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.
Title: Round Rock Texas Petition for Release of Excess Proceeds and Notice of Hearing: Understanding the Process and Key Information Introduction: In Round Rock, Texas, residents seeking the release of excess proceeds from a property sale can file a petition known as the Round Rock Texas Petition for Release of Excess Proceeds and Notice of Hearing. This legal process allows individuals or entities with a legal interest in the property to claim their share of the surplus funds. In this article, we will delve into the intricacies of this petition, highlighting its purpose, steps, and different types. 1. Purpose and Overview: The Round Rock Texas Petition for Release of Excess Proceeds and Notice of Hearing is designed to distribute the additional funds that remain after a property is sold at a tax foreclosure auction or a sale due to a judgment lien. The surplus proceeds are usually generated when the property's final sale price exceeds the amount owed on the mortgage, taxes, penalties, or other expenses associated with the property's sale. 2. Filing the Petition: To initiate the process, interested parties must file a Round Rock Texas Petition for Release of Excess Proceeds and Notice of Hearing with the appropriate court in Round Rock, Texas. The petition should include pertinent details such as the property's address, the name of the previous owner, the sale date, and any other relevant information. 3. Parties Involved: The Round Rock Texas Petition for Release of Excess Proceeds and Notice of Hearing involves multiple parties, including the former property owner, lien holders, mortgage holders, tax entities, and any other parties with a legal interest in the property. Each party will have the opportunity to submit their claim to a portion of the surplus funds. 4. Notice of Hearing: After filing the petition, the court will set a hearing date or schedule a hearing, during which interested parties can plead their case and present evidence to support their claim on the excess proceeds. It is crucial to attend this hearing to ensure that your claim is considered by the court. 5. Types of Round Rock Texas Petition for Release of Excess Proceeds and Notice of Hearing: While there are no distinct types of Round Rock Texas Petition for Release of Excess Proceeds and Notice of Hearing, the process may vary depending on the specific circumstances. For instance, the petition and hearing may differ slightly when excess proceeds arise from tax foreclosure auctions compared to sales due to judgment liens. Conclusion: The Round Rock Texas Petition for Release of Excess Proceeds and Notice of Hearing is an important legal recourse for individuals and entities seeking their share of surplus funds generated from the sale of a property. By understanding the process and actively participating in the petition and hearing, interested parties can increase their chances of successfully claiming their portion. Make sure to consult with legal professionals or the appropriate authorities for further guidance.
