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Home My WebLink About6B(4) � � � �� . . �4�pUTb O"�AIi�I�I;J��'1'Q �� /�. ��,�,. '%e Community & Economic Development �'� ��'�.� � �ecs ' 1200 County-City Building, 227 West Jefferson,South Bend, Indiana 46601-1830 Phone 574/235-9371 Fax 574/235-9021 To: Redevelopment Commission From: David Relos, Economic Development Planner� Subject: 2010 Tax Sale Acquisition — Quiet Title Action Professional Services Agreement— Heppenheimer & Korpal Date: March 08, 2011 At the March 2010 County Commissioner's tax sale, staff acquired 30 parcels. Seven of these parcels were redeemed within the legal redemption period, leaving 23 parcels which the Commission now has title to in the form of tax deeds. On March 19, 2010, the Commission approved a Professional Services Agreement with Heppenheimer& Korpal, to do title searches on, and provide Statutory Notices to, the owners and persons of interest of the parcels acquired at tax sale, in addition to prepare and file with the Court the Petition for Tax Title Deed and ultimately securing such deeds. The cost of this work was $500 per parcel. These 23 Commission owned parcels now need additional work in the form of: • filing of Sales Disclosure Forms (SDF) • Deeds recorded • Quiet Title Action (see attached) After discussions with Meridian Title, Meridian has determined that only 14 of the 23 parcels need a Quiet Title Action. The remaining 9 parcels only need SDF and deeds recorded. Costs to prepare the SDF and record deeds for the 9 parcels would be $100 each ($900 total). Cost for the 14 parcels are: • $750 per parcel for the Quiet Title Action • $156 per parcel Court filing fee for the Quiet Title Action • $40 per parcel recording fee (SDF and deed) Total cost for the 14 parcels is $13,244. Total cost for the full 23 parcels is $14,144. In addition, there will be publication costs associated with the Quiet Title Action. Once this process is completed, Meridian Title will issue the Commission title policies on these parcels, and the Commission can be assured of its ownership interest in them. What We Do Today Makes A Difference! Staff asks for a not to exceed amount of $16, 244 (allowing $150 publication costs for each of the 14 Quiet Title Action parcels). Staff believes this price is reasonable in light of the statutory requirements needed to gain title to these properties, and requests approval of Mr. Heppenheimer's proposal. fahat We Do Today Makes A Difference! Quiet Title Law & Legal Definition Page 1 of 1 Title is the sum total of legally recognized rights to the possession and ownership of property. In the case of real property, an action to confirm title, sometimes referred to as an action to "quiet title" may be brought to affirm ownership of the property when others claim an interest in such property. This is often seen in relation to back tax liens or liens or easements (rights of way) on the property. A quiet title action is filed by a person or entity claiming title to all or a portion of a specific parcel of property and asks for a ruling that plaintiff s title is superior to any interest held or claimed by any of the named defendants. It is a mechanism to cure defects in the title to property, thereby providing assurance to the owner who brings the action, as well as subsequent purchasers, of the status of title and accuracy of the real property records. Reliability of real property records in the U.S. are higher than in most other countries because of quiet title actions, strict recording requirements and the involvement of title insurance companies. A quiet title action is often brought against both known and unknown parties. Known parties are those having some record interest in title or having possession of the property. Also, unknown parties may be named and served by publication in order to terminate potential claims. Unknown parties are those who may claim an interest in the property derivative of the named parties or as a result of the subject matter of the action. http://definitions.uslegal.com/q/quiet-title/ 2/25/2011 •Feb, 2$, 2011 4; 52PM No. 3959 P, 2 HEPPENIiEIMEA & KOBPAL PROFF9SIONAL COBPOBATiON "' ArroBxsYS eT L�,w soa,w1CS=wwsAiNCTVN AvE�i�ox SOUTH BBND. IIJDIANA 46601 �+jiTCHB�,y g,}(SPPENHStlt88..xD. (374)Z32-6883 � �YWW.heplGOrlawcom J!►1�tH8 P.HOQPA.L,J.D. FAX(S>a)233�ea'O i February 28,2011 CACSIMII.F,�QNLY David Relos � City of South Bcnd E.conomic Devel�pment 227 W.Jefferson Blvd.,Suite]20U5 South Bend,Indiana 46601 ,� . RC:: Quiet Title Actions Dear llavicl: This letter is in response ta your request that I provide a letter rcgarding the engagement of this office to complete the matters regarding ttie 23{tweaty-tiv�ee)parcels of rcal estate purclkued by the City of South Bend by which'l'ax Title lleccLs were recently received. lt is irry understanding that as to 9(nine)of t�e parcels the only work necessary is to eomplete Sales Disclosure Forms and record those dceds. The fee to complete the Sales Disclosure Forms�nd record the deeds is$100.00. 'I'he eost of recordiug t}ie deeds is appr�ximately 540.00 for eaeh parcel. � As to the 14{tburteen)�oUter parccls it is my unde�nding thst thc Gity needs Quiet Title Actions processed as to those parcels. In addili:an,the Sales Disclosure Forms need to be prepared and the deeds need to be recorded in reference to those!4(fourteen)parccls as well. As f�tr as the fecs for the Sales Disclosure Form cc�mpletion and tilin�,the recording of the deeds and the Quiet'I'itic Actions for these 14(fourtccn)parcels is$750.00 per each parcel. Th�re will also be a recording fce of tho Sales Disclosure Form and deed wluch,as indicated above,is approximately�40.00 Ex:r ParCel. Additionally,for each Quiet Title Action,8�e filing fc:e i�$I 56.Q0 charged by�he Courf. 'I'here also may be publication costs for same of these parcels dependin�on the service of proeess that is i�eeded. 1 cannot tell y�u tliat cost sinee there are 14(f�urteen)parcels involved aud wiU inform you ofthese costs as chcy are incurred. The practiee of this office is to receive one-half('/:)of the fees as a retai�er. Therefore,as to the 9(nine)parcels just needin�;recording the ratainer fec is$450.00 and for the 14(Fourteen)parceIs that need Quiet Title Actions,the retxiner fec is SS,ZSO.pO. Tlaerefore,the total retain��r fee necessary to go forward is$5,700.00. I would also receive the cost of recc�rdin�the deeds and filing fecs ai this time as well. Please let me lmow as`[�procceding. 'Yours very truly, HEPPEN ORPAL . PROF�,' I C OR.ATI MitcheU pen ' e mitch,rir�hepkorlaw.con� MKH:tw : "��