A real nightmare

[CarGuy392]

What is the name of your state? Tennessee

I have a final order, the judge told the sheriff and clerk to auction off the debtors property. They have never had to do anything like this before.

They wanted a new title search done before they would set an auction date, but then the search said the persons wife has subject to interest in property in warranty deed book and is needed to sign any conveyance of subject to property.
So now they won't set a auction date until this is cleared up.

I found there was a contract made back in 2006 where the wife would get 50% of the profit from selling the property. But they divorced in 2017. The debtor took possession of the property and is the only one on the warranty deed as unmarried in 2019. No mortgage.
Even the Register of Deeds was curious how the contract didn't drop off already because of the divorce.

Do they really need the wife to proceed ?

 

[Zigner]

What is the name of your state? Tennessee

I have a final order, the judge told the sheriff and clerk to auction off the debtors property. They have never had to do anything like this before.

They wanted a new title search done before they would set an auction date, but then the search said the persons wife has subject to interest in property in warranty deed book and is needed to sign any conveyance of subject to property.
So now they won't set a auction date until this is cleared up.

I found there was a contract made back in 2006 where the wife would get 50% of the profit from selling the property. But they divorced in 2017. The debtor took possession of the property and is the only one on the warranty deed as unmarried in 2019. No mortgage.
Even the Register of Deeds was curious how the contract didn't drop off already because of the divorce.

Do they really need the wife to proceed ?

If "they" said they won't proceed without her approval, then "they" won't proceed without her approval.
I suggest that you contact an attorney for assistance.

 

[LdiJ]

What is the name of your state? Tennessee

I have a final order, the judge told the sheriff and clerk to auction off the debtors property. They have never had to do anything like this before.

They wanted a new title search done before they would set an auction date, but then the search said the persons wife has subject to interest in property in warranty deed book and is needed to sign any conveyance of subject to property.
So now they won't set a auction date until this is cleared up.

I found there was a contract made back in 2006 where the wife would get 50% of the profit from selling the property. But they divorced in 2017. The debtor took possession of the property and is the only one on the warranty deed as unmarried in 2019. No mortgage.
Even the Register of Deeds was curious how the contract didn't drop off already because of the divorce.

Do they really need the wife to proceed ?

The contract may be BECAUSE of the divorce. She may have been entitled to 50% of the equity in the house when they divorced but rather than make him immediately sell it, she agreed or the judge ordered (or both) that she would receive that equity sometime in the future when he sold the property. So yes, it is highly likely that they need the wife to proceed.

 

[adjusterjack]

Do they really need the wife to proceed ?

Yes.

Unless that's taken care of the creditor can by sued for property and/or money that the creditor won't have. And that won't end well.

If you are the creditor you are going to have to buy the wife's signature releasing any interest she might have.

 

[CarGuy392]

While they both had interest in the property from this 06 contract, Debt acquired during a marriage is considered marital debt in TN and is typically shared equally between spouses, like a judgement against the debtor ?
Even if the wife even has any interest still, she would only get 50% of whatever the debtor receives after the auction.

I'm also considered a secured creditor, so If the wife does anything but sign then she could be charged with hindering secured creditors or fraud in insolvency because she would encumber the Sheriff and Cerk after the judge gave the final order for them to auction the property ?

 

[Zigner]

While they both had interest in the property from this 06 contract, Debt acquired during a marriage is considered marital debt in TN and is typically shared equally between spouses, like a judgement against the debtor ?
Even if the wife even has any interest still, she would only get 50% of whatever the debtor receives after the auction.

I'm also considered a secured creditor, so If the wife does anything but sign then she could be charged with hindering secured creditors or fraud in insolvency because she would encumber the Sheriff and Cerk after the judge gave the final order for them to auction the property ?

What does the attorney that you contacted have to say about the matter? You did contact an attorney, as advised, right?

 

[adjusterjack]

I'm also considered a secured creditor,

What do you mean by "considered"?

You either are a secured creditor or you're not a secured creditor.

 

[LdiJ]

While they both had interest in the property from this 06 contract, Debt acquired during a marriage is considered marital debt in TN and is typically shared equally between spouses, like a judgement against the debtor ?
Even if the wife even has any interest still, she would only get 50% of whatever the debtor receives after the auction.

I'm also considered a secured creditor, so If the wife does anything but sign then she could be charged with hindering secured creditors or fraud in insolvency because she would encumber the Sheriff and Cerk after the judge gave the final order for them to auction the property ?

Why would you think that she could be charged with anything for refusing to cooperate? She is an ex wife, not a party to the debt, and has a right not to want to sell her property. Now, as long as she is going to get her share of the proceeds its pretty unlikely that she won't cooperate with a true sale of the property, but she might not want to cooperate with an auction rather than a fair market sale.

 

[FarmerJ]

Curious? So if this problem is because of a house or some other kind of structure on your land what does the county property tax desk say it is worth for taxation purposes ? (especially over the years could it have increased in value ? ) (if it increased in Value then there are good odds the ex might be very willing to see it sold) ?? Is this a house of some kind on your land ?

 

[CarGuy392]

What do you mean by "considered"?

You either are a secured creditor or you're not a secured creditor.

I'm no legal expert, when the debtor attempted bankruptcy before they dismissed his case in because he didn't respond to them. The
Court listed my debt as secured, I said that because they considered me a secured creditor.


Also they property was mentioned as collateral but the wife and contract was never mentioned.

Curious? So if this problem is because of a house or some other kind of structure on your land what does the county property tax desk say it is worth for taxation purposes ? (especially over the years could it have increased in value ? ) (if it increased in Value then there are good odds the ex might be very willing to see it sold) ?? Is this a house of some kind on your land ?

