Disclaimer: This article is for informational purposes only and does not constitute legal advice.
Detailed Answer
Under Minnesota law, a foreclosure sale must first satisfy the secured debt, court costs, and statutory fees. If the sale produces funds exceeding those amounts, the sheriff deposits the extra funds—known as surplus proceeds—with the court administrator. Minn. Stat. §580.24 requires that these surplus funds be held in trust. Minn. Stat. §580.24.
An interested party can determine whether surplus funds remain by following these steps:
- Identify the foreclosure case number and the county where the sale occurred.
- Contact the district court administrator’s office. Request the register of actions and inquire about any surplus fund records in the case file.
- Search the county sheriff’s online records or visit the sheriff’s office for a published list of foreclosure surplus proceeds.
- Use the Minnesota Judicial Branch eAccess system (eAccess) to review the case docket for entries on surplus funds.
- If the court holds surplus funds, file a written application of claim under Minn. Stat. §580.25, attaching documentation that supports your interest.
The court typically retains surplus proceeds for six months after the sale to allow interested parties to file claims. If no valid claim arises within the statutory period, the law directs these funds to Minnesota’s school trust fund.
Helpful Hints
- Gather property specifics: parcel number, foreclosure file number, and sale date.
- Note claim deadlines: submit within six months of sale as specified by Minn. Stat. §580.24.
- Prepare supporting documents such as title reports, payment histories, or lien records.
- Consult the court clerk early to confirm filing requirements, fees, and local procedures.
- Monitor county sheriff postings, local legal newspapers, and online records for notices on foreclosure sales and surplus lists.