How to File a Special Proceeding Notice to Recover Foreclosure Surplus Funds in Wyoming
Short answer: If a Wyoming foreclosure sale produced money left over after paying the secured debt and lawful costs, the person entitled to that surplus (often the former owner, junior lienholder, or judgment creditor) must ask the district court to order the sheriff or clerk to pay out those funds. The usual route is a written petition (a “special proceeding” or motion) filed in the district court where the sale occurred, supported by documents showing your right to the surplus, served on interested parties, and followed by a court hearing. This article explains the typical Wyoming steps, what documents you need, who to notify, and when to consider hiring an attorney.
Detailed answer — Step‑by‑step guidance for Wyoming
This section describes the normal procedural steps to recover foreclosure sale surplus funds in Wyoming. Procedures can vary by county and by the specific facts (for example, whether you are the former owner, a junior lienholder, or someone claiming a judgment). Check local court rules and the district court’s clerk for exact filing forms and fee schedules.
-
Confirm that a surplus exists and who holds it.
Contact the county sheriff’s office or the district court clerk where the foreclosure sale occurred. Ask whether the sheriff or the clerk is holding sale proceeds. Obtain a written accounting or a certified statement showing the sale price, amounts disbursed (to the foreclosing creditor, costs, taxes, etc.), and the exact surplus amount. Keep copies of the sheriff’s sale certificate, sale notice, and trustee/deed of trust documents.
-
Identify everyone with a possible claim.
Typical parties: the former mortgagor/homeowner, any junior lienholders, junior judgment creditors, taxing authorities, and the foreclosing creditor. You will need to give notice to all interested parties as required by court rules so they can contest the payout.
-
Prepare a written petition or special proceeding document.
File a petition (often called a petition to determine ownership of surplus funds, or a motion in a special proceeding) in the district court for the county where the sale occurred. The petition should:
- Identify the case name and sale details (case number for the foreclosure if there is one, date of sheriff’s sale, property description).
- State the amount of surplus and who is holding the funds.
- Explain your claim to the funds (e.g., you were the property owner, a junior lienholder, or you hold a judgment against the former owner).
- Attach supporting documents: deed of trust or mortgage, judgment or lien documents, sheriff’s accounting, deed certificate, and any correspondence with the sheriff or sale officer.
- Ask the court for a specific order (for example, an order determining entitlement and directing the clerk or sheriff to disburse funds to you).
-
File the petition and pay required court fees.
Take the petition and attachments to the district court clerk. File it in the county where the sale took place. The clerk will give you a case number and information about filing fees. Check local rules for the required format and any cover sheet or filing form.
-
Serve notice on all interested parties.
Wyoming court rules require that all parties with a potential claim receive proper notice. That often means personal service or service by certified mail, and sometimes publication when parties cannot be located. The court clerk or local sheriff can explain acceptable methods in your county. Keep proof of service to file with the court.
-
Request a hearing (if required) and be ready to present evidence.
The court will either decide on the papers or schedule a hearing. At the hearing you should be prepared to present originals or certified copies of your documents and a witness (often yourself) to explain your claim. Opposing parties can object and present competing evidence. The court then decides who is entitled to the surplus and enters an order directing payment.
-
Obtain and follow the court’s order for disbursement.
Once the court issues an order, present it to the clerk or sheriff holding the funds. They will release the funds according to the order. If the court awards only a portion of the surplus to you, make sure the order specifies amounts and payees.
-
Consider other remedies if funds disappeared or were misapplied.
If the sheriff or sale officer disbursed funds incorrectly, the court can sometimes order them to account and may hold them responsible. You may need to file an additional action for conversion or for the officer to show cause why they should not repay misapplied funds.
-
Preserve your rights and watch applicable time limits.
Deadlines and statutes of limitations can affect your right to claim surplus funds. If you wait too long, you could lose the ability to recover. Consult the district court clerk about local deadlines and consult an attorney if you are close to any potential time limit.
Common documents and evidence to attach
- Certified copy of the sheriff’s sale accounting or statement of disbursement.
- Sheriff’s sale certificate or deed (trustee’s deed) from the foreclosure sale.
- Recorded deed of trust or mortgage and any recorded assignments.
- Recorded notices of lien or judgments establishing priority (if you are a junior lienholder or creditor).
- Proof of identity and ownership (deeds, tax records) if you are the former owner.
- Proof of service on all interested parties.
Typical timeline and costs
Timelines vary by county. Expect: 1–4 weeks to obtain documentation from the sheriff; 1–3 weeks to prepare and file a petition; 2–8 weeks for service and potential response periods; then a hearing date set by the court (which can add several weeks to months). Court filing fees and sheriff or process server fees apply. If your claim is contested, litigation costs can grow quickly.
Where to check Wyoming law and court forms
- Wyoming Legislature — statutes and code search: https://wyoleg.gov/
- Wyoming Judicial Branch — district court information and local rules/forms: https://www.courts.state.wy.us/
- Wyoming State Treasurer — unclaimed property (in case surplus became unclaimed): https://treasurer.wyo.gov/what-we-do/unclaimed-property
When to consult an attorney
Consider hiring a licensed Wyoming attorney if:
- Multiple claimants contest the surplus.
- The amount at stake is substantial relative to likely attorney fees.
- There are complex chain‑of‑title, assignment, or priority disputes.
- You are near a possible statute of limitations or uncertain about the correct forum.
Helpful Hints
- Start at the county sheriff’s office and district court clerk — they often have the sale accounting and will tell you who holds the money.
- Gather recorded documents early: deeds, mortgages, assignments, and judgments clarify priority and speed the court’s decision.
- Keep careful proof of service. Missing a service requirement can delay your recovery or cause dismissal.
- Check the state unclaimed property site if the funds are old — the treasurer may hold unclaimed proceeds.
- Ask the clerk for local rules or sample petitions. Some counties have standard forms or local practice that speeds processing.
- If possible, get a written accounting from the sheriff showing exact amounts and dates before you file the petition.
Disclaimer: This article is for general information only and does not provide legal advice. It summarizes typical Wyoming procedures but is not a substitute for advice from a licensed Wyoming attorney about your specific situation.