date on which each said tax lien or tax sale certificate was sold,
together with the account number, if any, year of sale of each such
tax lien or tax sale certificate and the date or dates from which
and the rate or rates at which interest and penalties are to be added
as to each such tax lien or tax sale certificate.
(4)
The name and address of any owner or assignee other than the
county of any unredeemed tax lien certificate acquired upon the annual
sale of lands for unpaid taxes or by assignment thereafter. Such owner
or assignee shall be known as a claimant.
§ 7
Verification of list and filing thereof. Each such list shall
be verified by the affidavit of the director of finance and shall
thereupon be filed in the county clerk's office by the tax foreclosure
attorney. Certified copies of such lists shall be filed by the said
tax foreclosure attorney in the office of the director of finance
and in the office of each tax collector, receiver of taxes and assessments,
or treasurer or other tax collection agency of the respective town,
city or village in which such listed real property is located.
§ 8
Effect of filing list. The filing of such list of delinquent
taxes and properties in the office of the county clerk shall constitute
and have the same force and effect and shall be deemed to give the
same notice of such foreclosure proceeding as the filing and recording
in said clerk's office of an individual notice of pendency of
a tax foreclosure action and of the filing in the county court of
a separate and individual complaint by the county against the real
property therein described, to enforce the payment of the delinquent
taxes, assessments, or other lawful charges which have accumulated
and have become liens against such property and which remain unpaid
on said tax rolls in the office of the director of finance.
§ 9
Withdrawal of parcels from foreclosure. The director of finance
may at any time prior to final judgment withdraw any parcel from a
proceeding under this act with the approval by resolution of the legislature
stating the reason therefor. No parcel shall be withdrawn from such
proceeding excepting for one of the reasons set forth in section six
hereof as a reason for exclusion of a parcel from a list of delinquent
taxes and properties to be filed. Upon such withdrawal the tax liens
and liens of tax sale certificates on or of any parcel so withdrawn
shall be and remain the same as if no action had been instituted and
the director of finance shall issue a certificate of withdrawal which
shall be filed with the county clerk who shall note the word "withdrawn"
and the date of such filing opposite the description of such parcel
on the list. Such certificate may include one or more parcels appearing
on any list. Such certificate shall operate to cancel the notice of
pendency of action with respect to any and every such parcel.
§ 10
Duty of the county clerk. The county clerk shall index such
list in a separate book kept for that purpose to the name of the county
of Monroe and the filing and indexing of such list shall constitute
due filing, recording and indexing of the notice of pendency as to
each parcel of property notwithstanding and in lieu of the provisions
of any other law.
§ 11
Redemption or answer. Each person or any tax district described,
other than the county of Monroe, having any right, title, or interest
in, or lien upon any parcel described in such list of delinquent taxes
and properties may redeem such parcel either by paying or, if such
person qualifies, by entering into an agreement, pursuant to section
six(c) of this act, which, notwithstanding section ten of this act,
need not be approved by resolution of the legislature, to pay the
amount of all unpaid tax liens thereon, with interest and penalties,
and the costs, allowances and disbursements of the action, together,
with the expenses of the proceedings to sell, if any, allocated against
such parcel, before the expiration of the redemption period mentioned
in the notice published pursuant to section fourteen of this act;
or he may serve a duly verified answer upon the tax foreclosure attorney,
setting forth in detail the nature and amount of his interest and
any defense or objections to the foreclosure of the tax lien. The
caption of such answer shall contain a reference to the serial number,
or numbers of the parcels involved. Such answer must be filed in the
office of the county clerk and served on the tax foreclosure attorney
within twenty days after the date mentioned in the notice, published
pursuant to section fourteen of this act, as the last day for redemption.
In the event of failure to redeem or answer by any person having the
right to redeem or answer, such person shall be in default and shall
be barred forever and foreclosed of all his right, title, and interest
in, and lien upon the parcels described in such list of delinquent
taxes and properties and a judgment in foreclosure shall be taken
as herein provided.[2]
[2]
Editor's Note: This section was amended by Chapter 325
of the Laws of 1992.
§ 12
Redemption and filing certificate thereof. Upon redemption,
as permitted by this act, the person redeeming shall be entitled to
a certificate thereof from the director of finance, describing the
property in the same manner as it is described in such list of delinquent
taxes and properties. Upon the filing of such certificate of redemption
with the county clerk, the county clerk shall note either the word
"redeemed" or the words "redeemed by agreement" and the date of such
filing opposite the description of said parcel on such list. Such
notation shall operate to cancel the notice of pendency with respect
to such parcel.
