Legal Question in Real Estate Law in Indiana

Non-related Beneficiary to release property lien

Can a non-related beneficiary sign a property lien release if notarized and all terms agreed upon by seller (see below contract)

Seller has agreed to carry 2nd mortgage for my buyer. This is a recorded property lien in which seller has agreed to release after 90 days.

To insure my Buyer this will take place, we were wondering if buyer's friend could be assigned the beneficiary by seller? That way buyer doesn't have to worry about seller moving or being injured.

I have worded in contract as follow:

I,___ , signed a promissory note to carry a second mortgage on 2/13/2006 for _______on the following property:

Indiana

As a result, I, ___, agree to go down to the __ County courthouse in person after 90 days from ____ to release the property lien that is currently in my name on above mentioned address.

In case of any inability to perform on my part, I hereby authorize my beneficiary, indicated and signed below, to carry out the above duties for _____as indicated above.

We, the undersigned, do hereby agree to all of the above mentioned terms:


Asked on 2/12/06, 5:06 pm

1 Answer from Attorneys
Philip Owens Philip M. Owens, Attorney at Law

Re: Non-related Beneficiary to release property lien

The holder of the second mortgage can give a power of attorney to anyone to release the mortgage. this person could be indentified in the mortgage. At any rate, the authority of the person to release the mortgage will need to be recorded. I must say that this paragraph does not look good and something does not seem to be in order when a mortgage release is based on time rather than payment of the underlying obligation. You might need some help here.

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Answered on 2/13/06, 8:00 am


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