SECTIONS 16210-16214

16210.  In the event that the amount secured by the state's lienprovided for in Article 1 (commencing with Section 16180) is paid byreason of the sale or condemnation of the property on which the lienattaches, the funds so received shall be placed in an impound accountfor a period of six months. In connection with the establishment ofsuch an account, the Controller shall release the state's lien in themanner prescribed by Section 16186.16211.  The claimant under Chapter 2 (commencing with Section20581), Chapter 3 (commencing with Section 20625), Chapter 3.3(commencing with Section 20639, or Chapter 3.5 (commencing withSection 20640) of Part 10.5 of Division 2 of the Revenue and TaxationCode whose residential dwelling was sold or condemned may draw uponthe amount in the account to purchase a new residential dwelling, andthe amount so drawn shall be secured by a new lien against the newresidential dwelling from the time the Controller records the newlien against the new residential dwelling as provided for underSection 16182. In the case of real property, the Controller shall subordinate thenew lien to the lien of the note and deed of trust of the purchasemoney obligations used in the acquisition of the new residentialdwelling, provided the claimant has an equity of at least 20 percentof the full value of the property, as required by paragraph (1) ofsubdivision (b) of Section 20583 of the Revenue and Taxation Code,prior to recordation of that subordination. The lien shall havepriority over all subsequent liens, except as provided in Section2192.1 of the Revenue and Taxation Code.16211.5.  (a) In the event that the real property securing the state's lien provided for in Article 1 (commencing with Section 16180) isthe residential dwelling of a claimant under Chapter 2 (commencingwith Section 20581) of Part 10.5 of Division 2 of the Revenue andTaxation Code and is voluntarily sold, the funds derived from thevoluntary sale of the residential dwelling shall be placed in animpound account for a period of six months. In connection with theestablishment of such account, the Controller shall release the state's lien in the manner prescribed by Section 16186. (b) The claimant under Chapter 2 (commencing with Section 20581)of Part 10.5 of Division 2 of the Revenue and Taxation Code whoseresidential dwelling was voluntarily sold may draw upon the amount inthe account to purchase a new residential dwelling, and the amountso drawn shall be secured by a new lien against the new residentialdwelling from the time the Controller records the new lien againstthe new residential dwelling as provided for under Section 16182. The Controller shall subordinate such new lien to the note anddeed of trust of the purchase money obligations used in theacquisition of the new residential dwelling, provided the claimanthas an equity of at least 20 percent of the full value of theproperty, as required by paragraph (1) of subdivision (b) of Section20583 of the Revenue and Taxation Code, prior to recordation of suchsubordination. Such lien shall have priority over all subsequentliens, except as provided in Section 2192.1 of the Revenue andTaxation Code.16212.  An amount drawn pursuant to Section 16211 or 16211.5 shallbe treated as an amount paid pursuant to Section 16180 for allpurposes of this chapter.16213.  At the end of the six-month period specified in Section16210 or the six-month period specified in Section 16211.5, all fundsremaining in an impound account shall be transferred to the GeneralFund.16214.  All moneys in an impound account created pursuant to thisarticle are continually appropriated to the Controller for thepurposes of this article.