THE SALE OF TAX DEFAULTED PROPERTY For California, USA
Source: California Tax Department
Canada
2006A TAX SALE
February 13 and 14, 2006
A. REGISTRATION
Anyone who wishes to bid on property offered for sale MUST BE PRE-REGISTERED AND
ASSIGNED A BIDDER CARD. A registration deposit of $5,000 is required for each bidder card
issued. The registration deposit must be paid at the time of registration by cash, cashier’s check, or
bank-issued money order. Other money orders and personal or business checks will not be accepted.
Your deposit will be applied to your first purchase at the tax sale. If no purchases are made or there is
a balance remaining after the auction, the unused deposit amount will be refunded by County Warrant
issued in the name of the vesting party(ies) and mailed to the address indicated on the Bidder
Registration Form within 30 days from the date of the auction. Deposits will NOT be refunded at the
auction site.
You must register in person and receive your bidder card at the office of the Treasurer-Tax Collector,
225 North Hill Street, Room 130, Los Angeles, California 900l2. We will register bidders in our office
from 8:00 a.m. until 5:00 p.m., beginning Tuesday, January 17, 2006 through Thursday,
February 2, 2006. NO REGISTRATION WILL BE ACCEPTED AFTER 5:00 p.m. on February 2,
2006 OR AT THE AUCTION SITE. NO REGISTRATION WILL BE ACCEPTED THROUGH THE
MAIL. We will require valid photo identification at the time of registration (i.e., driver’s license,
military ID card, Mexican Matricula Consular, passport, California ID card). Expired identification
cards/documents will NOT be accepted.
YOU MUST VEST THE WAY YOU REGISTER. If you wish to register/vest for someone not present
at the tax sale, you must show notarized power of attorney for each person you are representing. If
you wish to register/vest as a public agency, a company, a corporation or a partnership, you will need
to provide the NOTARIZED COPIES of the document that gives you the authority to register/vest and
purchase on their behalf. This documentation might be in the form of a minute order from the
governing board, a Board Resolution, registration of a partnership or Articles of Incorporation as well
as notarized order by authorized members of the Board of Directors. If you register in the name of a
TRUST, documentation from the Trust giving you the authority to register, bid and purchase property
at tax sale will be required. CHANGES IN VESTING WILL NOT BE ACCEPTED AFTER THE
REGISTRATION PROCESS HAS BEEN COMPLETED.
Example of vesting on registration card:
• A SINGLE MAN
• A SINGLE WOMAN
• A MARRIED MAN
• A MARRIED WOMAN
• AN UNMARRIED MAN
• AN UNMARRIED WOMAN
• A WIDOWER (MAN)
• A WIDOW (WOMAN)
• A MARRIED MAN AS HIS SOLE AND
• A MARRIED WOMAN AS HER SOLE AND
SEPARATE PROPERTY
SEPARATE PROPERTY
• TENANTS IN COMMON
• HUSBAND AND WIFE AS JOINT TENANTS
• A CORPORATION (See below)
• A PUBLIC AGENCY (See Below)
• OTHER
A public agency requires a certified order from the governing Board giving the person registering on
their behalf, the authority to register and purchase property at this tax sale. A corporation requires
Articles of Incorporation and a notarized order by authorized members of the Board of Directors giving
the person registering on their behalf, the authority to register and purchase property at this tax sale.
For the registration application and for additional information regarding registration requirements,
contact our office at 225 N. Hill Street, Room 130, Los Angeles, California 90012 or call (213) 974-
2040 or visit our website at http://ttax.co.la.ca.us.
All registered bidders must disclose if they own any parcels in the auction that are in bankruptcy and/or
any other tax-defaulted properties in Los Angeles County. A listing of such properties is required.
Replacement bidder cards will cost $10.00 each, and proper and valid identification will be required.
B. TIME AND PLACE OF SALE
The public auction of tax-defaulted real property will be conducted at the FAIRPLEX Los Angeles
County Fairgrounds, 1101 West McKinley Avenue, Building 8, Pomona, California 91768, and will
commence on Monday, February 13, 2006 at 9:00 a.m. and may continue through Tuesday, February
14, 2006, until all parcels have been offered. If you want to bid on a particular parcel, we suggest you
attend the tax sale from the start.
