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A mechanic's lien is properly classified as a(n):




equitable lien




involuntary lien




specific lien




all of the above

A: all of the above




Mechanics liens are levied against a specific parcel of land, not all the owners assets. It is involuntary because the owner has no choice. It is equitable because the lien holder does not have possession of the property the lien is against.




Mechanic's Lien: The right of a craftsman, laborer, supplier, architect or other person who has worked upon improvements or delivered materials to a particular parcel of real estate (either as an employee of the owner or as a sub-contractor to a general contractor) to place a lien on that specific property for the value of the services and/or materials if not paid.




With certain exceptions, the Colorado Mechanic's Lien Act requires that a mechanic's lien be recorded within four months of the date that the contractor, subcontractor or supplier performed its last work or last supplied material or equipment. The priority date is as of the date material was delivered or work began, rather than the date recorded. Recording a mechanic's lien assists in securing the real property upon which improvements were made as collateral. The lien claimant has six months from the date that last work was performed or material supplied to file a lawsuit to foreclose its lien and to record notice of its lawsuit (this notice is called a "lis pendens") with the Clerk and Recorder of the County where the real property is located.




Mechanics' Liens are classified as an Involuntary lien because the owner has no choice. They are also classified as an Equitable lien because the lien holder does not have possession of the property the lien is against.

Bob Burnside has defaulted in payment of several debts, and a court has ordered his property sold to satisfy them. A report reveals several outstanding liens against the property. Which has first priority?




The outstanding mortgage dated and recorded one year ago




Current real estate taxes




A mechanic's lien for work that was started two months before the date the mortgage was recorded




A court judgment rendered and recorded last month

A: Current real estate taxes




Real estate taxes always have first priority.

Unauthorized use of land may mature into an easement by prescription:




after 8 years




after 18 years




after 19 years

A: after 18 years




In Colorado an easement by prescription can be exercised in 18 years. Easement by prescription can vary by state from a period of 7 years up to 21 years.The similarities between adverse possession and prescriptive easements far outweigh the differences. Both result from the operation of the statute of limitations for trespass. In addition, both require that the following elements are satisfied: open and notorious, adverse, continuous and uninterrupted, for the statutory period.The differences lie primarily in determining what is accomplished by satisfying those elements. With adverse possession, the goal is to acquire title to real property. For that reason, in addition to the elements above, an additional element is actual and exclusive possession of the property. If x has actual and exclusive possession which is open and notorious, adverse, continuous and uninterrupted for the statutory period, and the owner of the property does not take action to eject x within that time, then title to the property will vest in x.Acquiring an easement by prescription, however, is not directed towards the goal of acquiring title to property. Rather, it's directed towards acquiring an easement, even though the formalities usually required to create an easement (for example a writing signed by the grantor) are not present. So, if x uses (rather than possesses) the land of y, and the use is open and notorious, adverse, continuous and uninterrupted, for the statutory period, the x has acquired an easement and can continue to use that land in the same manner as his previous use.

Before the government can exercise the right of eminent domain, the use must be:




public, and the property owner given just compensation




practical, and the property owner given just compensation




for some use of the government




for the order, safety, health, morals, and general welfare of the government and governmental employees

A: public, and the property owner given just compensation




The government may condemn private property for public use if the owner is given just compensation.

All of the following are examples of a specific lien, EXCEPT




Mortgage




Mechanic's lien




Judgment




Property taxes

A: Judgment




All of the rest apply to a specific property, while a judgment is against an individual and all of their property.

Which of the following is a lien on real estate?




Encroachment




Easement




Mortgage




License

A: Mortgage




A mortgage loan is a loan secured by real property through the use of a mortgage note or promissory note which evidences the existence of the loan and the encumbrance of that real estate. A mortgage is a lien, an encroachment and an easement may be encumbrances.

A lien placed against a specific property by workers or suppliers who have not been paid for labor or materials used in construction or improvements to the property is known as:




a statutory lien




a voluntary lien




an equitable lien




a mechanic's lien

A: a mechanic's lien




A mechanic's lien, as the name states, is placed by mechanics, other workers, or suppliers of materials. A mechanic's lien is a security interest in the title to property for the benefit of those who have supplied labor or materials that improve the property. In the realm of real property, it is called by various names, including, generically, construction lien. It is also called a materialman's lien or supplier's lien when referring to those supplying materials, a laborer's lien when referring to those supplying labor.