§ 13
Public notice of foreclosure. Upon the filing of such list in
the office of the county clerk, the tax foreclosure attorney shall
forthwith cause a notice of foreclosure to be published at least once
a week for six successive weeks in two newspapers designated by him
and published within the county of Monroe. Such notice shall be in
substantially the following form:
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"State of New York, County Court, County of Monroe Notice of
Foreclosure of Tax Liens by the County of Monroe in the ..............................
by Action in Rem. (Insert in blank space the name or names of the
city, town or village described in such list or lists) Foreclosure
authorized by Resolution No. .......... of 20..... List of tax delinquent
properties referred to herein was filed in Monroe County Clerk's
Office on the .......... day if ...................., 20.....
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Please take notice that on the .......... day of ....................,
the county of Monroe pursuant to law filed with the clerk of Monroe
county a list of parcels of property affected by unpaid tax liens
held and owned by said county of Monroe which on such date had been
due and unpaid for a period of at least one year after the date on
which such unpaid tax liens were sold. Such list contains as to each
such parcel (a) a brief description of the property affected by each
tax lien, (b) the name of the last known owner of such property as
the same appears on the latest tax roll in the hands of the director
of finance, or a statement that the owner is unknown if such be the
case, (c) a statement of such tax liens upon such parcel of property
including such tax lien and tax sale certificates owned by the county
of Monroe which shall have been due for less than one year after the
date on which such unpaid tax liens were sold, together with the date
or dates from which and the rate or rates at which interest and penalties
shall be computed as to each such tax lien or tax sale certificate,
(d) the name and address of any owner or assignee other than the county
of Monroe of any unredeemed tax lien certificate, described as a claimant.
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All persons having or claiming to have an interest in the real
property described in such list of delinquent taxes and properties
are hereby notified that the filing of such list constitutes the commencement
by said county of Monroe of an action in the county court of Monroe
county to foreclose the tax liens therein described by a foreclosure
proceeding in rem and that such list constitutes a notice of the pendency
of action and a complaint by the said county of Monroe against each
piece or parcel of land therein described to enforce the payment of
such tax liens. Such action is brought against the real property only
and is to foreclose the tax liens described in such list.
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No personal judgment shall be entered herein against any owner
for such taxes, assessments or other legal charges or any part thereof.
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This notice is directed to all persons having or claiming to
have an interest in the real property described in such list of delinquent
taxes and properties and such persons are hereby notified further
that a certified copy of such list of delinquent taxes and properties
has been filed in the office of the director of finance and in the
respective offices of each tax collector, receiver of taxes and assessments,
or treasurer or other tax collection agency of the respective town,
city or village in which such listed real property is located, and
will remain open for public inspection up to and including the ..........
day of ...................., (here insert a date at least seven weeks
from the date of the first publication of this notice) which date
is hereby fixed as the last day for redemption.
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And take further notice that any person having or claiming to
have an interest in any such parcel of real property and the legal
right thereto may on or before said date redeem the same either by
paying to the said director of finance or, if such person qualifies,
by entering into an agreement with the said director of finance, pursuant
to paragraph (c) of section six of this act, to pay the amount of
all such unpaid tax liens thereon and in addition thereto all interest
and penalties which are a lien against such real property computed
to and including the date of redemption and the costs, allowances
and disbursements of the action -- together with the expenses of the
proceedings to sell, if any, allocated against such parcel.[3]
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In the event that such taxes are paid by a person holding a
lien of record against such property, the person so paying shall be
entitled to have the tax liens affected thereby satisfied of record
or to receive an assignment of such tax liens evidenced by a proper
written instrument.
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Any person having any right, title or interest in or lien upon
any parcel of real property described in such list of delinquent taxes
and properties may serve a duly verified answer upon the tax foreclosure
attorney setting forth in detail the nature and amount of his interest
and any defense or objection to the foreclosure. Such answer must
be filed in the office of the county clerk and served upon the tax
foreclosure attorney within twenty days after the date above mentioned
as the last day for redemption. In the event of failure to redeem
or answer by any person having the right to redeem or answer, such
person shall be forever barred and foreclosed of all his right, title,
interest and equity of redemption in and to the parcel of real property
described in such list of delinquent taxes and properties and a judgment
in foreclosure may be taken by default.
