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UNION NATIONAL BANK PITTSBURGH v. REDEVELOPMENT AUTHORITY CITY NEW KENSINGTON (06/04/74)

decided: June 4, 1974.

THE UNION NATIONAL BANK OF PITTSBURGH, APPELLANT,
v.
REDEVELOPMENT AUTHORITY OF THE CITY OF NEW KENSINGTON, APPELLEE



Appeal from the Order of the Court of Common Pleas of Westmoreland County in case of Condemnation of 250 Sixth Street, New Kensington, Pennsylvania, by the Redevelopment Authority of the City of New Kensington, Westmoreland County, Pennsylvania, for Redevelopment Purposes, No. 355 October Term, 1972.

COUNSEL

John T. Crum, with him Crum and Crum, for appellant.

No appearance for appellee.

Judges Crumlish, Jr., Wilkinson, Jr. and Blatt, sitting as a panel of three. Opinion by Judge Wilkinson.

Author: Wilkinson

[ 13 Pa. Commw. Page 295]

The matter for disposition in this case is the propriety of the schedule filed by a master appointed under

[ 13 Pa. Commw. Page 296]

    the provisions of Section 521 of the Eminent Domain Code, Act of June 22, 1964, Special Sess., P.L. 84, 26 P.S. ยง 1-521, for disposition of eminent domain damages among lienholders. The total amount of the claims of lienholders was in excess of the amount awarded in damages and, therefore, the order in which the liens were to be paid was critical.

Section 521 of the Eminent Domain Code provides, in pertinent part:

"Distribution of Damages; Liens

". . . It shall be the obligation of the condemnor to properly distribute the damages. If the condemnor is unable to determine proper distribution of the damages, it may, without payment into court, petition the court to distribute the damages and shall furnish the court with a schedule of proposed distribution.

"Notice of the filing of the petition and schedule of proposed distribution shall be given to all condemnees, mortgagees, judgment creditors and other lienholders, as shown in the proposed schedule, in such manner as the court may by general rule or special order direct. The court may hear the matter or may appoint a master to hear and report or may order any issue tried by the court and jury as may appear proper under all the circumstances. The court shall thereafter enter an order of distribution of the fund."

The comment of the Joint State Government Commission's 1964 Report stated: ". . . The procedure for distribution is new. Since there will no longer be any requirement under this act that liens be set forth in the petition for viewers or that findings be made as to lienholders and their priority, some procedure is necessary in order that proper distribution be made. It is contemplated that in most cases the condemnor will have obtained the necessary information ...


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