The bill amends the Revised Judicature Act of 1961, specifically sections 3240 and 3252, to clarify and modify the processes surrounding property redemption and surplus money after foreclosure sales. Notably, it introduces a new provision that the mortgagor's right to redemption is not assignable or transferable after the notice of foreclosure is recorded, except through succession. Additionally, it specifies that any person with a recorded interest in the property obtained after the notice of foreclosure cannot redeem the premises. The bill also updates the language regarding the redemption process, including the requirements for affidavits and the responsibilities of the register of deeds.

In section 3252, the bill outlines the handling of surplus money after a foreclosure sale, stating that the surplus must be paid to the mortgagor or their legal representatives unless a claim is filed by a subsequent mortgage or lien holder. It establishes a process for interested parties to contest claims to the surplus and clarifies that the mortgagor's right to surplus money is also not transferable after the first publication of the notice of foreclosure. These amendments aim to streamline the redemption and surplus processes while protecting the rights of mortgagors and other interested parties.

Statutes affected:
House Introduced Bill: 600.3240, 600.3252