[WSBARP] Promissory note question

[Dwight Bickel]

I strongly urge you not to record or send notices of intent to lien to escrow or title companies for the N. Carolina real property. I do not know the law of NC, but I do know that would be a very bad idea in WA. Here, there is no lien right based upon a promissory note. [You would be surprised how often people record that note or claim a lien without a right.] Prior to a pre-judgment writ of attachment (from the appropriate court, which I am sure would be in NC where the land is located.) A WA court would lack jurisdiction over NC real property. In WA, recording a notice of intent to lien is actually a gross misdemeanor. There is also exposure to the client to monetary damages and attorney's fees to remove that claim of lien. Even the unrecorded claim to the title or escrow company is interfering with contractual rights to interfere with a sale. I called it title extortion, but it is not legally recognized as more than slander of title. Note that the lawyer is also exposed for recording to claim a lien right without a legal right.  I witnessed a WSBA Complaint against an attorney who recorded a notice of lien that was not authorized by statute. [Settled without formal sanction].

The preliminary attachment in NC is not certain. You would have to convince that court. Other than that quick remedy, that might be denied, the next fastest route to a lien remedy is probably to obtain a Summary Judgment on the note, then take that to NC and follow its process for collection of a foreign judgment.

The maker might agree to a mortgage on the NC Carolina property, allowing time to sell that property and ensuring your payment from its closing proceeds if there are proceeds after prior liens are paid.  You could induce that voluntary cooperation by serving the Complaint causing that person to realize there is no further patience, nor trust.

Dwight A. Bickel
Washington Title Professional
dwightbickel at hotmail.com
www.linkedin.com/in/dwightbickel
206-484-1976


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