§ 25-2192.Issue between owner and encumbrancer; order; effect.
Article 21: Special Proceedings and Actions · Not amended since original codification · Last verified July 22, 2026
Full Text of § 25-2192
Source
R.S.1867, Code § 825, p. 540; R.S.1913, § 8308; C.S.1922, § 9260; C.S.1929, § 20-2192; R.S.1943, § 25-2192.
Plain-English Summary
When an owner objects to an encumbrance and the retained or invested proceeds sit waiting under the preceding section, someone still has to resolve the underlying disagreement. Section 25-2192 gives the court the means to do it: the court may direct an issue to be made up between the encumbrancer and the owner.
Framing an issue this way turns a loose dispute into something a court can adjudicate directly, and the statute makes clear the resulting decision carries weight — it is decisive of the respective rights of the owner and the encumbrancer. Once resolved, the court has the determination it needs to release the retained proceeds appropriately.
Frequently Asked Questions
How does a dispute between an owner and an encumbrancer get resolved?
The court may direct that an issue be made up between them for adjudication.
Is the court’s resolution of that issue final between the two parties?
Yes. The statute states it is decisive of their respective rights.
When does this section come into play?
After an owner has objected to paying an encumbrance and the proceeds are being held or invested under the preceding section.
Does the court have to direct such an issue, or is it optional?
The statute says the court may direct it, leaving the decision to the court.
What happens to the encumbrance proceeds while this issue is being resolved?
They remain retained or invested under the preceding section until the issue is decided.
Does resolving this issue affect distribution of the rest of the partition proceeds?
No. A separate section in this article keeps encumbrance disputes from delaying distribution of shares that are not affected by them.