Can a creditor go after additional assets to pay off a lien?

Q: There is a water lien on an inherited property from an old disputed water bill. We are happy to give the county this property as it is barely worth the lien. There are other assets in the portfolio however. Can they come after anything else?

A: It depends if you are sued in rem or in persona or both. Some real estate taxing entities and municipal service vendors, only seek to reclaim the real estate, which is in rem. If the proceeds gathered from the sale of the real estate, do not satisfy the claim, sometimes a “deficiency” claim is pursued against the persons who are record owners or heirs of record owners. This is called in personam. You can ask the water company how they handle this or what other options you may have. You can also consult with a local attorney who may have knowledge of the practices of your local tax collections services.

If you feel like this issue relates to you, or a problem that you are experiencing, please contact me so that we can discuss your situation.