Allodial title constitutes ownership of real property (land, buildings and fixtures) that is independent of any superior landlord. In common legal use, allodial title is used to distinguish absolute ownership of land by individuals from feudal ownership, where property ownership is dependent on relationship to a lord or the sovereign. Webster's first dictionary (1825 ed) says "allodium" is "land which is absolute property of the owner, real estate held in absolute independence, without being subject to any rent, service, or acknowledgment to a superior. It is thus opposed to "feud."
True allodial title is rare, with most property ownership in the common law world—primarily, the United Kingdom, the United States, Canada, Australia, New Zealand and the Republic of Ireland—described more properly as being in fee simple. In particular, land is said to be "held of the Crown" in England and Wales and the Commonwealth realms. In England, there is no allodial land, all land being held of the Crown; in the United States, all land is subject to eminent domain by the federal government, and there is thus no true allodial land. Some states within the US (notably Nevada and Texas) have provisions for considering land allodial under state law, but such land remains rare. Some of the Commonwealth realms (particularly Australia) recognize native title, a form of allodial title that does not originate from a Crown grant. Some land in the Orkney and Shetland Islands, known as Udal land, is held in a manner akin to allodial land in that these titles are not subject to the ultimate ownership of the Crown.
Limited
allodial title
Two states, Nevada and Texas, created
limited allodial title provisions in order to protect property owners from the
burden of highly increased property taxes which often occur when unincorporated land becomes part of a town or
city.Nevada allowed persons who owned and lived in single family residences to obtain allodial title if the property was not mortgaged and had no tax liens. Allodial titles were subject to exemptions from seizure in debt or bankruptcy under homestead laws; however, property could be seized if used in a criminal enterprise. The Nevada Legislature in 2005 prohibited applications by property owners for allodial title after June 13, 2005.
Other institutional property ownership can also be called allodial, in that property granted for certain uses is held absolutely and cannot be alienated in most circumstances. For example, universities and colleges that hold property for educational purposes can be described as having allodial title. In most states, property held by churches for the purpose of worship also has status similar to allodial title. American Indian reservations also share some similarity with allodial title. However, in all these cases, it is also clear that if the title ceases to be used for the purposes for which it was granted, it reverts to the state or the federal government.
[edit] Nevada
In 1997, the Nevada Legislature
created a new section of statutes within the property tax statutory scheme.
Nevada Revised Statutes (NRS) 361.900 to 361.920.[4] These statutes, which are
entitled "Allodial Title," became effective on July 1, 1998.Those who can apply for allodial title are limited: A person who owns and occupies a single-family dwelling, its appurtenances and the land on which it is located, free and clear of all encumbrances, except any unpaid assessment for a public improvement, may apply to the county assessor to establish allodial title to the dwellings, appurtenances and the land on which it is located. One or more persons who own such a home in any form of joint ownership may apply for the allodial title, jointly if the dwelling is occupied by each person included in the application.
After the county assessor receives the application, he transfers it to the state treasurer.[4]
The state treasurer then determines the amount which is required to be paid by the property owner to establish allodial title. This is done by using "a tax rate of $5 for each $100 of assessed valuation on the date of the application.". The treasurer must calculate, separately, the amount that must be paid in a lump sum, and for the payment in installments over a period of not more than 10 years. Id. These
amounts must be calculated to the best ability of the state treasurer so that the money paid plus the interest or other income earned on that money will be adequate to pay all future tax liability of the property for a period equal to the life expectancy of the youngest titleholder of the property.[4]
State
of Nevada Allodial Title Program
Nevada has a formal program for the establishment
of Allodial Title (we have been informed that Nevada may have now eliminated
the process!).
Allodial Title was reinitiated into Nevad in 1997
when the legislature passed a bill that authorized the Allodial Title Program.
The Allodial Title Program allowed payment of taxes on real property in advance
and set up a situation where ultimately the property would not experience any
tax debt. A fund would be created from the income.
Got to www.nv.gov and search under the legislative
branch leg.state.nv.us
The Nevada Treasurer Lists the Allodial Program As
Follows: NRS 361.905 Duties of state treasurer and county assessor upon
issuance of certificate; payment of taxes; deficiencies.
1. Immediately upon the issuance of a certificate
of allodial title, the state treasurer shall transmit a copy of the certificate
to the county assessor of the county in which the property is located.
2. Upon receipt of such a certificate, the county
assessor shall make a notation on the tax roll and collect no further taxes
from the allodial titleholder for the property, unless the allodial title
is relinquished by the homeowner or his heirs.
The Nevada program charges a $25 application fee
and 5% of the value of the property for establishing and recording Allodial
Title on personal single family residences. While the program has some dubious
principles for inheritance and transfer with automatic relinquishing of
Allodial Title under certain inheritance or transfer events, the important
factor is to recognize that at least one State is recognizing the fact of and
right to Allodial Title.
NEVADA REVISED STATUTES 2005 - CHAPTER 115 -
HOMESTEADS http://www.leg.state.nv.us/Nrs/NRS-115.html for example states:
4. If allodial title has been established and not
relinquished, the exemption provided in subsection 1 extends to process to
enforce the payment of obligations contracted for the purchase of the property,
and for improvements made thereon, including any mechanic’s lien lawfully
obtained, and for legal taxes levied by a state or local government, and for:
(a) Any mortgage or deed of trust thereon; and
(b) Any lien even if prior consent has been given
through the acceptance of property subject to any recorded declaration of
restrictions, deed restriction, restrictive covenant or equitable servitude,
specifically including any lien in favor of an association pursuant to NRS
116.3116 or 117.070, Ê unless a waiver for the specific obligation to which the
judgment relates has been executed by all allodial titleholders of the property
No comments:
Post a Comment