Hillsboro, OR asked in Real Estate Law for Oregon

Q: What is your recourse if a lien holder refuses to respond/acknowledge a request to release a satisfied lien?

Almost 20 years ago, I purchased a property from my parents. The balance owed was declared satisfied by my father but he passed before either of us had time or interest (he was very sick before he passed) to formally release the lien. Now, my mother refuses to release the lien--and--largely--will not respond to any plea to release the lien. What is my recourse? My payments were largely made in cash with no proper record--after all, the deal was made with "family". Consequently, the lien of record (found by the Title company) doesn't reflect any payments I made directly to them. BUT, if I simply pay her the amount on record upon the sale of the property, could she refuse to accept the payment? Demand interest? What should I do? Shes not well and I know she would do anything she ~could~ do just to make selling/moving more difficult for me.

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1 Lawyer Answer
Joanne Reisman
Joanne Reisman
Answered
  • Portland, OR
  • Licensed in Oregon

A: You could file an action in the court for a declaratory judgment that declares that the obligation is paid in full or you can pay her the lien amount when the property sells. A lien holder can't prevent a sale if the amount of their lien is being tendered to them. You may have to file in court if she is being difficult and won't sign off on the sale.

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