Please do not contact the Los Angeles County Fairgrounds for information regarding the tax sale.
They have no information regarding this sale.
C. CAUTION-INVESTIGATE BEFORE YOU BID
The purpose of the tax sale is to collect the unpaid taxes and to convey the tax-defaulted property to a
responsible owner. These properties are subject to the Tax Collector’s power to sell because the
property taxes have not been paid for three years or more (five years in the case of residential
property). Parties interested in bidding on property are strongly encouraged to investigate the subject
property to assure themselves the property meets their needs. The information provided in our listing
is merely intended to identify the parcels for sale. We make no warranties or representations about
other matters beyond our ability to provide the basic tax information as it appears in the County’s
official property tax records, and to convey title as described on page 5 (see “Liens That Are Not
Removed by Tax Sale”).
The Tax Collector cannot guarantee the condition of any property nor assume any responsibility for
conformance to codes, permits or zoning ordinances. An investigation may reveal that the property is
part of a street or alley, in a flood control channel or landlocked (having no means of ingress and
egress). Improvements that are shown on the tax sale list may no longer exist at the time of the
auction, and a lien may have been or may in the future be placed on the property. Streets shown as
such on the maps offered by the Los Angeles County Assessor’s Office may or may not exist, but in
some cases may be future streets. The burden is on the purchaser to thoroughly research,
before the tax sale, any matters relevant to his or her decision to purchase. You should inspect
the property before bidding or purchasing. Tax-defaulted property is sold on an “as is” basis.
No warranty is made by the County, either expressed or implied, relative to usability, the ground
location, or property lines of the properties. The prospective purchaser must determine the exact
location, desirability, and usefulness of the properties. Refund of any purchase or any payment on
a purchase agreement will NOT be made based upon a bidder’s error or failure to investigate.
The County assumes no liability for any other possible liens, encumbrances or easements, recorded or
not recorded.
ALL PROPERTIES SHOULD BE INVESTIGATED THOROUGHLY PRIOR TO PURCHASE.
D. MINIMUM BID
The minimum price at which property may be offered for sale shall be an amount not less than the total
amount necessary to redeem plus the costs of the sale. The minimum bid is indicated on the auction
list next to the property description.
The properties in this sale are in item number order. They will be auctioned in that order. If there is an
item number not offered from the tax sale list, it means that the item has been redeemed or withdrawn
prior to the sale. Updated lists of items remaining in the sale will be available periodically at the
Treasurer-Tax Collector’s Office and on our website http://ttax.co.la.ca.us. Weekly updates will start
January 3, 2006, and daily updates will start February 4, 2006.
Where a property has been offered for sale at least once and no acceptable bids have been received,
the Tax Collector may re-offer that property at a reduced minimum price. The successful bidder will
be responsible for any and all unpaid current year taxes for any property that is sold below the original
minimum bid indicated in the auction book.
E. BIDDING INFORMATION
YOU MUST PAY FOR YOUR PURCHASE IMMEDIATELY UPON BEING AWARDED THE
SUCCESSFUL BID. AS SOON AS THE AUCTIONEER DECLARES A SUCCESSFUL BIDDER,
THE BIDDER MUST IMMEDIATELY PAY FOR THE PURCHASE. IF THERE IS A DELAY, THE
BIDDER MAY BE ESCORTED BY STAFF TO OUR OPERATORS. THE TREASURER-TAX
COLLECTOR RESERVES THE RIGHT TO CONFISCATE ALL NUMBERED BIDDER CARDS
REGISTERED TO ANY SUCCESSFUL BIDDER WHO FAILS TO TIMELY REMIT THE NECESSARY
DEPOSIT OR PURCHASE PRICE, AS APPLICABLE, AT THE COMPLETION OF THE BIDDING ON
EACH PARCEL.
UPON CONFISCATION OF BIDDER CARDS, NO SUBSEQUENT BIDS ON ANY REMAINING
PARCELS MADE BY THAT BIDDER OR ANY CO-REGISTERED BIDDER WILL BE ACCEPTED
OR RECOGNIZED BY THE AUCTIONEER.