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Take further notice that the ownership by the county of the
tax liens and tax sale certificates set forth on such list of delinquent
taxes and properties is conclusive evidence of the fact that the taxes,
assessments or other legal charges represented thereby have not been
paid to the county of assigned by it.
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Please be further advised that it is also the purpose of this
notice to determine if any person having any right, title or interest
in or lien upon any parcel of real property described in the aforesaid
list of delinquent taxes and properties is in the military service
of the United States, or of the state of New York; and request is
made that any knowledge or information relating to such military service
and interest, if any, be transmitted to the undersigned tax foreclosure
attorney for the county of Monroe.
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Director of Finance
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County Attorney
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Tax Foreclosure Attorney
for County of Monroe,
Counsel (Address).”
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[3]
Editor's Note: This paragraph was amended by Chapter
325 of the Laws of 1992.
§ 14
Posting copy of public notice of foreclosure. On or before the
date of the first publication of the notice above set forth, a copy
of such notice shall be posted in the office of the director of finance
and in the County Office Building and also in three other conspicuous
places within each city, town or village in which the real property
affected by such proceeding is situated.
§ 15
Notice to owner, mortgagee, lienor or claimant. (1) At any time
after the enactment of this act, any owner of real property in the
county, any mortgagee thereof or any person having a lien or claim
thereon or interest therein may file with the director of finance
a notice stating his name, residence, and post office address and
a description of the parcel or parcels in which such person has an
interest, which notice shall continue in effect for the purposes of
this section for a period of five years, unless earlier cancelled
by such person.
(2)
After the completion and filing of the list or
lists of delinquent taxes and properties, as herein provided, and
after posting of the public notice of foreclosure described in sections
fourteen and fifteen hereof, the tax foreclosure attorney shall mail
to each such person at the address given and filed pursuant to subdivision
(1) above, or in the absence of such filing at the last known address
of such owner, lienor, mortgagee or claimant as the same appears upon
the current tax rolls or the records in the office of the director
of finance, a copy of such public notice of foreclosure. There shall
be inserted with or annexed to such notice a statement or notice substantially
as follows:
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"To the party to whom the enclosed notice is addressed:
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You are the presumptive owner, mortgagee, lienor or claimant
of an interest in one or more of the parcels mentioned and described
in the list or lists referred to in the enclosed public notice of
foreclosure.
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Unless the taxes or assessments or other legal charges are paid,
or answer is interposed, as provided by statute, such premises will
be sold at tax foreclosure sale as provided by the in rem provisions
of the Monroe county tax foreclosure act.
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If you are in the military service of the United States, or
of the State of New York, or if anyone else within your knowledge
or information is in such military service, and you are, or he is,
the owner of any right, title or interest or lien upon any parcel
of real property described in the aforesaid list or lists, will you
kindly advise the undersigned Tax Foreclosure Attorney for the County
of Monroe.
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Director of Finance
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County Attorney
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Tax Foreclosure Attorney
for County of Monroe,
Counsel (Address).”
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(3)
If the name or address of such owner, mortgagee, lienor or claimant
does not in any manner indicated herein appear upon the current tax
rolls or in the records of the office of the director of finance,
such mailing shall be dispensed with and an affidavit establishing
the absence of such name or address shall be made and filed in the
office of the county clerk as a part of the judgment roll in any such
in rem foreclosure action.
(4)
The failure of the tax foreclosure attorney to mail such notices
as provided herein shall not affect the validity of any proceeding
brought pursuant to the in rem provisions of this act.
§ 17
Trial of issues. If a duly verified answer be served upon the
tax foreclosure attorney within the period mentioned in the notice
published pursuant to section fourteen of this act, the court shall
summarily hear and determine the issues raised by the complaint and
answer in the same manner and under the same rules as it hears and
determines other actions, except as herein otherwise provided.
§ 18
Severance and preference for trial of issues. Whenever an answer
is interposed, as herein provided, the answering defendant shall have
an absolute right to a severance of the action as to any parcel or
parcels of land in which he has pleaded an interest, upon written
demand therefor filed with or made a part of his answer. The county
may, as of right, procure a severance as to such parcel or parcels
upon order with or without notice to the answering defendant. Any
action brought pursuant to the in rem provisions of this act shall
be given preference over all other causes and actions.
