
From the U.S. Code Online via GPO Access
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[Laws in effect as of January 2, 2001]
[Document not affected by Public Laws enacted between
  January 2, 2001 and January 28, 2002]
[CITE: 28USC2410]

 
               TITLE 28--JUDICIARY AND JUDICIAL PROCEDURE
 
                     PART VI--PARTICULAR PROCEEDINGS
 
              CHAPTER 161--UNITED STATES AS PARTY GENERALLY
 
Sec. 2410. Actions affecting property on which United States has 
        lien
        
    (a) Under the conditions prescribed in this section and section 1444 
of this title for the protection of the United States, the United States 
may be named a party in any civil action or suit in any district court, 
or in any State court having jurisdiction of the subject matter--
        (1) to quiet title to,
        (2) to foreclose a mortgage or other lien upon,
        (3) to partition,
        (4) to condemn, or
        (5) of interpleader or in the nature of interpleader with 
    respect to,

real or personal property on which the United States has or claims a 
mortgage or other lien.
    (b) The complaint or pleading shall set forth with particularity the 
nature of the interest or lien of the United States. In actions or suits 
involving liens arising under the internal revenue laws, the complaint 
or pleading shall include the name and address of the taxpayer whose 
liability created the lien and, if a notice of the tax lien was filed, 
the identity of the internal revenue office which filed the notice, and 
the date and place such notice of lien was filed. In actions in the 
State courts service upon the United States shall be made by serving the 
process of the court with a copy of the complaint upon the United States 
attorney for the district in which the action is brought or upon an 
assistant United States attorney or clerical employee designated by the 
United States attorney in writing filed with the clerk of the court in 
which the action is brought and by sending copies of the process and 
complaint, by registered mail, or by certified mail, to the Attorney 
General of the United States at Washington, District of Columbia. In 
such actions the United States may appear and answer, plead or demur 
within sixty days after such service or such further time as the court 
may allow.
    (c) A judgment or decree in such action or suit shall have the same 
effect respecting the discharge of the property from the mortgage or 
other lien held by the United States as may be provided with respect to 
such matters by the local law of the place where the court is situated. 
However, an action to foreclose a mortgage or other lien, naming the 
United States as a party under this section, must seek judicial sale. A 
sale to satisfy a lien inferior to one of the United States shall be 
made subject to and without disturbing the lien of the United States, 
unless the United States consents that the property may be sold free of 
its lien and the proceeds divided as the parties may be entitled. Where 
a sale of real estate is made to satisfy a lien prior to that of the 
United States, the United States shall have one year from the date of 
sale within which to redeem, except that with respect to a lien arising 
under the internal revenue laws the period shall be 120 days or the 
period allowable for redemption under State law, whichever is longer, 
and in any case in which, under the provisions of section 505 of the 
Housing Act of 1950, as amended (12 U.S.C. 1701k), and subsection (d) of 
section 3720 of title 38 of the United States Code, the right to redeem 
does not arise, there shall be no right of redemption. In any case where 
the debt owing the United States is due, the United States may ask, by 
way of affirmative relief, for the foreclosure of its own lien and where 
property is sold to satisfy a first lien held by the United States, the 
United States may bid at the sale such sum, not exceeding the amount of 
its claim with expenses of sale, as may be directed by the head (or his 
delegate) of the department or agency of the United States which has 
charge of the administration of the laws in respect to which the claim 
of the United States arises. In any case where the United States is a 
bidder at the judicial sale, it may credit the amount determined to be 
due it against the amount it bids at such sales.
    (d) In any case in which the United States redeems real property 
under this section or section 7425 of the Internal Revenue Code of 1986, 
the amount to be paid for such property shall be the sum of--
        (1) the actual amount paid by the purchaser at such sale (which, 
    in the case of a purchaser who is the holder of the lien being 
    foreclosed, shall include the amount of the obligation secured by 
    such lien to the extent satisfied by reason of such sale),
        (2) interest on the amount paid (as determined under paragraph 
    (1)) at 6 percent per annum from the date of such sale, and
        (3) the amount (if any) equal to the excess of (A) the expenses 
    necessarily incurred in connection with such property, over (B) the 
    income from such property plus (to the extent such property is used 
    by the purchaser) a reasonable rental value of such property.

    (e) Whenever any person has a lien upon any real or personal 
property, duly recorded in the jurisdiction in which the property is 
located, and a junior lien, other than a tax lien, in favor of the 
United States attaches to such property, such person may make a written 
request to the officer charged with the administration of the laws in 
respect of which the lien of the United States arises, to have the same 
extinguished. If after appropriate investigation, it appears to such 
officer that the proceeds from the sale of the property would be 
insufficient to wholly or partly satisfy the lien of the United States, 
or that the claim of the United States has been satisfied or by lapse of 
time or otherwise has become unenforceable, such officer may issue a 
certificate releasing the property from such lien.

(June 25, 1948, ch. 646, 62 Stat. 972; May 24, 1949, ch. 139, Sec. 119, 
63 Stat. 105; Pub. L. 85-508, Sec. 12(h), July 7, 1958, 72 Stat. 348; 
Pub. L. 86-507, Sec. 1(20), June 11, 1960, 74 Stat. 201; Pub. L. 89-719, 
title II, Sec. 201, Nov. 2, 1966, 80 Stat. 1147; Pub. L. 99-514, Sec. 2, 
Oct. 22, 1986, 100 Stat. 2095; Pub. L. 101-647, title XXXVI, Sec. 3630, 
Nov. 29, 1990, 104 Stat. 4966; Pub. L. 102-83, Sec. 5(c)(2), Aug. 6, 
1991, 105 Stat. 406; Pub. L. 104-316, title I, Sec. 114, Oct. 19, 1996, 
110 Stat. 3834.)


