Tax Liens in NJ

[Dave Versch]

I have a couple of questions regarding tax lien investing, specifically in NJ.

1) If I've been paying subs for a year on a lien I own, and the property owner sneaks in a quarterly payment after a year, can I still foreclose on the 2 year anniversary of the original tax certificate sale, or does that clock get reset because of that one payment?

2) Assuming there are no other lien holders (not even a first mortgage), what happens if the property owner declares bankruptcy while I own the lien (a) prior to foreclosure proceedings, or (b) after foreclosure has been started? Do I lose my entire investment, including any premium paid at the time of the certificate sale?

Thanks.