OHIO LEGISLATIVE SERVICE COMMISSION
Office of Research Legislative Budget
www.lsc.ohio.gov and Drafting Office
H.B. 390 Bill Analysis
135th General Assembly
Click here for H.B. 390’s Fiscal Note
Version: As Passed by the House
Primary Sponsors: Reps. Brown and Swearingen
Effective date:
Carla Napolitano, Attorney
SUMMARY
▪ Requires that for all property foreclosure sales, including tax sales, the officer that
makes the sale must deliver the excess funds to the clerk of court not later than 45 days
after the confirmation of sale.
▪ Authorizes the clerk in certain circumstances to send notification of excess funds by
posting the notice to the judgement debtor on the clerk’s website, sending a text
message to the judgement debtor, or posting the notice in a conspicuous place in the
court where the foreclosure action commenced.
▪ Increases the timeline in tax foreclosure sales of when the clerk must give the excess
funds to the county treasurer to hold for the owner from 60 days to 90 days from the
day the final notice is provided.
▪ Requires the clerk of court in tax foreclosure sales to follow the same notice
requirements relating to excess funds as required under other foreclosure sales.
DETAILED ANALYSIS
General overview
The bill changes the procedures to be followed by the clerk of court and the officer that
conducts the sale when the court receives excess funds in a foreclosure sale. Excess funds are
moneys received from the foreclosure sale in addition to the amount necessary to satisfy the
writ of execution, plus interest and costs. Under continuing law, the judgement debtor (i.e., the
former owner) is entitled to receive the excess funds. The bill requires excess funds to be
delivered to the clerk of court within 45 days after the confirmation of sale and changes how
the clerk must notify the judgement debtor about the excess funds. The bill also specifies that
August 7, 2024
Office of Research and Drafting LSC Legislative Budget Office
the judgement debtor includes any individual, corporation, business trust, estate, trust,
partnership, or association.1
Delivery of excess funds
Under current law, unchanged by the bill, when the officer that conducts the sale
receives excess funds, the officer must deliver any excess funds to the clerk of the court that
issued the writ of execution. Current law does not specify a timeline for this requirement. The
bill specifies that the delivery of the excess funds occur not later than 45 days after the
confirmation of sale.2
Notice requirement for excess funds $500 or more
Under current law, the clerk must notify the judgement debtor by mail if the balance of
the excess funds is $100 or more. The bill increases this threshold to $500 or more.
Current law requires the clerk to send the notice by certified mail within 90 days after a
sheriff’s sale. If the first notice is returned, then a second notice must be sent by ordinary mail.
If the second notice is returned, a third notice must be published in a newspaper. The bill,
instead, allows the third notice to be published in a newspaper, posted on the clerk’s website,
sent via text message to the judgement debtor, or posted in a conspicuous place in the court
where the foreclosure action commenced.3
The bill makes an exception to the notice requirements described above, if the clerk
does not have the address or the name of the judgement debtor. If the address of the judgment
debtor is not known, the clerk is not required to send a notice by certified mail, but must notify
the judgement debtor in accordance with the third notice procedure described above. If the
name of the judgment debtor is not known, the clerk may send notice in accordance with any
of the three procedures described above, but is not required to complete more than one of
those procedures.4
Notice requirement for excess funds less than $500
Under current law, changed in part by the bill, if the balance of the excess funds is less
than $100, the clerk must send the notice of the excess funds to the judgment debtor by
certified mail. If the mailed notice is returned, the clerk is not required to continue attempts to
notify the judgement debtor. The bill changes this threshold to less than $500. The bill also
specifies that if the address of the judgement debtor is not known, the clerk must notify the
judgment debtor in accordance with the third notice procedure described above (newspaper,
website, text, or courthouse posting). If the name of the judgment debtor is not known, the
1 R.C. 2329.01(B)(4).
2 R.C. 2329.44(A).
3 R.C. 2329.44(A)(1)(a).
4 R.C. 2329.44(A)(1)(b) and (c).
P a g e |2 H.B. 390
As Passed by the House
Office of Research and Drafting LSC Legislative Budget Office
clerk must notify the judgment debtor in accordance with either the first (certified mail) or third
procedure described above.5
Unclaimed excess funds
Under current law, if the excess funds remain unclaimed for 90 days following the “first
date of publication,” the clerk is required to dispose the balance in the same manner as other
unclaimed funds the court holds. The bill clarifies the timing, by specifying that the 90 days
begins after the last mailing, posting, or text message required under the bill.6
Tax foreclosure excess funds
Generally, under current law, in a tax foreclosure sale, any excess money from the sale
of the property remaining and unclaimed by the owner after 60 days must be held by the
county treasurer in the name of the owner. The bill changes this to 90 days from the day the
final notice is provided.
The bill also requires the clerk of court in tax foreclosure sales to follow the same
procedures as required for other foreclosure sales, as described above. Under the bill, the
officer who conducts the sale must send any excess funds to the clerk of court that issued the
writ of execution not later than 45 days after the confirmation of sale. The clerk must notify the
owner following the same requirements as described above (see “Notice requirement for
excess funds $500 or more” and “Notice requirement for excess funds less
than $500”).7
HISTORY
Action Date
Introduced 02-01-24
Reported, H. Civil Justice 05-08-24
Passed House (95-0) 06-26-24
anhb0390ph-135/ks
5 R.C. 2329.44(A)(2)
6 R.C. 2329.44(A)(1)(d) and (A)(2)(b).
7 R.C. 5721.20.
P a g e |3 H.B. 390
As Passed by the House


Statutes affected:
As Introduced: 2329.01, 2329.44, 5721.20
As Reported By House Committee: 2329.01, 2329.44, 5721.20
As Passed By House: 2329.01, 2329.44, 5721.20