TEXE ATIKDRNEY GENERAL
OF -XAS
June 5, 1972
Honorable Ted Butler opinion No. ~-1137
District Attorney
Bexar County Re: Whether real property fore-
San Antonio, Texas 78204 closed by delinquent tax
judgment may be sold there-
under to the judgment debtor
at the adjudged value of the
property rather than for the
full amount of the tax judg-
Dear Sir: ment, and related questions.
We have received your opinion request and for the sake of
brevity we consolidate your questions as follows:
When real property foreclosed In a delinquent ad
Valorem tax suit Is sold thereunder by sheriff to
the judgment debtor at an adjudged value less than
the full amount of the judgment, what Is the effect
of such sale on the total amount owed under the
judgment by the tax debtor, and upon the tax lien
foreclosed upon the property?
The answers to your questions are provided by Article 7345b,
Vernonts Civil Statutes. Section 5 of this Article provides In
tax foreclosure actions for a finding and adjudication of thenrea-
sonable fair value of the real property subject to the tax liens
as of the date of trial.
Section 8 of this Article provides, in part, that the prop-
erty shall not be sold under the foreclosure decree to the owner
of the property or to anyone having an Interest therein, or to any
party other than a taxing unit which Is a oarty to the suit, for
less than the amount of Its value adjudged according to the provl-
slons of Section 5, or the aggregate amount of the judgments against
whichever amount Is lower. Opinions At-
and S-175(1955).
It was held In Watts v. City of El Paso, 183 S.W. 2d 249 (Tex.
Clv.App. 1944,errorm*Even though the property be s~truck
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Honorable Ted Butler, page 2 (M-1137)
off to the owner or to a party other than the taxing unit for the
adjudged value, this does not pay the taxes. It-discharges the
taxes as a lien against the particular property.' (Emphasis
aled.) -
Thus, when a tax debtor-over purchases property at a tax
judgment sale--foran amount less than the full amount of the tax
judgment but at least equal to the adjudged value of such prop-
erty, he does not satisfy the judgment against him, although he
-does Zicquiretitle to the property free of the liens for the taxes
sued for. In this Instance he Is liable under the judgment for the
difference between the total amount of taxes adjudged against hi?,
together with court costs and costs of sale, and the amount he
paid for the property at the sheriff's sale. The judgment may bs
enforced as any other judgment rendered for a personal lndebted-
ness. City of Henrietta v. Eustls, 87 Tex. 14, 26 S.W. 619(1894).
SUMMARY
Real property foreclbsed by tax judgment for ad
valorem taxes may be purchased by the owner at sherlfk's
sale at Its adjudged value although for an amount less
than full amount of judgment.
In this event, the owner-tax debtor Is liable under
the judgment for the deficiency but he acquires title to
the property purchased free of the.llens for the taxes
sued for. The judgment may be enforced for the balance
against the tax debtor as any other judgment rendered for
a personal Indebtedness.
very truly,
General of Texas
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Honorable Ted Butler; page 3 (M-1137)
Prepared by Bob Lattlmore
Assistant Attorney General
APPROVED:
OPINION COMMITTEE
Kerns Taylor, Chairman
W. E. Allen, Co-Chairman
Qor'donCass
Arthur Sandlln
Jack Sparks
Jack Ooodmm
SAMUEL D/MCDANIEL
Staff Legal Assistant
ALF'REDWALKRR
Executive Assistant
NOLA WRITE
First Assistant
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