Lis Pendens on Your California Home: What It Means and How to Clear It

What Is a Lis Pendens in California, and Can You Still Sell Your Home?

A lis pendens is a notice recorded in public records that signals an active lawsuit could affect who owns a property. In California, it doesn't legally stop a sale from happening, but it effectively does, because most conventional buyers and mortgage lenders won't proceed until it's resolved. There are three legal routes to remove one, and the faster you pursue the right one for your situation, the more of your timeline you protect.

By Paul Blair | October 28, 2026

You're preparing to sell your Hollywood Hills home, and the preliminary title report comes back with something unexpected: a lis pendens, recorded several months earlier when a contractor filed a lawsuit over disputed work on a renovation project. Your escrow officer explains the problem. Most conventional buyers won't proceed. Most lenders won't underwrite a loan against a property under litigation. The deal you'd planned is now on hold.

This comes up more than people expect in the Los Angeles market. Divorce proceedings, contested estates, contract disputes from a failed purchase, boundary fights with neighbors, contractor lawsuits on canyon or hillside renovation projects. Any of these can produce a lis pendens. Once one is recorded at the county recorder's office, it follows the property and clouds every transaction until it's resolved.

Here's what it actually means, and how sellers and buyers navigate it.

What "Lis Pendens" Actually Means

Lis pendens is Latin for "suit pending." It's a notice recorded in public property records that alerts anyone researching a property's title that there's active litigation that could affect ownership of that property. In California, the governing law lives in Code of Civil Procedure sections 405.20 through 405.61.

Unlike a lien, a lis pendens is not a money claim. It doesn't say someone is owed a specific dollar amount. It says: this property is the subject of a lawsuit, and whoever buys it buys subject to whatever the court decides.

That's the problem. If the claimant wins, a buyer who purchased after the notice was recorded could lose the property or their interest in it. That risk makes conventional buyers walk away, and it makes mortgage lenders refuse to lend. Title insurance companies won't insure a clean title against an active lis pendens without a court order clearing it first.

It's also worth distinguishing from what you may have heard about liens at escrow. A lien, such as a mechanic's lien, judgment lien, or property tax lien, is a financial claim that gets paid off through escrow proceeds when you sell. A lis pendens isn't paid off. It's tied to the outcome of a lawsuit. That's what makes it more complicated to resolve.

How It Gets on Your Title

Any party to litigation that claims a real property interest can record a lis pendens. California allows it when the underlying lawsuit involves a "real property claim," meaning the court's ruling could affect title to or the right to possess real property.

Common triggers in Los Angeles include:

• Divorce or legal separation, where the family home is in dispute and one spouse records a lis pendens to protect their interest
• A failed purchase contract, where a buyer who backed out or was refused a sale files suit to compel the transaction and records a notice to cloud the title
• Probate disputes among heirs over who has the right to sell an inherited property
• Boundary and easement fights with neighboring properties
• Contractor or construction lawsuits where the claimant asserts their work created a property interest, not just a payment dispute
• Fraudulent transfer claims in bankruptcy or estate cases

An important nuance: a creditor who is simply owed money but has no underlying claim against the property itself generally cannot validly record a lis pendens. That distinction matters because it's also the primary basis for getting one expunged.

What It Does to Your Sale

When a lis pendens is recorded, it shows up on the preliminary title report as a Schedule B exception. That's the section of the prelim that lists outstanding matters affecting title. Your buyer's agent will see it. Your buyer's lender will see it. In most cases, the transaction stops there.

Conventional buyers on financing can't close with a lis pendens on title. Their lender's underwriting guidelines require clean title, and active litigation that could unwind the transaction qualifies as a title defect. There's no workaround in the loan approval process.

Cash buyers can close, but they're pricing in the legal exposure. Depending on the nature of the underlying dispute, the dollar amounts at stake, and how far along the litigation is, you may face offers well below market. The buyer is taking on risk you haven't resolved, and they'll discount for it.

That leaves three paths: resolve the lis pendens before you list, negotiate a settlement with the claimant that allows it to be withdrawn, or proceed with a cash buyer who is willing to take on the exposure at the right price.

Three Ways to Clear a Lis Pendens in California

Option 1: Voluntary Withdrawal

If the party who recorded the lis pendens agrees to release it, they can file a notice of withdrawal under Code of Civil Procedure section 405.50. This typically happens as part of a negotiated settlement, or when the recording party determines their case doesn't actually involve a qualifying property claim. The withdrawal must be signed (typically with notarization) and recorded at the same county recorder's office where the original notice was filed.

This is the fastest and least expensive route when a settlement is achievable. Disputes that started as posturing, or that involved a misunderstanding about what the claimant was actually owed, often resolve this way once both sides understand the effect on the property transaction.

Option 2: Motion to Expunge

A property owner can ask the court to expunge the lis pendens. The motion is governed by CCP sections 405.30 through 405.33. Grounds for expungement include:

• The claimant's underlying lawsuit doesn't qualify as a "real property claim" under California law
• The claimant can't demonstrate probable validity for the claim
• The claim is for money damages alone, with no direct effect on title or possession

A successful expungement motion removes the notice from title. Under CCP section 405.38, the court may also award attorney's fees to the property owner who brought the successful motion. That provision exists precisely because lis pendens filings are sometimes used as leverage or harassment rather than legitimate legal protection.

