Bulletin: KY2023002

Dear Associates:

The 2023 legislative session produced some relevant statutory changes we wanted to make you aware of. All new and revised statutory provisions become effective on JUNE 29, 2023.

JUDGMENT LIENS

A new provision of the judgment lien statute, KRS 426.720, establishes a ten (10) year statute of limitation for all judgment liens created on or after June 29, 2023. The statute specifies that for these newer liens, the expiration period is ten (10) years after the date the final judgment was entered by the court of record (which may differ from the recording date). For judgment liens already in existence prior to June 29, 2023, the statute of limitations is either ten (10) years from the effective date of the statute, or the original expiration date, whichever is less. For calculation of the expiration date as to liens already in existence, please continue to base that on the recording date of the lien.

Expiration of a judgment lien can be postponed by the filing of a judgment lien enforcement proceeding, or by a notice of judgment lien renewal filed within 120 days of expiration.

KRS 389A APPEAL PERIOD

KRS 389A.010(4) has been amended to replace the “void” provision with “voidable.” Now, a conveyance made within the 30-day appeal period from entry of a court order to sell under this statute will be voidable, rather than void. We may, therefore, consider insuring certain conveyances within the 30 day appeal period, but will review on a case by case basis.

Please familiarize yourself with all provisions of House Bill 83 containing these changes. A copy of the bill can be found HERE.

If you have any questions relating to this or other bulletins, please contact a Stewart Title Guaranty Company underwriter.

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