A personal property lien is a legal interest a creditor takes in the debtor's property after the creditor meets specific conditions. A wide range of personal property liens are available in Indiana; each has different requirements and laws that apply. Talk to an experienced Indiana attorney if you need legal advice or assistance with a personal property lien issue.
Personal Property Liens
Personal property liens in Indiana are differentiated from real estate liens or automobile liens. People who own real estate or motor vehicles must have a title or deed to these properties, and Indiana law imposes additional requirements on lien-claimants when seeking to place a lien on titled property. For example, a mechanic's lien, also known as a construction lien, is a lien that a contractor has against a piece of real estate if the owner fails to pay the contractor's fee.
Types of Personal Property Liens
Indiana has a wide range of personal property liens available to creditors who go unpaid for their services. For example, 2010 Indiana Code sections 32-33-6 et. seq. allows innkeepers, hotel operators and other such persons a lien against a guest's baggage or personal possessions if the guest does not pay the bill. Other liens include, but are not limited to, a blacksmith's lien, a hospital lien, a warehouseman's lien and a jeweler's lien.
Filing and Expiration
Lien claimants have to file a lien in the Indiana county recorder's office in which the claimant is located, and must do so within a specified time period. For example, Indiana Code section 32-33-11-2 states that anyone filing a transfer, moving or storage lien has 60 days after performing the labor to file the lien. The filer then has one year after filing the lien to file the lawsuit, known as the complaint, alleging the failure of the debtor to pay.
Procedures
A lien is a form of a security interest. A security interest allows a creditor to take possession of the property if the debtor fails to repay. For example, if a blacksmith takes out a lien against a horse owner after the owner fails to pay the debt for the services, the blacksmith can then foreclose on the lien by filing a lawsuit in court. Once the blacksmith proves the owner owes the money, the blacksmith can foreclose on the lien by taking possession of the personal property, the horse in this case, and sell it to recover the money owed under the debt.
0 comments:
Post a Comment