Wash. Rev. Code » Title 61 · Chapter 61.24

Wash. Rev. Code § 61.24.100

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(1) Except to the extent permitted in this section for deeds of trust securing commercial loans, a deficiency judgment shall not be obtained on the obligations secured by a deed of trust against any borrower, grantor, or guarantor after a trustee's sale under that deed of trust.
(2)(a) Nothing in this chapter precludes an action against any person liable on the obligations secured by a deed of trust or any guarantor prior to a notice of trustee's sale being given pursuant to this chapter or after the discontinuance of the trustee's sale.
(b) No action under (a) of this subsection precludes the beneficiary from commencing a judicial foreclosure or trustee's sale under the deed of trust after the completion or dismissal of that action.
(3) This chapter does not preclude any one or more of the following after a trustee's sale under a deed of trust securing a commercial loan executed after June 11, 1998:
(a)(i) To the extent the fair value of the property sold at the trustee's sale to the beneficiary or an affiliate of the beneficiary is less than the unpaid obligation secured by the deed of trust immediately prior to the trustee's sale, an action for a deficiency judgment against the borrower or grantor, if such person or persons was timely given the notices under RCW 61.24.040, for (A) any decrease in the fair value of the property caused by waste to the property committed by the borrower or grantor, respectively, after the deed of trust is granted, and (B) the wrongful retention of any rents, insurance proceeds, or condemnation awards by the borrower or grantor, respectively, that are otherwise owed to the beneficiary.
(ii) This subsection (3)(a) does not apply to any property that is occupied by the borrower as its principal residence as of the date of the trustee's sale;
(b) Any judicial or nonjudicial foreclosures of any other deeds of trust, mortgages, security agreements, or other security interests or liens covering any real or personal property granted to secure the obligation that was secured by the deed of trust foreclosed; or
(c) Subject to this section, an action for a deficiency judgment against a guarantor if the guarantor is timely given the notices under RCW 61.24.042.
(4) Any action referred to in subsection (3)(a) and (c) of this section shall be commenced within one year after the date of the trustee's sale, or a later date to which the liable party otherwise agrees in writing with the beneficiary after the notice of foreclosure is given, plus any period during which the action is prohibited by a bankruptcy, insolvency, moratorium, or other similar debtor protection statute. If there occurs more than one trustee's sale under a deed of trust securing a commercial loan or if trustee's sales are made pursuant to two or more deeds of trust securing the same commercial loan, the one-year limitation in this section begins on the date of the last of those trustee's sales.
(5) In any action against a guarantor following a trustee's sale under a deed of trust securing a commercial loan, the guarantor may request the court or other appropriate adjudicator to determine, or the court or other appropriate adjudicator may in its discretion determine, the fair value of the property sold at the sale and the deficiency judgment against the guarantor shall be for an amount equal to the sum of the total amount owed to the beneficiary by the guarantor as of the date of the trustee's sale, less the fair value of the property sold at the trustee's sale or the sale price paid at the trustee's sale, whichever is greater, plus interest on the amount of the deficiency from the date of the trustee's sale at the rate provided in the guaranty, the deed of trust, or in any other contracts evidencing the debt secured by the deed of trust, as applicable, and any costs, expenses, and fees that are provided for in any contract evidencing the guarantor's liability for such a judgment. If any other security is sold to satisfy the same debt prior to the entry of a deficiency judgment against the guarantor, the fair value of that security, as calculated in the manner applicable to the property sold at the trustee's sale, shall be added to the fair value of the property sold at the trustee's sale as of the date that additional security is foreclosed. This section is in lieu of any right any guarantor would otherwise have to establish an upset price pursuant to RCW 61.12.060 prior to a trustee's sale.
(6) A guarantor granting a deed of trust to secure its guaranty of a commercial loan shall be subject to a deficiency judgment following a trustee's sale under that deed of trust only to the extent stated in subsection (3)(a)(i) of this section. If the deed of trust encumbers the guarantor's principal residence, the guarantor shall be entitled to receive an amount up to $125,000, without regard to the effect of RCW 6.13.080(2), from the bid at the foreclosure or trustee's sale accepted by the sheriff or trustee prior to the application of the bid to the guarantor's obligation.
