Which lien is created automatically by statute and can affect multiple properties?

• A. Statutory Lien
• B. Equitable Lien
• C. Mortgage Lien
• D. Mechanic's Lien

Answer: (A)

A statutory lien is created automatically by statute to secure payment of certain obligations, most commonly property taxes and special assessments. Because the law attaches the lien to all real property the delinquent owner has within the taxing jurisdiction, it can affect more than one parcel—any property owned in that area can be encumbered until the debts are paid. No separate agreement or filing is needed to create the lien itself; it exists by operation of law once the obligation is due. In contrast, equitable liens arise from court orders or agreements and apply to specific property involved, a mortgage lien comes from a mortgage contract, and a mechanic's lien is typically established by filing a claim related to work on a particular property.