Discussions > Foreclosure & Tax Deed Auctions
UnansweredI would not assume the solar lien automatically survives just because the solar company was not named in the foreclosure. First, you need to find out exactly what was recorded. There is a big difference between a UCC filing and a lien properly attached to the real estate. A lot of these solar filings do not give the company as much power as they claim, and some may have expired or been filed the wrong way.
As for the delay, there usually is not a quick way to just ignore a valid lien because the company will not respond. At this point, daily calls are probably a waste of time. The better move is to have a Florida real estate attorney send a formal demand letter to the company or its registered agent asking for a payoff, release, or written position by a firm deadline.
If the lien is invalid, expired, or not properly attached to the property, your attorney may be able to clear it through a court action such as quiet title, declaratory relief, or in some cases reforeclosure. Also, in many solar cases, the company's real remedy may be limited to the equipment itself, not the house as a whole.
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Thank you very much for your answer Damon. It is a UCC-1 fixture filing. UCC-1 initially filed with the county and then, they re-recorded it in the state before 5 years. Would we be able to get a title insurance on this property? We were told that this would create cloud on the title. What do you think? Thanks in advance.
My gut answer is: yes, you may still be able to get title insurance, but probably with an exception unless your title company or attorney can show the solar filing is defective, lapsed, or no longer properly perfected as a fixture filing. Also remember, even a valid fixture creditor’s remedy may be more about the equipment than the whole house. This is one where I would have a Florida real estate attorney and the title underwriter review the exact county filing, the continuation filing, and the dates before assuming the lien is still fully enforceable.