SECTIONS 720.510-720.550 - California Statutes

CODE OF CIVIL PROCEDURE

SECTION 720.510-720.550

720.510. A creditor may make a demand as provided in this chapter
that a secured party or lienholder file a third-party claim to
personal property that has been levied upon under a writ of
attachment or a writ of execution.

720.520. (a) The creditor's demand for a third-party claim by the
secured party or lienholder, together with a copy of the demand,
shall be filed with the levying officer after levy on the personal
property but before the levying officer sells the property or pays
proceeds of collection to the creditor.
(b) Promptly after the demand and a copy thereof are filed, the
levying officer shall personally serve the demand on the secured
party or lienholder. Service of the demand on the secured party or
lienholder shall be attested by the certificate of the levying
officer and the certificate shall be filed in the action promptly
after service.
(c) The demand shall be served by the levying officer who levied
on the property or by any other levying officer whose office is
closer to the place of service. If service is made by another levying
officer, such levying officer's costs shall be paid out of the costs
prepaid to the levying officer who levied on the property.

720.530. The demand for a third-party claim served on a secured
party or lienholder shall contain all of the following:
(a) The name and address of the secured party or lienholder.
(b) The name and address of the creditor.
(c) A detailed description of the personal property levied upon
and the date of levy.
(d) A statement that if the secured party or lienholder does not
file a third-party claim pursuant to Chapter 3 (commencing with
Section 720.210) within 30 days after service of the demand, the
secured party or lienholder shall be deemed to have waived any
priority the security interest or lien may have over the creditor's
lien on the property levied upon unless the property levied upon is
released from the creditor's lien.
(e) A statement that if any priority of the security interest or
lien is waived, the secured party or lienholder may have a right to
share in any excess proceeds of an execution sale of the property as
provided in Section 701.810.

720.540. Except as otherwise provided by statute, the levying
officer may not release, sell, or otherwise dispose of the personal
property described in the demand before the expiration of 30 days
after service of the demand on the secured party or lienholder.

720.550. (a) If the secured party or lienholder does not file a
third-party claim with the levying officer pursuant to Chapter 3
(commencing with Section 720. 210) within 30 days after service of
the demand, the secured party or lienholder shall be deemed to have
waived any priority the security interest or lien may have over the
creditor's lien on the personal property levied upon and the property
may be applied toward the satisfaction of the judgment free of the
security interest or lien.
(b) If the secured party or lienholder is deemed to have waived
any priority over the creditor's lien pursuant to subdivision (a) and
the creditor's lien on the personal property is released, the
security interest or lien is restored to its former position of
priority.