 

[zddoodah]

I have a final order, the judge told the sheriff and clerk to auction off the debtors property.

A final order for what?

I assume you have a judgment against someone and are seeking to enforce that judgment by having real property owned by the debtor sold. Correct? If so, the clerk typically has nothing to do with the execution sale process.

They have never had to do anything like this before.

"They" being the sheriff, I assume.

They wanted a new title search done before they would set an auction date, but then the search said the persons wife has subject to interest in property in warranty deed book and is needed to sign any conveyance of subject to property.

The debtor . . . is the only one on the warranty deed as unmarried in 2019.

Without a clear explanation, this conflicting information is going to make it impossible for anyone here to point you in any direction other than a local attorney's office. If the debtor "is the only one on [a] warranty deed [recorded] in 2019," why does the title search show the debtor's (ex?) wife as having an interest in the property? Who was/were the grantor(s) on the 2019 deed?

I found there was a contract made back in 2006 where the wife would get 50% of the profit from selling the property.

It sounds like you "found" this contract because it is recorded with the register of deeds. Correct?

Do they really need the wife to proceed ?

It sounds to me like the wife has an interest of record created by the recording of the 2006 contract. Perhaps the divorce in 2017 should have extinguished that interest (and perhaps not). If so, it sounds like someone dropped the ball. Either way, the existence of this interest of record apparently will prevent marketable title from being able to be conveyed through the execution sale of the property. If things are as they appear, the answer to your question is yes, and you should retain the services of a local attorney. One thing I'll tell you is that enforcing an ordinary money judgment against real property is incredibly rare (especially if the property is the judgment debtor's primary residence) and rarely cost-effective.

Debt acquired during a marriage is considered marital debt in TN and is typically shared equally between spouses, like a judgement against the debtor ?

Did you sue the wife and obtain a judgment against her? Or did you only sue and obtain a judgment against the husband? Also, not all debt incurred during a marriage is marital debt.

I'm also considered a secured creditor, so If the wife does anything but sign then she could be charged with hindering secured creditors or fraud in insolvency because she would encumber the Sheriff and Cerk after the judge gave the final order for them to auction the property ?

Huh? There's no such thing as "hindering secured creditors." Unless you have a judgment against her, she has no obligation to you. While there is, of course, such a thing as fraud, I've never heard the term "fraud in insolvency."

when the debtor attempted bankruptcy before they dismissed his case in because he didn't respond to them. The
Court listed my debt as secured, I said that because they considered me a secured creditor.

Presumably, you're a secured creditor solely by virtue of having created a judgment lien against the property.

 

[adjusterjack]

I'm no legal expert, when the debtor attempted bankruptcy before they dismissed his case in because he didn't respond to them. The
Court listed my debt as secured, I said that because they considered me a secured creditor.
Also they property was mentioned as collateral but the wife and contract was never mentioned.

How did this debt between you and the debtor arise?

And how much money is owed to you?

 

[CarGuy392]

A final order for what?

I assume you have a judgment against someone and are seeking to enforce that judgment by having real property owned by the debtor sold. Correct? If so, the clerk typically has nothing to do with the execution sale process.


"They" being the sheriff, I assume.


Without a clear explanation, this conflicting information is going to make it impossible for anyone here to point you in any direction other than a local attorney's office. If the debtor "is the only one on [a] warranty deed [recorded] in 2019," why does the title search show the debtor's (ex?) wife as having an interest in the property? Who was/were the grantor(s) on the 2019 deed?




It sounds like you "found" this contract because it is recorded with the register of deeds. Correct?




It sounds to me like the wife has an interest of record created by the recording of the 2006 contract. Perhaps the divorce in 2017 should have extinguished that interest (and perhaps not). If so, it sounds like someone dropped the ball. Either way, the existence of this interest of record apparently will prevent marketable title from being able to be conveyed through the execution sale of the property. If things are as they appear, the answer to your question is yes, and you should retain the services of a local attorney. One thing I'll tell you is that enforcing an ordinary money judgment against real property is incredibly rare (especially if the property is the judgment debtor's primary residence) and rarely cost-effective.


Did you sue the wife and obtain a judgment against her? Or did you only sue and obtain a judgment against the husband? Also, not all debt incurred during a marriage is marital debt.


Huh? There's no such thing as "hindering secured creditors." Unless you have a judgment against her, she has no obligation to you. While there is, of course, such a thing as fraud, I've never heard the term "fraud in insolvency."




Presumably, you're a secured creditor solely by virtue of having created a judgment lien against the property.

I have a judgement against the debtor, he was divorced in 2017, in 2019 the debtor took possession of the property by warranty deed, I did a title search before placing a lien on the the property in 2020, The warranty Deed says the original owner transferred and conveyed to only the debtor an unmarried man. There is also deed of trust with his family from 2019. It did not bring up the ex wife or contract. I found a lawyer to help on contingency. long story short, first attempt to take the property failed because the debtor attempted bankruptcy but they dismissed him for failure to pick a payment plan. The property was listed as collateral but the ex wife and contract were never mentioned.


I submitted new a motion to take and auction his property, the Debtor was served by sheriff and his family with the deed of trust was served by certified mail, I won by my motion by default. The final order was made and granted/signed by the judge. The Judge has already ordered the Clerk to assist the Sheriff in selling the real property. The order said to use any means necessary at their discretion to conduct the sale.
The clerk then requested a new title search before setting an auction date, that search brought up the ex wife listed under other objections with the book and page number , I called the Register of Deeds about it. They informed me that it was a contract from 2006 for interest in the property and they were also surprised that it had not dropped off after the divorce.