Legal Question in Real Estate Law in California

There may be a statute of limitations on the note, but not on the lien. You will need to get it removed.

California law allows for mortgages, but no one uses them. The security instrument of choice in California is a deed of trust, not a mortgage. The distinction is important, and here is why.

The statute of limitations to file an action to foreclose a mortgage is governed by the statute of limitations to bring an action on the underlying obligation. This is because a mortgage is considered a lien. Pursuant to statute, a lien expires upon the expiration of the time period within which an action may be brought on the underlying obligation. (Civ. Code, � 2911.)

Because the underlying obligation is usually in writing, such as a written promissory note, the statute of limitations is the four (4) year period of Code of Civil Procedure section 337. (Hibernia Sav. & Loan Ass�n. (1904) 145 Cal. 626.)

But a different rule applies to deeds of trust. As it is currently drafted, the limitations period to exercise a power of sale under a deed of trust is ten (10) years from the date of maturity of the promissory note, if the date of maturity can be determined from public records. If the date of maturity cannot be determined from public records, then the limitations period is sixty (60) years from the date the deed of trust was recorded. (Civ. Code, � 882.020, subd. (a).)

Notwithstanding the Civil Code section I just cited, the current status of case law prohibits an action to quiet title where the underlying debt has not been paid.

I suggest you speak with a competent real estate attorney familiar with this area of law if you need further assistance.