Elderly Couple’s House Auctioned Off for Unpaid $1.63 Bill

By Anastacia Mott Austin

In 2000, Louisiana couple Kermit and Dolores Atwood were shocked to learn that the home they owned had been sold three years earlier to a land company at a sheriff’s auction.

They were even more surprised to find out why.

The "seven years of emotional hell" they’ve been through since that day all began in 1996, when a property tax bill was mailed to them. The amount in question: $1.63. That’s right – one dollar and sixty-three cents.

They never received the bill. Their rural post number had been changed to a street address after the area’s 911 phone system was put into place. They were still at the exact same residence, but the previous address was now defunct. The bill was returned to the local sheriff’s office as undeliverable.

In addition, they found out about the sale just seven days after the redemption period had expired. During this period, homeowners can contest the sale of their homes.

"The sheriff’s office could have easily found us," said Dolores Atwood, 69, to reporters at The Times Picayune. "We were in the phone book. We didn’t go anywhere."

The couple complained to the local tax assessor, Patricia Schwarz Core, who was able to have the state tax commission office void the sale. Because the bill had been mailed to a defunct address, the Atwoods were not responsible for a bill they never received. Or so they thought.

"We thought it was over and everything was fine," said Dolores Atwood.

But it wasn’t. The Atwoods decided to sell their home in 2002, and had received an offer on the home when they discovered there was "a notice of pending litigation" attached to their property.

The Jamie Land Co. had purchased the property from the original buyer of the home, and had not received any notice from the tax commission office when the sale of the house was nullified. James Lindsay II, the owner of the Jamie Land Co., sued both the tax commission and the Atwoods.

Because there was a pending lawsuit and the title of the home was in question, the Atwoods were unable to sell their home.

And then their situation got even worse. In 2005, Hurricane Katrina hit, and trees fell onto the house. Since the lawsuit was still pending, "…we didn’t have clear title, [and] we couldn’t qualify for Road Home or a mortgage to fix our home," said Dolores to reporters.

The house remained in disrepair because the Atwoods had no way to pay for repairs.

In May of 2006 they thought they had finally reached the end of their troubles, when Judge Patricia Hedges ruled to uphold the decision by the tax commission to void the tax sale of the house. But James Lindsay appealed the decision, and they were returned to the limbo they had endured for so long.

In June of this year, an appeals court upheld Judge Hedge’s ruling. Dolores and Kermit Atwood hope this is the end of their troubles. James Lindsay has vowed to take the case to the State Supreme Court, after the appeals court refused to re-hear the case.

Lindsay claims, "I have rights too," saying that while he has sympathy for the couple, he owes money for court costs and needs to be reimbursed.

But Dolores Atwood has had enough. She is now living in a FEMA trailer on the damaged home’s lot, while Kermit, 71, lives with relatives because of his medical needs. "I don’t know how much more I can endure," she told reporters. "I wake up in the middle of the night, and it’s on my mind."

As for Lindsay’s offer to settle the case for $5,000, Dolores says, "I don’t owe him 50 cents, not with what he’s put me through."

Unfortunately, with Lindsay pushing the case forward, the Atwoods can’t put the awful situation behind them.

Seven years in untold court costs, worry, and time spent later, Dolores Atwood just wants it to be over.

She says, "All this should never have happened."

UPDATE (7-23-07): After reading of the Atwoods’ plight, an anonymous donor has stepped forward to pay the court costs of the Jamie Land Co., and James Lindsay II has agreed to drop his appeal. This finally settles the case, and the Atwoods now have clear title to their home. Said Dolores to reporters, "I don’t even know who to thank. But I’m relieved and happy that this is finally over."