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Related Cases

In re Monroe County Tax Claim Bureau, 91 A.3d 265

Facts

The Kelchners owned a property that was mortgaged to Harleysville National Bank, which later merged with First Niagara Bank. After the Kelchners defaulted on their mortgage and failed to pay property taxes, the Monroe County Tax Claim Bureau filed a petition for a judicial tax sale. The Bureau served notice of the sale to First Niagara at the address of its Harleysville branch, where a supervisor accepted the service. First Niagara did not appear at the hearing, and the property was sold at the tax sale.

The Kelchners owned the Property. (Trial Ct. Op., Findings of Fact (FOF) ¶ 1.) On or about August 4, 2006, the Kelchners executed a mortgage in favor of Harleysville on the Property, which was recorded in the County Office of the Recorder of Deeds in Mortgage Book 2277, page 8604. (FOF ¶ 2.) Harleysville and First Niagara Commercial Bank merged on or about April 9, 2010, forming First Niagara. (FOF ¶ 3.) The Kelchners failed to make their monthly mortgage payments and defaulted on their mortgage, and First Niagara, as Harleysville's successor, began mortgage foreclosure proceedings in the County on or about November 5, 2010. (FOF ¶¶ 4–5.)

Issue

Did the county tax claim bureau properly serve First Niagara Bank with notice of the judicial tax sale?

Did the county tax claim bureau properly serve First Niagara Bank with notice of the judicial tax sale?

Rule

The service of the rule to show cause must be made in the same manner as writs of scire facias are served, and the sheriff's return of service is presumed valid unless challenged with evidence.

Service of the rule shall be made in the same manner as writs of scire facias are served in this Commonwealth.

Analysis

The court determined that the Bureau's service of notice was adequate because it was made at the address listed on the mortgage documents and accepted by a supervisor at the branch. The sheriff's return indicated that service was properly effectuated, and First Niagara failed to provide evidence to challenge this presumption. The court noted that the Bureau was not required to search for First Niagara's corporate address or serve its local counsel, as the service at the branch was sufficient.

The court determined that the Bureau's service of notice was adequate because it was made at the address listed on the mortgage documents and accepted by a supervisor at the branch.

Conclusion

The Commonwealth Court affirmed the trial court's order, concluding that First Niagara was properly served with notice of the judicial tax sale and that the sale was valid.

The Commonwealth Court affirmed the trial court's order, concluding that First Niagara was properly served with notice of the judicial tax sale and that the sale was valid.

Who won?

Monroe County Tax Claim Bureau prevailed because the court found that they had properly served First Niagara with notice of the tax sale, fulfilling all legal requirements.

Monroe County Tax Claim Bureau prevailed because the court found that they had properly served First Niagara with notice of the tax sale, fulfilling all legal requirements.

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