Full Text of HB0613 103rd General Assembly
HB0613ham001 103RD GENERAL ASSEMBLY | Rep. Kelly M. Burke Filed: 5/21/2024 | | 10300HB0613ham001 | | LRB103 04198 HLH 73382 a |
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| 1 | | AMENDMENT TO HOUSE BILL 613
| 2 | | AMENDMENT NO. ______. Amend House Bill 613 by replacing | 3 | | everything after the enacting clause with the following: | 4 | | "Section 5. The Property Tax Code is amended by changing | 5 | | Sections 21-305 22-10, 22-30, 22-35, 22-40, 22-45, 22-55, | 6 | | 22-60, 22-75, 22-80, and 22-85 and by adding Sections 22-100, | 7 | | 22-105, 22-110, 22-115, and 22-120 as follows: | 8 | | (35 ILCS 200/21-305) | 9 | | Sec. 21-305. Payments from Indemnity Fund. | 10 | | (a) Any owner of property sold under any provision of this | 11 | | Code who sustains loss or damage by reason of the issuance of a | 12 | | tax deed under Section 21-445 or 22-40 and who is barred or is | 13 | | in any way precluded from bringing an action for the recovery | 14 | | of the property shall have the right to indemnity for the loss | 15 | | or damage sustained, limited as follows: | 16 | | (1) An owner who resided on property that contained 4 |
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| 1 | | or less dwelling units on the last day of the period of | 2 | | redemption and who is equitably entitled to compensation | 3 | | for the loss or damage sustained has the right to | 4 | | indemnity. An equitable indemnity award shall be limited | 5 | | to the fair cash value of the property as of the date the | 6 | | tax deed was issued less any mortgages or liens on the | 7 | | property, and the award will not exceed $99,000. The Court | 8 | | shall liberally construe this equitable entitlement | 9 | | standard to provide compensation wherever, in the | 10 | | discretion of the Court, the equities warrant the action. | 11 | | An owner of a property that contained 4 or less | 12 | | dwelling units who requests an award in excess of $99,000 | 13 | | must prove that the loss of his or her property was not | 14 | | attributable to his or her own fault or negligence before | 15 | | an award in excess of $99,000 will be granted. | 16 | | (2) An owner who sustains the loss or damage of any | 17 | | property occasioned by reason of the issuance of a tax | 18 | | deed, without fault or negligence of his or her own, has | 19 | | the right to indemnity limited to the fair cash value of | 20 | | the property less any mortgages or liens on the property. | 21 | | In determining the existence of fault or negligence, the | 22 | | court shall consider whether the owner exercised ordinary | 23 | | reasonable diligence under all of the relevant | 24 | | circumstances. | 25 | | (3) In determining the fair cash value of property | 26 | | less any mortgages or liens on the property, the fair cash |
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| 1 | | value shall be reduced by the principal amount of all | 2 | | taxes paid by the tax purchaser or his or her assignee | 3 | | before the issuance of the tax deed. | 4 | | (4) If an award made under paragraph (1) or (2) is | 5 | | subject to a reduction by the amount of an outstanding | 6 | | mortgage or lien on the property, other than the principal | 7 | | amount of all taxes paid by the tax purchaser or his or her | 8 | | assignee before the issuance of the tax deed and the | 9 | | petitioner would be personally liable to the mortgagee or | 10 | | lienholder for all or part of that reduction amount, the | 11 | | court shall order an additional indemnity award to be paid | 12 | | directly to the mortgagee or lienholder sufficient to | 13 | | discharge the petitioner's personal liability. The court, | 14 | | in its discretion, may order the joinder of the mortgagee | 15 | | or lienholder as an additional party to the indemnity | 16 | | action. | 17 | | (b) Indemnity fund; subrogation. | 18 | | (1) Any person claiming indemnity hereunder shall | 19 | | petition the Court which ordered the tax deed to issue, | 20 | | shall name the County Treasurer, as Trustee of the | 21 | | indemnity fund, as defendant to the petition, and shall | 22 | | ask that judgment be entered against the County Treasurer, | 23 | | as Trustee, in the amount of the indemnity sought. The | 24 | | provisions of the Civil Practice Law shall apply to | 25 | | proceedings under the petition, except that neither the | 26 | | petitioner nor County Treasurer shall be entitled to trial |
