                                 CODE OF VIRGINIA

LIEN FOR CHARGES (§ 15.2-5431.27)

A. There shall be a lien upon real estate for the amount of any fees other
charges by an authority to the owner or lessee or tenant of the real estate for
the use and services of any system of the authority by or in connection with the
real estate from the time when the fees, rents or charges are due, and for the
interest which may accrue thereon. Such lien shall be superior to the interest
of any owner, lessee or tenant of the real estate and rank on a parity with
liens for unpaid real estate taxes. An authority may contract with a locality to
collect amounts due on properly recorded liens in the same manner as unpaid real
estate taxes due the locality. A lien for delinquent rates or charges applicable
to three or fewer delinquent billing periods not exceeding 30 days each may be
placed by an authority if the authority or its billing and collection agent (i)
has advised the owner of such real estate at the time of initiating service to a
lessee or tenant of such real estate that a lien will be placed on the real
estate if the lessee or tenant fails to pay any fees, rents or other charges
when due for services rendered to the lessee or tenant; (ii) has mailed to the
owner of the real estate a duplicate copy of the final bill rendered to the
lessee or tenant at the time of rendering the final bill to such lessee or
tenant; and (iii) employs the same collection efforts and practices to collect
amounts due the authority from a lessee or a tenant as are employed with respect
to collection of such amounts due from customers who are owners of the real
estate for which service is provided.

B. The lien shall not bind or affect a subsequent bona fide purchaser of the
real estate for valuable consideration without actual notice of the lien until
the amount of such fees, rents and charges is entered in a judgment lien book in
the office where deeds may be recorded in the locality in which the real estate
or a part thereof is located. The clerk in whose office deeds may be recorded
shall make and index the entries therein upon certification by the authority,
for which he shall be entitled to a fee of $2 per entry, to be paid by the
authority and added to the amount of the lien. The authority shall give the
owner of the real estate notice in writing that it has made such certification
to the clerk.

C. The lien on any real estate may be discharged by the payment to the authority
of the total lien amount, and the interest which has accrued to the date of the
payment. The authority shall deliver a certificate thereof to the person making
the payment. Upon presentation of such certificate, the clerk having the record
of the lien shall mark the entry of the lien satisfied, for which he shall be
entitled to a fee of $1.

HISTORY: 2003, c. 643.