Payment in full of the required amount, plus any applicable tax is required to be paid at the time of the
sale (except for sales in excess of $5,000 as described in Section F). All payments must be made in
cash, cashier’s checks or bank-issued money orders made payable to the Los Angeles County Tax
Collector. No traveler’s checks, personal checks, checks payable to another party (including
the bidder), two party checks or other forms of payment will be accepted.
BIDDING WILL BE IN THE FOLLOWING INCREMENTS:
Bid Amount
Increments
$100 to $2000
$100
$2001 to $5,000
$500
$5,001 to $10,000
$1,000
$10,001 to $50,000
$5,000
$50,001 to $250,000
$10,000
Over $250,000
$25,000
We reserve the right to adjust the bidding increments as needed, and the Auctioneer will announce
when the increments will change.
ALL SALES ARE FINAL. Even if the successful bidder makes a mistake and bids on the wrong
property, the sale will remain final. All sales of property must be paid for immediately. If the property
is not paid for immediately, the sale of that parcel will be declared null and void, and the property will
be re-offered. No opportunity will be given for any successful bidder to go to the bank to complete
payment on their purchase. All bidders interested in a particular parcel or parcels are encouraged to
stay until they are certain that the property has been paid for and will not be re-offered. Successful
bidders, who refuse to pay for the property they have bid on, will have their bidder cards voided and
they will forfeit their right to further participate in the auction and may be excluded for up to 5 years
from future tax sales.
Prospective bidders or their representatives must personally attend the auction and bid on property
when it is offered for sale. The Treasurer-Tax Collector cannot give preference to anyone. The
auctioneer will only recognize each bidder by the assigned bidder number. The auctioneer will
determine and announce the winning bidder for each parcel and failure by the auctioneer to recognize
a bid, for any reason, will not invalidate the sale or cause bidding to be re-opened. All such
determinations made by the auctioneer are final.
F. PAYMENT FOR PROPERTY PURCHASED AT TAX SALE
Each parcel offered at this sale will be sold to the highest bidder. Bid amounts shall be tendered at
time of sale in cash, cashier’s checks or bank-issued money orders payable to the Los Angeles County
Tax Collector. Personal checks, traveler’s checks, checks payable to a party other than the Los
Angeles County Tax Collector or two party checks (including the bidder) will not be accepted.
Bids of $5,000 or less must be paid in full at the time of purchase. If the bid on any one item is
more than $5,000, the successful bidder can pay for the property by depositing $5,000 or 10%
of the purchase price, whichever is the GREATER, and the balance to be paid within
30 calendar days from the date of the auction.
HOW TO CALCULATE THE MINIMUM DEPOSIT THAT IS REQUIRED
Purchase Price
From
To
Minimum Deposit Required
(Per Property)
$1
$5,000 Full purchase price is required.
$5,001
$50,000 $5,000 deposit is required (see sample below)
$50,001
Over
10% of purchase price (see sample below)
Note: Amounts indicated above do not reflect the additional taxes that are assessed based on the purchase
price. See Section H on page 5. The successful bidder will be escorted to the front counter to sign the
agreement and pay the cashier.
EXAMPLE 1:
Purchase price is $55,000 ($55,000 x 10% = $5,500)
Required deposit $5,500 (which is 10% of the purchase price and GREATER
than $5,000)
EXAMPLE 2:
Purchase price is $40,000 ($40,000 x 10% =$4,000)
Required deposit $5,000 ($5,000 is GREATER than the $4,000, which is 10% of the $40,000)
The balance must be received in the Treasurer-Tax Collector’s Office, 225 North Hill Street,
Room 130, Los Angeles, California 90012, no later than 5:00 p.m., on Thursday, March 16, 2006, in
the form of cash, cashier’s check or bank-issued money order. Title will not be transferred unless
the total purchase price is received by the due date. If the buyer fails to pay the balance on or
before 5:00 p.m. on March 16, 2006, the deposit is forfeited, and the buyer obtains no rights to
the property. All parties who will have title to the property must sign the Purchase Agreement.
For security reasons and to avoid delays at the cashier lines, bidders are encouraged to bring to the
sale payment instruments in denominations of $5,000 or less. Bidders requiring more than $5,000 in
change back from their purchase will be directed to a special line that may delay further participation in
the auction.
