Texas Court of Appeals Finds Mortgage Servicer Wasn’t Property Tax Lien Transferee

The Texas Court of Appeals March 31 found that Ovation Services wasn’t a property tax lien transferee. Ovation was a mortgage servicer for FGMS Holdings, a tax-transfer lender. A tax lien was transferred to FGMS from MLS, LLC. A school district filed a tax collection lawsuit. FGMS filed a deed without evidencing how it acquired its interest. The trial court ordered the property’s tax sale. Ovation appealed, contending it was entitled to notice of the suit. MLS then executed a lien transfer to retroactively establish a title chain from MLS to FGMS and Ovation. The appeals court found: 1) MLS ...