§ 19
Presumption of validity; burden of proof. It shall not be necessary
for the county to plead or prove any act, proceeding, notice or action
preceding the delivery of such tax sale certificates, nor to establish
the validity of the tax lien, represented or transferred by such tax
sale certificate. If a party or person in interest in any such action
or proceeding shall claim that any tax lien or tax sale certificate
is irregular or invalid or that there is any defect therein or that
any transfer or issuance of any tax sale certificate is irregular
or invalid, such invalidity, irregularity or defect must be specifically
pleaded or set forth and must be established affirmatively by the
party or person pleading or setting forth the same, and in any such
action or proceeding the transcript of the director of finance and
his certificate thereof shall be presumptive evidence of the legality
of the taxes and assessments therein described and of the regularity
of all proceedings required by law to be taken.
§ 20
Final judgment. (1) Determination by court of rights of parties;
right of county to purchase on sale. The court shall have full power
to determine and enforce in all respects the priorities, rights, claims
and demands of the several parties to such action, as the same shall
exist according to law, including the priorities, rights, claims and
demands of the defendants as between themselves, and to direct the
sale of such lands and the distribution or other disposition of the
proceeds of such sale. The order of priorities established by such
judgment shall in all cases be in conformity with the provisions of
section twenty-seven of this act relating to priorities. The court
shall further determine upon proof by affidavit or otherwise whether
there has been due compliance by the county with the in rem provisions
of this act and shall make its findings upon such proof. The president,
clerk or deputy clerk of the legislature may bid for and purchase
in the name of the county upon such sales under judgment in actions
in rem to foreclose tax liens or liens of certificates of sale of
county taxes. All real property hereafter conveyed to the county,
pursuant to a judgment in any action brought, as herein provided,
for the foreclosure of taxes, tax liens, and liens of certificates
of sale in the county by action in rem, shall be deemed, from the
date of such conveyance to the county and during the time the said
county shall continue to be the record owner thereof, to be owned,
possessed and held by said county for a public use and shall have
the same exemptions from taxation accorded the real property of a
municipal corporation held for a public use. The sale directed by
the court shall be at public auction by the referee appointed to conduct
the same; and the conduct of such sale, the public notice thereof,
the description of the parcel to be conveyed and the manner and effect
of said conveyance shall be as herein provided by this act.
(2)
Distribution of proceeds of sale. After payment
of all lawful costs, allowances and disbursements, the county and
all other parties who are owners or holders of any liens on or interests
in the lands, evidenced by tax liens or liens of certificates of sale
or otherwise shall be paid from the proceeds of the sale the several
amounts of their respective liens and interests to which they may
be entitled, so far as the said proceeds shall suffice to pay the
same in the order of the lawful priority of such liens and interests
of the respective parties on or in the lands, as the same may be determined
in said action.
(3)
Cancellation of county taxes; offset of county tax liens against
bid. All taxes due the county that are liens upon the property sold
prior to the final judgment in any tax foreclosure action provided
for by this act and any lien or liens including tax liens of any interested
party or parties to the action shall be cancelled and the final judgment
in said tax foreclosure action shall so provide, and the delivery
of a certified copy of said final judgment to the director of finance
shall be authority for him to cancel said taxes on the books in his
office. Said final judgment shall further provide that in the event
the county shall become the purchaser of any or all of the premises
at the public sale hereinbelow described, said referee shall not require
the county to pay in cash the entire amount bid at such sale, but
said referee shall execute and deliver to said county a deed of the
premises sold and shall set off against and deduct from the amount
of said bid of said county the costs of the action as allowed by this
act and the amount of the tax liens owing to said county with interest
and penalties thereon to the extent of said bid, all of which shall
be allowed to the county and applied by the referee accordingly.
