First Corporate Solutions Blog | UCC, Corporate, Lien, Litigation, Title | Search, Filing, Monitoring » liens

Searching Public Records in Delaware at the County Level

First Corporate Solutions Team — Fri, 09 Oct 2009 17:15:12 +0000

If you need to search for anything at the county level in Delaware, you only have three counties from which to choose: New Castle (northernmost), Kent (middle), and Sussex (southernmost).

The Bankruptcy Court and U.S. District Court are located in the county seat of Wilmington, which is in New Castle County.

Below is a handy guide for figuring out what’s located where at the county level:

Recorder of Deeds: UCC/fixture filings, federal tax liens and property searches including property tax information, current owner, and deed and mortgage info.

Superior Court (also known as the Prothonotary): State tax liens, judgments, pending suits, assumed names, criminal (felony & misdemeanor cases), civil cases over $50,000

Chancery Court: Civil records

Court of Common Pleas: Misdemeanors, civil cases under $50,000

For corporations, folks tend to file in the county of the registered agent, although there have been plenty of instances in which filings have been recorded in a different county than that of a corporation’s registered agent!

For additional information, each county has its own website:

New Castle County: http://www2.nccde.org/Home/default.aspx

Kent County: http://www.co.kent.de.us/

Sussex County: http://www.sussexcountyde.gov/

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Civil Judgments vs. Judgment Liens: What’s the Difference?

First Corporate Solutions Team — Thu, 25 Jun 2009 20:25:28 +0000

If you’re like me when I was first introduced to this industry, you might be a little confused about the difference between judgments and judgment liens. They are two separate animals, and it’s important to know the difference if you’re trying to determine which to search for when doing your due diligence.

The easy definition is that a judgment is an official decision rendered by the court with regard to a civil matter. A judgment lien, sometimes referred to as an “abstract of judgment,” is an involuntary lien that is filed to give constructive notice and is to attach to the Judgment Debtor’s property and/or assets.

When we’re talking about a judgment, it’s up to the winning party to enforce or collect upon the judgment. A copy of the judgment itself will be filed with the court where the case was heard.

If the judgment debtor (losing party from the civil case) fails to voluntarily satisfy the judgment, a judgment lien is a way to ensure that the court’s judgment is enforced. A judgment creditor (winning party from the civil case) will file the lien against the judgment debtor in order to secure their position to collect on the debt they are owed as a result of the civil judgment. In general, the lien is satisfied with the sale proceeds when the debtor sells the property or when a refinance occurs.

It’s important to note that searching the court for civil judgments will not uncover judgment liens, and the liens are what will jeopardize the creditor’s priority position to collect, much like a UCC filing. If you’re searching as due diligence for a financial transaction, it’s always a good idea to search the proper filing office for judgment liens to protect your interests.

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Need Some Help in Figuring Out Where to Conduct UCC and Lien Searches?

First Corporate Solutions Team — Tue, 19 May 2009 17:20:46 +0000

When searching for liens as part of a prefunding search package, it is important to know where liens could be filed. The last thing any lender wants is a surprise lien! In order to be certain you’re getting the results you think you are; searches must be performed for the right records at the appropriate filing office.

Here are some tips to help determine where to search:

1. Revised Article 9 sets forth that UCC Financing Statements filed against businesses are to be filed in the state of organization. UCCs filed against individuals must be filed in their state of residence.

2. To uncover liens relating to collateral that is affixed to real property, be sure to search for fixture filings at the county level. Fixtures are to be filed in the county where the collateral is located.

3. In many jurisdictions, tax liens can be filed with either the state or the county. An exhaustive tax lien search in these jurisdictions will include a search of both state and county filing offices.

And remember, tax lien records are often maintained on a separate index at state filing offices. A UCC only search in these states will not reveal tax liens of record.

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Wondering What Parties to Search as Part of Your Prefunding Due Diligence?

First Corporate Solutions Team — Wed, 13 May 2009 21:41:24 +0000

Searching for the right party is imperative when coordinating due diligence search efforts. This may seem simple, but keep in mind that liens could be filed under business names, individual names, aliases or nicknames, even fictitious business names. So, how can you be sure you are searching for the right name?

Here are a few pointers to get you on the right track:
1. Check corporate charters to determine the exact legal name before performing liens searches on a business.
2. Utilize online UCC search systems that allow for broad-based name searching to reveal name variations.
3. Be mindful of jurisdictions where exact name or Revised Article 9 search logic is employed. Searches performed in these jurisdictions will not include any similar names on your search result.

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