60-4108. Same; management and preservation. - Kansas Statutes

60-4108

Chapter 60.--PROCEDURE, CIVIL Article 41.--ASSET SEIZURE AND FORFEITURE

      60-4108.   Same; management and preservation.(a) Property seized for forfeiture under this act is notsubjectto alienation, conveyance, sequestration, or attachment, nor is theproperty subject to a motion or order under K.S.A. 22-2512, andamendments thereto. The seizing agency may release the property ifforfeiture or retention is unnecessary, may transfer the propertyto any other city, county, state or federal agency or may transferthe action to another plaintiff's attorney by discontinuingforfeiture proceedings in favor of forfeiture proceedings initiatedby the other agency.

      (b)   An owner of property seized pursuant to this act may obtainrelease of the property by posting with the plaintiff's attorney ordistrict court a surety bond or cash in the amount equal to thefull fair market value of the property as determined by theplaintiff's attorney. The seizing agency may refuse to release theproperty if the bond tendered is inadequate or if the property isretained as contraband or as evidence or if it is particularlyaltered or designed for use in conduct giving rise to forfeiture.If a surety bond or cash is posted and the property is forfeited,the court shall forfeit the surety bond or cash and any accruedinterest in lieu of the property.On motion of either party, theadequacy of the bond or cash tendered may be reviewed by the court.

      (c)   If property is seized under this act, the seizing agencymay, subject to any need to retain the property as evidence, do anyof the following:

      (1)   Remove the property to an appropriate place designatedby the court;

      (2)   place the property under constructive seizure;

      (3)   remove the property to a storage area for safekeepingor, if the property is a negotiable instrument or money, deposit itin an interest-bearing special trust account; or

      (4)   provide for another agency or custodian, including anowner, secured party, mortgagee, or lienholder, to take custody ofthe property and service, maintain and operate it as reasonablynecessary to maintain the property's value, in any appropriate location withinthe jurisdiction of the court.

      (d)   As soon as practicable after seizure for forfeiture, theseizing agency shall conduct a written inventory and estimate thevalue of the property seized.

      (e)   The court may order property which has been seized forforfeiture sold, leased, rented or operated to satisfy a specifiedinterest of any interest holder, or to preserve the interests ofany party on motion of such party. Sale may be ordered when theproperty is liable to perish, to waste, or to be foreclosed orsignificantly reduced in value, or when the expenses of maintainingthe property are disproportionate to the property's value. The court mayenter orders under this subsection after notice to persons known tohave an interest in the property, and an opportunity for a hearing,on all of the following conditions:

      (1)   That the interest holder has:

      (A)   Timely filed a proper claim; or

      (B)   an interest which the plaintiff's attorneyhas stipulated is exempt from forfeiture;

      (2)   that if a sale is necessary, a third party designatedby the court shall dispose of the property by commerciallyreasonable public sale and apply the proceeds to the reasonableexpenses incurred in connection with the sale or disposal and thenfor the satisfaction of exempt interests in the order of theirpriority; and

      (3)   that the balance of the proceeds, if any, be preservedin the actual or constructive custody of the court, in an interest-bearingaccount, subject to further proceedings under this act.

      History:   L. 1994, ch. 339, § 8; July 1.