Cancellation by acquisition is?

• A. If municipality owns the property before filing for foreclosure, it may cancel the tax certificate by resolution.
• B. Only with a court order.
• C. Never allowed.
• D. Only if the property is sold.

Answer: (A)

Cancellation by acquisition happens when the municipality has already acquired ownership of the property before starting foreclosure, so it can cancel the tax certificate by passing a resolution. Since the municipality owns the property, there’s no need to go through foreclosure or obtain a court order—the governing body can simply resolve to cancel the certificate. This isn’t about a sale to someone else, and it isn’t forbidden; it’s the mechanism for stopping the tax certificate when the property is already in municipal hands.