Sec. 34.04 of the Texas Tax Code provides in part as follows:
(a) A person, including a taxing unit, may file a petition in the court that ordered the seizure or sale setting forth a claim to the excess proceeds. The petition must be filed before the second anniversary of the date of the sale of the property. The petition is not required to be filed as an original suit separate from the underlying suit for seizure of the property or foreclosure of a tax lien on the property but may be filed under the cause number of the underlying suit.
(b) A copy of the petition shall be served, in the manner prescribed by Rule 21a, Texas Rules of Civil Procedure, as amended, or that rule's successor, on all parties to the underlying action not later than the 20th day before the date set for a hearing on the petition.
(c) At the hearing the court shall order that the proceeds be paid according to the following priorities to each party that establishes its claim to the proceeds:
(1) to the tax sale purchaser if the tax sale has been adjudged to be void and the purchaser has prevailed in an action against the taxing units under Section 34.07(d) by final judgment;
(2) to a taxing unit for any taxes, penalties, or interest that have become due or delinquent on the subject property subsequent to the date of the judgment or that were omitted from the judgment by accident or mistake;
(3) to any other lienholder, consensual or otherwise, for the amount due under a lien, in accordance with the priorities established by applicable law;
(4) to a taxing unit for any unpaid taxes, penalties, interest, or other amounts adjudged due under the judgment that were not satisfied from the proceeds from the tax sale; and
(5) to each former owner of the property, as the interest of each may appear.
(d) Interest or costs may not be allowed under this section.
(e) An order under this section is appealable.
League City, Texas: Petition for Release of Excess Proceeds and Notice of Hearing In League City, Texas, residents have the opportunity to file a petition for the release of excess proceeds resulting from property tax sales. This legal process allows individuals to claim any surplus funds that may be available after the sale of a property for delinquent taxes. If you believe you are entitled to these excess proceeds, you can initiate a League City Texas Petition for Release of Excess Proceeds and request a hearing to present your case. The League City Texas Petition for Release of Excess Proceeds serves as a formal request to the court for the distribution of any remaining funds to the rightful party. This petition provides details about the property in question, including its address, legal description, and the tax sale proceedings. It also requires the petitioner to outline their interest in the property and the reasons why they believe they should receive the excess proceeds. Once the League City Texas Petition for Release of Excess Proceeds is filed, a Notice of Hearing will be issued. This notice informs interested parties, such as lien holders or other potential claimants, about the scheduled hearing date and provides them an opportunity to contest the petitioner's claim. The presence of a notice ensures that all parties have a fair chance to present their arguments before a final decision is made. There can be variations or specific types of League City Texas Petitions for Release of Excess Proceeds and Notices of Hearing, depending on the circumstances of the tax sale and the nature of the claims. For instance, there may be separate petitions and hearings for individuals claiming a lien on the property, heirs or successors in interest of the original owner, or other parties with a legal interest in the property. It is crucial to consult with legal professionals or review the specific requirements set forth by the League City jurisdiction to determine the appropriate petition and notice to file. In conclusion, the League City Texas Petition for Release of Excess Proceeds and Notice of Hearing provide individuals seeking surplus funds from a tax sale with an opportunity to present their case in court. Filing a petition and attending the subsequent hearing is essential to protect your rights and ensure a fair distribution of the excess proceeds. By understanding the process and following the appropriate legal procedures, you can increase your chances of successfully claiming the funds you are entitled to.
