4.1-343 - Rights of innocent lienor.

§ 4.1-343. Rights of innocent lienor.

If a claimant of property seized pursuant to § 4.1-339 is a lienor, and if itappears to the satisfaction of the court that the owner of the conveyance orvehicle perfected his title to the conveyance or vehicle prior to itsseizure, or within ten days from the time it was acquired, and that (i) thelienor was ignorant of the fact that the conveyance or vehicle was being usedfor illegal purposes when it was seized, (ii) the illegal use was without thelienor's connivance or consent, and (iii) he held a bona fide lien on suchproperty and had perfected it in the manner prescribed by law prior to suchseizure, the court shall enter an order to establish the lien, uponsatisfactory proof of the amount thereof. If the conveyance or vehicle is anautomobile, the memorandum of lien on the certificate of title issued by theCommissioner of the Department of Motor Vehicles shall make any otherrecordation of the lien unnecessary.

If, in the same proceeding, it is determined that the owner of the seizedproperty was himself in possession of it at the time it was seized, and thatsuch illegal use was with his knowledge or consent, the forfeiture shallbecome final as to any and all interest and equity which such owner or anyother person illegally using it, may have in such seized property, and theforfeiture shall be entered of record.

If the lien established is equal to or more than the value of the conveyanceor vehicle, the conveyance or vehicle shall be delivered to the lienor, andthe costs of the proceedings shall be paid by the Commonwealth as provided bylaw. If the lien is less than the value of the conveyance or vehicle, thelienor may have the conveyance or vehicle delivered to him upon payment ofthe difference. Should the lienor not demand delivery, an order shall bemade for the sale of the property by the sheriff of the county or city, inthe manner prescribed by law. Out of the proceeds of such sale shall be paidfirst, the lien, and second, the costs of the proceedings. The residue, ifany, shall be paid into the Literary Fund.

(Code 1950, § 4-56; 1954, c. 504; 1968, c. 763; 1971, Ex. Sess., c. 155;1973, c. 16; 1978, cc. 434, 436; 1981, c. 365; 1983, c. 271; 1984, c. 52;1993, c. 866.)