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| 1 | | by jury on the issues presented in the petition. The Court | 2 | | shall liberally construe this Section to provide | 3 | | compensation wherever in the discretion of the Court the | 4 | | equities warrant such action. | 5 | | (2) The County Treasurer, as Trustee of the indemnity | 6 | | fund, shall be subrogated to all parties in whose favor | 7 | | judgment may be rendered against him or her, and by | 8 | | third-party third party complaint may bring in as a | 9 | | defendant any person, other than the tax deed grantee and | 10 | | its successors in title, not a party to the action who is | 11 | | or may be liable to him or her, as subrogee, for all or | 12 | | part of the petitioner's claim against him or her. | 13 | | (c) Any contract involving the proceeds of a judgment for | 14 | | indemnity under this Section, between the tax deed grantee or | 15 | | its successors in title and the indemnity petitioner or his or | 16 | | her successors, shall be in writing. In any action brought | 17 | | under Section 21-305, the Collector shall be entitled to | 18 | | discovery regarding, but not limited to, the following: | 19 | | (1) the identity of all persons beneficially | 20 | | interested in the contract, directly or indirectly, | 21 | | including at least the following information: the names | 22 | | and addresses of any natural persons; the place of | 23 | | incorporation of any corporation and the names and | 24 | | addresses of its shareholders unless it is publicly held; | 25 | | the names and addresses of all general and limited | 26 | | partners of any partnership; the names and addresses of |
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| 1 | | all persons having an ownership interest in any entity | 2 | | doing business under an assumed name, and the county in | 3 | | which the assumed business name is registered; and the | 4 | | nature and extent of the interest in the contract of each | 5 | | person identified; | 6 | | (2) the time period during which the contract was | 7 | | negotiated and agreed upon, from the date of the first | 8 | | direct or indirect contact between any of the contracting | 9 | | parties to the date of its execution; | 10 | | (3) the name and address of each natural person who | 11 | | took part in negotiating the contract, and the identity | 12 | | and relationship of the party that the person represented | 13 | | in the negotiations; and | 14 | | (4) the existence of an agreement for payment of | 15 | | attorney's fees by or on behalf of each party. | 16 | | Any information disclosed during discovery may be subject | 17 | | to protective order as deemed appropriate by the court. The | 18 | | terms of the contract shall not be used as evidence of value. | 19 | | (d) A petition of indemnity under this Section must be | 20 | | filed within 10 years after the date the tax deed was issued. | 21 | | (e) Any owner who requests an excess proceeds sale | 22 | | pursuant to Section 22-100 that results in a sale pursuant to | 23 | | Section 22-105 shall not be entitled to any award under this | 24 | | Section, regardless of whether any surplus was generated. | 25 | | (Source: P.A. 97-557, eff. 7-1-12 .) |
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| 1 | | (35 ILCS 200/22-10) | 2 | | Sec. 22-10. Notice of expiration of period of redemption. | 3 | | A purchaser or assignee shall not be entitled to a tax deed to | 4 | | the property sold unless, not less than 3 months nor more than | 5 | | 6 months prior to the expiration of the period of redemption, | 6 | | he or she gives notice of the sale and the date of expiration | 7 | | of the period of redemption to the owners, occupants, and | 8 | | parties interested in the property, including any mortgagee of | 9 | | record, as provided below. For counties or taxing districts | 10 | | holding certificates pursuant to Section 21-90, the date of | 11 | | expiration of the period of redemption shall be designated by | 12 | | the county or taxing district in its petition for tax deed and | 13 | | identified in the notice below, which shall be filed with the | 14 | | county clerk. | 15 | | The Notice to be given to the parties shall be in at least | 16 | | 10-point type in the following form completely filled in: | 17 | | TAX DEED NO. .................... FILED .................... | 18 | | TAKE NOTICE | 19 | | County of ........................................... | 20 | | Date Premises Sold or Forfeited ..................... | 21 | | Certificate No. ..................................... | 22 | | Sold or Forfeited for General Taxes of (year) ....... | 23 | | Sold for Special Assessment of (Municipality) | 24 | | and special assessment number ....................... | 25 | | Warrant No. ................ Inst. No. ................. | 26 | | THIS PROPERTY HAS BEEN SOLD FOR |
