2009 California Code of Civil Procedure - Section 701.810-701.830 :: Article 7. Distribution Of Proceeds Of Sale Or Collection

CODE OF CIVIL PROCEDURE
SECTION 701.810-701.830

701.810.  Except as otherwise provided by statute, the levying
officer shall distribute the proceeds of sale or collection in the
following order:
   (a) To persons having preferred labor claims that are required by
Section 1206 to be satisfied from the proceeds, in the amounts
required by Section 1206 to be satisfied.
   (b) To the state department or agency having a state tax lien (as
defined in Section 7162 of the Government Code) that is superior to
the judgment creditor's lien, in the amount of the lien.
   (c) If a deposit has been made pursuant to Section 720.260 and the
purchaser at the sale is not the judgment creditor, to the judgment
creditor in the amount required to repay the deposit with interest
thereon at the rate on money judgments from the date of the deposit.
   (d) To the judgment debtor in the amount of any applicable
exemption of proceeds pursuant to Section 704.010 (motor vehicle),
704.020 (household furnishings and other personal effects), or
704.060 (tools of trade), except that such proceeds shall be used to
satisfy all of the following in the order of their respective
priorities:
   (1) Any consensual liens and encumbrances, and any liens for labor
or materials, that are subordinate to the judgment creditor's lien.
   (2) Subject to Section 688.030, any state tax lien (as defined in
Section 7162 of the Government Code) on the property sold if the
notice of state tax lien on the property has been recorded or filed
pursuant to Section 7171 of the Government Code prior to the time the
levying officer received the proceeds of the sale or collection.
   (e) To the levying officer for the reimbursement of the levying
officer's costs for which an advance has not been made.
   (f) To the judgment creditor to satisfy the following:
   (1) First, costs and interest accruing after issuance of the writ
pursuant to which the sale or collection is conducted.
   (2) Second, the amount due on the judgment with costs and
interest, as entered on the writ.
   (g) To any other judgment creditors who have delivered writs to
the levying officer, accompanied by instructions to levy upon the
judgment debtor's property or the proceeds of its sale or collection,
or any other persons actually known by the levying officer to have a
claim, lien, or other interest subordinate to the judgment creditor'
s lien that is extinguished by the sale and that is not otherwise
satisfied pursuant to this section, in the amounts to which they are
entitled in order of their respective priorities.
   (h) To the judgment debtor in the amount remaining.

701.820.  (a) Promptly after a sale or collection under this title,
the levying officer shall distribute the proceeds to the persons
entitled thereto or, in cases covered by Section 701.830, deposit the
proceeds with the court.
   (b) Except as otherwise provided by statute, the proceeds shall be
paid to the persons entitled thereto within 30 days after they are
received by the levying officer.
   (c) If the proceeds are not to be received by the levying officer
in one payment, the levying officer may accumulate proceeds received
during a 30-day period and the accumulated proceeds shall be paid to
the persons entitled thereto not later than 20 days after the
expiration of the 30-day period.
   (d) When proceeds are received by the levying officer in the form
of a check or other form of noncash payment that is to be honored
upon presentation by the levying officer for payment, the proceeds
are not received for the purposes of this section until the check or
other form of noncash payment has actually been honored upon
presentation for payment.
   (e) The provisions of Section 26680 of the Government Code apply
to the levying officer only if all of the following conditions are
satisfied:
   (1) The levying officer has failed to pay the proceeds or deposit
them with the court as provided in this article within the time
provided in this section.
   (2) Upon such failure, a person entitled to any of the proceeds
has filed with the levying officer a written demand for the payment
of the proceeds to the persons entitled thereto.
   (3) The levying officer has failed within 10 days after the demand
is filed to pay to the person filing the demand the proceeds to
which that person is entitled.

701.830.  (a) If there are conflicting claims to all or a portion of
the proceeds of sale or collection known to the levying officer
before the proceeds are distributed, the levying officer may deposit
with the court the proceeds that are the subject of the conflicting
claims instead of distributing such proceeds under Section 701.810.
Any interested person may apply on noticed motion for an order for
the distribution of the proceeds deposited with the court. A copy of
the notice of motion shall be served on such persons as the court
shall by order determine in such manner as the court prescribes. Any
interested person may request time for filing a response to the
motion for an order for the distribution of the proceeds, for
discovery proceedings in connection with the motion, or for other
preparation for the hearing on the motion, and the court shall grant
a continuance for a reasonable time for any of these purposes.
   (b) Except as provided in subdivision (c), at the hearing on the
motion the court shall determine the issues presented by the motion
and make an order for the distribution of the proceeds deposited with
the court.
   (c) The court shall not determine the issues presented by the
motion and instead shall abate the hearing until the issues presented
by the motion can be determined in a civil action in the following
cases if:
   (1) The court is not the proper court under any other provision of
law for the trial of a civil action with respect to the subject
matter of the motion and any interested person at or prior to the
hearing objects to the determination of the issues presented by the
motion by the court.
   (2) A civil action is pending with respect to the subject matter
of the motion and jurisdiction has been obtained in the court in
which the civil action is pending.
   (3) The court determines that the matter should be determined in a
civil action.

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