Except as otherwise provided by statute, the levying officer may not release, sell, or otherwise dispose of the personal property described in the demand before the expiration of 30 days after service of the demand on the secured party or lienholder.
§ 720.540.Release, Sale Or Disposal Property Described In Demand
Title 9. Enforcement of Judgments · Division 4 · Chapter 5. Creditor's Demand for Third-Party Claim by Secured Party or Lienholder · Enacted 1982 · no amendments on record · Last verified July 28, 2026
In one sentenceSection 720.540 bars the levying officer from releasing, selling, or otherwise disposing of the personal property named in the demand until 30 days after service of the demand on the secured party or lienholder, unless another statute says otherwise.
Full Text of § 720.540
Plain-English Summary
This short section protects the secured party's window to respond. Once the creditor's demand has been served, the levying officer has to hold the described property — no release, no sale, no other disposal — for a full 30 days from that service date.
That waiting period lines up exactly with the deadline § 720.530 requires the demand to disclose: the same 30 days the secured party has to file a third-party claim under § 720.210 before risking a waiver of priority under § 720.550. The officer's hold makes that deadline meaningful — without it, the property could be gone before the secured party ever had a real chance to act.
The opening clause leaves room for other statutes to override this hold when they specifically say so, but absent such an exception, the 30-day freeze applies automatically once the demand is served.
Frequently Asked Questions
How long must the levying officer hold the property after serving the demand?
At least 30 days from the date the demand was served on the secured party or lienholder.
What can the levying officer not do during that period?
Release, sell, or otherwise dispose of the personal property described in the demand.
Are there exceptions to this waiting period?
Yes. Section 720.540 applies except as otherwise provided by statute.
Amendment History
Added by Stats. 1982, Ch. 1364, Sec. 2. Operative July 1, 1983, by Sec. 3 of Ch. 1364.
Source & verification. Section text is reproduced verbatim from
the Deering's California Codes Annotated / vLex. Enacted by the California Legislature.
Last verified July 28, 2026.
· Official source
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