353 So.3d 1022
La. Ct. App.2022Background
- Maria C. Palazzo was record owner of property at 2701-03 Carondelet St / 1704 Fourth St, New Orleans, and failed to pay 2013 ad valorem taxes.
- At the tax sale, Alfred W. Johnson purchased and received a tax sale certificate reflecting a 1% undivided interest (certificate dated Oct. 17, 2014; recorded Oct. 24, 2014).
- Johnson filed a petition to quiet title (Aug. 11, 2021); after appointment of a curator ad hoc, Palazzo later answered asserting lack of notice and, alternatively, that Johnson is only entitled to 1% interest.
- Johnson moved for summary judgment arguing confirmation of tax-sale title conveys full ownership; the district court granted the motion and declared Johnson owner of 100% of the property.
- On appeal the Fourth Circuit affirmed confirmation of the tax sale but held the district court erred in declaring Johnson the 100% owner and remanded for judgment reflecting the interest shown in the tax sale certificate.
Issues
| Issue | Plaintiff's Argument | Defendant's Argument | Held |
|---|---|---|---|
| Whether confirmation of tax-sale title converts the purchaser's undivided interest (as shown on the tax-sale certificate) into full ownership of the entire property | Johnson: confirmation grants “full ownership” and confirms remaining interest | Palazzo: confirmation cannot convey more than the percentage purchased; alternatively, sale invalid for lack of notice | Court: Confirmation cannot increase the percentage interest beyond the tax-sale certificate; district court erred to award 100% ownership |
| Whether the tax sale itself should be set aside for lack of notice | Johnson: tax sale is valid and supported by certificate | Palazzo: she did not receive notice; sale should be null | Court: affirmed the district court’s confirmation of the tax sale (did not set aside sale) |
Key Cases Cited
- Montana v. Jordan, 135 So.3d 1212 (La. App. 4 Cir. 2014) (confirmation cannot convey greater ownership than the interest shown on the tax-sale certificate)
- Patton v. Unopened Succession of Dearie, 317 So.3d 11 (La. App. 4 Cir. 2017) (affirming award of ownership interest matching tax-sale certificate percentage)
- Heirs of John Beckwith LLC v. Sims, 315 So.3d 306 (La. App. 4 Cir. 2021) (summary judgment can appropriately resolve property ownership disputes)
- Ely Edwards Enterprises, Inc. v. Pontchartrain Park CDC Real Estate Holdings, LLC, 338 So.3d 50 (La. App. 4 Cir. 2022) (discussing appellate standard and burdens on summary judgment)