(4)
Any provision herein to the contrary notwithstanding, no tax,
tax lien, or lien of certificate of sale, shall be deemed cancelled
or satisfied as against the interest in the premises of a necessary
party to any action to foreclose said tax, tax lien, or lien of certificate
of sale upon said premises omitted from said original foreclosure
action or whose property interest therein was insufficiently described,
and further or additional foreclosure proceedings may at any time
be instituted by the purchaser at the judicial sale, or any successor
in interest to him against said necessary party by virtue of said
unpaid tax, tax lien, or lien of certificate of sale. If such tax,
tax lien or lien of certificate of sale by the terms of sale and judgment
of foreclosure has been cancelled or satisfied, as herein provided,
it shall nevertheless be deemed revived and existent and owned by
said purchaser at the judicial sale, or his successor in interest
for the purpose of such further foreclosure against said necessary
party as herein provided and as provided by the provisions of the
Monroe county tax foreclosure act. So much of section three hundred
and seventeen of the civil practice law and rules as requires the
court to allow a defendant to defend an action after final judgment,
does not apply to an action to foreclose a tax lien under the provisions
of this act.
§ 21
Reinstatement of right of redemption. When actions to foreclose
by proceedings in rem, pursuant to this act, have been commenced and
have proceeded to final judgment pursuant to section twenty-one hereof,
the right of redemption, otherwise barred by any provision of this
act, on the part of each person or any tax district described, other
than the county of Monroe, having any right, title or interest in
or lien upon any parcel included in said final judgment, shall be
thereupon reinstated and shall continue until noon of the day preceding
the date of the commencement of the sale at public auction, pursuant
to the final judgment in said foreclosure action, either upon payment
of, or, if such person qualifies, upon entering an agreement pursuant
to section six(c) of this act, which, notwithstanding section ten
of this act, need not be approved by resolution of the legislature,
to pay the full amount of all delinquent taxes and liens of tax sale
certificates charged against and owing upon said premises, as appears
from the list of delinquent taxes and properties filed in the county
clerk's office pursuant to subdivision seven of this act, with
interest and penalties calculated thereon and all subsequently accrued
tax liens or liens of certificates of sale owing thereon and remaining
unpaid with interest and penalties, as provided by law, with apportioned
costs, allowances and disbursements up to and including the time of
said redemption.[5]
[5]
Editor's Note: This section was amended by Chapter 325
of the Laws of 1992.
§ 22
Costs, allowances and disbursements. The county in any such
action authorized by this act shall be entitled to recover from the
premises foreclosed the actual and necessary disbursements made in
such action, all statutory costs and allowances provided by the civil
practice law and rules in the cases of foreclosures of mortgages on
real property by action and, in addition thereto, the sum of one hundred
dollars shall be allowed against each parcel for payment of the services
rendered by the tax foreclosure attorney in carrying out the terms
of this act.[6]
[6]
Editor's Note: This section was amended by Chapter 325
of the Laws of 1992.
§ 23
Tax districts may agree on conveyance. Notwithstanding the provisions
of any general, special or local law to the contrary, the county and
the city of Rochester and villages located within such county may,
pursuant to resolution of their respective governing bodies, enter
into agreements with each other with respect to any parcel of property
which is the subject of any tax foreclosure proceeding under this
act and upon which they respectively own tax liens, pursuant to which
such county, city or village may acquire the title to such real property
at foreclosure sale and hold the same for the benefit of itself and/or
the other tax districts and provide, if necessary, for the disposition
of the proceeds of a resale of such property so acquired upon terms
established by such agreement.
§ 24
Publication and posting of notice of sale. Appointment of referee.
The sale directed by the court shall be at public auction under the
direction of the director of finance or a deputy director of finance
who shall be designated by the court both by name and official capacity
to act as referee thereat. Public notice thereof shall be given once
a week for three successive weeks in a newspaper published daily or
weekly in the county of Monroe and such sale shall take place on any
day on or after the twenty-first day and on or before the twenty-eighth
day after the day of the first publication. Notice of such sale shall
also be given by posting a copy of the notice of sale on or before
the date of the first publication thereof in three conspicuous places
within each city, town or village in which the real property affected
is located; and if the sale is to be held in another city, town or
village in three conspicuous places therein. On the day specified
in the notice of sale, the referee appointed shall commence such sale
and shall continue the same, if required, from day to day, excepting
and omitting Saturdays, Sundays and public or legal holidays, until
so much of each parcel shall be sold as will be sufficient to pay
the amount due thereon. If the referee so appointed, by reason of
absence, resignation or any other incapacity, is unable to attend,
conduct or complete said sale, the court may upon ex parte application
of the county appoint in his place and stead any other deputy director
of finance to perform or complete the services of and act as such
referee. The referee so named and acting as such shall receive no
fee or compensation for his services as such referee. The description
of the parcel of land offered for sale in such notice shall be that
contained in the list of delinquent taxes and properties or such other
description of such parcel as the court in its judgment may direct.