(7) A beneficiary's acceptance of a deed in lieu of a trustee's sale under a deed of trust securing a commercial loan exonerates the guarantor from any liability for the debt secured thereby except to the extent the guarantor otherwise agrees as part of the deed in lieu transaction.
(8) This chapter does not preclude a beneficiary from foreclosing a deed of trust in the same manner as a real property mortgage and this section does not apply to such a foreclosure.
(9) Any contract, note, deed of trust, or guaranty may, by its express language, prohibit the recovery of any portion or all of a deficiency after the property encumbered by the deed of trust securing a commercial loan is sold at a trustee's sale.
(10) A trustee's sale under a deed of trust securing a commercial loan does not preclude an action to collect or enforce any obligation of a borrower or guarantor if that obligation, or the substantial equivalent of that obligation, was not secured by the deed of trust.
(11) Unless the guarantor otherwise agrees, a trustee's sale shall not impair any right or agreement of a guarantor to be reimbursed by a borrower or grantor for a deficiency judgment against the guarantor.
(12) Notwithstanding anything in this section to the contrary, the rights and obligations of any borrower, grantor, and guarantor following a trustee's sale under a deed of trust securing a commercial loan or any guaranty of such a loan executed prior to June 11, 1998, shall be determined in accordance with the laws existing prior to June 11, 1998.
[ 2021 c 290 s 7; 1998 c 295 s 12; 1990 c 111 s 2; 1965 c 74 s 10.]

Notes:

Findings—Effective date—2021 c 290: See notes following RCW 6.13.010.
Notes of Decisions
Cited in 67 cases (5 in the last 5 years), 1975–2026 · leading case: Washington Federal v. Gentry
Sort: Relevance Newest Treatment
Washington Federal v. Gentry (2014) washctapp · cites it 40× “Based on its reading of RCW 61.24.100, the trial court granted the Gentrys’ motion for summary judgment of dismissal of this action.”
Gardner v. First Heritage Bank (2013) washctapp · cites it 20× “The bank responds that the trustee’s sale of lot 10 does not implicate RCW 61.24.100’s antideficiency provision because “no such judgment was sought in this case.”
Donovick v. Seattle-First National Bank (1988) wash · cites it 20× “Debtors conclude that allowing foreclosure of the second deed of trust here is equivalent to granting a deficiency judgment prohibited by RCW 61.24.100. [1] Debtors argue for a literal reading of the language of RCW 61.”
Boeing Employees' Credit Union v. Burns (2012) washctapp · cites it 16× “[ 46 ] As we have already explained, RCW 61.24.100 expressly permits BECU to sue on the note and later assert its rights under the deed of trust securing that note.”
First-Citizens Bank & Trust Co. v. Cornerstone Homes & Development, LLC (2013) washctapp · cites it 19× “Guaranty & Deeds of Trust ¶6 The Allisons argue that (1) their obligations under their guaranty were discharged when First-Citizens nonjudicially foreclosed on Cornerstone’s deeds of trust, which also expressly secured their guaranty; and (2) thus, RCW 61.”
GLEPCO, LLC v. Reinstra (2013) washctapp · cites it 6× “¶19 Next, the Reinstras argue reformation denies their right under RCW 61.24.100(1) 9 to be free of deficiency judgment.”
Washington Federal v. Harvey (2015) wash · cites it 4× “100(3)(c) allows for a deficiency judgment against a guarantor of a commercial loan “[s]ubject to this section .”
