§ 38-35-204 — Order to show cause

(1) Any person whose real or personal
property is affected by a recorded or filed lien or document that the person believes
is a spurious lien or spurious document may petition the district court in the county
or city and county in which the lien or document was recorded or filed or the federal
district court in Colorado for an order to show cause why the lien or document
should not be declared invalid. The petition shall set forth a concise statement of
the facts upon which the petition is based and shall be supported by an affidavit of
the petitioner or the petitioner's attorney. The order to show cause may be granted
ex parte and shall:

(a) Direct any lien claimant and any person who recorded or filed the lien or
document to appear as respondent before the court at a time and place certain not
less than fourteen days nor more than twenty-one days after service of the order to
show cause why the lien or document should not be declared invalid and why such
other relief provided for by this section should not be granted;

(b) State that, if the respondent fails to appear at the time and place
specified, the spurious lien or spurious document will be declared invalid and
released; and

(c) State that the court shall award costs, including reasonable attorney
fees, to the prevailing party.

(2) If, following the hearing on the order to show cause, the court determines
that the lien or document is a spurious lien or spurious document, the court shall
make findings of fact and enter an order and decree declaring the spurious lien or
spurious document and any related notice of lis pendens invalid, releasing the
recorded or filed spurious lien or spurious document, and entering a monetary
judgment in the amount of the petitioner's costs, including reasonable attorney
fees, against any respondent and in favor of the petitioner. A certified copy of such
order may be recorded or filed in the office of any state or local official or
employee, including the clerk and recorder of any county or city and county and the
Colorado secretary of state.

(3) If, following the hearing on the order to show cause, the court determines
that the lien or document is not a spurious lien or spurious document, the court
shall issue an order so finding and enter a monetary judgment in the amount of any
respondent's costs, including reasonable attorney fees, against any petitioner and
in favor of the respondent.

Legislative History

Source: L. 97: Entire part added, p. 37, � 1, effective March 20. L. 2012: (1)(a) amended, (SB 12-175), ch. 208, p. 895, � 170, effective July 1.