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| 1 | | DELINQUENT TAXES | 2 | | Property Address (as identified on the most recent tax bill, | 3 | | if available) .... | 4 | | Legal Description or Property Index No. .......... | 5 | | .......... | 6 | | .............................. | 7 | | This notice is to advise you that the above property has | 8 | | been sold for delinquent taxes and that the period of | 9 | | redemption from the sale will expire on .......... | 10 | | .......... | 11 | | Check with the county clerk as to the exact amount you owe | 12 | | before redeeming. | 13 | | This notice is also to advise you that a petition has been | 14 | | filed for a tax deed which will transfer title and the right to | 15 | | possession of this property if redemption is not made on or | 16 | | before .................................................. | 17 | | This matter is set for hearing in the Circuit Court of this | 18 | | county in ...., Illinois on ..... | 19 | | You may be present at this hearing but your right to redeem | 20 | | will already have expired at that time. | 21 | | YOU ARE URGED TO REDEEM IMMEDIATELY | 22 | | TO PREVENT LOSS OF PROPERTY | 23 | | Redemption can be made at any time on or before .... by | 24 | | applying to the County Clerk of ...., County, Illinois at the | 25 | | Office of the County Clerk in ...., Illinois. | 26 | | For further information contact the County Clerk |
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| 1 | | IF YOU BELIEVE THAT YOUR PROPERTY HAS VALUE THAT EXCEEDS | 2 | | THE TAX BURDEN ON THE PROPERTY, AND YOU DO NOT WANT TO LOSE | 3 | | EQUITY YOU MAY HAVE IN THE PROPERTY, YOU MAY REQUEST AN EXCESS | 4 | | PROCEEDS SALE BY NOTIFYING THE COUNTY CLERK OF YOUR REQUEST IN | 5 | | WRITING. THE COUNTY CLERK SHALL PROVIDE THE FORM. | 6 | | ADDRESS:.................... | 7 | | TELEPHONE AND/OR EMAIL ADDRESS:.................. | 8 | | ..........................
| 9 | | Purchaser or Assignee.
| 10 | | Dated (insert date).
| 11 | | In counties with 3,000,000 or more inhabitants, the notice | 12 | | shall also state the address, room number, and time at which | 13 | | the matter is set for hearing. | 14 | | The changes to this Section made by Public Act 97-557 | 15 | | apply only to matters in which a petition for tax deed is filed | 16 | | on or after July 1, 2012 (the effective date of Public Act | 17 | | 97-557). | 18 | | The changes to this Section made by Public Act 102-1003 | 19 | | apply to matters in which a petition for tax deed is filed on | 20 | | or after May 27, 2022 (the effective date of Public Act | 21 | | 102-1003). Failure of any party or any public official to | 22 | | comply with the changes made to this Section by Public Act | 23 | | 102-528 does not invalidate any tax deed issued prior to May | 24 | | 27, 2022 (the effective date of Public Act 102-1003). |
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| 1 | | The changes made to this Section by this amendatory Act of | 2 | | the 103rd General Assembly apply to matters concerning tax | 3 | | certificates issued on or after the effective date of this | 4 | | amendatory Act of the 103rd General Assembly. | 5 | | (Source: P.A. 102-528, eff. 1-1-22; 102-813, eff. 5-13-22; | 6 | | 102-1003, eff. 5-27-22; 103-154, eff. 6-30-23; 103-555, eff. | 7 | | 1-1-24 .) | 8 | | (35 ILCS 200/22-30) | 9 | | Sec. 22-30. Petition for deed. At any time within 6 months | 10 | | but not less than 3 months prior to the expiration of the | 11 | | redemption period for property sold pursuant to judgment and | 12 | | order of sale under Sections 21-110 through 21-120 or 21-260 | 13 | | or otherwise acquired by the county pursuant to Section 21-90, | 14 | | the purchaser, or the agent pursuant to Section 21-90, may | 15 | | file a petition in the circuit court in the same proceeding in | 16 | | which the judgment and order of sale were entered, asking that | 17 | | the court direct the county clerk to issue a tax deed if the | 18 | | property is not redeemed from the sale. The petition shall be | 19 | | accompanied by the statutory filing fee. | 20 | | Notice of filing the petition and a date for redemption, | 21 | | after which the petitioner intends to apply for an order to | 22 | | issue a tax deed if the taxes are not redeemed, shall be given | 23 | | to occupants, owners and persons interested in the property as | 24 | | part of the notice provided in Sections 22-10 through 22-25, | 25 | | except that only one publication is required. The county clerk |
