Columbus Investments v. Lewis

Summary

The Colorado Supreme Court held that the original holders of a promissory note and deed of trust assigned all interests entitling them to notice of a pending tax deed when they recorded an assignment conveying all right, title, and interest to a bank as collateral. Because the county treasurer properly relied on the recorded interests and notified the bank rather than the original holders, the court reversed the court of appeals and remanded for summary judgment in favor of Columbus Investments.

Holdings

1. The McClellands assigned to Norwest all of the interest that would have entitled them to notice under section 39-11-128(1)(a); the fact that the assignment also served as collateral did not preserve their notice interest.
2. The county treasurer properly relied on the interests of record at the time of her inquiry and was not required to investigate whether the comprehensive assignment was merely a security arrangement.
3. The tax deed was not void for failure to notify the McClellands, and Columbus Investments was entitled to summary judgment.

Questions Presented

1. Whether the McClellands retained an interest in the real property requiring notice under Colorado Revised Statutes section 39-11-128(1)(a) after assigning all of their right, title, and interest in the note and deed of trust to Norwest as collateral.
2. Whether the county treasurer properly relied on the recorded interests identified in the title search when issuing notice of the pending tax deed.
3. Whether the tax deed was void because the McClellands did not receive notice.

Disposition

reversed_and_remanded