SECTIONS 16210-16214 - California Statutes

GOVERNMENT CODE

SECTION 16210-16214

16210. In the event that the amount secured by the state's lien
provided for in Article 1 (commencing with Section 16180) is paid by
reason of the sale or condemnation of the property on which the lien
attaches, the funds so received shall be placed in an impound account
for a period of six months. In connection with the establishment of
such an account, the Controller shall release the state's lien in the
manner prescribed by Section 16186.

16211. The claimant under Chapter 2 (commencing with Section
20581), Chapter 3 (commencing with Section 20625), Chapter 3.3
(commencing with Section 20639, or Chapter 3.5 (commencing with
Section 20640) of Part 10.5 of Division 2 of the Revenue and Taxation
Code whose residential dwelling was sold or condemned may draw upon
the amount in the account to purchase a new residential dwelling, and
the amount so drawn shall be secured by a new lien against the new
residential dwelling from the time the Controller records the new
lien against the new residential dwelling as provided for under
Section 16182.
In the case of real property, the Controller shall subordinate the
new lien to the lien of the note and deed of trust of the purchase
money obligations used in the acquisition of the new residential
dwelling, provided the claimant has an equity of at least 20 percent
of the full value of the property, as required by paragraph (1) of
subdivision (b) of Section 20583 of the Revenue and Taxation Code,
prior to recordation of that subordination. The lien shall have
priority over all subsequent liens, except as provided in Section
2192.1 of the Revenue and Taxation Code.

16211.5. (a) In the event that the real property securing the state'
s lien provided for in Article 1 (commencing with Section 16180) is
the residential dwelling of a claimant under Chapter 2 (commencing
with Section 20581) of Part 10.5 of Division 2 of the Revenue and
Taxation Code and is voluntarily sold, the funds derived from the
voluntary sale of the residential dwelling shall be placed in an
impound account for a period of six months. In connection with the
establishment of such account, the Controller shall release the state'
s lien in the manner prescribed by Section 16186.
(b) The claimant under Chapter 2 (commencing with Section 20581)
of Part 10.5 of Division 2 of the Revenue and Taxation Code whose
residential dwelling was voluntarily sold may draw upon the amount in
the account to purchase a new residential dwelling, and the amount
so drawn shall be secured by a new lien against the new residential
dwelling from the time the Controller records the new lien against
the new residential dwelling as provided for under Section 16182.
The Controller shall subordinate such new lien to the note and
deed of trust of the purchase money obligations used in the
acquisition of the new residential dwelling, provided the claimant
has an equity of at least 20 percent of the full value of the
property, as required by paragraph (1) of subdivision (b) of Section
20583 of the Revenue and Taxation Code, prior to recordation of such
subordination. Such lien shall have priority over all subsequent
liens, except as provided in Section 2192.1 of the Revenue and
Taxation Code.

16212. An amount drawn pursuant to Section 16211 or 16211.5 shall
be treated as an amount paid pursuant to Section 16180 for all
purposes of this chapter.

16213. At the end of the six-month period specified in Section
16210 or the six-month period specified in Section 16211.5, all funds
remaining in an impound account shall be transferred to the General
Fund.

16214. All moneys in an impound account created pursuant to this
article are continually appropriated to the Controller for the
purposes of this article.