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| 1 | | shall be notified of the filing of the petition and any person | 2 | | owning or interested in the property may, if he or she desires, | 3 | | appear in the proceeding. | 4 | | Any owner may appear and object to the tax deed | 5 | | petitioner's request for an order directing the county clerk | 6 | | to issue the tax deed notwithstanding that a request for an | 7 | | excess proceeds sale was made by any owner pursuant to Section | 8 | | 22-100. | 9 | | The changes to this Section made by this amendatory Act of | 10 | | the 95th General Assembly apply only to matters in which a | 11 | | petition for tax deed is filed on or after the effective date | 12 | | of this amendatory Act of the 95th General Assembly. | 13 | | (Source: P.A. 103-555, eff. 1-1-24 .) | 14 | | (35 ILCS 200/22-40) | 15 | | Sec. 22-40. Issuance of deed; possession. | 16 | | (a) To obtain an order for issuance of tax deed, the | 17 | | petitioner must provide sufficient evidence that: | 18 | | (1) the redemption period has expired and the property | 19 | | has not been redeemed; | 20 | | (2) all taxes and special assessments which became due | 21 | | and payable subsequent to the sale have been paid, unless | 22 | | the county or its agent, as trustee pursuant to Section | 23 | | 21-90, is the petitioner; | 24 | | (3) all forfeitures and sales which occur subsequent | 25 | | to the sale are paid or redeemed, unless the county or its |
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| 1 | | agent, as trustee pursuant to Section 21-90, is the | 2 | | petitioner; | 3 | | (4) the notices required by law have been given, and | 4 | | all advancements of public funds under the police power | 5 | | made by a county, city, village or town under Section | 6 | | 22-35 have been paid; and | 7 | | (5) the petitioner has complied with all the | 8 | | provisions of law entitling him or her to a deed. | 9 | | Upon receipt of sufficient evidence of the requirements | 10 | | under this subsection (a), the court shall find that the | 11 | | petitioner complied with those requirements and shall enter an | 12 | | order directing the county clerk, on the production of the tax | 13 | | certificate and a certified copy of the order, to issue to the | 14 | | purchaser or its assignee a tax deed. The court shall insist on | 15 | | strict compliance with Section 22-10 through 22-25. Prior to | 16 | | the entry of an order directing the issuance of a tax deed, the | 17 | | petitioner shall furnish the court with a report of | 18 | | proceedings of the evidence received on the application for | 19 | | tax deed and the report of proceedings shall be filed and made | 20 | | a part of the court record. | 21 | | (a-5) If, at the time the order directing issuance of tax | 22 | | deed is entered, no request for an excess proceeds sale has | 23 | | been made pursuant to subsections (a) or (b) of Section | 24 | | 22-100, the order shall require the tax deed petitioner to | 25 | | send via first-class mail to all parties that were named in the | 26 | | tax deed proceeding and to any party entitled to receive |
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| 1 | | notice pursuant to Section 22-5, a copy of the order along with | 2 | | a request for an excess proceeds sale form as set forth in | 3 | | Section 22-100. The order and the request for excess proceeds | 4 | | sale form shall be sent within 14 days after the order | 5 | | directing issuance of tax deed is entered. The form shall list | 6 | | the final date upon which a person may request an excess | 7 | | proceeds sale under subsection (c) of Section 22-100. The tax | 8 | | deed petitioner must file a notice of filing and certificate | 9 | | of mailing in the tax deed proceeding that verifies that the | 10 | | mailing occurred. The county clerk shall not issue any tax | 11 | | deed prior to the 91st day after the entry of the order unless | 12 | | proof is presented to the county clerk that the notice | 13 | | required by this Section was timely mailed, except in cases | 14 | | where a request for an excess proceeds sale was made pursuant | 15 | | to subsection (a) or (b) of Section 22-100. If the notice set | 16 | | forth in this Section is not mailed within 14 days after the | 17 | | order is entered, the county clerk shall not issue a tax deed | 18 | | until proof is presented to the clerk that the mailing | 19 | | occurred. In that case, the county clerk shall issue a tax deed | 20 | | only after 90 days have passed from the date the notice was | 21 | | mailed. A copy of the file stamped notice of filing and | 22 | | certificate of mailing filed in the tax deed proceeding is | 23 | | satisfactory proof that the mailing occurred on the date | 24 | | listed in the notice. | 25 | | (a-10) Every order directing issuance of tax deed shall | 26 | | list the total amount owed to the holder of the certificate of |
