Forfeiture; commissioner to release and satisfy lien
Sec. 2. (a) This section applies if:
(1) the mortgagor or another person having the right to demand
the release of a mortgage or lien makes a written demand, sent
by registered or certified mail with return receipt requested, to
the owner, holder, or custodian to release, discharge, and satisfy
of record the mortgage, mechanic's lien, judgment, or other lien;
and
(2) the owner, holder, or custodian fails, neglects, or refuses to
release, discharge, and satisfy of record the mortgage,
mechanic's lien, judgment, or other lien as required under
section 1 of this chapter not later than fifteen (15) days after the
date the owner, holder, or custodian receives the written
demand.
(b) An owner, holder, or custodian shall forfeit and pay to the
mortgagor or other person having the right to demand the release of
the mortgage or lien:
(1) a sum not to exceed five hundred dollars ($500) for the
failure, neglect, or refusal of the owner, holder, or custodian to:
(A) release;
(B) discharge; and
(C) satisfy of record the mortgage or lien; and
(2) costs and reasonable attorney's fees incurred in enforcing
the release, discharge, or satisfaction of record of the mortgage
or lien.
(c) If the court finds in favor of a plaintiff who files an action to
recover damages under subsection (b), the court shall award the
plaintiff the costs of the action and reasonable attorney's fees as a
part of the judgment.
(d) The court may appoint a commissioner and direct the
commissioner to release and satisfy the mortgage, mechanic's lien,
judgment, or other lien. The costs incurred in connection with
releasing and satisfying the mortgage, mechanic's lien, judgment, or
other lien shall be taxed as a part of the costs of the action.
(e) The owner, holder, or custodian, by virtue of having recorded
the mortgage, mechanic's lien, judgment, or other lien in Indiana,
submits to the jurisdiction of the courts of Indiana as to any action
arising under this section.
As added by P.L.2-2002, SEC.13.
Last modified: May 24, 2006