2023 New York Laws › RPT - Real Property Tax › Article 11 - Procedures for Enforcement of Collection of Delinquent Taxes › Title 3 - Foreclosure of Tax Lien by Proceeding in Rem › 1136 - Final Judgment.

§  1136. Final judgment. 1. Generally. The court shall have full power
to determine and enforce in all respects the priorities, rights,  claims
and  demands of the several parties to the proceeding, as the same exist
according to law, including the priorities, rights, claims  and  demands
of  the  respondents  as  between  themselves.  The  court shall further
determine upon proof and shall make findings  upon  such  proof  whether
there has been due compliance by the tax district with the provisions of
this article.
2.  When  an  answer  has been interposed. (a) When an answer has been
interposed by a party other than a tax district as to any parcel of real
property included in the petition described in  section  eleven  hundred
twenty-three of this chapter and the court determines that the answer is
meritorious,  the  court shall dismiss the petition of foreclosure, with
or without prejudice, as to the affected parcel or  parcels,  unless  an
agreement  is  executed  pursuant  to  subdivision two of section eleven
hundred fifty of this article. If the court determines that  the  answer
is  not  meritorious,  the court shall make a final judgment awarding to
such tax district the possession of the affected parcel  or  parcels  in
the same manner as provided by subdivision three of this section.
(b)  When  an answer has been interposed by another tax district as to
any parcel and the court shall determine that such  other  tax  district
has an interest in such parcel, then and in that event the tax districts
having  an  interest  in such parcel may by agreement between themselves
pursuant to subdivision one of section  eleven  hundred  fifty  of  this
article  provide (i) for a conveyance without sale of any such parcel to
one of such tax districts free and clear of any right, title or interest
in or lien upon such parcel or such other tax district or  districts  or
(ii) for a conveyance without sale of any such parcel to one of such tax
districts  subject  to any right, title or interest in or lien upon such
parcel of such other tax  district  or  districts.  In  either  of  such
events, the court shall in its judgment expressly dispense with the sale
and  direct  the  making  and execution of a conveyance by the enforcing
officer in accordance with such agreement. In the  absence  of  such  an
agreement,  the  court shall make a final judgment directing the sale of
such parcel.
(c) Any sale directed by the court pursuant to this subdivision  shall
be  at  public  auction  by the enforcing officer. Public notice thereof
shall be given once a week for at least  three  successive  weeks  in  a
newspaper  published  in  the  tax  district,  if  any, or if none, in a
newspaper published  in  the  county  in  which  such  tax  district  is
situated.  The  enforcing  officer  shall  receive  no additional fee or
compensation for such service. The description of the parcel offered for
sale in such notice shall be that contained in the  petition  with  such
other description, if any, as the court may direct.
(d)  In  directing  any  conveyance  pursuant to this subdivision, the
judgment shall direct the enforcing  officer  of  the  tax  district  to
prepare  and  execute a deed conveying title to the parcel or parcels of
real property concerned. Such title shall be full and  complete  in  the
absence of an agreement between tax districts as herein provided that it
shall be subject to the tax liens of one or more tax districts. Upon the
execution  of such deed, the grantee shall be seized of an estate in fee
simple absolute in such parcel unless the conveyance is  expressly  made
subject  to  tax  liens  of  a  tax district as herein provided, and all
persons, including  the  state,  infants,  incompetents,  absentees  and
non-residents,  who may have had any right, title, interest, claim, lien
or equity of redemption in or upon such  parcel,  shall  be  barred  and
forever  foreclosed  of  all such right, title, interest, claim, lien or
equity of redemption. Nothing contained herein  shall  be  construed  to

preclude  any such person from filing a claim pursuant to section eleven
hundred thirty-five or title six of this article  for  a  share  of  any
surplus that may be attributable to the sale of such parcel.
3.  When  no  answer  has  been interposed. (a) The court shall make a
final judgment awarding to such  tax  district  the  possession  of  any
parcel  of  real  property  described in the petition of foreclosure not
redeemed as provided in  this  title  and  as  to  which  no  answer  is
interposed  as  provided herein. In addition thereto such judgment shall
contain a direction to the enforcing officer  of  the  tax  district  to
prepare,  execute  and cause to be recorded a deed conveying to such tax
district full and complete title to such parcel.
(b) Alternatively, at the request of the enforcing officer, the  court
may  make a final judgment authorizing the enforcing officer to prepare,
execute and cause to be recorded a  deed  conveying  full  and  complete
title  to  such  parcel directly to a party other than the tax district,
without the tax district taking title thereto.
(c) Upon the execution of such deed, the tax district, or the  grantee
as  the case may be, shall be seized of an estate in fee simple absolute
in  such  parcel  and  all  persons,  including  the   state,   infants,
incompetents,  absentees  and  non-residents who may have had any right,
title, interest, claim, lien or equity of redemption  in  or  upon  such
parcel  shall be barred and forever foreclosed of all such right, title,
interest, claim, lien or equity of redemption. Nothing contained  herein
shall  be  construed  to  preclude  any  such person from filing a claim
pursuant to section eleven hundred thirty-five  or  title  six  of  this
article  for a share of any surplus that may be attributable to the sale
of such parcel.
4. (a) Notwithstanding any other provision of  law  to  the  contrary,
when a parcel is subject to a judgment of foreclosure issued pursuant to
this  section  but  has  not yet been conveyed to a third party, the tax
district may, at its discretion, convey title to the parcel back to  the
former owner or owners, or to the successor or successors in interest if
any,  upon  payment  of  the taxes, penalties, interest and other lawful
charges owed to the tax district, subject to the provisions of paragraph
(b) of this subdivision.
(b)  If  immediately  prior  to  the  issuance  of  the  judgment   of
foreclosure,  any  other  person  had any right, title, interest, claim,
lien or equity of redemption in or upon such parcel, the deed  conveying
the  parcel back to the former owner or owners, or to their successor or
successors in interest, shall state that  the  conveyance  shall  become
subject  to  the  right,  title,  interest,  claim,  lien  or  equity of
redemption of any  other  person  that  had  been  extinguished  by  the
judgment  of  foreclosure, once such right, title, interest, claim, lien
or equity of redemption has been reinstated nunc pro  tunc  pursuant  to
the  provisions  of this paragraph. Upon the execution of such deed, the
tax district shall cause a copy thereof to  be  filed  with  the  court,
which shall direct the reinstatement of any such right, title, interest,
claim, lien or equity of redemption in such parcel nunc pro tunc.