Bradbury
Bradbury v. Kaiser
Opinion
Lead Opinion
Gilbert, J.
We hold that a withholding order served pursuant to Revenue and Taxation Code 1 section 18817 is not subject to Government Code section 7170, subdivision (c)(2) which establishes priorities between state tax liens and other perfected liens on personal property. We reverse.
Facts
The subject matter of the dispute is a cashier’s check in the amount of $15,000 made payable to Charles S. Hodson. The check was seized during a *1259 search of a house by investigators from the Ventura County District Attorney’s Office on September 29, 1989.
Hodson owed the State of California $113,882.75 for personal income taxes. He also had two money judgments against him. One judgment in favor of Jack D. Kaiser and others was for $120,617. Another judgment in favor of Cederic B. Emery and others was for $318,346.
On October 3, 1989, the Franchise Tax Board (FTB) served on the district attorney a notice of levy and an order to withhold property belonging to Hodson.
On October 5, Kaiser filed a notice of judgment lien on personal property with the Secretary of State.
On October 10, the FTB filed a notice of state tax lien with the Secretary of State.