Judiciary

Nonconsensual lien filing provisions advanced

Senators advanced a bill from general file April 18 that would change nonconsensual lien filing provisions.

LB3, as introduced by Omaha Sen. Bob Krist, would have required the county recording office to send a certified copy of any filed and recorded nonconsensual liens to the real property owner.

Krist cited recent instances in which IRS agents had fraudulent nonconsensual liens filed against their personal properties by anti-government activists. The nonconsensual liens were used as a means to harass agents in their private lives as a part of a taxpayer protest campaign, he said.

“This bill is being introduced to prevent paper terrorism,” Krist said.

A Judiciary Committee amendment, adopted 27-0, replaced the bill and would clarify that a nonconsensual common-law lien is not binding or enforceable at law or in equity and, if recorded, would be void and unenforceable.

Additionally, the amendment would require a claimant to notify the sheriff in order to serve a copy of the recorded lien to the property owner and file proof of service with the register of deeds. The claimant would be required to file a judicial proceeding to enforce the nonconsensual lien within 10 days after recording it or such lien would lapse and be legally void and unenforceable.

Under the amendment, those who fraudulently file a nonconsensual lien, financing statement or document that attempts to harass an entity, individual or public official or obstruct a government operation or judicial proceeding would be guilty of a Class IV felony.

Omaha Sen. Brad Ashford, chairperson of the committee, said nonconsensual liens are problematic for property owners who want to sell or deal with their property in such a way that requires a “clean title” and unknowingly have a lien against the property.

The bill advanced to select file with an emergency clause on a 35-0 vote.

Bookmark and Share
Share