Source: https://thehardinlawfirm.com/real-estate/arkansas-real-estate-laws/aca-26-37-201-sale-of-tax-delinquent-lands-arkansas-law/
Timestamp: 2017-11-25 00:16:46
Document Index: 547991418

Matched Legal Cases: ['§ 26', '§ 26', '§ 26', '§ 26', '§ 26', '§ 26', '§ 26', '§ 26', '§ 26', '§ 26', '§ 26', '§ 26', '§ 26', '§ 26', '§ 26', '§ 26', '§ 26', '§ 26', '§ 26']

Ark Code Ann § 26-37-202 - Procedure to sell Tax Delinquent Property
§ 26-37-202 – Procedure to sell.
§ 26-37-203 – Conveyance to purchaser — Contest.
§ 26-37-204 – Sales set aside.
(b) The Commissioner of State Lands shall have the authority to set aside any sale. In the event the Commissioner of State Lands determines that a sale shall be set aside, the purchaser may be entitled to reimbursement of moneys paid to the Commissioner of State Lands.
(d) If the Commissioner of State Lands determines that the owner and all interested parties did not receive the required notice of sale and right to redeem, the Commissioner of State Lands shall:
(1) Set aside the sale; or
(2) Notify the owner and interested parties of the reasons why the Commissioner of State Lands does not believe the sale should be set aside.
(e) As used in this section, “interested party” means the same as in § 26-37-301.
(f) The Commissioner of State Lands shall not be liable for any monetary damages to any owner, interested party, or purchaser of tax-delinquent land for any action taken or any omission of action related to the sale of tax-delinquent land.
(g) An owner or interested party shall tender cash or certified funds, including without limitation a money order, cashier’s check, or certified bank check equal to the amount of all taxes, penalties, interest, and costs charged against the tax-delinquent land:
(1) Into the registry of the court before filing a complaint to set aside a sale of the tax-delinquent land; or
(2) With the Commissioner of State Lands before asking the Commissioner of State Lands to set aside a sale of the tax-delinquent land.
§ 26-37-205 – Distribution of funds.
(a) All moneys collected by the Commissioner of State Lands from the sale or redemption of tax-delinquent lands shall be distributed as follows:
(1) (A) First, to the Commissioner of State Lands, the penalties, the collection fees, the sale costs, and the other costs as prescribed by law.
(B) The sale costs, including without limitation fees for title work;
(2) Second, to each county an amount equal to the taxes due plus interest and costs to the county as certified by the county collector, which amount shall be held in an escrow fund administered by and remitted to the county within one (1) calendar year of the receipt of the moneys by the Commissioner of State Lands;
(3) (A) Third, to each county an amount equal to the delinquent personal property taxes, plus penalty, of the owner or owners of the tax-delinquent land as certified by the county collector, which amount shall be held in an escrow fund administered by and remitted to the county after one (1) calendar year of the receipt of the moneys by the Commissioner of State Lands.
(B) The Commissioner of State Lands shall review the information provided by the county collector and any other interested party to ascertain:
(i) Whether the personal property tax and penalty qualifies to be withheld from the tax-delinquent land sale proceeds; and
(ii) The amount of personal property tax and penalty that qualifies under this subdivision (a)(3) to be withheld.
(C) If the Commissioner of State Lands is required to make a refund of the personal property taxes withheld under subdivision (a)(3)(A) of this section to a purchaser of tax-delinquent lands for any reason, the amount of the refund shall be recovered by the Commissioner of State Lands from the county or counties that originally received the proceeds under this subdivision (a)(3) of the tax-delinquent land sale.
(D) The Commissioner of State Lands shall promulgate rules and forms needed to administer this subdivision (a)(3).
(E) This section does not require the Commissioner of State Lands to search county records to determine whether an owner of tax-delinquent land owes delinquent personal property taxes.
(F) This section does not grant a county a right to a lien against real property for the payment of delinquent personal property tax;
(4) (A) Fourth, to the Department of Finance and Administration an amount equal to the delinquent tax, penalty, and interest owed to the department and for which certificates of indebtedness have been filed against the owner or owners of the tax-delinquent land as certified by the department, which amount shall be held in an escrow fund administered by and remitted to the department within one (1) calendar year after the receipt of the moneys by the Commissioner of State Lands.
(B) If the Commissioner of State Lands is required to make a refund of the taxes withheld under subdivision (a)(4)(A) of this section to a purchaser of tax-delinquent lands for any reason, the amount of the refund shall be recovered by the Commissioner of State Lands from the department from the proceeds originally received under this subdivision (a)(4).
(C) The Commissioner of State Lands shall promulgate rules and forms needed to administer this subdivision (a)(4);
(5) (A) Fifth, to each county an amount equal to the delinquent solid waste assessments, plus penalty and interest, of the owner or owners of the tax-delinquent land as certified by the county collector, which amount shall be held in an escrow fund administered by and remitted to the county after one (1) calendar year of the receipt of the moneys by the Commissioner of State Lands.
(i) Whether the amount of delinquent solid waste assessment and penalty and interest qualifies to be withheld from the tax-delinquent land sale proceeds; and
(ii) The amount of delinquent solid waste assessment and penalty and interest that qualifies under this subdivision (a)(5) to be withheld.
(C) If the Commissioner of State Lands is required to make a refund of the delinquent solid waste assessment withheld under subdivision (a)(5)(A) to a purchaser of tax-delinquent lands for any reason, the amount of the refund shall be recovered by the Commissioner of State Lands from the county or counties that originally received the proceeds under this subdivision (a)(5) of this section of the tax-delinquent land sale.
