Forfeitures in Pennsylvania

Underwriting Considerations

Insuring titles containing forfeitures is considered an extra-hazardous risk.

Applicable to all forfeitures, civil or criminal, under State or Federal Law:

1. All owners and lienholders have entered an appearance in the court case giving rise to the forfeiture and have filed a consent to the forfeiture; or
2. All owners will give deeds to the buyers and all lienholders have or will file lien releases in the county records; or
3. A combination of 1 and 2. (All owners need to have either consented or will need to give a deed and all lienholders either need to consent or have filed releases.)

• The Policy will be limited to the purchase price paid for the property.
• Only standard owners and/or loan policy policy will be issued.
• Owner's policy may not delete any standard exceptions.

If forfeiture appears in back title, i.e. the current owner's title shows a prior owner who acquired it from the state, local or Federal government after a forfeiture, title may be insured if 1) the time period for adverse possession (21 years in Pennsylvania) has passed from the date of the deed from the state, local, or Federal government, and 2) all liens of the owner whose title was forfeited have expired under applicable law.

See NB 2019-01 for further information.

State Forfeiture

Pennsylvania's civil asset forfeiture statutes were revised in 2017. The current statutes can be found at 42 Pa.C.S. §§ 5801-5808. Previous forfeiture actions may refer to 42 Pa.C.S. §§ 6801-6802 (repealed).