The City of Philadelphia’s appeal in the ongoing Federal Court litigation concerning the constitutional validity of PGW liens related to tenant accounts was successful.
Plaintiffs in this action had until yesterday, February 5, 2019 to file their Writ of Certiorari to the U.S. Supreme Court.
Per the bulletin published June 23, 2017, all Pennsylvania title agents should submit “proof to PGW in all matters where the certifications from PGW showed zero or no debt due on a tenant account or when the certification specifically set out this requirement with respect to listed lien numbers.”
PGW has certified that the following will be accepted as proof of closing to vacate these items:
A fully executed Closing Disclosure
A fully executed ALTA Settlement Statement
A recorded deed (in event of resale)
A recorded mortgage (in event of refinance)
A notarized statement
It will be interesting to see where this lands. As a PA Title Company, the days of explaining to a seller that PGW liens had to be paid due to a tenant not paying their gas bills were brutal. Hopefully, the landlord-tenant exemption will remain for the sake of the landlord. Updates to follow.
More on this issue in past blogs see below: