Integrated Lender Servs., Inc. v. Cnty. of L. A.

Good Law
22 Cal. App. 5th 867·231 Cal. Rptr. 3d 902
Court of Appeal of CaliforniaApril 27, 2018B281135California4,072 words

Opinion

lead Opinion

Rubin, J.

*869 When a trustee sold at foreclosure property once owned by a convicted fraudster, there were surplus proceeds. Following statutory procedures ( Civ. Code, § 2924j ), the trustee deposited the surplus funds with the trial court for determination of the proper distribution. There were two claims to the funds: (1) the County of Los Angeles, which had been awarded criminal restitution against the fraudster, and claimed the right to collect the restitution from the property by means of a lis pendens and temporary restraining order recorded in the criminal prosecution; and (2) several trusts, whose interests in the property were both junior to that of the foreclosing trustee and had post-dated the criminal lis pendens. The trial court concluded that the lis pendens was inadequate to give the County any interest in the property because the criminal court had *904 ordered restitution but had not ordered the property levied upon to satisfy the restitution award. Therefore, the trial court awarded the surplus proceeds to the trusts. The County appeals. Finding no error, we affirm. *870 FACTUAL AND PROCEDURAL BACKGROUND

This case involves a piece of property located at 959 N. Vista…

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