Can a billboard easement and lease survive a tax sale challenge?  Yes, according to 3018 Pershall, LLC. vs Outfront Media, LLC. Here are the facts.

• In 1990 National Advertising signed a billboard lease on land near I-270 in St Louis.  Outfront acquired National advertising in 1997 and entered into a new lease with the landowner Joseph Afshari.
• In 2010 Joseph Afshari entered into a billboard easement which was eventually assigned to LMRK Propco (‘Landmark”) in 2017.  The easement and assignment of lease documents were recorded.
• Afshari did not pay real estate taxes on the property from 2011 to 2018.  An affiliate of 3018 Pershall, LLC. (“Pershall”) acquired the property in a tax sale in Auguest 2019 and then sold the property to Pershall.
• Pershall sued OUTFRONT in 2021 claiming that the billboard easement and billboard lease should be extinguished by the tax sale.
• A trial courts found that 3018 Pershall was burdened by Landmark’s easement and that the billboard survived the tax sale because it was an improvement within the scope and area of the easement.  In May 2025 the appeals court agreed concluding that under Missouri law recorded easements survive a tax sale and that the easement and lease were properly recorded.

Billboard Insider’s take: Landmark and OUTFRONT won because they had recorded their lease and easement and because Missouri law provides that a recorded lease or easement survives a tax sale.  Record your your leases and easements!  It’s more paperwork and it’s  a hassle but it protects the validity of your billboard or easement.  This case also highlights to importance of knowing state law on tax sales.  If your state allows tax sales to void recorded easements and leases ask your attorney or a member of your staff to track tax sales in the counties where you are operating to avoid being surprised.

We’d like to have our Billboard Insider readers weigh in as to what the law in their state is on whether tax sales extinguish a recorded lease or easement.  Email davewestburg@billboardinsider.com or use the comment box below and we’ll run a followup article.

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