Bulletin: NE2008002

Date:
May 19, 2008
To:
All Nebraska Issuing Offices
RE:
Child Support/Alimony Judgment Lien Procedures

Dear Associates:

On April 16, 2008, Nebraska’s Governor signed Legislative Bill 1014 into law. The Bill contained an emergency clause, so it became effective on that date.

After legislation passed in the 2007 Unicameral became a source of confusion with respect to child support/spousal support lien releases, LB 1014 was introduced to address the confusion. As a result, the proper procedure for release of child support liens that we have been accustomed to has been substantially restored.

As with legislation that was in effect prior to 2007, a judgment creditor once again may execute a total or partial release or subordination of a child support lien, if all payments are current. A properly executed, notarized release or subordination explicitly reciting that all child support payments or spousal support payments are current is prima facie evidence that such payments are in fact current.

Prior provisions for court-ordered release or subordination in the event payments are not current, or if the judgment creditor refuses to sign such a document, have also been restored.

Filing of a current certified copy of support order payment history showing current payments is no longer required, but is deemed prima facie evidence of current support payments in a judicial proceeding brought for release or subordination of a support lien.

This newly-effective legislation should resolve any difficulties the title industry has faced in the State of Nebraska with respect to release of support liens.

Please address any questions to this office at any time:

John Daum
Associate Senior Underwriting Counsel
Stewart Title Guaranty Company
1603 Farnam St., #219
Omaha, Nebraska 68102
Phone: (402) 346-4401
E-mail: JDaum@stewart.com

THIS BULLETIN IS FURNISHED TO INFORM YOU OF CURRENT DEVELOPMENTS. AS A REMINDER, YOU ARE CHARGED WITH KNOWLEDGE OF THE CONTENT ON VIRTUAL UNDERWRITER  AS IT EXISTS FROM TIME TO TIME AS IT APPLIES TO YOU, AS WELL AS ANY OTHER INSTRUCTIONS. OUR UNDERWRITING AGREEMENTS DO NOT AUTHORIZE OUR ISSUING AGENTS TO ENGAGE IN SETTLEMENTS OR CLOSINGS ON BEHALF OF STEWART TITLE GUARANTY COMPANY. THIS BULLETIN IS NOT INTENDED TO DIRECT YOUR ESCROW OR SETTLEMENT PRACTICES OR TO CHANGE PROVISIONS OF APPLICABLE UNDERWRITING AGREEMENTS. CONFIDENTIAL, PROPRIETARY, OR NONPUBLIC PERSONAL INFORMATION SHOULD NEVER BE SHARED OR DISSEMINATED EXCEPT AS ALLOWED BY LAW. IF APPLICABLE STATE LAW OR REGULATION IMPOSES ADDITIONAL REQUIREMENTS, YOU SHOULD CONTINUE TO COMPLY WITH THOSE REQUIREMENTS.

References

Bulletins Replaced:
None
Related Bulletins:
None
Underwriting Manual:
None
Exceptions Manual:
None
Forms:
None