                      Historical and Revision Notes

                            1948 Act

    Based on title 28, U.S.C., 1940 ed., Secs. 901, 902, 904, 905 (Mar. 
4, 1931, ch. 515, Secs. 1, 2, 4, 5, 46 Stat. 1528, 1529; May 17, 1932, 
ch. 190, 47 Stat. 158; June 25, 1936, ch. 804, 49 Stat. 1921; June 6, 
1940, ch. 242, 54 Stat. 234; Dec. 2, 1942, ch. 656, Secs. 1-3, 56 Stat. 
1026).
    Provisions including the districts of Hawaii and Puerto Rico, and 
the District Court of the United States for the District of Columbia, in 
section 901 of title 28, U.S.C., 1940 ed., were omitted as covered by 
``any district court.'' See section 451 of this title.
    Provisions in section 902 of title 28, U.S.C., 1940 ed., relating to 
process, were omitted as covered by Rule 4 of the Federal Rules of Civil 
Procedure.
    Changes were made in phraseology.

                            1949 Act

    This amendment conforms the language of section 2410(b) of title 28, 
U.S.C., with that of the prior law with respect to service of process 
and complaint upon the United States in suits brought in State courts. 
This is provided for by rule 4(d)(4) of the Federal Rules of Civil 
Procedure with respect to such suits in United States district courts.

                       References in Text

    The internal revenue laws, referred to in subsec. (b), are 
classified generally to Title 26, Internal Revenue Code.
    Section 7425 of the Internal Revenue Code of 1986, referred to in 
subsec. (d), is classified to section 7425 of Title 26.


                               Amendments

    1996--Subsec. (e). Pub. L. 104-316 struck out ``shall so report to 
the Comptroller General who'' after ``unenforceable, such officer'' in 
second sentence.
    1991--Subsec. (c). Pub. L. 102-83 substituted ``section 3720 of 
title 38'' for ``section 1820 of title 38''.
    1990--Subsec. (c). Pub. L. 101-647 inserted at end ``In any case 
where the United States is a bidder at the judicial sale, it may credit 
the amount determined to be due it against the amount it bids at such 
sales.''
    1986--Subsec. (d). Pub. L. 99-514 substituted ``Internal Revenue 
Code of 1986'' for ``Internal Revenue Code of 1954''.
    1966--Subsec. (a). Pub. L. 89-719 substituted ``subject matter--
        ``(1) to quiet title to,
        ``(2) to foreclose a mortgage or other lien upon,
        ``(3) to partition,
        ``(4) to condemn, or
        ``(5) of interpleader or in the nature of interpleader with 
    respect to,''
for ``subject matter, to quiet title to or for the foreclosure of a 
mortgage or other lien upon''.
    Subsec. (b). Pub. L. 89-719 substituted ``complaint or pleading 
shall set forth'' for ``complaint shall set forth'', and inserted 
sentence requiring the complaint or pleading, in actions or suits 
involving liens arising under the internal revenue laws, to include the 
name and address of the taxpayer whose liability created the lien and, 
if a notice of the tax lien was filed, the identity of the internal 
revenue office which filed the notice, and the date and place such 
notice of lien was filed.
    Subsec. (c). Pub. L. 89-719 substituted ``judgment or decree in such 
action'' for ``judicial sale in such action'', ``discharge of the 
property from the mortgage or other lien'' for ``discharge of the 
property from liens and encumbrances'', and ``place where the court is 
situated'' for ``place where the property is situated'', and inserted 
provisions requiring an action to foreclose a mortgage or other lien, in 
which the United States is named as a party under this section, to seek 
a judicial sale, providing that the period of redemption where a sale is 
made with respect to a lien arising under the internal revenue laws is 
120 days or the period allowable for redemption under State law, 
whichever is longer, and prohibiting the right of redemption in any case 
which, under the provisions of section 1701k of Title 12 and section 
1820(d) of Title 38, the right to redeem does not arise.
    Subsecs. (d), (e). Pub. L. 89-719 added subsec. (d) and redesignated 
former subsec. (d) as (e).
    1960--Subsec. (b). Pub. L. 86-507 inserted ``or by certified mail,'' 
after ``registered mail,''.
    1958--Subsec. (a). Pub. L. 85-508 struck out provisions which 
extended section to District Court for Territory of Alaska. See section 
81A of this title which establishes a United States District Court for 
the State of Alaska.
    1949--Subsec. (b). Act May 24, 1949, conformed section with that of 
prior law with respect to service of process and complaint upon the 
United States in suits brought in State courts.


                    Effective Date of 1990 Amendment

    Amendment by Pub. L. 101-647 effective 180 days after Nov. 29, 1990, 
see section 3631 of Pub. L. 101-647, set out as an Effective Date note 
under section 3001 of this title.


                    Effective Date of 1966 Amendment

    Amendment by Pub. L. 89-719 applicable after Nov. 2, 1966, see 
section 203 of Pub. L. 89-719, set out as a note under section 1346 of 
this title.


                    Effective Date of 1958 Amendment

    Amendment by Pub. L. 85-508 effective Jan. 3, 1959, on admission of 
Alaska into the Union pursuant to Proc. No. 3269, Jan. 3, 1959, 24 F.R. 
81, 73 Stat. c16, as required by sections 1 and 8(c) of Pub. L. 85-508, 
see notes set out under section 81A of this title and preceding section 
21 of Title 48, Territories and Insular Possessions.

                  Section Referred to in Other Sections

    This section is referred to in sections 1444, 2409a of this title; 
title 12 section 1017k; title 26 sections 6327, 7424, 7425, 7437, 7810; 
title 38 section 3720.