Washington Federal Savings & Loan Ass'n v. McNaughton (2014) washctapp · cites it 14× “” RCW 61.24.100(1). RCW 61.24.100(1) states: Except to the extent permitted in this section for deeds of trust securing commercial loans, a deficiency judgment shall not be obtained on the obligations secured by a deed of trust against any borrower, grantor, or guarantor after a…”
Wachovia SBA Lending, Inc. v. Kraft (2009) wash · cites it 2× “RCW 61.24.100(4). [3] The only facts offered here are that the Deed was foreclosed in approximately 2004 and that Wachovia filed its suit on September 19, 2005.”
Wachovia SBA Lending, Inc. v. Kraft (2009) wash · cites it 2× “RCW 61.24.100(4). 3 The only facts offered here are that the Deed was foreclosed in approximately 2004 and that Wachovia filed its suit on September 19, 2005.”
In re the Trustee's Sale of Real Property of Giannusa (2012) washctapp · cites it 7× “The Supreme Court also has significantly limited Washington Mutual, explaining that RCW 61.24.100 does not implicate the “right of nonforeclosing junior lienholders and creditors” and that Washington Mutual is distinguishable as a redemption case involving federal statutes.”
Queen City Savings & Loan Ass'n v. Mannhalt (1988) wash · cites it 6× “RCW 61.24.100 provides: Foreclosure, as in this chapter provided, shall satisfy the obligation secured by the deed of trust foreclosed, regardless of the sale price or fair value, and no deficiency decree or other judgment shall thereafter be obtained on such obligation.”
Show all 67 citing cases →
— Wash. Rev. Code § 61.24.100(1) — 27 cases
Gardner v. First Heritage Bank (2013) washctapp “The bank responds that the trustee’s sale of lot 10 does not implicate RCW 61.24.100’s antideficiency provision because “no such judgment was sought in this case.”
Washington Federal v. Gentry (2014) washctapp “Based on its reading of RCW 61.24.100, the trial court granted the Gentrys’ motion for summary judgment of dismissal of this action.”
GLEPCO, LLC v. Reinstra (2013) washctapp “¶19 Next, the Reinstras argue reformation denies their right under RCW 61.24.100(1) 9 to be free of deficiency judgment.”
In re the Trustee's Sale of Real Property of Giannusa (2012) washctapp “The Supreme Court also has significantly limited Washington Mutual, explaining that RCW 61.24.100 does not implicate the “right of nonforeclosing junior lienholders and creditors” and that Washington Mutual is distinguishable as a redemption case involving federal statutes.”
Boeing Employees' Credit Union v. Burns (2012) washctapp “[ 46 ] As we have already explained, RCW 61.24.100 expressly permits BECU to sue on the note and later assert its rights under the deed of trust securing that note.”
— Wash. Rev. Code § 61.24.100(10) — 9 cases
Washington Federal v. Gentry (2014) washctapp “Based on its reading of RCW 61.24.100, the trial court granted the Gentrys’ motion for summary judgment of dismissal of this action.”
First-Citizens Bank & Trust Co. v. Cornerstone Homes & Development, LLC (2013) washctapp “Guaranty & Deeds of Trust ¶6 The Allisons argue that (1) their obligations under their guaranty were discharged when First-Citizens nonjudicially foreclosed on Cornerstone’s deeds of trust, which also expressly secured their guaranty; and (2) thus, RCW 61.”
Washington Federal v. Harvey (2015) wash “100(3)(c) allows for a deficiency judgment against a guarantor of a commercial loan “[s]ubject to this section .”
Washington Federal, App. v. Kendall & Nancy Gentry, Resps. (2014) washctapp
Washington Federal, App. v. Lance & Jane Doe Harvey, Resp. (2014) washctapp
— Wash. Rev. Code § 61.24.100(2) — 3 cases
Boeing Employees' Credit Union v. Burns (2012) washctapp “[ 46 ] As we have already explained, RCW 61.24.100 expressly permits BECU to sue on the note and later assert its rights under the deed of trust securing that note.”
