PRINTER'S NO. 75
No. 68 Session of 1989
INTRODUCED BY WILLIAMS, KOSINSKI, ROBINSON, TRELLO, DALEY AND
EVANS, JANUARY 23, 1989
REFERRED TO COMMITTEE ON LOCAL GOVERNMENT, JANUARY 23, 1989
AN ACT
1 Amending the act of May 16, 1923 (P.L.207, No.153), entitled "An
2 act providing when, how, upon what property, and to what
3 extent, liens shall be allowed for taxes and for municipal
4 improvements, for the removal of nuisances, and for water
5 rents or rates, sewer rates, and lighting rates; for the
6 procedure upon claims filed therefor; the methods for
7 preserving such liens and enforcing payment of such claims;
8 the effect of judicial sales of the properties liened; the
9 distribution of the proceeds of such sales, and the
10 redemption of the property therefrom; for the lien and
11 collection of certain taxes heretofore assessed, and of
12 claims for municipal improvements made and nuisances removed,
13 within six months before the passage of this act; and for the
14 procedure on tax and municipal claims filed under other and
15 prior acts of Assembly," restricting redemption of property
16 after sale pursuant to a tax or municipal claim in cities of
17 the first class.
18 The General Assembly of the Commonwealth of Pennsylvania
19 hereby enacts as follows:
20 Section 1. Section 32 of the act of May 16, 1923 (P.L.207,
21 No.153), referred to as the Municipal Claim and Tax Lien Law,
22 amended or added August 26, 1965 (P.L.383, No.199) and July 10,
23 1986 (P.L.1236, No.113), is amended to read:
24 Section 32. (a) The owner of any property sold under a tax
25 or municipal claim, or his assignees, or any party whose lien or
1 estate has been discharged thereby, may, except as provided in
2 [subsection (c)] subsections (c) and (d) of this section, redeem
3 the same at any time within one year from the date of the
4 acknowledgment of the sheriff's deed therefor, upon payment of
5 the amount bid at such sale; the cost of drawing, acknowledging,
6 and recording the sheriff's deed; the amount of all taxes and
7 municipal claims, whether not entered as liens, if actually
8 paid; the principal and interest of estates and encumbrances,
9 not discharged by the sale and actually paid; the insurance upon
10 the property, and other charges and necessary expenses of the
11 property, actually paid, less rents or other income therefrom,
12 and a sum equal to interest at the rate of ten per centum per
13 annum thereon, from the time of each of such payments. If both
14 owner and creditor desire to redeem, the owner shall have the
15 right so to do only in case he pays the creditor's claim in
16 full. If more than one creditor desires to redeem, the one who
17 was lowest in lien at the time of sale shall have the prior
18 right, upon payment in full of the claim of the one higher in
19 lien. Within the year, one who was lower in lien may redeem from
20 one higher in lien who has already redeemed, and the owner may
21 redeem from him; and so on throughout, in each case by paying
22 the claim of the one whose right was higher; and one higher in
23 lien may redeem from one lower in lien, unless his claim is
24 paid; but in each case the right must be exercised within the
25 year.
26 (b) Any person entitled to redeem may present his petition
27 to the proper court, setting forth the facts, and his readiness
28 to pay the redemption money; whereupon the court shall grant a
29 rule to show cause why the purchaser should not reconvey to him
30 the premises sold; and if, upon hearing, the court shall be
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1 satisfied of the facts, it shall make the rule absolute, and
2 upon payment being made or tendered, shall enforce it by
3 attachment.
4 (c) [Uninhabited residential property sold to a city of the
5 first class at a sale under a tax or a municipal claim may be
6 redeemed within three months from the date of the acknowledgment
7 of the sheriff's deed therefor subject to compliance with the
8 other requirements of this act with respect to redemption.]
9 Notwithstanding any other provision of law to the contrary, in
10 cities of the first class only, there shall be no redemption of
11 uninhabited residential property by any person after the date of
12 the acknowledgment of the sheriff's deed therefor. For the
13 purposes of this subsection, property shall be deemed to be
14 "uninhabited residential property" unless it was continuously
15 occupied by the same individual or basic family unit for at
16 least ninety days prior to the date of the sale and continues to
17 be so occupied on the date of the acknowledgment of the
18 sheriff's deed therefor.
19 (d) Notwithstanding any other provision of law to the
20 contrary, in counties of the second class only, the owner of any
21 property sold under a tax or municipal claim, or his assignees,
22 or any party whose lien or estate has been discharged thereby,
23 may[, except as provided in subsection (c) of this section,]
24 redeem the same at any time within three months from the date of
25 the acknowledgment of the sheriff's deed therefor, upon payment
26 of the amount bid at such sale; the cost of drawing,
27 acknowledging and recording the sheriff's deed; the amount of
28 all taxes and municipal claims, whether not entered as liens, if
29 actually paid; the principal and interest of estates and
30 encumbrances, not discharged by the sale and actually paid; the
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1 insurance upon the property and other charges and necessary
2 expenses of the property, actually paid, less rents or other
3 income therefrom; and a sum equal to interest at the rate of ten
4 per centum per annum thereon, from the time of each of such
5 payments. If both owner and creditor desire to redeem, the owner
6 shall have the right so to do only in case he pays the
7 creditor's claim in full. If more than one creditor desires to
8 redeem, the one who was lowest in lien at the time of sale shall
9 have the prior right, upon payment in full of the claim of the
10 one higher in lien. Within the three-month period, one who was
11 lower in lien may redeem from one higher in lien who has already
12 redeemed, and the owner may redeem from him; and so on
13 throughout, in each case by paying the claim of the one whose
14 right was higher; and one higher in lien may redeem from one
15 lower in lien, unless his claim is paid; but in each case the
16 right must be exercised within the three-month period.
17 Section 2. All acts and parts of acts inconsistent with the
18 provisions of this act are repealed.
19 Section 3. This act shall apply to all sheriff's sales
20 conducted on or after the effective date of this act.
21 Section 4. This act shall take effect immediately.
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