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134.452 Third-party purchaser of certificate of delinquency -- Fees -- Collection
limitations -- Notice to proper owner.
Notwithstanding any other provisions of this chapter, a third-party purchaser of a <br>certificate of delinquency shall be entitled to collect only the following: <br>(1) The amount actually paid for the certificate of delinquency; <br>(2) Interest as provided in KRS 134.125, calculated on the amount actually paid to the
county clerk from the date the certificate of delinquency was purchased until paid; <br>and
(3) Attorneys' fees as provided in this subsection.
(a) Attorneys' fees incurred for collection efforts prior to litigation as follows:
1.
If the amount paid for a certificate of delinquency is between five dollars <br>($5) and three hundred fifty dollars ($350), actual reasonable fees <br>incurred up to one hundred percent (100%) of the amount of the <br>certificate of delinquency, not to exceed three hundred fifty dollars <br>($350);
2.
If the amount paid for a certificate of delinquency is between three <br>hundred fifty-one dollars ($351) and seven hundred dollars ($700), <br>actual reasonable fees incurred up to eighty percent (80%) of the amount <br>of the certificate of delinquency, not to exceed five hundred sixty dollars <br>($560); and
3.
If the amount paid for a certificate of delinquency is above seven <br>hundred one dollars ($701), actual reasonable fees incurred up to <br>seventy percent (70%) of the amount of the certificate of delinquency, <br>not to exceed seven hundred dollars ($700).
(b) If a third-party purchaser is the owner of more than one (1) certificate of
delinquency against the same taxpayer, actual and reasonable prelitigation <br>attorneys' fees for all certificates of delinquency against the same taxpayer <br>shall not exceed one and one-half (1.5) times the maximum amount permitted <br>in paragraph (a) of this subsection for the largest tax bill owed by the <br>taxpayer.
(c) In addition to the prelitigation attorneys' fees established by paragraphs (a) and
(b) of this subsection, a third-party purchaser may collect actual, reasonable <br>attorneys' fees and costs that arise due to the prosecution of collection <br>remedies or the protection of a certificate of delinquency that is involved in <br>litigation; and
(4) Administrative fees incurred for preparing, recording, and releasing an assignment
of the certificate of delinquency in the county clerk's office, not to exceed one <br>hundred dollars ($100).
A certificate of delinquency owned by a third-party purchaser shall be deemed a general <br>intangible for the purposes of Article 9 of KRS Chapter 355.
Effective: January 1, 2010 <br>History: Amended 2009 Ky. Acts ch. 10, sec. 14, effective January 1, 2010. -- Created
2007 Ky. Acts ch. 14, sec. 1, effective June 26, 2007.
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Legislative Research Commission Note (6/26/2007). A reference in subsection (3) of
this section in 2007 Ky. Acts ch. 14, sec. 1(3), to "subparagraph 4. of paragraph (b) <br>of subsection (1) of Section 5 of this Act (KRS 134.490)" has been corrected in <br>codification to read "KRS 134.490(1)(b)" by the Reviser of Statutes under the <br>authority of KRS 7.136.
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