Judge: Michael Shultz, Case: 23CMCP00042, Date: 2023-05-04 Tentative Ruling

Case Number: 23CMCP00042    Hearing Date: May 4, 2023    Dept: A

23CMCP00042 Quality Loan Service, Corp. v. All Claimants to Surplus Funds

Thursday, May 4, 2023, at 8:30 a.m.

 

[TENTATIVE] ORDER GRANTING PETITION REGARDING CLAIMS OF SURPLUS FUNDS AFTER TRUSTEE’S SALE FILED BY PETITIONER, QUALITY LOAN SERVICE CORP.

 

     

Petitioner commenced this action on March 9, 2023, with a petition to distribute surplus funds of $277,895.37 remaining after paying the foreclosing creditor and deducting fees and expenses.

Petitioner has complied with statutory requirements to send written notice within 30 days from the execution of the trustee’s deed to individuals with a recorded interest. Civ. Code, § 2924j(a). Once claims have been received, the trustee must exercise due diligence to determine the priority of the claims. Civ. Code, § 2924j(b). Plaintiff received conflicting claims from junior lien holders and a potential heir.

The Petition and supporting declaration specify the date of the sale, a description of the property, the names and addresses of all persons given notice, that the trustee exercised due diligence to determine the priority of claims (of which there were none), and the amount of the proceeds to be deposited. Civ. Code, § 2924j(c). Petitioner has also submitted a copy of the trustee’s sales guaranty. Id. No interested party has filed a response to the petition.

Based on the foregoing, the Application for Deposit is GRANTED. Before the trustee deposits the funds with the clerk of the court pursuant to subdivision (c), “the trustee shall send written notice by first-class mail, postage prepaid, to all persons described in subdivision (a) informing them that the trustee intends to deposit the funds with the clerk of the court and that a claim for the funds must be filed with the court within 30 days from the date of the notice, providing the address of the court in which the funds were deposited, and a telephone number for obtaining further information.” Civ. Code, § 2924j(d). Petitioner has complied with the foregoing notice requirements.