In Re: Amended Petition of the TCB of Washington County To Conduct Judicial Sale of Enumerated Properties Pursuant To Sections 612 and 612.1 Of The PA Real Estate Tax Sale Law Washington County TCB v. R. Miller and C.F. Miller, Jr.
149 A.3d 920
| Pa. Commw. Ct. | 2016Background
- Rebecca L. Miller and Carl F. Miller, Jr. (co-owners) failed to pay real estate taxes on property in Washington County from 2005–2012; prior upset-sale notices in 2010–2011 were stayed by Chapter 13 filings.
- In 2012 the property was posted for an upset sale; post-sale notices after the 2012 upset sale were acknowledged by both Millers at their P.O. boxes, but no pre-judicial-sale notice was sent to the property address and certified sheriff service to the owners was not shown.
- The Bureau petitioned for a judicial sale under the Real Estate Tax Sale Law; a judicial sale on June 24, 2013 received no bids and the property was placed in the Bureau’s repository and later sold to Wil Sanders on July 11, 2013; the Millers were not given notice of the judicial or repository sale.
- The Millers filed a petition to disapprove the repository sale and/or vacate the judicial sale claiming lack of notice; the trial court scheduled an evidentiary hearing, ordered Rebecca to serve/process notice on her co-owner brother, and dismissed their petition with prejudice after they failed to appear and Rebecca failed to comply with the service order.
- On appeal the Commonwealth Court addressed whether the Bureau’s failure to provide the Millers (as owners) with notice of the judicial sale violated the Real Estate Tax Sale Law and whether the repository sale was thus void.
Issues
| Issue | Plaintiff's Argument | Defendant's Argument | Held |
|---|---|---|---|
| Whether owners received required notice of judicial sale under the Tax Sale Law | Millers: neither owner received proper notice of the judicial or repository sale; lack of notice voids sale | Bureau/Sanders: Millers had constructive/actual notice because they acknowledged post-2012 upset-sale notices and should have known sale would follow | Held: Millers did not receive the statutorily required notice of the judicial sale; strict compliance required; sale void ab initio |
| Whether dismissal for failure to appear/serve co-owner was appropriate | Millers: inability to locate/serve brother and absence from hearing did not waive right to relief; record shows no notice | Bureau/Sanders: dismissal appropriate for failure to comply with court order and to appear | Court remanded on notice ground and did not affirm dismissal; did not reach further procedural arguments because notice failure controlled outcome |
| Whether petition to conduct judicial sale complied with procedural verification requirements | Millers: trial court’s June 4, 2013 order issued on unverified averments contrary to Pa. R. Civ. P. 206.3 | Bureau: petition included affidavit from Bureau director verifying accuracy | Court found petition supported by affidavit; did not rely on this issue because sale was void for lack of owner notice |
| Whether appellant waived issues by her 1925(b) statement | Trial court: purportedly waived for nonconcise/vague 1925(b) statement | Miller: 1925(b) sufficiently explained inability to prepare due to absent transcripts and identified issues | Commonwealth Court: rejected waiver, found statement adequate for appellate review |
Key Cases Cited
- Rivera v. Carbon County Tax Claim Bureau, 857 A.2d 208 (Pa. Cmwlth. 2004) (former owner is a party of interest entitled to service for judicial tax-sale proceedings)
- Montgomery County Tax Claim Bureau v. Mermelstein Family Trust, 836 A.2d 1010 (Pa. Cmwlth. 2003) (owner must be served under Tax Sale Law procedures)
- Bell v. Berks County Tax Claim Bureau, 832 A.2d 587 (Pa. Cmwlth. 2003) (notice requirements for owners in tax-sale context)
- Santarelli Real Estate, Inc. v. Tax Claim Bureau of Lackawanna County, 867 A.2d 717 (Pa. Cmwlth. 2005) (standard of review in tax-sale cases)
- Wyland v. West Shore School District, 52 A.3d 572 (Pa. Cmwlth. 2012) (requirements for a Pa. R.A.P. 1925(b) concise statement to permit appellate review)