Redevelopment Agency v. Pacific Vegetable Oil Corp.

This is an appeal by Pacific Vegetable Oil Corporation (hereinafter referred to as “Pacific”) from the judgment of the trial court in a proceeding to apportion a condemnation award under Code of Civil Procedure section 1246.1, this judgment having adjudged that the funds on deposit from the condemnation of a certain parcel of real property be disbursed as follows: $19,501.38, plus interest, to the City and County of San Francisco (hereinafter referred to as the “City”); and the balance to Pacific. The sole issue presented on this appeal is whether the trial court correctly determined that the City’s tax lien which it held on the condemned parcel is entitled to priority over Pacific’s preexisting first mortgage lien on this property.

The pertinent facts, as stipulated by the parties, are as fol lows: Pacific is the holder of a valid and subsisting mortgage on the subject parcel, dated July 26, 1949 and recorded July 28, 1949, securing payment of the sum of $163,142.18, plus interest. This indebtedness has not been discharged and is still owing and unpaid. The City is a claimant to the award by virtue of the fact that real property taxes regularly assessed upon said parcel for the…