A lien's priority is determined by:




The size of the lien determines priority




A mechanic's lien always has first priority




The date of the lien determines priority




The date the lien is recorded determines priority except mechanic's liens

A: The date the lien is recorded determines priority except mechanic's liens




The date that the lien is recorded determines it priority except for a mechanics lien which the priority is determined by the date the work commenced or materials delivered

Property taxes are also referred to as:




ad valorem




lis pendens




lien pendens




ad valium

A: ad valorem




Ad valorem means according to value. The higher the value the higher the amount of tax.

A court orders real property sold, to satisfy an unpaid lien, is an action known as a(n):




easement




encumbrance




attachment




writ of execution

A: writ of execution




A writ of execution is a court ordered sale. This can be used in foreclosures by courts to order the sale of a property. A writ of execution (also known as an execution) is a court order granted in to put in force a judgment of possession obtained by a plaintiff from a court.[1] When issuing a writ of execution, a court typically will order a sheriff or other similar official to take possession of property owned by a judgment debtor.

The tax on a given piece of real property is always determined by multiplying the mill levy by the:




selling price




assessed valuation of the property




mortgage loan value




book value

A: assessed valuation of the property




The assessed value of property is the County Assessor's determination of a percentage of the true and fair market value of the property.

When a lien against a parcel of real estate may result from a lawsuit currently before the courts, one examining the public records would look for:




constructive notice




a lis pendens notice




the chain of title




a suit to quiet title

A: a lis pendens notice



Lis pendens means " suit pending".

A utility company has an easement to service its equipment. This is an example of




easement in gross.




encroachment.




police power.




easement by prescription.

A: easement in gross.




A utility company has an easement in gross to service its equipment.A government authority or private service provider may acquire a gross easement over private land by virtue of the public service it performs. For example, a local authority may have the responsibility of installing and maintaining the sewerage system in an urban area. Merely by the fact that it has that responsibility, usually enshrined in some statute or local laws, gives the authority the right, by virtue of a gross easement, to enter private property to carry out installation and maintenance. The location of the easement will not usually be described precisely, but its general position will be defined by the service route (i.e. the sewer pipes in this example). Power and water lines may also have gross easements linked to them, but drainage and stormwater systems are commonly precisely defined in location and recorded in the title documents for private land.

An encumbrance issued by a court on a property of a defendant in a pending lawsuit for money damages is called an:




Writ of Seizure




Writ of Security




Lis Pendens




Writ of Attachment

A: Writ of Attachment




Here is a good definition of writ of attachment that I saw on Wikipedia. BTW Wikipedia is a great resource for the national side of the test, not so much for the State side. Here ya go: "A writ of attachment is a court order to "attach" or seize anasset. It is issued by a court to a law enforcement officer or sheriff. The writ of attachment is issued in order to satisfy a judgment issued by the court. A prejudgment writ of attachment may be used to freeze assets of a defendant while a legal action is pending. Common grounds for obtaining a prejudgment writ of attachment are that a defendant has committed fraud or that a defendant is prepared to hide assets from a court." When a writ of attachement is issued to secure a proprerty prior to a judgement, the plaintiff obtaining the writ, must file a bond to protect the defendant against any loss caused by the attachment in the event the plaintiff loses the case.

An instrument, which requires recordation to be legally effective, is a(n):




mechanic's lien




agreement to sell real estate




will

A: mechanic's lien




A mechanic's lien does not exist unless it is recorded to be legally effective. The mechanic's lien is one of the few documents that must be recorded to be legally effective. Deeds are almost always recorded to make it difficult for someone to contest that the transfer of ownership occurred and to make it easier to prove ownership. Its just that it is not legally required to record a deed. For a deed to be valid in must have the grantor's signature (the seller), consideration (payment), a description of the property, words of conveyance and the deed must be delivered within the lifespan of the grantor.

Jeff's land has an easement to cross Bill's property. Jeff subdivides his property and sells to Charlie. Which statement is true?




Land benefitting from an easement cannot be subdivided




Both Jeff's and Charlie's land have easement rights




Jeff's land retains the easement, but Charlie's does not




The easement no longer exists

A: Both Jeff's and Charlie's land have easement rights




Subdividing does not change the easement rights, they are for the land not the individuals. An easement is a certain right to use the real property of another without possessing it. It is "best typified in the right of way which one landowner, A, may enjoy over the land of another, B."[1]Easements are helpful for providing pathways across two or more pieces of property or allowing an individual to fish in a privately owned pond. An easement is considered as a property right in itself at common law and is still treated as a type of property in most jurisdictions.

