Michigan Compiled Laws

Mich. Comp. Laws § 600.3252 (2026)

Disposition of surplus money.

✓ current as of July 2026
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REVISED JUDICATURE ACT OF 1961


Act 236 of 1961


600.3252 Disposition of surplus money.

Sec. 3252.

    If after any sale of real estate, made as herein prescribed, there shall remain in the hands of the officer or other person making the sale, any surplus money after satisfying the mortgage on which the real estate was sold, and payment of the costs and expenses of the foreclosure and sale, the surplus shall be paid over by the officer or other person on demand, to the mortgagor, his legal representatives or assigns, unless at the time of the sale, or before the surplus shall be so paid over, some claimant or claimants, shall file with the person so making the sale, a claim or claims, in writing, duly verified by the oath of the claimant, his agent, or attorney, that the claimant has a subsequent mortgage or lien encumbering the real estate, or some part thereof, and stating the amount thereof unpaid, setting forth the facts and nature of the same, in which case the person so making the sale, shall forthwith upon receiving the claim, pay the surplus to, and file the written claim with the clerk of the circuit court of the county in which the sale is so made; and thereupon any person or persons interested in the surplus, may apply to the court for an order to take proofs of the facts and circumstances contained in the claim or claims so filed. Thereafter, the court shall summon the claimant or claimants, party, or parties interested in the surplus, to appear before him at a time and place to be by him named, and attend the taking of the proof, and the claimant or claimants or party interested who shall appear may examine witnesses and produce such proof as they or either of them may see fit, and the court shall thereupon make an order in the premises directing the disposition of the surplus moneys or payment thereof in accordance with the rights of the claimant or claimants or persons interested.

History: 1961, Act 236, Eff. Jan. 1, 1963 ;-- Am. 1974, Act 297, Eff. Apr. 1, 1975

Notes of Decisions
Cited in 21 cases (4 in the last 5 years), 1966–2023 · leading case: HRSS, INC. v. Wayne Cnty. Treasurer, 279 F. Supp. 2d 846 (E.D. Mich. 2003).
HRSS, INC. v. Wayne Cnty. Treasurer, 279 F. Supp. 2d 846 (E.D. Mich. 2003). · cites it 4× “See Mich. Comp. Laws § 600.3252 . If such claims are made, the state circuit court conducts a hearing to determine the proper disposition of the surplus funds.”
In Re Miller, 442 B.R. 621 (Bankr. W.D. Mich. 2011). · cites it 3× “Mich. Comp. Laws Ann. § 600.3252 (emphasis added).”
State Bank of Florence v. Miller (In Re Miller), 513 F. App'x 566 (6th Cir. 2013). “” Mich. Comp. Laws Ann. § 600.3252 (2009). The Michigan mortgage also provided that any surplus must be paid to Miller.”
in Re $55,336.17 Surplus Funds (Mich. Ct. App. 2017). · cites it 33× “, which governs the distribution of surplus funds after a mortgage foreclosure by advertisement. The facts of this case are not in dispute.”
Smith v. Gen. Mortg. Corp., 252 N.W.2d 551 (Mich. Ct. App. 1977). · cites it 2× “MCLA 600.3252; MSA 27A.3252. Defendants' position is that the property is now practically worthless and that they should be entitled to retain a portion of the insurance proceeds equal to the amount of the former debt plus costs and attorneys' fees.”
Trustlink Equities LLC v. St Clair Cnty. Sheriff Sale Surplus (Mich. Ct. App. 2019). · cites it 16× “One of the primary issues on appeal concerns whether this filing qualified as a “demand” or as a “claim” under MCL 600.3252. Plaintiff filed with the Treasurer a document titled “Verified Claim for Turn-Over of Proceeds of Sale.”
Schwartz v. Oakland Cnty. Sheriff, 145 N.W.2d 357 (Mich. Ct. App. 1966). “1234) (see now CLS 1961, § 600.3252 [Stat Ann 1962 Rev §27A.3252]), protects the sheriff upon his payment of the surplus to one named in the statute and against the claim of one not named.”
in Re Surplus Proceeds From Sheriff Sale (Mich. Ct. App. 2016). · cites it 9× “3252 provides: If after any sale of real estate, made as herein prescribed, there shall remain in the hands of the officer or other person making the sale, any surplus money after satisfying the mortgage on which the real estate was sold, and payment of the costs and expenses of…”
in Re Claim for Surplus Funds (Mich. Ct. App. 2019). · cites it 7× “After holding a hearing and considering the parties’ arguments, the trial court determined that petitioner was not entitled to any funds from the foreclosure sale, because respondent’s mortgage was not satisfied by the proceeds of the sale.”
Jason Charest v. Citi Inv. Grp. Corp. (Mich. Ct. App. 2017). · cites it 5× “Under MCL 600.3252, plaintiff was entitled to “demand” any surplus of the proceeds of the sale above that necessary to satisfy the mortgagee unless another party filed a claim for it.”
Jason Charest v. Citi Inv. Grp. Corp. (Mich. Ct. App. 2017). · cites it 5× “Under MCL 600.3252, plaintiff was entitled to “demand” any surplus of the proceeds of the sale above that necessary to satisfy the mortgagee unless another party filed a claim for it.”
Keith J Mitan v. Michael J Bouchard (Mich. Ct. App. 2023). · cites it 4× “In that Oakland County action, assigned case number 2019-177288-CB,3 plaintiff filed a first amended complaint raising statutory violations, slander of title, unjust enrichment, turnover of surplus funds under MCL 600.3252, failure to maintain the complex, private nuisance, and…”
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