Is security first rule irrelevant now that the security is gone? 1 Answers as of September 06, 2016

Bank reconvened property and I sold it to arm's length buyer. They filed a NOD, then initiated personal lawsuit. Since security is gone do they have to cancel the NOD?

Ask a Local Attorney. 100% Anonymous. Free Answers.

Free Case Evaluation by a Local Lawyer: Click here
Frank Law Group, P.C.
Frank Law Group, P.C. | David E. Frank
Yes, if the buyer was a bona fide buyer who paid fair value and who had no notice of the lender before his/her purchase. But there may be some applicable exceptions. This is a VERY complicated area under Ca. foreclosure law, so make sure you consult with a lawyer who is very familiar with Ca foreclosure law, esp. CCP 726.
Answer Applies to: California
Replied: 9/6/2016
Click to View More Answers: