Laws, Regulations & Annotations

Property Taxes Law Guide – Revision 2017

Revenue and Taxation Code

Property Taxation

Part 6. Tax Sales

CHAPTER 7. Sale to Private Parties After Deed To State

Section 3725

3725. Contesting validity. (a) A proceeding based on alleged invalidity or irregularity of any proceedings instituted under this chapter can only be commenced in a court if both of the following are satisfied:

(1) The person commencing the proceeding has first petitioned the board of supervisors pursuant to Section 3731 within one year of the date of the execution of the tax collector's deed.

(2) The proceeding is commenced within one year of the date the board of supervisors determines that a tax deed sold under this part should not be rescinded pursuant to Section 3731.

(b) Sections 351 to 358, inclusive, of the Code of Civil Procedure do not apply to the time within which a proceeding may be brought under this section.

(c) The amendments made to this section Chapter 288 of the Statutes of 2011 shall apply to sales that are completed on or after January 1, 2012.

History.—Stats. 1988, Ch. 830, in effect January 1, 1989, added second paragraph. Amended by Stats. 2011, Ch. 288 (AB 261), in effect January 1, 2012. Stats. 2012, Ch. 162 (SB 1171), in effect January 1, 2013, substituted "Chapter 288 of the Statutes of 2011" for "by the act adding this subdivision" after "this section" in the first sentence of subdivision (c).

Excessive tax rate.—A taxpayer claiming excessive tax levies is relegated to the procedure for correction of the levy at an appropriate time or to an action for refund of the excessive portion of the tax and he may not avail himself of error in the tax rate in a quiet title action against the purchaser of title from the state. Wall v. M. & R. Sheep Co., 33 Cal.2d 768.

Nonapplication of section.—This section does not apply in a quiet title action against the purchaser at a tax sale involving the question of the State's power to issue a tax deed to property in the constructive possession and exclusive control of a bankruptcy court. Beck v. Unruh, 37 Cal.2d 148.

This section does not apply to an action by the state to remove a tax deed as a cloud on its title to property devoted to a public use. People v. Chambers, 37 Cal.2d 552.

Waiver.—The one-year limitation for commencing suit is waived if not pleaded. Sheeter v. Lifur, 113 Cal.App.2d 729.

Application.—This section applies to action by the original tax-delinquent owner in possession. However, a quiet title action against the purchaser of a tax deed from the state is not barred by the statute of limitations provided in this section, if the state's deed is fatally defective. Edwards v. City of Santa Paula, 138 Cal.App.2d 375.

Jurisdictional Defects.—The statute of limitations provided in this section does not apply when a jurisdictional defect in the tax deed is involved and where the original owner is still in possession of the property. Where a property is owned by the government and is tax exempt, subsequent tax sale was void, causing a defect in title and making the limitations period of this section, which only applies to deeds to government entities, inapplicable. L&B Real Estate v. Housing Authority of the County of Los Angeles, 149 Cal.App.4th 950.