All of the provisions of section eight-a of the Monroe county tax
act shall apply to this proceeding as though fully herein set forth.
§ 25
Deed description as directed by court. The judgment of foreclosure
and sale pursuant to the in rem provisions of this act shall direct
the name referee, or the named person and official designated in his
place and stead as such referee, to execute and deliver to the purchaser
a deed conveying title to the parcel or parcels affected by such judgment
and sold at such sale. The description used in such deed shall be
that contained in the list of delinquent taxes and properties or such
other description as the court in its judgment may direct.
§ 26
Priority and parity of tax liens. The priorities between Monroe
county tax liens, the superiority and priority of the same, when owned
and held by the county of Monroe to all other liens, encumbrances,
tax liens, and liens of certificates of sales held by individuals
or other municipal taxing bodies, excepting liens for unpaid city
taxes and assessments held by the city of Rochester, liens for, or
certificates of sale when held and owned by the villages levying the
same, and the liens of direct taxes upon the real estate imposed by
the state of New York, and the parity of such tax liens between the
county of Monroe and the villages therein shall be in conformity with
the provisions of sections twenty-four and twenty-four-a of the Monroe
county tax act and sections three and three-a of the Monroe county
tax foreclosure act relating to priority and parity of such tax liens,
and such sections of the said Monroe county tax act and Monroe county
tax foreclosure act shall apply to the in rem procedure of this act
as though fully herein again set forth.
§ 27
Conveyance — effect of same. Such conveyance
shall vest full and complete title unless it shall be made subject
to tax liens pursuant to agreement as in section twenty-four herein
provided. Upon the execution and recording of such deed the grantee
shall be seized of an estate in fee simple absolute unless expressly
made subject to the tax liens of the county or the city of Rochester
or a village as herein provided; and all persons including the state,
infants, incompetents, absentees and nonresidents, persons in prison
and all other persons or corporations whether under disability or
not, who may have had any right, title, interest, claim, lien or equity
of redemption in, to or upon such parcel of land shall be forever
barred and foreclosed of all such right, title, interest, claim, lien
or equity of redemption.
§ 28
Conclusive presumption of deed; limitation. Every deed given
pursuant to this act shall be presumptive evidence that the action
and all proceedings therein and all proceedings prior thereto from
and including the assessment of the lands affected and all notices
required by law were regular and in accordance with all the provisions
of law relating thereto. After two years from the date of the record
of such deed, the presumption shall become conclusive. No action to
set aside such deed may be maintained unless the action is commenced
and a notice of pendency thereof filed in the office of the clerk
of the county prior to the time that the presumption becomes conclusive
as aforesaid.
§ 29
Report of sale and confirmation thereof not required. Notwithstanding
the provisions of any general, special or local law to the contrary,
it shall not be necessary for the referee appointed to make a report
of his proceedings as such referee; nor shall it be necessary for
the court to confirm by order or otherwise the proceedings of such
referee. In the event that any such sale shall result in a surplus
as to any piece or parcel of land offered at such sale, such appointed
referee shall report the fact of such surplus to the court which shall
direct the said referee to deposit such surplus in trust with the
office of the director of finance for the benefit of any or all parties
who may be justly entitled to all or any part of such surplus monies.
The date of entry of such last described order of the court may be
deemed to be the date of confirmation of said referee's report
under the provisions of sections thirteen hundred fifty-one, thirteen
hundred fifty-two, thirteen hundred fifty-four, thirteen hundred fifty-five,
thirteen hundred sixty-one and thirteen hundred sixty-two of the real
property actions and proceedings law for the purposes of institution
of surplus monies proceedings pursuant to the same. All of the provisions
of the abandoned property law shall apply to such surplus excepting
that payment of the abandoned surplus, after the prescribed proceedings,
shall be made to the county of Monroe and not to the state comptroller.
§ 30
Deed in lieu of foreclosure. The county when authorized by resolution
of the legislature, may under the conditions of such authorization,
and in lieu of prosecuting an action to foreclose a tax lien on any
parcel of real property pursuant to this act, accept a conveyance
of the interest of any person having any right, title, interest, claim,
lien or equity of redemption in or to such parcel.
