What type of lien arises due to actions of a legislature?

What type of lien arises due to actions of a legislature?

• A. Equitable lien
• B. Specific lien
• C. Statutory lien
• D. General lien

Answer: (C)

A statutory lien arises due to actions taken by a legislature. This type of lien is created by law, often to secure payment for specific obligations or to enforce legal claims against property. Examples include tax liens, mechanic's liens, and other liens that are established by statute to ensure that individuals or entities comply with legal responsibilities, such as paying taxes or completing contracted work. Statutory liens are distinctive because they do not require a voluntary agreement between the parties; instead, they are imposed by law as a means of protecting certain interests or ensuring compliance with public policy. This legal backing helps to give these liens a higher priority compared to some other types of liens that might arise from private agreements or voluntary actions.

A statutory lien arises due to actions taken by a legislature. This type of lien is created by law, often to secure payment for specific obligations or to enforce legal claims against property. Examples include tax liens, mechanic's liens, and other liens that are established by statute to ensure that individuals or entities comply with legal responsibilities, such as paying taxes or completing contracted work.

Statutory liens are distinctive because they do not require a voluntary agreement between the parties; instead, they are imposed by law as a means of protecting certain interests or ensuring compliance with public policy. This legal backing helps to give these liens a higher priority compared to some other types of liens that might arise from private agreements or voluntary actions.