A lien is a monetary claim that if unpaid awards the lien holder the right of:




foreclosure




eviction




ownership




possession

A: foreclosure




A lien on a property gives the lienee (the lender) a right of foreclosure if the lien is not paid. Foreclosure is a specific legal process in which a lender attempts to recover the balance of a loan from a borrower who has stopped making payments to the lender by forcing the sale of the asset used as the collateral for the loan.Eviction is the removal of a tenant from rental property by the landlord or from premises that were foreclosed and then sold to the highest bidder.

If the Title Company discovers a delinquent sewer assessment, the party that would normally be required to pay for the portion that is in arrears is:




the buyer




the seller




both the buyer and seller




to be settled by mutual agreement

A: the seller




Generally, it is the seller's responsibility to discharge all encumbrances against the property and deliver clear title to the purchaser, but either party could pay the assessment. If the owner of the property refuses to pay, the county could force the sale of the property to satisfy specific involuntary liens.

Real estate property taxes are:




general - involuntary liens




general - voluntary liens




specific - voluntary liens




specific - involuntary liens

A: specific - involuntary liens




If the property tax is unpaid, the tax can be satisfied only from the sale of the specific property upon which the tax is levied. The only voluntary liens are mortgages and deed of trust.

In an appurtenant easement, the party that benefits is known as the:




lessee




leaser




servient tenement




dominant tenement

A: dominant tenement




The person whose land is benefited by the easement, and therefore is the DOMINATING PARTY, is considered the dominant tenement. The servient tenement is the land on which the easement lies.A dominant estate is the parcel of real property that has an easement over another piece of property (the servient estate). The type of easement involved is almost always an appurtenant easement. Likewise, it is almost always an affirmative easement, that is, one that permits a person to do something. Estate is a common law concept.A dominant estate is also called a dominant tenement, as noted in a section of an article on easements.In real estate law, it is the property retained when the original owner (the seller or grantor) splits off a property and conveys part of the original property; the owner retains an easement for an access (such as a driveway or utilities).

This type of lien is created by law. It is known as:




a statutory lien




a voluntary lien




an equitable lien




a specific lien

A: a statutory lien




An equitable lien comes from a court order. You could argue that courts are enforcing the laws. However, the reason for the judgement is to satisfy a civil matter and not directly a mandate by law. Statutory liens are mandates by law and as such do not require a court order to enforce. Here are some definitions that might help:equitable lien n. a lien on property imposed by a court in order to achieve fairness, particularly when someone has possession of property which he/she holds for another.statutory lien: Involuntary lien created by the operation of law. Statutory liens (such as a tax lien) do not require the consent of any party or a court order to be enforceable.voluntary lien: A claim that one person has over the property of another as security for the payment of a debt. Liens are attached to the property and not to a person. A voluntary lien is contractual or consensual, meaning that the lien is created by an action taken by the debtor, such as a mortgage loan to buy real estate.specific lien: Charge that (unlike a general lien) does not cover all fixed and floating assets of a lienee but binds only a specific asset or property. Also called particular lien.

Johnson helped dig a sewage ditch for property owner Smith on February 21 and 22. On March 9, a mortgage was recorded against the property. On March 11, still unpaid, Johnson filed a mechanic's lien of record. Which of the following is true?




The banks mortgage lien was recorded first and has priority over the mechanic's lien




The mechanic's second lien status precludes a foreclosure action by Johnson




The mechanic's lien has priority over the mortgage lien




Mortgage liens always have priority over all other types of liens except for property tax liens

A: The mechanic's lien has priority over the mortgage lien




How the priority date of Mechanic's liens are determined is different than any other lien. The date labor ensued or when supplies were delivered and not the date the lien was recorded is the priority date of a Mechanics lien. In this question - the labor was provided before the mortgage lien was filed of record - therefore the Mechanics lien would take precedence. .Mechanic's Lien: The right of a craftsman, laborer, supplier, architect or other person who has worked upon improvements or delivered materials to a particular parcel of real estate (either as an employee of the owner or as a sub-contractor to a general contractor) to place a lien on that specific property for the value of the services and/or materials if not paid.With certain exceptions, the Colorado Mechanic's Lien Act requires that a mechanic's lien be recorded within four months of the date that the contractor, subcontractor or supplier performed its last work or last supplied material or equipment. The priority date is as of the date material was delivered or work began, rather than the date recorded. Recording a mechanic's lien assists in securing the real property upon which improvements were made as collateral. The lien claimant has six months from the date that last work was performed or material supplied to file a lawsuit to foreclose its lien and to record notice of its lawsuit (this notice is called a "lis pendens") with the Clerk and Recorder of the County where the real property is located.Mechanics' Liens are classified as an Involuntary lien because the owner has no choice. They are also classified as an Equitable lien because the lien holder does not have possession of the property the lien is against.

