Disclaimer: This article is for educational purposes only and does not constitute legal advice.
Step 1: Verify Eligibility and Deadlines
Under Georgia law, anyone entitled to surplus funds from a foreclosure sale must act quickly. O.C.G.A. §23-2-114 requires you to file a petition within one year of the sale date. If you miss this deadline, the court may refuse your claim.
O.C.G.A. §23-2-114
Step 2: Gather Required Documentation
- Foreclosure case number and county of sale
- Copy of the foreclosure judgment and sale certificate
- Proof of your interest (e.g., deed, lien, assignment)
- Calculation of the surplus amount (sale price minus secured debts and costs)
Step 3: Draft the Petition for Distribution of Surplus Funds
Your petition should include:
- Caption: Name of court, case number, parties.
- Statement of Facts: Describe the property, sale date, sale price, and surplus amount.
- Basis of Claim: Explain your legal right to the surplus (owner, junior lienholder, etc.).
- Verification: A signed affidavit under oath confirming the truth of your statements.
- Exhibits: Attach certified copies of the foreclosure judgment, sale certificate, and proof of your interest.
Step 4: File with the Clerk of Superior Court
Submit the original petition and all attachments to the Clerk of the Superior Court in the county where the foreclosure sale occurred. Pay the court’s filing fee (varies by county). Request a file-stamped copy for your records.
Step 5: Serve Notice and Attend the Hearing
After filing, serve a copy of your petition on all interested parties (e.g., trustee, junior lienholders) according to O.C.G.A. §44-14-162. The court will schedule a hearing, often within 30–45 days.
Step 6: Obtain the Court Order and Receive Funds
At the hearing, present your evidence. If the court finds you are entitled to the surplus, it will issue an order directing the clerk to disburse the funds. The clerk will issue a check payable to you or your attorney.
Helpful Hints
- Review county-specific local rules for additional filing requirements.
- Keep detailed records of all communications and filings.
- Consider working with a title examiner or paralegal to verify liens.
- Confirm mailing addresses for all parties to ensure valid service.
- Prepare for the hearing by organizing clear, concise evidence.