§ 31
Sales by the county. Notwithstanding the provisions of any general,
special or local law, the legislature may sell any real property acquired
by the county of Monroe through tax foreclosure proceedings in rem
upon such terms and conditions as it may indicate, in the same manner
and with the same rights and privileges as if owned by an individual,
if such sale is approved by a majority vote of said body; provided
said legislature by similar majority vote shall have first determined
that such property is not needed for county purposes. Conveyance in
such event shall be by bargain and sale deed. Such sales by the county,
however, shall be further limited by the provisions of section thirty-three
of this act relating to application for conveyance as set forth therein.
§ 32
Application for conveyance from the county of its right and
interest to land, real estate, or real property acquired and foreclosed
through actions in rem. (1) The legislature may in its discretion
grant, convey and release all of the right, title and interest of
the county in any lands, real estate or real property hereinafter
acquired by the county by virtue of an action in rem brought pursuant
to provisions of this act to any person, association or corporation,
who or which, on the date of the filing of the list of delinquent
taxes in such action pursuant to section eight of this act, had been
vested with the title thereto, provided, however, despite timely application
as hereinafter described, no such grant, conveyance, transfer or release
may be made of any such lands, real property, or real estate or any
portion thereof, which the legislature has assigned or set aside,
or does so assign or set aside, either prior or subsequent to such
application, for the use of the county, city of Rochester, or any
town or village within the said county, and provided further that
the grantee by such grant, conveyance, transfer, or release, whenever
consummated, shall receive thereby the title which was vested in the
owner on said date of the filing of the list of delinquent taxes as
aforesaid, subject to any and all liens, tax liens, and encumbrances
and any and all defects which existed on said date.
(2)
Such person, association or corporation owning
such title, as described in subparagraph (1) above, may apply in writing
to said legislature for such grant, conveyance, transfer or release
within four months after the date of such acquisition of such land,
real property or real estate by said county.
(3)
After the effective date of this section and during the provisions
of time provided by the same the said legislature shall not sell such
land, real estate, or real property to anyone other than the one entitled
to apply for a grant, conveyance, transfer, or release as herein provided,
but this prohibition or limitation shall not operate or be construed
to deny the right of the legislature to assign or set aside at any
time, such lands, real property, or real estate, or any portion thereof,
for the use of the county, the city of Rochester, or any town or village
within said county.
(4)
Any application made pursuant to the provisions of this section
shall be made in writing and shall be verified. It shall contain a
statement of the identity and interest of the applicant and a full
description of the land, real property, or real estate, and shall
be accompanied by a certificate, search, or abstract of title, issued
and certified by any title insurance, abstract or searching company,
organized and doing business under the laws of this state, attesting
that the applicant for such grant, conveyance, transfer, or release,
was on said date of the filing of the list of such delinquent taxes
such owner of the premises described.
(5)
In the event the ownership interest of the applicant was on
the date of the filing of such list of delinquent taxes derived through
previous death or deaths of the record owner, at or before such date,
or was acquired by such death or deaths of such record owner after
said date of filing of such list of delinquent taxes, and within the
time limitations of this section, and such derived ownership interest
shall not appear of record, proof of such facts as shall be necessary
to attest to the derivation of such estate shall be made by affidavit
of the applicant and/or other person or persons having information
relating thereto. Such certificates, searches, abstracts and affidavits
shall be transmitted by such legislature to the tax foreclosure attorney
for said county, who shall examine them and report to such legislature
upon the sufficiency of the same relating to compliance with the provisions
of this section.
(6)
Upon timely conformance by the applicant with all the preceding
provisions and limitations of this section and upon the approval of
all required evidence of title ownership by the tax foreclosure attorney,
the legislature shall cause to be prepared, executed and delivered
to such applicant a grant, conveyance, transfer or release of the
right, title and interest of the county in and to such lands, real
estate or real property provided only that the title which said applicant
shall receive thereby shall not be free from any and all liens, tax
liens, encumbrances or other defects which existed on said date of
the filing of said list of delinquent taxes, and upon the delivery
of such grant, conveyance, transfer or release, such liens, tax liens,
encumbrances or defects shall thereupon re-attach in the manner as
if the foreclosure in rem by which the county acquired title to said
premises had not occurred. Such grant, conveyance, transfer or release
shall be executed by the county manager of Monroe county upon approval
of the form of the same by the county attorney for said county and
county manager.