U.S. Bank National Association as Trustee of Holders of Adjustable Rate Mortgage Trust 2007-2 v. Ukpoma (2019) washctapp
US Bank Nat'l Ass'n v. Angela Ukpoma (2019) washctapp
— Wash. Rev. Code § 61.24.100(2)(a) — 2 cases
GLEPCO, LLC v. Reinstra (2013) washctapp “¶19 Next, the Reinstras argue reformation denies their right under RCW 61.24.100(1) 9 to be free of deficiency judgment.”
Aaron & Jaime Reinstra v. Glepco, Llc And Greg & Pamela Hinton (2013) washctapp
— Wash. Rev. Code § 61.24.100(3) — 5 cases
Washington Federal v. Gentry (2014) washctapp “Based on its reading of RCW 61.24.100, the trial court granted the Gentrys’ motion for summary judgment of dismissal of this action.”
First-Citizens Bank & Trust Co. v. Reikow (2013) washctapp
Washington Federal Savings & Loan Ass'n v. McNaughton (2014) washctapp “” RCW 61.24.100(1). RCW 61.24.100(1) states: Except to the extent permitted in this section for deeds of trust securing commercial loans, a deficiency judgment shall not be obtained on the obligations secured by a deed of trust against any borrower, grantor, or guarantor after a…”
Washington Federal, App. v. Kendall & Nancy Gentry, Resps. (2014) washctapp
Washington Federal, App. v. Lance & Jane Doe Harvey, Resp. (2014) washctapp
— Wash. Rev. Code § 61.24.100(3)(a) — 5 cases
Washington Federal v. Gentry (2014) washctapp “Based on its reading of RCW 61.24.100, the trial court granted the Gentrys’ motion for summary judgment of dismissal of this action.”
Amresco Independence v. Sps Properties (2005) washctapp
Amresco Independence Funding, Inc. v. SPS Properties, L.L.C. (2005) washctapp
Washington Federal, App. v. Kendall & Nancy Gentry, Resps. (2014) washctapp
Washington Federal, App. v. Lance & Jane Doe Harvey, Resp. (2014) washctapp
— Wash. Rev. Code § 61.24.100(3)(a)(i) — 4 cases
First-Citizens Bank & Trust Co. v. Cornerstone Homes & Development, LLC (2013) washctapp “Guaranty & Deeds of Trust ¶6 The Allisons argue that (1) their obligations under their guaranty were discharged when First-Citizens nonjudicially foreclosed on Cornerstone’s deeds of trust, which also expressly secured their guaranty; and (2) thus, RCW 61.”
In Re Trustee's Sale of Real Property of Brown (2011) washctapp
Wells Fargo Bank, NA v. Brown (2011) washctapp
Veristone Fund I Llc, V. Kristen Lester (2026) washctapp
— Wash. Rev. Code § 61.24.100(3)(a)(ii) — 2 cases
In Re Trustee's Sale of Real Property of Brown (2011) washctapp
Wells Fargo Bank, NA v. Brown (2011) washctapp
— Wash. Rev. Code § 61.24.100(3)(b) — 2 cases
Gardner v. First Heritage Bank (2013) washctapp “The bank responds that the trustee’s sale of lot 10 does not implicate RCW 61.24.100’s antideficiency provision because “no such judgment was sought in this case.”
Roger Gardner, App. v. First Heritage Bank, Res. (2013) washctapp
— Wash. Rev. Code § 61.24.100(3)(c) — 8 cases
Washington Federal v. Gentry (2014) washctapp “Based on its reading of RCW 61.24.100, the trial court granted the Gentrys’ motion for summary judgment of dismissal of this action.”
First-Citizens Bank & Trust Co. v. Cornerstone Homes & Development, LLC (2013) washctapp “Guaranty & Deeds of Trust ¶6 The Allisons argue that (1) their obligations under their guaranty were discharged when First-Citizens nonjudicially foreclosed on Cornerstone’s deeds of trust, which also expressly secured their guaranty; and (2) thus, RCW 61.”
Washington Federal v. Harvey (2015) wash “100(3)(c) allows for a deficiency judgment against a guarantor of a commercial loan “[s]ubject to this section .”
