California Codes, Civil Code - CIV, Division 3 — Obligations, Part 4 — Obligations Arising from Particular Transactions, Title 14 — Lien, Chapter 6 — Other Liens, Section 3047
Where a buyer of real property gives to the seller a written contract for payment of all or part of the price, an absolute transfer of such contract by the seller waives his lien to the extent of the sum payable under the contract, but a transfer of such contract in trust to pay debts, and return the surplus, is not a waiver of the lien.
Notes
Sets that when a real-property buyer gives the seller a written contract for payment of all or part of the price, the seller’s absolute transfer of that contract waives the seller’s lien to the extent of the sum payable under it. A transfer of the contract in trust to pay debts and return the surplus does not waive the lien.
Use as reference
Lexinter.net | California Code, Civil Code - CIV § 3047 | https://laws.lexinter.net/codes/california/civil-code/division-3/part-4/title-14/chapter-6/section-3047