Detailed Answer
When a property in Maine is sold at a foreclosure sale, the sale proceeds cover the outstanding mortgage debt, any junior liens, taxes and court costs. If the winning bid exceeds these amounts, the remaining balance is known as surplus funds. Under Maine Revised Statutes Title 14, Chapter 707, Section 6328, the court clerk must hold any surplus funds after distributing the sale proceeds to lienholders and covering costs (14 MRS §6328).
To find out if surplus funds remain, follow these steps:
- Identify the foreclosure case: Determine the county and obtain the docket number or case name where the foreclosure sale took place.
- Search online dockets: Use the Maine Judicial Branch’s public case records search (courts.maine.gov) to view sale reports, distribution orders and any notices of surplus funds.
- Contact the Clerk of Courts: Call or visit the clerk’s office in the relevant county. Provide the case number or name and ask if the clerk holds surplus funds under 14 MRS §6328.
- Review court notices: After the sale, Maine law requires the clerk to send notice of surplus funds to the mortgagor and any junior lienholders. These notices typically appear in the official court file.
- Check unclaimed property: If surplus funds remain unclaimed after one year, the clerk must transfer them to the Maine Bureau of Unclaimed Property under 33 MRS §1551 (33 MRS §1551). You can search at maineunclaimedproperty.gov.
If you confirm that surplus funds remain, you must file a motion for distribution of surplus under Maine Rule of Civil Procedure 75(m). The court will require documentation showing your legal interest—such as proof of ownership, lien status or payoff statements—to release any funds to you.
Helpful Hints
- Keep the foreclosure case number handy when searching dockets or contacting the clerk.
- Check mail sent to the mortgagor’s last known address; Maine law requires the clerk to notify interested parties of available surplus funds.
- Junior lienholders have priority to claim surplus after the mortgagee; verify that all lienholders have been notified.
- Observe all claim deadlines. Maine law often limits claims to one year after the clerk receives the surplus funds.
- If you can’t find surplus funds at the court, search the state’s unclaimed property database at maineunclaimedproperty.gov.
- Consider consulting an attorney if you need assistance establishing your right to the surplus.