Bensinger

This case raises two principal questions (1) what property rights are affected by a government tax lien, and (2) what is the nature and extent of the right of a vendee, under a conditional sales contract covering real property, to recover for unjust enrichment.

The action, commenced in the state court, was denominated an action for “declaratory relief.” It was removed by the government to this court on the ground that it was in substance an ac tion to quiet title against a lien claimed by the United States, on real property, 28 U.S.C.A. § 2410 , and that jurisdiction existed by virtue of the government’s removal, 28 U.S.C.A. § 1444 , Wells v. Long, 9 Cir., 1947, 162 F.2d 842 .

Bensinger, the owner and vendor of real property, seeks to quiet title to the property against a claim of lien for delinquent federal income taxes owed by a conditional vendee. Obviously the lien could have no effect on the owner’s title had the conditional sales contract never existed. The existence and history of the conditional sales contract create our problems.

On April 25, 1952, Bensinger, owner of a house and lot in Bel Air, California, entered into a conditional sales agreement with Mr. and Mrs.…