§ 11-37-233 — Right of action of bondholder.

Any holder of any improvement bond issued hereunder shall have the right to institute, in the name of the municipality issuing the bond, an action in the district court in the county in which the property is located to foreclose the lien of the assessments whenever the assessments, or any installment thereof, are delinquent for a period of at least six (6) months. The petition for foreclosure shall generally: 1. State the ownership of the bond; 2. Describe the property assessed; 3. Describe the nature of the improvement; 4. Set forth the amount of the unpaid delinquent assessment or installment and penalty thereon at the rate of twelve percent (12%) per annum; and 5. Pray for the foreclosure of the lien. Summons shall be issued on the petition as in other civil actions and the cause tried by the district court. Judgment may be entered on the petition for the amount of the unpaid assessment, or installment, together with interest thereon at the rate of twelve percent (12%) per annum from the date the assessment or installment was due and payable up to the date of the filing of the petition, and for the sum of six percent (6%) interest on the judgment computed from the time of filing the petition until the judgment is paid, together with reasonable attorneys fees. If the judgment, together with interest, costs and attorneys fees, is not paid within six (6) months after the date of the rendition thereof, an order of sale shall issue by the clerk of the court, directed to the sheriff of the county, to sell the real estate in the manner and form as for sale of real estate under execution. Upon the payment of the judgment, the amount thereof exclusive of costs and attorneys fees shall be paid to the municipal treasurer for deposit in the separate, special fund to pay outstanding bonds and interest thereon. The judgment shall provide for the sale of the real estate subject to existing general ad valorem taxes. All owners or encumbrancers shall be made parties defendant in the suit. Upon the institution of an action to collect delinquent and unpaid assessments in any improvement district against property liable therefor, no other or further action shall be instituted and maintained to collect such delinquent assessment against the property for that year.

Legislative History

Laws 1977, c. 256, § 37-233, eff. July 1, 1978.