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.
The Sugar Land Texas Petition for Release of Excess Proceeds and Notice of Hearing is a legal document that pertains to the distribution of surplus funds resulting from the sale of a property in the city of Sugar Land, Texas. This petition is typically filed by individuals or entities who have a financial interest in the property, such as former homeowners, lien holders, or parties with a legal claim on the proceeds. The purpose of the petition is to request the release of excess proceeds that are above and beyond any outstanding debts or obligations related to the property. These excess funds are usually generated when the property is sold at a foreclosure auction or tax sale, and the sale price exceeds the amount required to cover the outstanding mortgage balance, tax liens, or other encumbrances. The Sugar Land Texas Petition for Release of Excess Proceeds and Notice of Hearing serves as a formal request to the court to distribute the surplus funds to the appropriate parties. It outlines the details of the property sale, including the legal description of the property, the sale price, and any outstanding liens or claims against the property. The petition also includes a notice of hearing, which informs interested parties about an upcoming court hearing where the distribution of the excess proceeds will be reviewed and decided upon. This notice ensures that all relevant parties have an opportunity to attend the hearing, present their claims or objections, and participate in the distribution process. It is important to note that there may be different types of Sugar Land Texas Petitions for Release of Excess Proceeds and Notice of Hearing, depending on the specific circumstances of the property sale. For example, there might be separate petitions for residential properties, commercial properties, or properties sold at tax sales. Each type of petition may have its unique requirements and considerations, such as different filing deadlines or additional documents that need to be submitted. Overall, the Sugar Land Texas Petition for Release of Excess Proceeds and Notice of Hearing is a crucial legal document that enables interested parties to assert their rights to surplus funds resulting from property sales in Sugar Land, Texas. By filing this petition and attending the hearing, parties can ensure a fair and equitable distribution of excess proceeds in accordance with the applicable laws and regulations.