Washington Federal Savings & Loan Ass'n v. McNaughton (2014) washctapp “” RCW 61.24.100(1). RCW 61.24.100(1) states: Except to the extent permitted in this section for deeds of trust securing commercial loans, a deficiency judgment shall not be obtained on the obligations secured by a deed of trust against any borrower, grantor, or guarantor after a…”
Washington Federal, App. v. Kendall & Nancy Gentry, Resps. (2014) washctapp
— Wash. Rev. Code § 61.24.100(4) — 2 cases
Wachovia SBA Lending, Inc. v. Kraft (2009) wash “RCW 61.24.100(4). [3] The only facts offered here are that the Deed was foreclosed in approximately 2004 and that Wachovia filed its suit on September 19, 2005.”
Wachovia SBA Lending, Inc. v. Kraft (2009) wash “RCW 61.24.100(4). 3 The only facts offered here are that the Deed was foreclosed in approximately 2004 and that Wachovia filed its suit on September 19, 2005.”
— Wash. Rev. Code § 61.24.100(5) — 9 cases
First-Citizens Bank & Trust Co. v. Reikow (2013) washctapp
Washington Federal Savings & Loan Ass'n v. McNaughton (2014) washctapp “” RCW 61.24.100(1). RCW 61.24.100(1) states: Except to the extent permitted in this section for deeds of trust securing commercial loans, a deficiency judgment shall not be obtained on the obligations secured by a deed of trust against any borrower, grantor, or guarantor after a…”
Washington Federal v. Gentry (2014) washctapp “Based on its reading of RCW 61.24.100, the trial court granted the Gentrys’ motion for summary judgment of dismissal of this action.”
Wa. Federal Savings & Loan Association v. Mark Mcnaughton (2014) washctapp
Veristone Fund I Llc, V. Kristen Lester (2026) washctapp
— Wash. Rev. Code § 61.24.100(6) — 7 cases
First-Citizens Bank & Trust Co. v. Cornerstone Homes & Development, LLC (2013) washctapp “Guaranty & Deeds of Trust ¶6 The Allisons argue that (1) their obligations under their guaranty were discharged when First-Citizens nonjudicially foreclosed on Cornerstone’s deeds of trust, which also expressly secured their guaranty; and (2) thus, RCW 61.”
Washington Federal Savings & Loan Ass'n v. McNaughton (2014) washctapp “” RCW 61.24.100(1). RCW 61.24.100(1) states: Except to the extent permitted in this section for deeds of trust securing commercial loans, a deficiency judgment shall not be obtained on the obligations secured by a deed of trust against any borrower, grantor, or guarantor after a…”
In Re Trustee's Sale of Real Property of Brown (2011) washctapp
Wells Fargo Bank, NA v. Brown (2011) washctapp
Washington Federal, App. v. Lance & Jane Doe Harvey, Resp. (2014) washctapp
— Wash. Rev. Code § 61.24.100(7) — 1 case
Bain v. Metropolitan Mortgage Group, Inc. (2012) wash
— Wash. Rev. Code § 61.24.100(8) — 4 cases
Washington Federal v. Gentry (2014) washctapp “Based on its reading of RCW 61.24.100, the trial court granted the Gentrys’ motion for summary judgment of dismissal of this action.”
Us Bank National Assoc., V Tarmo Roosild & Samantha Castronovo (2021) washctapp
U.s. Bank, V. Estate Of Bradley Hrutfjord (2024) washctapp
Washington Federal, App. v. Kendall & Nancy Gentry, Resps. (2014) washctapp
— Wash. Rev. Code § 61.24.100(9) — 1 case
First-Citizens Bank & Trust Co. v. Cornerstone Homes & Development, LLC (2013) washctapp “Guaranty & Deeds of Trust ¶6 The Allisons argue that (1) their obligations under their guaranty were discharged when First-Citizens nonjudicially foreclosed on Cornerstone’s deeds of trust, which also expressly secured their guaranty; and (2) thus, RCW 61.”
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