Judge: Lee W. Tsao, Case: 22NWCP00438, Date: 2023-01-04 Tentative Ruling

Case Number: 22NWCP00438    Hearing Date: January 4, 2023    Dept: C

CALIFORNIA TD SPECIALISTS v. ORTIZ

CASE NO.:  22NWCP00438

HEARING:  01/04/23

#7

TENTATIVE ORDER

Claimant THE HENDRICKS GROUP D&P, LLC as Successor In Interest to CARMEN ORTIZ is entitled to all of the surplus funds in the amount of $81,811.66

The Hendricks Group D&P, LLC 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, 2 claims to the surplus funds at issue have been received by this Court— (1) Carmen Ortiz; and (2) The Hendricks Group D&P, LLC.

Carmen Ortiz (“Ortiz”) is the last recorded trustor to the deed of the Subject Property located at 14171 Trumbull Street Whittier, CA 90604. However, on April 26, 2022, Ortiz assigned her right to recover surplus funds with respect to the Subject Property to The Hendricks Group D&P, LLC (“The Hendricks Group”). (See Hendricks Claim, Ex. B). 

Pursuant to Cal. Civ. Code §2924k(a)(4), The Hendricks Group is entitled to the entirety of the surplus funds from the foreclosure sale as the owner of the Subject Property prior to the April 2018 sale.