What steps are required to file a petition claiming surplus funds from a foreclosure proceeding in Oklahoma? | Oklahoma Estate Planning | FastCounsel
OK Oklahoma

What steps are required to file a petition claiming surplus funds from a foreclosure proceeding in Oklahoma?

Disclaimer: This article is for informational purposes and does not constitute legal advice. Consult an attorney for your specific situation.

Detailed Answer

Under Oklahoma law, any surplus funds remaining after a foreclosure sale must be distributed to qualifying parties. To claim these funds, you typically follow these steps:

  1. Confirm Eligibility
    You must be the former property owner, a junior lienholder or another party with legal interest. The Oklahoma foreclosure-by-advertisement statute outlines priority and distribution: 12 O.S. § 696.
  2. Obtain Sale Records
    Request the sheriff’s sale certificate and accounting of proceeds from the county sheriff or public trustee.
  3. Calculate the Surplus
    Subtract the total debt and sale expenses from the sale price to determine the amount available for distribution.
  4. Draft the Petition
    Prepare a petition in the district court where the sale occurred. Include:
    • Case caption and number.
    • Parties’ names and interests.
    • Sale date and amount received.
    • Amount of surplus claimed.
    • Supporting declarations and exhibits.
  5. File the Petition
    Submit the petition to the district court clerk and pay the filing fee. The court assigns a hearing date.
  6. Serve Notice
    Send a copy of the petition and notice of hearing to all interested parties, including senior lienholders and the sheriff. Oklahoma civil procedure requires service under 12 O.S. § 2004.
  7. Attend the Hearing
    Your petition will be heard by a judge. If there are no valid objections, the court enters an order for distribution.
  8. Secure the Order and Collect Funds
    Obtain a certified copy of the order from the court clerk. Present it to the sheriff or public trustee to receive the funds.

Helpful Hints

  • Act quickly: Oklahoma law may limit the time to claim surplus funds.
  • Keep records: Maintain copies of all sale documents and correspondence.
  • Verify amounts: Double-check sale proceeds and expense calculations.
  • Check for junior liens: Other lienholders may have prior claims.
  • Consult resources: Use the Oklahoma State Courts Network for court forms.

The information on this site is for general informational purposes only, may be outdated, and is not legal advice; do not rely on it without consulting your own attorney.