G. AUCTION TRUST ACCOUNT
At the time you initially register or up to 5:00 p.m. on February 10, 2006, you can increase your initial
registration deposit by opening an Auction Trust Account. This will eliminate the need to stand in the
cashier’s line for the purpose of paying the deposit on property purchased. To open an Auction Trust
Account you must deposit a minimum of $5,000, in addition to the $5,000 registration deposit.
During the auction, if you are the successful bidder, proceed to the Auction Desk and indicate whether
or not you want to pay the minimum amount due or pay the full purchase price of the property. The
Auction Operators will give you a Purchase Agreement indicating the amount that will be automatically
deducted from your Auction Trust Account. Please note that we cannot apply any funds to your
purchase until the Purchase Agreement is signed.
As long as there are sufficient funds in your Auction Trust Account, there will be NO need to see the
cashier to complete your purchase. To setup the Auction Trust Account, contact the Bidder
Registration Unit at (213) 974-2040. Only cash, cashier’s checks and bank-issued money orders
payable to the Los Angeles County Tax Collector will be accepted for the Auction Trust Accounts.
Act promptly, as the last date to setup the Auction Trust Account is February 10, 2006 by 5:00 p.m.
Please be advised that unused monies in the Auction Trust Account will be refunded by mail
within 30 days from the date of the sale. NO REFUNDS WILL BE ISSUED AT THE AUCTION.
H. ADDITIONAL TAXES/CHARGES
When applicable, Survey Monument fees, Documentary Transfer Tax, and City Transfer Tax will be
collected in addition to the purchase price. City Transfer Tax will apply to those properties located in
the following cities:
Culver City
$4.50 per
$1,000
Los Angeles
$4.50 per
$1,000
Pomona
$2.20 per
$1,000
Redondo Beach
$2.20 per
$1,000
Santa Monica
$3.00 per
$1,000
I. LIENS THAT ARE NOT REMOVED BY TAX SALE
A tax deed will cancel all private liens (such as Deeds of Trust, Mechanic’s Liens, Judgments, etc.), as
well as all prior delinquent taxes. Public liens such as Improvement Bonds, Mello-Roos Special
Tax liens, Demolition liens, Weed Abatement liens, etc., or foreclosure judgments of
those public liens, WILL NOT be discharged with a tax deed.
Pursuant to Section 3712 of the Revenue and Taxation Code, the deed conveys title to the purchaser
free of all encumbrances of any kind existing before the sale, EXCEPT:
(a) Any lien for installments of taxes and special assessments, which installments will become payable
upon the secured roll after the time of sale.
(b) The lien for taxes or assessments or other rights of any taxing agency, which does not consent to
the sale of the parcel at auction.
(c) Liens for special assessments levied upon the property conveyed which were, at the time of the
sale were not included in the amount necessary to redeem the property, and, where a taxing
agency, which collects its own taxes, has consented to the sale, were not included in the amount
required to redeem from sale to the taxing agency.
(
d) Easements constituting servitude upon or burdens to the property; water rights, the record title to
which is held separately from the title to the property, and restrictions of records.
(e) Unaccepted, recorded, irrevocable offers of dedication of the property to the public or a public
entity for a public purpose, and recorded options of any taxing agency to purchase the property or
any interest therein for a public purpose.
(f) Unpaid assessments under the Improvement Bond Act of 1915 (Division 10 commencing with
Section 8500 of the Streets and Highways Code), which are not satisfied as a result of the sale
proceeds being applied pursuant to Chapter 1.3 (commencing with Section 4671) of Part 8 of the
Revenue and Taxation Code.
(g) Any Federal Internal Revenue Service (IRS) liens, pursuant to provisions of Federal law, are not
discharged by the sale, even though the Tax Collector has provided proper notice to the Internal
Revenue Service before that sale. Before contacting the IRS Federal Office on properties with IRS
liens you must obtain the following information/documentation:
1. IRS Code 7425C for information on IRS’s Redemption Rights and Release of Right of
Redemption;
2. Copy of the Federal Tax Lien filed against the parcel you are interesting in purchasing that has
been recorded with the Los Angeles County Registrar-Recorder’s Office located at 12400
Imperial Hwy, Norwalk, CA 90650;
3. The IRS Foreclosure Redemption Section can be reached at (213) 576-4456. The IRS will not
be able to assist you without the above information.
