Detailed Answer
After a judicial foreclosure sale in Illinois, the Circuit Court clerk collects all proceeds from the property sale. The court applies those proceeds first to senior liens or mortgages, then to costs, fees, and finally to any junior lienholders. Any remaining balance is called the “surplus.” Under 735 ILCS 5/15-1508, the clerk holds surplus funds subject to court order. The clerk must distribute surplus to junior lienholders and, if funds remain, to the former owner. If no party claims the surplus, the clerk continues to hold the funds until a valid claim arises.
Step 1: Obtain the Report of Sale
Visit the clerk’s office or its online portal to request the “Report of Sale” or “Clerk’s Report of Sale” from the foreclosure case. This report breaks down total sale proceeds, payoffs to senior lienholders, court costs, fees, and any surplus amount. If the report shows a positive balance under “Surplus Funds,” funds remain available.
Step 2: Review the Docket Entries
Search the Illinois court e-filing system (illinoiscourts.gov) or visit the clerk’s office to examine docket entries. Look for filings titled “Order for Distribution of Proceeds,” “Notice of Surplus Funds,” or similar. If no entry confirms distribution of surplus, the funds may still be unclaimed.
Step 3: Contact the Circuit Court Clerk
Call or visit the clerk’s office in the county where the foreclosure occurred. Provide the foreclosure case number, property address, and sale date. Ask the clerk to verify whether surplus funds remain and the amount held.
Step 4: File a Petition for Distribution
If surplus funds remain unclaimed, an interested party—such as the former homeowner or a junior lienholder—must file a Petition for Distribution of Surplus Proceeds. Attach proof of your interest (for example, a title search or lien documentation). The court will schedule a hearing and then issue an order directing the clerk to disburse the funds. For specific procedures, see 735 ILCS 5/15-1508 (view statute).
Helpful Hints
- Gather key information: Have the foreclosure case number, sale date, and property address ready when you contact the clerk.
- Use online resources: Check the Illinois e-portal (illinoiscourts.gov) for docket entries and filings.
- Understand lien priorities: Conduct a title search to confirm the hierarchy of mortgages and liens.
- Mind procedural deadlines: Courts may impose strict timeframes for filing a Petition for Distribution. File promptly.
- Consider legal advice: While you can file on your own, an attorney familiar with Illinois foreclosure practice can ensure correct procedures and protect your rights.