(D) The Commissioner of State Lands shall promulgate rules and forms needed to administer this subdivision (a)(5).
(E) This section does not require the Commissioner of State Lands to search county records to determine whether an owner of tax-delinquent land owes delinquent solid waste assessments.
(F) This section does not grant a county a right to a lien against real property for the payment of delinquent solid waste assessment; and
(6) Sixth, to be placed in another escrow fund administered by the Commissioner of State Lands, the remainder, if any.
(2) (A) After payment is made to the Commissioner of State Lands pursuant to subdivision (b)(1) of this section, the amount left in the remaining funds shall be paid to the former owners of the tax-delinquent land.
(B) (i) “Former owner” means a person, partnership, corporation, or other legal entity capable of owning real property in the State of Arkansas and that holds record title to the real property on the date of sale by the Commissioner of State Lands.
(ii) “Former owner” does not include heirs or relations beyond the first degree of consanguinity.
(C) (i) A former owner must file an application with the Commissioner of State Lands requesting the release of the funds.
(ii) The application shall be provided by the Commissioner of State Lands and shall require proof of ownership of the tax-delinquent land as well as proof of authority to act on behalf of the owner.
(D) (i) The former owner shall release and relinquish all rights, title, and interests in and to the tax-delinquent land.
(G) (i) An agreement covered by subdivision (b)(2)(F) of this section that provides for compensation that is unconscionable is unenforceable except by the former owner.
(iii) The court may award reasonable attorney’s fees to a former owner that prevails in the action.
(I) (i) The Commissioner of State Lands shall make all funds payable to the former owner.
(J) (i) Anyone filing a claim or assisting with the filing of a claim that results in the erroneous payment of a claim is responsible for the repayment of all funds paid.
(3) (A) Any funds placed in escrow prior to July 1, 2005, shall be held in escrow for five (5) years and at the end of the five-year period, if the funds have not been distributed, the escrow funds shall escheat to the county in which the property is located.
§ 26-37-206 – Void sales.
If the taxes charged on any land or lot, or part thereof, are regularly paid, and the land or lot erroneously returned delinquent and sold for taxes, the sale of the land or lot shall be void and the money paid by the purchaser at such a void sale shall be returned to him or her by the officer having the money in charge, on the order of the county court that the land was erroneously returned delinquent and sold for taxes.
§ 26-37-207 – Invalid donation by state.
If the title of any person holding lands by virtue of a donation deed from the state shall, for any cause, be determined to be invalid in any action brought by or against him or her at law or in equity, then such donor, his or her heirs, successors, and assigns, shall be entitled, in addition to all other available remedies, to a lien upon the lands for the amount of the taxes, penalty, and costs for which the lands were originally forfeited and sold, plus all taxes on the lands which have subsequently been paid by the purchaser, his or her heirs, successors, and assigns, together with all taxes and improvement district assessments which may have been paid on the lands following the donation, with interest on the amount paid for the lands and on the taxes and assessments from the respective dates of payment until repaid at the rate of six percent (6%) per annum. The court rendering judgment or decree against the validity of the donation shall declare and enforce the lien.
§ 26-37-208 – Wrong name in tax book.
§ 26-37-209 – Compensation for improvements.
(a) (1) A purchaser under this chapter of any land or town lot or city lot or another person claiming under the purchaser shall not be entitled to any compensation for any improvement that the purchaser shall make on the land or town lot or city lot within the time frame established in § 26-37-203, except for:
(A) The cost of repairs necessary to prevent deterioration of any improvements on the land or town lot or city lot; or
(B) The cost necessary to comply with any state, county, or city code requirements.
(2) The compensation allowed under subdivision (a)(1) of this section shall be a charge upon the land.
(b) For an improvement made after the expiration of the time frame established in § 26-37-203, the purchaser under this chapter shall be allowed the full cash value of the improvement, and the allowance shall be a charge upon the land.
§ 26-37-210 – Sale of timber, oil, gas, or mineral rights.
(a) If a timber right, an oil right, a gas right, or a mineral right is owned or assessed separate from the fee in the land and the taxes due on the right are not paid, the timber right, oil right, gas right, or mineral right is subject to the tax laws governing forfeiture and sale of tax-delinquent land.
(b) Any timber right, oil right, gas right, or mineral right forfeited and certified to the Commissioner of State Lands is subject to disposition as provided in this chapter.
§ 26-37-211 – Purchaser of timber rights.
§ 26-37-212 – Dedication of land as public park.
If an owner of land dedicates it to the city where the land is located for park purposes by a filed and recorded plat and bill of assurance and there are any delinquent general taxes of the state or a political subdivision of the state against the land, upon a showing that title to the land is dedicated to the city as a public park, the Commissioner of State Lands and the proper county officials of the county where the land lies shall cancel any delinquent general taxes.
§ 26-37-213 – Record of lands forfeited.
§ 26-37-214 – Limitation on liability.
Except as provided in § 26-37-204(a) and (b), the Commissioner of State Lands as well as the county from which the property is certified shall be immune from liability for damages, costs, fees, or compensation for improvements made to the property arising from the sale of tax-delinquent property even if the sale is found to be invalid or void as a result of error by the Commissioner of State Lands or the county.
Last updated: October 24, 2016 at 17:02 pm
Ark. Code Ann. § 26-37-203 – Conveyance to…