(7)
Such grant, conveyance, transfer or release shall be delivered
to the applicant upon payment by him as to each parcel so conveyed
of the following sums of money:
a.
The principal amount due on all delinquent tax liens
appearing on the list of delinquent taxes upon which the judgment
of foreclosure was based with interest and penalties at the rates
appearing on said list to the date of payment.
b.
The principal amount due on all unpaid taxes which
accrued and became liens, on a date or dates subject to the date or
dates on which the delinquent tax liens appearing on the list of delinquent
taxes accrued and became liens, with interest and penalties at the
rate or rates provided by law.
c.
A sum which shall reflect the statutory costs and
disbursements of the in rem foreclosure action as allocated against
the parcel conveyed. Such amount must be determined by the legislature
and in the determination of the same such legislature shall consider
the proportion that the total of unpaid taxes, interest and penalties
in said judgment of foreclosure and sale against such parcel bears
to the total amount of all unpaid taxes, interest and penalties against
all the parcels in the in rem action through which such parcel sought
for conveyance to the applicant was acquired by the county.
d.
Any other costs or disbursements which shall have
been awarded to the county, or which the county shall have expended,
or to which the county may have become entitled by operation of law
or which the county may have paid or may have become liable to payment
thereof in connection with any litigation between said county and
the applicant or any person having an estate or interest in the lands,
real property or real estate sought to be conveyed under this section,
resulting directly or indirectly from the foreclosure by action in
rem of the delinquent taxes affecting lands, real estate or real property.
e.
The right to apply for a grant, conveyance or release
allowed by this section shall be the exclusive method by which any
person, association or corporation, which by this section shall be
entitled to make application, may secure such grant, conveyance, transfer
or release of such lands, real estate and real property.
§ 33
Rules of construction. (1) Statute of limitation. The statute
of limitations shall not bar or be a defense to any action, brought
as herein provided, to foreclose by proceedings in rem, any taxes,
tax liens or liens of certificates of sales as described herein.
(2)
Pending actions and proceedings. No action or proceeding
pending at the time when this act shall take effect shall be affected
by any provision of this act, but the same may be prosecuted, defended
or enforced as if this act had not been enacted.
(3)
Existing rights and remedies preserved. No existing right or
remedy of any character shall be lost, impaired or affected by reason
of this act, nor shall the validity of any action taken by any public
official under the law in force immediately prior to the time this
act shall take effect be affected by the enactment of this act.
(4)
Reference to other law. Reference herein to any general, special
or local law or to any provision of the real property tax law, civil
practice law and rules, Monroe county tax act and Monroe county tax
foreclosure act, in force at the time this act shall take effect,
shall be deemed and construed to have inserted such provision in this
act where appropriate and such provisions of law shall apply to the
proceedings under this act as though fully herein again set forth.
(5)
Amendments to other Monroe county laws. An act of the legislature
of nineteen hundred seventy-one purporting to amend or add any provision
of law to the Monroe county tax act or the Monroe county tax foreclosure
act shall be legally effective and shall be construed as having been
amended or added prior to the effective date of this act.
(6)
Severability. If any clause, sentence, paragraph, section or
part of this act shall be adjudged by any court of competent jurisdiction
to be invalid, such judgment shall not affect, impair or invalidate
the remainder thereof, but shall be confined in its operation to the
clause, sentence, paragraph, section or part thereof directly involved
in the controversy in which such judgment shall have been rendered.
(7)
Remedy not conditional. The remedy to foreclose herein, by proceedings
in rem, shall be in addition to all other remedies allowed by law
for the collection of any tax lien and shall not be dependent upon
them or any of them.
(8)
Order in nature of writ of assistance. Any party or tax district
acquiring title to a parcel of real property under and pursuant to
the terms and provisions of this act shall be entitled to an order
in the nature of a writ of assistance, with the same force and effect
as if such party or tax district had acquired the property by virtue
of a mortgage foreclosure.
(9)
Effect of other laws. Except as otherwise provided herein such
action in rem to foreclose a tax lien shall be regulated by the provisions
of the civil practice law and rules and by all other provisions of
law and rules of practice applicable to foreclosure of a mortgage
on real property, and all provisions of the Monroe county tax act
and of the Monroe county tax foreclosure act, where applicable, and
where not otherwise herein provided, shall be deemed applicable to
the provisions of these in rem proceedings as if fully herein again
set forth.
§ 34
This act shall take effect immediately.