(h) Unpaid special taxes under the Mello-Roos Community Facilities Act of 1982 (Chapter 2.5
[commencing with Section 53311] of Part 1 of Division 2 of Title 5 of the Government Code) that
are not satisfied as a result of the sale proceeds being applied pursuant to Chapter 1.3
(commencing with Section 4671) of Part 8.
(i) Weed Abatement charges resulting in liens are not cancelled by tax sale. Review the list of
parcels subject to weed and brush clearance abatement provided by Los Angeles County
Agricultural Commissioner/Weights and Measures and the Los Angeles City Fire Department. For
information from the Agricultural Commissioner, call (626) 575-5487 or visit their website at
http://acwm.co.la.ca.us, and click onto the “Weed Abatement Program”. Also, the Los Angeles City
Fire Department maintains a list of properties that have been assessed Brush Clearance Charges.
You can contact the Los Angeles City Fire Department Brush Clearance Unit at (213) 978-3470 or
(213) 978-3472. Caution, all properties may not be identified. Investigate before you
purchase.
J. TITLE
Title to “Tax Defaulted Property Subject to Power to Sell” does not pass to the purchaser until a tax
deed is issued and recorded. DO NOT trespass on the property, engage in any activity or make any
construction expenditure on any property you purchase until you have received your tax deed from the
Los Angeles County Registrar-Recorder’s Office. This includes any attempt to collect rents on
improved property and/or dispossess or in any way contact tenants. Tax deeds will be recorded
approximately 60 days after the sale. After the tax deeds are recorded, the tax deed(s) will be mailed
directly to the respective purchaser(s) by the Registrar-Recorder’s Office. The Treasurer-Tax Collector
does not provide the purchaser with a title insurance policy and makes no representations or
warranties with respect to the condition of the title. Prospective purchasers are advised to contact title
insurance companies prior to auction to obtain information regarding the availability of title insurance
for properties, which have been purchased at the Los Angeles County Treasurer and Tax Collector’s
Tax Sale.
THE REDEMPTION OF A PARCEL WILL PRECLUDE ANY TRANSFER OF OWNERSHIP. THE
ASSESSEE OF RECORD WILL RETAIN TITLE TO ANY PARCEL REDEEMED PRIOR TO THE
TAX SALE.
Tax-defaulted parcels subject to the Tax Collector’s Power to Sell can only be redeemed on or before
the close of business on the last business day prior to the date of the sale, no later than 5:00 p.m.
February 10, 2006, to prevent the sale of the property. There is no extended right of redemption in
the State of California.
NOTE: Neither the State of California, nor the County of Los Angeles, nor any person
designated by these agencies are liable for damages sustained to the property purchased at
auction from the time of the sale until the recordation of the tax deed transferring the property.
K. SALE AFTER REDEMPTION (ERRONEOUS SALES)
Occasionally, a piece of property is sold at auction after the property has been redeemed or is
otherwise sold in error. In this case, a refund of the purchase price or deposit will be made with full
understanding and agreement of the purchaser that the Treasurer and Tax Collector and the County
have no further liability in the matter. Only the amount tendered will be refunded as no interest is
applicable for these types of refunds. At the time of registration, each bidder will be required to
consent to the rescission of any erroneous sale and sign a rescission of tax deed if necessary. If the
tax deed has not been recorded
,
the Tax Collector has the right to cancel an erroneous tax sale
without the Bidder's prior consent or signature. Bidders will be informed of any cancelled sales.
The right to redeem “Tax Defaulted Property Subject to Sale” in this auction terminates at 5:00 p.m. on
February 10, 2006, which is the last business day prior to the first day of the auction.
L. WITHDRAWAL OF A PORTION OF A PARCEL THAT IS FOR SALE
If a portion of a parcel is being sold to a taxing agency or a partial redemption is instituted, the
Treasurer and Tax Collector may withdraw that portion from the whole and sell the remaining part only.
The auctioneer will announce items of this nature and anyone purchasing the same will do so with the
full knowledge and acceptance that the parcel being sold is exclusive of a portion and not as
advertised or set forth in the initial auction list.
