                                 CODE OF VIRGINIA

RECORDATION; NOTICE OF SALE; PREFERENCES PROHIBITED (§ 8.01-525.1)

Whenever a deed of assignment for the benefit of creditors is executed, the deed
shall be recorded. If no notice of the sale has previously been given, the
trustee named in such deed, or the one substituted in the manner prescribed in
this article, before selling under the deed of assignment, shall, at least 10
days before the sale, notify each of the creditors named in the deed by
certified mail, return receipt requested, advising of (i) the execution of such
sale; (ii) when, where, and how the sale will be held; (iii) the terms of such
sale; and (iv) whether or not the deed provides that acceptance shall be in full
satisfaction. No creditor shall be preferred in the deed except those given a
lien or preference by law, or those having a valid lien upon the property
conveyed, or some part of such lien, and those having a lien shall be preferred
only to the extent of the value of the property upon which they have a lien.

HISTORY: 1924, p. 657; Michie Code 1942, § 5278b; Code 1950, § 55-156; 2019,
c. 712.