A government official who evaluates property for tax purposes is a(n):




assayer




assessor




robber




surveyor

A: assessor




By state law, the county assessor is required to assess all taxable property within the county at a percentage of it's true and fair market value.An assessor is a specialist who calculates the value of property. The value calculated by the assessor is then used as the basis for determining the amounts to be paid or assessed for tax or insurance purposes.

What kind of liens come from judgments (i.e. courts)?




specific liens (against a specific property the lienee owns)




fiduciary encumbrances




general liens (against everything the lienee owns)




limited liens

A: general liens (against everything the lienee owns)




Judgments are general liens issued by a court and are against everything the debtor owns.Judgments are usually collected through the lien mechanism. The creditor will place a lien on the debtor’s real and personal property (by recording the judgment with the county recorder’s office or entering it with the Secretary of State), and the lien will be satisfied when the property is sold by the debtor or foreclosed upon by the creditor. Once the underlying judgment is satisfied, the lien must be released. Judgments continue to exist for 10 years from the date of the entry of the judgment. Judgments may be renewed for additional terms of 10 years.

A lien placed on the property without the consent of the owner is known as a(n):




involuntary lien




deed of trust lien




voluntary lien




mortgage lien

A: involuntary lien




An involuntary lien is created by law without any action on the owner's part. A voluntary lien, just the opposite, is created by the owner -- this includes a mortgage lien or deed of trust lien.

If a debtor owns three pieces of real estate located in the same county, and a judgment is entered against him, it will be a lien against:




the property first acquired




the property last acquired




all three properties




homestead property only

A: all three properties




A judgment lien is general, involuntary lien, affecting all properties owned by a debtor in the county where the judgment was recorded, as well as any he acquires subsequent to the judgment

Possession under a claim of adverse possession must be:




open, notorious, and hostile




open, hostile, and continuous




notorious, hostile, and continuous




open, hostile, notorious, and continuous

A: open, hostile, notorious, and continuous




The requirements of title by adverse possession are open, notorious use for the statutory period, hostile to the will of the owner. The adverse possession can be seven years if the adverse possessor pays the taxes during this period and is in possession of the property.The adverse party is called the disseisor, meaning one who dispossesses the true owner of the property. The disseisor must openly occupy the property exclusively, keeping out others, and use it as if it were his own. Generally, the openly hostile possession must be continual (although not necessarily continuous or constant) without challenge or permission from the lawful owner, for a fixed statutory period to acquire title.

The current value of a property is $255,000, and it is assessed at 35% of its current market value. What is the amount of the real estate tax due on the property if the tax rate is $3.50 per $100 of assessed value?




2039.99




2499




1115.63




3123.75

A: 3123.75




255,000 x .35 = 89,250.00/100= 8925x3.50 = 3,123.75

Mechanic's liens have a priority date of:




the day the judgment was issued




the day the work first began




the day the work was completed




the day the judgment was recorded

A: the day the work first began




Mechanics liens have priority as of the date material was delivered or work began, rather than the date recorded.Mechanic's Lien: The right of a craftsman, laborer, supplier, architect or other person who has worked upon improvements or delivered materials to a particular parcel of real estate (either as an employee of the owner or as a sub-contractor to a general contractor) to place a lien on that real property for the value of the services and/or materials if not paid.With certain exceptions, the Colorado Mechanic's Lien Act requires that a mechanic's lien be recorded within four months of the date that the contractor, subcontractor or supplier performed its last work or last supplied material or equipment. The priority date is as of the date material was delivered or work began, rather than the date recorded. Recording a mechanic's lien assists in securing the real property upon which improvements were made as collateral. The lien claimant has six months from the date that last work was performed or material supplied to file a lawsuit to foreclose its lien and to record notice of its lawsuit (this notice is called a "lis pendens") with the Clerk and Recorder of the County where the real property is located.

The term for something that grants the right to use another's land for a specific purpose, and is considered an incorporeal interest in land is:




an encumbrance




an easement




an encroachment




an equitable lien

A: an easement




An easement grants the right to use another's land for a specific purpose. Remember that an EASEMENT is one type of encumbrance, and liens are another type of encumbrance.

Which of the following is a voluntary lien?




Mortgage




Estate tax




Special assessment




Ad valorem tax

A: Mortgage




A mortgage is voluntary: taxes are assessed whether or not we want them.

A lien that covers all real and personal property of the debtor within the county where recorded is a:




mechanic’s lien




judgment lien




writ of execution




lis pendens

A: judgment lien




A judgment lien (a general lien) is a lien that covers all real and personal property of the debtor.