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| 1 | | purchase at the time the order is entered, which shall be paid | 2 | | to the holder of the certificate of purchase if an excess | 3 | | proceeds sale is held pursuant to Section 22-105. The total | 4 | | amount due to the holder of the certificate of purchase shall | 5 | | include the following amounts: | 6 | | (1) the amount necessary to redeem the property from | 7 | | the sale as of the last day of the period of redemption | 8 | | plus interest of 16%; | 9 | | (2) all taxes and special assessments paid or redeemed | 10 | | by the tax purchaser or the purchaser's assignee that are | 11 | | not included in the redemption amount, plus any indemnity | 12 | | fund fees paid as required by subsection (e-5); | 13 | | (3) court reporter fees for the hearing on the | 14 | | application for tax deed and transcript of the hearing; | 15 | | (4) amounts in satisfaction of municipal liens paid by | 16 | | the tax purchaser or the tax purchaser's assignee; and | 17 | | (5) reasonable attorney's fees. | 18 | | (b) Except as provided in subsection (e), if taxes for | 19 | | years prior to the year or years sold are or become delinquent | 20 | | subsequent to the date of sale, the court shall find that the | 21 | | lien of those delinquent taxes has been or will be merged into | 22 | | the tax deed grantee's title if the court determines that the | 23 | | tax deed grantee or any prior holder of the certificate of | 24 | | purchase, or any person or entity under common ownership or | 25 | | control with any such grantee or prior holder of the | 26 | | certificate of purchase, was at no time the holder of any |
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| 1 | | certificate of purchase for the years sought to be merged. If | 2 | | delinquent taxes are merged into the tax deed pursuant to this | 3 | | subsection, the court shall enter an order declaring which | 4 | | specific taxes have been or will be merged into the tax deed | 5 | | title and directing the county treasurer and county clerk to | 6 | | reflect that declaration in the warrant and judgment records; | 7 | | provided, that no such order shall be effective until a tax | 8 | | deed has been issued and timely recorded. Nothing contained in | 9 | | this Section shall relieve any owner liable for delinquent | 10 | | property taxes under this Code from the payment of the taxes | 11 | | that have been merged into the title upon issuance of the tax | 12 | | deed. | 13 | | (c) The county clerk is entitled to a fee of $10 in | 14 | | counties of 3,000,000 or more inhabitants and $5 in counties | 15 | | with less than 3,000,000 inhabitants for the issuance of the | 16 | | tax deed, with the exception of deeds issued to the county | 17 | | pursuant to its authority under Section 21-90. The clerk may | 18 | | not include in a tax deed more than one property as listed, | 19 | | assessed and sold in one description, except in cases where | 20 | | several properties are owned by one person. The fee paid to the | 21 | | county clerk for the issuance of the tax deed shall be | 22 | | accompanied by a $300 indemnity fund fee in counties of | 23 | | 3,000,000 or more inhabitants and a $100 indemnity fund fee in | 24 | | counties with less than 3,000,000 inhabitants, with the | 25 | | exception of deeds issued to the county pursuant to its | 26 | | authority under Section 21-90. All fees received under this |
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| 1 | | subsection shall be paid by the county clerk to the county | 2 | | treasurer of the county in which the land is situated for the | 3 | | purpose of funding the county's indemnity fund established | 4 | | under Section 21-295. | 5 | | Upon application , the court shall , enter an order to place | 6 | | the tax deed grantee or the grantee's successor in interest in | 7 | | possession of the property and may enter orders and grant | 8 | | relief as may be necessary or desirable to maintain the | 9 | | grantee or the grantee's successor in interest in possession. | 10 | | (d) The court shall retain jurisdiction to enter orders | 11 | | pursuant to subsections (b) and (c) of this Section. This | 12 | | amendatory Act of the 92nd General Assembly and this | 13 | | amendatory Act of the 95th General Assembly shall be construed | 14 | | as being declarative of existing law and not as a new | 15 | | enactment. | 16 | | (e) Prior to the issuance of any tax deed under this | 17 | | Section, the petitioner must redeem all taxes and special | 18 | | assessments on the property that are subject to a pending tax | 19 | | petition filed by a county or its assignee pursuant to Section | 20 | | 21-90. | 21 | | (e-5) Following the expiration of the period of | 22 | | redemption, the petitioner's payment of (i) any subsequent tax | 23 | | and special assessment and (ii) any redemption of any sale of | 24 | | subsequent taxes or forfeiture shall be accompanied by a 10% | 25 | | indemnity fund fee to be paid by the petitioner. All fees | 26 | | received under this subsection shall be paid by the collector |
