Any action, suit, or proceeding attacking or contesting the validity of any deed issued
under the provisions of this division, or the validity of the proceedings subsequent
to the issuance of the certificate of sale, shall be brought within 12 months after
the issuance of the deed, and if the validity of the deed or of the proceedings is
not contested within that 12 months' period, it shall not be thereafter contested
or questioned in any action, suit, or proceeding, except that an action, suit, or proceeding with respect to any deed of owner-occupied
residential property may be brought within 12 months after discovery of the issuance
of the deed or, for owner-occupied residential property sold between January 1, 1969,
and January 1, 1979, within 12 months after the enactment of the amendments to this
section made during the 1981-82 Regular Session of the Legislature.
A defense to a proceeding pursuant to this section shall be that the current owner
of record is a bona fide purchaser for value.
The Legislature finds and declares that the court of appeal in Atkins v. Kessler, 97 Cal.App.3d 784, held that under the former provisions of this division the statute of limitations
in this section could not be raised against an owner in possession of residential
real property during the entire period of delinquency and sale because due process
was violated. It is therefore the intent of the Legislature that the amendments to this section
made during the 1981-82 Regular Session of the Legislature shall be applied retrospectively
with respect to any owners in possession of residential real property during the entire
period of delinquency and at the time of the sale whose homes were sold pursuant to
this act between January 1, 1969, and January 1, 1979.
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