Is it true or false that a completed sheriff's sale will discharge a lien?

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A completed sheriff's sale does indeed discharge a lien. When a property is sold at a sheriff's sale, the proceeds from that sale are generally used to pay off existing liens on the property. As part of the sale process, when a lienholder receives their portion of the proceeds, the lien is considered satisfied. This means that the lien is no longer attached to the property because the debt it represented has been paid off through the sale.

This principle is grounded in real estate law and helps to clarify ownership and title for the new buyer after the sale. Once the lien is discharged, the new owner of the property can take possession without having to deal with the previous encumbrances that were associated with the prior owner's debts. Therefore, the correct understanding is that a completed sheriff's sale results in the discharge of liens that were associated with the property.

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