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| 1 | | and county clerk to the county treasurer of the county in which | 2 | | the land is situated for the purpose of funding the county's | 3 | | indemnity fund established by Section 21-295. No fees incurred | 4 | | under this subsection shall be posted to the subject tax sale | 5 | | pursuant to Section 21-355. | 6 | | (f) If, for any reason, a purchaser fails to obtain an | 7 | | order for tax deed within the required time period and no sale | 8 | | in error was granted or redemption paid, then the certificate | 9 | | shall be forfeited to the county, as trustee, pursuant to | 10 | | Section 21-90. | 11 | | (Source: P.A. 103-555, eff. 1-1-24 .) | 12 | | (35 ILCS 200/22-45) | 13 | | Sec. 22-45. Tax deed incontestable unless order appealed | 14 | | or relief petitioned. | 15 | | (a) Tax deeds issued under Section 22-40 are incontestable | 16 | | except by appeal from the order of the court directing the | 17 | | county clerk to issue the tax deed. However, relief from such | 18 | | order may be had under Sections 2-1203 or 2-1401 of the Code of | 19 | | Civil Procedure in the same manner and to the same extent as | 20 | | may be had under those Sections with respect to final orders | 21 | | and judgments in other proceedings. The grounds for relief | 22 | | under Section 2-1401 shall be limited to: | 23 | | (1) proof that the taxes were paid prior to sale; | 24 | | (2) proof that the property was exempt from taxation; | 25 | | (3) proof by clear and convincing evidence that the |
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| 1 | | tax deed had been procured by fraud or deception by the tax | 2 | | purchaser or his or her assignee; or | 3 | | (4) proof by a person or party holding a recorded | 4 | | ownership or other recorded interest in the property that | 5 | | he or she was not named as a party in the publication | 6 | | notice as set forth in Section 22-20, and that the tax | 7 | | purchaser or his or her assignee did not make a diligent | 8 | | inquiry and effort to serve that person or party with the | 9 | | notices required by Sections 22-10 through 22-30. | 10 | | (b) In cases of the sale of homestead property in counties | 11 | | with 3,000,000 or more inhabitants, a tax deed may also be | 12 | | voided by the court upon petition, filed not more than 3 months | 13 | | after an order for tax deed was entered, if the court finds | 14 | | that the property was owner occupied on the expiration date of | 15 | | the period of redemption and that the order for deed was | 16 | | effectuated pursuant to a negligent or willful error made by | 17 | | an employee of the county clerk or county collector during the | 18 | | period of redemption from the sale that was reasonably relied | 19 | | upon to the detriment of any person having a redeemable | 20 | | interest. In such a case, the tax purchaser shall be entitled | 21 | | to the original amount required to redeem the property plus | 22 | | interest from the sale as of the last date of redemption | 23 | | together with costs actually expended subsequent to the | 24 | | expiration of the period of redemption and reasonable | 25 | | attorney's fees, all of which shall be dispensed from the fund | 26 | | created by Section 21-295. If an excess proceeds sale has |
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| 1 | | occurred pursuant to Section 22-105, the successful purchaser | 2 | | shall be entitled to the following amounts, all of which shall | 3 | | be dispensed from the fund created by Section 21-295: | 4 | | (1) the amount owed to the holder of the certificate | 5 | | listed in the order directing issuance of tax deed, with | 6 | | interest at the rate of 1% per month from the date the | 7 | | successful purchaser paid his or her winning excess | 8 | | proceeds sale bid until the date of payment pursuant to | 9 | | this Section; | 10 | | (2) all taxes and special assessments paid or redeemed | 11 | | by the successful purchaser, the tax deed grantee, or or | 12 | | the tax deed grantee's successors and assigns, after the | 13 | | excess proceeds sale, with interest at the rate of 1% per | 14 | | month from the date any such payment was made until the | 15 | | date of payment pursuant to this Section; | 16 | | (3) the cost of certification of tax deed order, the | 17 | | cost of issuance of the tax deed, and the cost of recording | 18 | | of the tax deed, which shall include any indemnity fund | 19 | | fees as required by subsection (c) of Section 22-40; | 20 | | (4) the total amount of any excess surplus paid by the | 21 | | winning bidder at any excess proceeds sale, provided that | 22 | | the amount bid was in excess of the total amount owed to | 23 | | the holder of the certificate as listed in the order | 24 | | directing issuance of tax deed; and | 25 | | (5) reasonable attorney's fees and court costs | 26 | | actually expended. |
