55-79.46 - Release of liens.

§ 55-79.46. Release of liens.

A. At the time of the conveyance to the first purchaser of each condominiumunit following the recordation of the declaration, every mortgage, deed oftrust, any other perfected lien, or any mechanics' or materialmen's liens,affecting all of the condominium or a greater portion thereof than thecondominium unit conveyed, shall be paid and satisfied of record, or thedeclarant shall forthwith have the said condominium unit released of recordfrom all such liens not so paid and satisfied. The provisions of thissubsection shall not apply, however, to any withdrawable land in acontractable condominium, nor shall any provision of this subsection beconstrued to prohibit the unit owners' association from mortgaging or causinga deed of trust to be placed on any portion of the condominium within whichno units are located, so long as any time limit specified pursuant to §55-79.74 has expired, and so long as the bylaws authorize the same. Thissubsection shall not apply to any lien on more than one condominium unit in acondominium in which all units are restricted to nonresidential use and inwhich all unit owners whose condominium units will be subject to such lienexpressly agree to assume or take subject thereto.

B. In the event that any lien, other than a deed of trust or mortgage,becomes effective against two or more condominium units subsequent to thecreation of the condominium, any unit owner may remove his condominium unitfrom that lien by payment of the amount attributable to his condominium unit.Such amount shall be computed by reference to the liability for commonexpenses appertaining to that condominium unit pursuant to subsection D of §55-79.83. Subsequent to such payment, discharge or other satisfaction, theunit owner of that condominium unit shall be entitled to have that lienreleased as to his condominium unit in accordance with the provisions of §55-66.4, and the unit owners' association shall not assess, or have a validlien against, that condominium unit for any portion of the common expensesincurred in connection with that lien, notwithstanding anything to thecontrary in §§ 55-79.83 and 55-79.84.

(1974, c. 416; 1985, c. 107; 1992, c. 72; 1993, c. 667.)