Legal Question in Real Estate Law in California

Re: Abstract Judgement

There's some kind of misunderstanding here; an abstract of judgment, when recorded, clouds title only to property then standing in the name of the judgment debtor. Perhaps there was a delay (or failure) to record the deed to you.

Another possibility to be considered is that the deed to you is a fraudulent transfer. Did you pay your father fair market value? If not, the "deeding" is probably a fraudulent transfer and can be un-done by a creditor lawsuit. This does not explain the cloud on title, at least not directly. However, some savvy lawyer, buyer, lender or title insurer may have picked up on the possible fraudulent transfer and be raising it as an issue independent of the abstract of judgment.

All of the documents should be examined by a street-wise real estate attorney.

You definitely need to study the law of fraudulent transfers; thi smells like one. See Civil Code sections 3439 thru 3439.12.

Re: Abstract Judgement

Mr. Whipple is correct, but all the Title Insurance company may be doing is listing what has been filed against the property ad not whether it is valid. They are hyper-conservative and refuse to make any type of legal decision unless pushed. Find out what the judgment is for, does your father dispute it, is paying it off less costly than hiring a lawyer to fight it and the title insurance company, etc.

Re: Abstract Judgement

Mr. Whipple and Mr. Shers are both correct. If the Abstract was recorded before you deed, theen you are out of luck.

You need to have a local attorney review the preliminary title report and advise you regarding your options.

Re: Abstract Judgement

You will have to file a slander of title action. Contact me directly 19 years experience. 1.619.222.3504.

Re: Abstract Judgement

I certainly would not call Mr. Bravos and sue for slander of title. The abstract of judgment is probably legitimate, and you will end up getting sanctioned with Mr. Bravos, or subject to a future malicious prosecution lawsuit.

Mr. Whipple raises a valid point. I would be concerned as to whether this transfer to you was a fraudulent transfer to avoid your father's creditors.

Finally, the issue is not when you took possession of the property, but when you recorded your deed. An abstract of judgment attaches a lien to all property that the debtor owns in that county, where the abstract is recorded, and all subsequent property. If the lien is not satisfied prior to the transfer, it can also remain a valid "cloud" on the recipient's title, if the lien is recorded prior to the transfer.

I would follow Mr. Whipple's advice and speak to a decent attorney.

Very truly yours,