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| 1 | | (c) The treasurer, as trustee of the county indemnity | 2 | | fund, may file a motion with the court for the release of any | 3 | | surplus funds held by the clerk of the circuit court as | 4 | | provided in Section 22-120, and the court shall enter an order | 5 | | requiring the clerk of the circuit court to release any | 6 | | surplus funds from the excess proceeds sale to the treasurer | 7 | | as trustee of the county indemnity fund. | 8 | | (d) In those cases of error where the court vacates the tax | 9 | | deed, it may award the petitioner reasonable attorney's fees | 10 | | and court costs actually expended, payable from that fund. The | 11 | | court hearing a petition filed under this Section or Section | 12 | | 2-1401 of the Code of Civil Procedure may concurrently hear a | 13 | | petition filed under Section 21-295 and may grant relief under | 14 | | any Section. | 15 | | (e) Any owner who requests an excess proceeds sale | 16 | | pursuant to Section 22-100 shall not be limited to any relief | 17 | | from the order directing the county clerk to issue the tax deed | 18 | | as provided in this Section and under and any motion filed | 19 | | under Sections 2-1203 or 2-1401 of the Code of Civil Procedure | 20 | | unless an excess proceeds sale occurs. Once the excess | 21 | | proceeds sale occurs, any owner who made such a request shall | 22 | | be limited to the results of any excess proceeds sale | 23 | | regardless if any surplus funds exist. Any surplus funds shall | 24 | | be recovered only pursuant to the requirements of Section | 25 | | 22-120. | 26 | | This amendatory Act of the 95th General Assembly shall be |
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| 1 | | construed as being declarative of existing law and not as a new | 2 | | enactment. | 3 | | (Source: P.A. 95-477, eff. 6-1-08 .) | 4 | | (35 ILCS 200/22-55) | 5 | | Sec. 22-55. Tax deeds to convey merchantable title. | 6 | | (a) This Section shall be liberally construed so that tax | 7 | | deeds shall convey merchantable title. In the event the | 8 | | property has been taken by eminent domain under the Eminent | 9 | | Domain Act, the tax purchaser shall be entitled to the award | 10 | | which is the substitute for the property. Tax deeds issued | 11 | | pursuant to this Section are subject to Section 22-70. | 12 | | (b) Any conveyance from any tax deed grantee, including | 13 | | any deed issued to the county, a specific county agency, or a | 14 | | municipality, to a bona fide purchaser shall include a county | 15 | | indemnity fund charge in the amount of 2.5% of the purchase | 16 | | price, which shall be paid by the tax deed grantee. The | 17 | | indemnity fund charge shall be collected by the Illinois | 18 | | licensed title insurance company that issues an owner's policy | 19 | | of title insurance from the tax deed grantee to the purchaser | 20 | | and shall thereafter be paid by the title insurance company to | 21 | | the county treasurer of the county in which the property is | 22 | | located, as trustee of the indemnity fund established by | 23 | | Section 21-295. The title insurance company may charge a | 24 | | reasonable fee for the collection and turnover of those | 25 | | charges. This subsection applies to conveyances that occur on |
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| 1 | | or after the effective date of this amendatory Act of the 103rd | 2 | | General Assembly. | 3 | | (c) In counties of 3,000,000 or more inhabitants, any | 4 | | conveyance from any tax deed grantee, including any deed that | 5 | | is issued to the county, to a specific county agency, or to a | 6 | | municipality, that is not covered in subsection (b) shall | 7 | | include an indemnity fund fee of $500 upon recording of the | 8 | | deed from the tax deed grantee to any grantee. The $500 | 9 | | indemnity fee received under this subsection shall be paid by | 10 | | the county recorder or the county clerk to the county | 11 | | treasurer of the county in which the land is situated and shall | 12 | | be used for the purpose of funding the county's indemnity fund | 13 | | established by Section 21-295. | 14 | | (Source: P.A. 94-1055, eff. 1-1-07.) | 15 | | (35 ILCS 200/22-60) | 16 | | Sec. 22-60. Contents of deed; recording. | 17 | | (a) Every tax deed shall contain the full names and the | 18 | | true post office address and residence of the grantee. A | 19 | | county receiving a tax deed pursuant to Section 21-90 may | 20 | | designate a specific county agency to be named as the deed | 21 | | grantee. It shall not be of any force or effect, and the | 22 | | recipient shall not take title to the property, until after | 23 | | the deed has been recorded in the office of the recorder. | 24 | | (b) The cost of recording a tax deed, including, but not | 25 | | limited to, a tax deed issued to a county, a specific county |
