Lis Pendens
Definition
Lis Pendens is a Latin term meaning “suit pending.” In legal parlance, it refers to a notice filed in the public record to inform all interested parties that a lawsuit has been initiated which concerns the property’s title. This legal notice effectively warns potential buyers or interested entities that the property is currently subject to litigation, and any interests acquired in the property will be subject to the outcome of the lawsuit.
Examples
- A homeowner files a lawsuit against a neighbor claiming a boundary encroachment. To safeguard its claim, the homeowner files a lis pendens to notify others of the ongoing litigation concerning the property boundaries.
- In a divorce proceeding, if one spouse claims ownership interest in real estate held by the other, they may file a lis pendens to prevent the property’s sale or transfer until the lawsuit is concluded.
- A lender initiates foreclosure proceedings and files a lis pendens to announce its claim on the property, deterring any third-party buyer until the foreclosure lawsuit is resolved.
FAQs
Q1: What happens if I buy a property with a lis pendens notice? A1: If you purchase a property that has a lis pendens notice, you acquire the property subject to the outcome of the lawsuit. You could potentially lose your interest in the property or face enforceable judgments related to the litigation.
Q2: How long does a lis pendens last? A2: A lis pendens remains in effect until the lawsuit is resolved or the court orders its removal. Once the legal proceedings conclude, the lis pendens can be removed from the public record.
Q3: Can a lis pendens be wrongfully filed? A3: Yes, there can be instances of wrongful filing of a lis pendens. If proven to be without merit, the wronged party may seek legal remedies, including its removal and potentially claiming damages.
Q4: Is a lis pendens the same in all jurisdictions? A4: The rules governing lis pendens can vary significantly between jurisdictions. It is important to consult local legal standards and procedures.
Related Terms
- Decree: An official order issued by a legal authority as a resolution to the litigation, indicating the rights and duties of the parties involved.
- Judgment: The formal decision made by a court following a lawsuit, establishing the legal obligations of the parties.
- Encumbrance: Any claim against property, such as liens, easements, or restrictions, that may affect its transferability.
- Foreclosure: The legal process by which a lender takes control of a property from a borrower who has defaulted on the loan agreements.
Online References
Suggested Books
- “Property Law: Cases and Materials” by Robert C. Ellickson, Charles M. Haar, and Benjamin A. Starr
- “Real Estate Law” by Robert J. Aalberts
- “Essentials of Real Estate Law” by Lynn T. Slossberg
Fundamentals of Lis Pendens: Real Estate Law Basics Quiz
Thank you for delving into fundamentals of Lis Pendens and tackling our informative quiz questions. Keep enhancing your proficiency in real estate law!