Q: My dad sold property to his step daughter on a verbal agreement - can he place a lien against the land for non payment?
They have paid on time every month for the past 10 years and he has proof but they stopped paying and still owe 12,000 what can he do?
A:
You cannot sell land with a 'verbal agreement'. Your dad needs to seek legal representation NOW to see if there is anything he can do. Don't delay -- he's about 10 years late seeking representation, but he should see an experienced local real estate lawyer NOW to avoid further issues!
-- This answer is offered for informational purposes only and does not constitute legal advice or create an attorney/client relationship.
I am licensed to practice in Michigan only. Please seek competent local legal help if you feel you need legal advice
A:
Probably not.
A consensual lien on Michigan real property is called a mortgage. If the stepdaughter did not grant a mortgage, then there's no consensual lien.
The law provides also for various non-consensual liens, like a tax lien, a construction lien under the Construction Lien Act, or a judgment lien under the Judgment Lien Act. If your dad were to sue and obtain a judgment, then he could file a judgment lien. But he cannot on his own and without legal authority "place a lien", other than by recording a properly executed mortgage, on someone else's real property. He can demand payment, and he can file a lawsuit to recover a judgment. Those are his basic options.
A: Another question I have is what is meant by your statement that he "sold property." My answer (see above) assumes that he conveyed the property. You could also have meant that he agreed to sell the property, or that he entered into a land contract, as seller, to sell the property. My answer would not apply to the latter two situations.
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