M. CONTAMINATED PROPERTIES
You can obtain information regarding contaminated properties from the following agencies: (1) Los
Angeles County Public Works, Environmental Program Division located at 900 S. Fremont Ave., Third
Floor Annex, Alhambra, CA 91803, (213) 458-3517, and the City of Los Angeles Environmental Affairs
Department located at 200 N. Spring St., Room 1905, Los Angeles, CA 90012, (213) 978-0871; (2) the
California Department of Toxic Substances Control maintains the Superfund cleanup list of sites
contaminated with hazardous substances referred to as “CalSites.” The Superfund list of sites can be
obtained from the California Environmental Protection Agency, Department of Toxic Substances
Control at the CalSites Help Desk (916) 323-3400 and at http://www.dtsc.ca.gov/database/calsites; (3)
also, the Water Quality Control Board maintains a list of properties that may be contaminated. The
website for most properties in Los Angeles County is http://www.waterboards.ca.gov/losangeles and
for properties in the Antelope Valley http://www.waterboards.ca.gov/lahontan/.
Please be aware that not all contaminated property sites are on the Superfund list or identified by the
Department of Public Works, the City of Los Angeles, or listed on any of the sites listed above. If the
Tax Collector has knowledge of contaminated property, that information may be provided at the tax
sale and on our website at http://ttax.co.la.ca.us.
However, the Tax Collector is NOT always aware of the condition of the properties in the sale
and does not conduct any investigation as to contamination. Therefore, it is ultimately the
purchaser’s responsibility to investigate the condition and desirability of the property before
purchasing at the tax sale. Again, we urge you to conduct your own investigation and contact
the above agencies if you suspect contamination.
N. DISASTER RELIEF
If it is discovered that a property was damaged, and not substantially repaired, within the last five years
due to a local, state or federally declared disaster, it cannot be offered for sale until it has been tax-
defaulted for five years from the date of the disaster. However, if property has been tax-defaulted for
five years or more prior to the date of the disaster, and if the power to sell has been recorded prior to
the disaster, such property shall be subject to sale without regard to the date of the disaster.
O. BANKRUPTCY
Bidders must disclose on the Bidder Registration Form if they are currently in bankruptcy. Eligibility to
participate as a bidder will be evaluated on a case-by-case basis by the Los Angeles County Counsel
for persons with active bankruptcies.
P. TAX SALE CANCELLATION RIGHTS OF THE LOS ANGELES COUNTY TAX COLLECTOR
As a condition of participating in the County of Los Angeles Treasurer and Tax Collector’s public
auction, the successful bidder consents to the rescission of the sale as provided in Revenue and
Taxation Code Section 3731, if the County subsequently determines that a property sold by the Tax
Collector should not have been sold because it was publicly owned property, not in tax-default, or for
any other legal reason. To rescind the sale, if a tax deed has been recorded, the registered bidder
agrees to sign all required forms to cancel and rescind the erroneous sale, and understands that the
County will refund only the purchase amount paid, and that the Tax Collector and the County of
Los Angeles have no further liability in the matter. If the tax deed has not been recorded, the County
of Los Angeles has the right to refund the deposit and purchase price without further action by the
purchaser. If the tax deed has not been recorded, the Tax Collector has the right to cancel an
erroneous tax sale without the Bidder's prior consent or signature. Bidders will be informed of any
cancelled sales.
Q. ACKNOWLEDGEMENT OF TERMS AND CONDITIONS
ANY BID AT THE AUCTION IS MADE SUBJECT TO ALL OF THE FOREGOING TERMS AND
CONDITIONS, AND BY BIDDING, THE BIDDER ACKNOWLEDGES AND AGREES TO SUCH
TERMS AND CONDITIONS AND EXPRESSLY WAIVES ANY OBJECTION, CLAIM OR RIGHT TO
RESCIND A BID OR ANY PURCHASE ARISING THEREFROM.
CAUTION-INVESTIGATE BEFORE YOU BID
ALL SALES ARE FINAL. INVESTIGATE BEFORE YOU PURCHASE
MARK J. SALADINO
TREASURER AND TAX COLLECTOR