Judge: Lee W. Tsao, Case: 22NWCP00258, Date: 2023-02-23 Tentative Ruling

Case Number: 22NWCP00258    Hearing Date: February 23, 2023    Dept: C

NATIONAL DEFAULT SERVICING CORPORATIION v. ALL CLAIMANTS TO SURPLUS FUNDS AFTER TRUSTEE’S SALE OF REAL PROPERTY LOCATED AT 9825 ALEXANDER AVENUE, SOUTH GATE, CA 90280

CASE NO.:  22NWCP00258

HEARING:  02/23/23

#4

TENTATIVE ORDER

Claimant ERALIA FERNANDEZ is entitled to all of the surplus funds in the amount of $396,662.02.

Claimant Fernandez to give Notice.

Cal. Civ. Code §2924k(a) sets forth the order in which proceeds generated by a foreclosure sale must be distributed: “(a) The trustee, or the clerk of the court upon order to the clerk pursuant to subdivision (d) of Section 2924j, shall distribute the proceeds, or a portion of the proceeds, as the case may be, of the trustee’s sale conducted pursuant to Section 2924h in the following order of priority: (1) To the costs and expenses of exercising the power of sale and of sale, including the payment of the trustee’s fees and attorney’s fees permitted pursuant to subdivision (b) of Section 2924d and subdivision (b) of this section. (2) To the payment of the obligations secured by the deed of trust or mortgage which is the subject of the trustee’s sale. (3) To satisfy the outstanding balance of obligations secured by any junior liens or encumbrances in the order of their priority. (4) To the trustor or the trustor’s successor in interest. In the event the property is sold or transferred to another, to the vested owner of record at the time of the trustee’s sale.”

To date, only one claim to the surplus funds at issue have been received by this Court— the claim of ERALIA FERNANDEZ filed on July 5, 2022.

Eralia Fernandez (“Fernandez”) is the last recorded trustor to the deed of the Subject Property.

Pursuant to Cal. Civ. Code §2924k(a)(4), Fernandez is entitled to the entirety of the surplus funds from the Trustee’s sale.