REVISED JUDICATURE ACT OF 1961
Act 236 of 1961
600.2431 Costs; foreclosure of mortgage by advertisement; attorney's fee.
Sec. 2431.
(1) The expenses of foreclosing any mortgage by advertisement shall be taxed in the circuit court as in civil actions upon the request of any person paying the expenses thereof, and upon such party liable to pay the same.
(2) Where an attorney is employed to foreclose a mortgage by advertisement, an attorney's fee, not to exceed any amount which may be provided for in the mortgage, may be included as a part of the expenses in the amount bid upon such sale for principal and interest due thereon in the following amounts:
(a) for all sums of $1,000.00 or less, $25.00.
(b) for all sums over $1,000.00 but less than $5,000.00, $50.00.
(c) for all sums of $5,000.00 or more, $75.00.
But if payment is made after foreclosure proceedings are commenced and before sale is made, only 1/2 of such attorney's fees shall be allowed. Both the principal and the interest due thereon shall be included in the sum on which the attorney's fee is computed.
History: 1961, Act 236, Eff. Jan. 1, 1963 ;-- Am. 1963, Act 2, Imd. Eff. Mar. 6, 1963
Notes of Decisions
Kevelighan v. Trott & Trott, P.C., 771 F. Supp. 2d 763 (E.D. Mich. 2010).
· cites it 14× “Mich. Comp. Laws Ann. § 600.2431 (2). In each of the underlying mortgages in this case, defendants began foreclosure by advertisement but the respective plaintiffs either reinstated or sought to reinstate before sale was made.”
In Re Alden, 123 B.R. 563 (Bankr. E.D. Mich. 1990).
· cites it 22× “” The statute which governs foreclosure by advertisement, and the only statute to which we have been referred by the parties, is Mich. Comp.Laws § 600.2431, which provides in pertinent part: (2) Where an attorney is employed to foreclose a mortgage by advertisement, an…”
Martin v. Trott Law, P.C., 198 F. Supp. 3d 794 (E.D. Mich. 2016).
· cites it 2× “75 categorized as “corporate advance,” and the plaintiffs allege that line item actually included attorney fees, which they contend are capped at no more than $75 in a foreclosure by advertisement proceeding under Michigan Compiled Laws § 600.2431(2). However, the Sixth Circuit…”
Tracey Kevelighan v. Trott & Trott, P.C., 498 F. App'x 469 (6th Cir. 2012).
· cites it 7× “First, Plaintiffs assert the District Court erred when it held the attorney fee limitation for foreclosure sales set forth in Mich. Comp. Laws § 600.2431 (2) does not apply to the attorneys’ fees included in the reinstatement quotes.”
G & D Co. v. Durand Milling Co., 240 N.W.2d 765 (Mich. Ct. App. 1976).
· cites it 2× “292 (mechanic's liens); MCLA 600.2431(2); MSA 27A.2431(2) (foreclosure by advertisement); MCLA 600.”
Rice-Etherly v. Bank One (In Re Rice-Etherly), 336 B.R. 308 (Bankr. E.D. Mich. 2006).
“, hereinafter “FDCPA”) in two ways: (1) the Proof of Claim filed by Trott on behalf of Bank One includes attorney fees and costs related to the foreclosure in an amount in excess of the amount permitted under Michigan law (MCL 600.2431), and (2) the Motion for Relief from Stay…”
State Farm Mut. Auto. Ins. v. Allen, 212 N.W.2d 821 (Mich. Ct. App. 1973).
“292 (mechanic’s liens); MCLA 600.2431(2); MSA 27A.2431(2) (foreclosure by advertisement); MCLA 600.”
Cooley v. Mid-Century Ins., 218 N.W.2d 103 (Mich. Ct. App. 1974).
“292 (mechanic’s liens); MCLA 600.2431(2); MSA 27A.2431(2) (foreclosure by advertisement); MCLA 600.”
Williams v. Trott, 822 F. Supp. 1266 (E.D. Mich. 1993).
· cites it 2× “Further, they claim that Michigan statute section 600.2431 limits attorney’s fees to $37.”
Kenner v. Watha, 323 N.W.2d 8 (Mich. Ct. App. 1982).
· cites it 2× “292, MCL 600.2431(2); MSA 27A.2431(2), MCL 600.”
Fifth Third Bank v. Couzens Lansky Fealk Ellis Roeder & Lazar Pc (Mich. Ct. App. 2016).
· cites it 2× “85, which exceeded the $75 amount allowed under MCL 600.2431, Fifth Third bid more than DTP was obligated to pay under the statute and the excess attorney fees included in the amount of Fifth Third’s bid constituted surplus proceeds to which DTP was entitled under MCL 600.”
Mark Pisciotta v. Ronald Lawrence Kardos (Mich. Ct. App. 2017).
· cites it 2× “The mortgagee is entitled to only the amounts specified in MCL 600.2431: (2) Where an attorney is employed to foreclose a mortgage by advertisement, an attorney’s fee, not to exceed any amount which may be 6 Plaintiffs cite no authorities to support their argument on this issue.”
— Mich. Comp. Laws § 600.2431(2) — 7 cases
Martin v. Trott Law, P.C., 198 F. Supp. 3d 794 (E.D. Mich. 2016).
“75 categorized as “corporate advance,” and the plaintiffs allege that line item actually included attorney fees, which they contend are capped at no more than $75 in a foreclosure by advertisement proceeding under Michigan Compiled Laws § 600.2431(2). However, the Sixth Circuit…”
G & D Co. v. Durand Milling Co., 240 N.W.2d 765 (Mich. Ct. App. 1976).
“292 (mechanic's liens); MCLA 600.2431(2); MSA 27A.2431(2) (foreclosure by advertisement); MCLA 600.”
State Farm Mut. Auto. Ins. v. Allen, 212 N.W.2d 821 (Mich. Ct. App. 1973).
“292 (mechanic’s liens); MCLA 600.2431(2); MSA 27A.2431(2) (foreclosure by advertisement); MCLA 600.”
Cooley v. Mid-Century Ins., 218 N.W.2d 103 (Mich. Ct. App. 1974).
“292 (mechanic’s liens); MCLA 600.2431(2); MSA 27A.2431(2) (foreclosure by advertisement); MCLA 600.”
Kenner v. Watha, 323 N.W.2d 8 (Mich. Ct. App. 1982).
“292, MCL 600.2431(2); MSA 27A.2431(2), MCL 600.”
— Mich. Comp. Laws § 600.2431(2)(c) — 1 case
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