This route requires an attorney and a court hearing. Timeline depends on the court's calendar and the complexity of the underlying case, but it's often the right move when the claimant's underlying case is weak or their property claim doesn't hold up legally.

Option 3: Undertaking (Posting a Bond)

Under CCP section 405.33, a court can require the claimant to post an undertaking, a cash bond or surety, as a condition of maintaining the lis pendens. If the claimant fails to post the required undertaking by the court's deadline, the lis pendens is automatically expunged under section 405.34.

In some situations, the property owner can also post a bond that substitutes for the property as the security for the claim. This releases the lis pendens from title and lets a sale proceed while the underlying lawsuit continues, with the bond serving as the defendant's security instead of the property itself. Whether this approach is available and at what cost depends on the dollar amount of the underlying claim and the court's analysis of the situation.

If you're selling a property in Los Angeles and a lis pendens is holding up your transaction, the path forward depends on the specifics of the underlying lawsuit and the claimant's position. I work with sellers navigating exactly these situations across the Hollywood Hills, Beverly Hills, Bel Air, and the Westside. You can start with a home valuation, or reach out directly through the contact page.

What Doesn't Work

Waiting it out is rarely a strategy. A California lis pendens doesn't have an automatic expiration date. It stays on title until the lawsuit resolves or a court removes it. In contested litigation, that can take years.

Selling "as-is" doesn't change your disclosure obligation either. California's seller disclosure requirements apply regardless of sale terms. If you know a lis pendens is recorded against your property, you're required to disclose it in the Transfer Disclosure Statement and the Seller Property Questionnaire. Leaving it out isn't an option.

And hoping a buyer won't notice is not realistic in the LA luxury market. Every serious buyer in this price range has an attorney or transaction coordinator reviewing title before proceeding. It will come up every time.

If You're the Buyer

If you're considering purchasing a property that has a lis pendens on title, you're not just buying the property. You're buying it subject to whatever the court decides in the underlying lawsuit. If the claimant prevails, you could lose the property or face a judgment that affects your ownership. Under California's recording statutes, a buyer who purchases after a lis pendens is recorded takes the property with constructive notice of the litigation.

This doesn't mean you should never buy a property with a lis pendens. It means you need to understand the lawsuit, evaluate the strength of the claimant's position, and price your offer accordingly. Conventional financing is typically off the table. Title insurance may be unavailable or limited. A real estate attorney should review the underlying case before you make an offer.

Cash investors who specialize in these situations exist and close transactions regularly. They move fast, negotiate on price, and accept the legal risk as part of their model. If you're a traditional owner-occupant buyer, a property with a lis pendens is usually the wrong purchase unless and until the notice is cleared.

The lis pendens situations I see most often in the LA market stem from contested estates on high-value properties where heirs can't agree, contractor disputes on renovation projects that escalated past what either side expected, and divorce proceedings where the family home sits in the middle of a bitter split. In each case, the resolution path is clear once you understand which legal mechanism fits the underlying dispute. The sooner you identify the right route, the more of your timeline and your sale you can protect.

Frequently Asked Questions

What is a lis pendens in California real estate?

A lis pendens is a notice recorded at the county recorder's office that alerts buyers and lenders to active litigation that could affect who owns a property. In California, it's governed by Code of Civil Procedure sections 405.20 through 405.61. It doesn't legally prevent a sale, but it effectively stops most conventional buyers and mortgage lenders from proceeding.

Can you sell a house with a lis pendens in California?

You can legally sell a property with a lis pendens on title, but in practice most conventional buyers and lenders won't proceed. Cash buyers may make offers, but they'll price in the legal risk, often significantly below market value. The better path in most cases is to resolve the lis pendens before listing, either through settlement, a court motion to expunge, or a bonding arrangement.

How long does a lis pendens stay on title in California?

A California lis pendens doesn't expire automatically. It remains on title until the underlying lawsuit is resolved, the party who recorded it voluntarily withdraws it, or a court orders it expunged. In contested litigation, this can take months or years.

How do you remove a lis pendens in California?

California law provides three main routes: voluntary withdrawal by the party who recorded it (CCP section 405.50), a court order of expungement through a motion to expunge (CCP sections 405.30-405.33), or posting an undertaking or bond that satisfies the court's conditions for continuing the notice. A successful expungement motion can also entitle the property owner to attorney's fees under CCP section 405.38.

Does a lis pendens show up on a preliminary title report?

Yes. A lis pendens recorded against a property will appear on the preliminary title report as a Schedule B exception, flagging it as an outstanding matter affecting title. Buyers, lenders, and title insurance underwriters will all see it before any transaction closes. If you haven't reviewed your preliminary title report recently, that's the first step.

About Paul Blair

Paul Blair is the founder and broker of Grey Square, a virtual real estate brokerage representing buyers and sellers across Dallas, Los Angeles and Houston. With 22 years in the business, Paul works the full range of the market, from luxury homes in the Park Cities and Preston Hollow to estates in the Hollywood Hills and across the Westside. Connect with Paul and the Grey Square team at greysq.com. TX TREC #9011505 · CA DRE #01792671.