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S & R Associates v. Lynn Realty Corp.

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NOT FOR PUBLICATION WITHOUT THE APPROVAL OF THE APPELLATE DIVISION

Submitted: November 27, 2000

This appeal presents an issue of first impression for the appellate courts of this State, namely whether tax liens arise and tax sale certificates are valid when the underlying taxes were unpaid during the time the mortgage on the premises was in default and the Federal Deposit Insurance Corporation (FDIC) held the mortgage. The motion judge held that the tax liens were invalid. We also address whether the motion judge reasonably imposed counsel fees on the holder of the contested tax sale certificate when it refused to consent to reopen the judgment of foreclosure on the tax sale certificate. We reverse both orders.

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