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| 1 | | agency, or a municipality, shall include a $200 indemnity fund | 2 | | surcharge fee. All surcharge fees received under this | 3 | | subsection shall be paid by the county recorder or the county | 4 | | clerk to the county treasurer of the county in which the land | 5 | | is situated and shall be used for the purpose of funding the | 6 | | county's indemnity fund established by Section 21-295. | 7 | | (Source: P.A. 103-555, eff. 1-1-24 .) | 8 | | (35 ILCS 200/22-75) | 9 | | Sec. 22-75. Deed; prima facie evidence of regularity of | 10 | | sale. | 11 | | (a) As to the property conveyed therein, tax deeds | 12 | | executed by the county clerk are prima facie evidence of the | 13 | | following facts in all controversies and suits in relation to | 14 | | the rights of the tax deed grantee and his or her heirs or | 15 | | assigns: | 16 | | (1) the property conveyed was subject to taxation at | 17 | | the time it was assessed, and was listed and assessed in | 18 | | the time and manner required by law; | 19 | | (2) the taxes or special assessments were not paid at | 20 | | any time before the sale; | 21 | | (3) the property was advertised for sale in the manner | 22 | | and for the length of time required by law; | 23 | | (4) the property was sold for taxes or special | 24 | | assessments as stated in the deed; | 25 | | (5) the sale was conducted in the manner required by |
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| 1 | | law; | 2 | | (6) the property conveyed was not redeemed from the | 3 | | sale within the time permitted by law; | 4 | | (7) the grantee in the deed was the purchaser or | 5 | | assignee of the purchaser. | 6 | | (a-5) No conveyance from a tax deed grantee to a bona fide | 7 | | purchaser may be challenged on the basis that the former owner | 8 | | may have suffered a loss of equity. Any such claim must be | 9 | | adjudicated pursuant to the provisions of Sections 22-100 | 10 | | through 22-120 or 21-305, which provisions shall be the | 11 | | exclusive remedy for any alleged loss of equity. | 12 | | (b) Any order for the sale of property for delinquent | 13 | | taxes, except as otherwise provided in this Section, shall | 14 | | estop all parties from raising any objections to the order or | 15 | | to a tax title based thereon, which existed at or before the | 16 | | rendition of the order, and which could have been presented as | 17 | | a defense to the application for the order. The order itself is | 18 | | conclusive evidence of its regularity and validity in all | 19 | | collateral proceedings, except in cases where the tax or | 20 | | special assessments were paid prior to the sale or the | 21 | | property was exempt from general taxes or was not subject to | 22 | | special assessment. | 23 | | (Source: P.A. 88-455; 89-342, eff. 1-1-96.) | 24 | | (35 ILCS 200/22-80) | 25 | | Sec. 22-80. Order of court setting aside tax deed; |
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| 1 | | payments to holder of deed. | 2 | | (a) Any order of court vacating an order directing the | 3 | | county clerk to issue a tax deed based upon a finding that the | 4 | | property was not subject to taxation or special assessment, or | 5 | | that the taxes or special assessments had been paid prior to | 6 | | the sale of the property, or that the tax sale was otherwise | 7 | | void, shall declare the tax sale to be a sale in error pursuant | 8 | | to Section 21-310 of this Act. The order shall direct the | 9 | | county collector to refund to the tax deed grantee or his or | 10 | | her successors and assigns (or, if a tax deed has not yet | 11 | | issued, the holder of the certificate) the following amounts: | 12 | | (1) all taxes and special assessments purchased, paid, | 13 | | or redeemed by the tax purchaser or his or her assignee, or | 14 | | by the tax deed grantee or his or her successors and | 15 | | assigns, whether before or after entry of the order for | 16 | | tax deed, with interest at the rate of 1% per month from | 17 | | the date each amount was paid until the date of payment | 18 | | pursuant to this Section; | 19 | | (2) all costs paid and posted to the judgment record | 20 | | and not included in paragraph (1) of this subsection (a); | 21 | | and | 22 | | (3) court reporter fees for the hearing on the | 23 | | application for tax deed and transcript thereof, the cost | 24 | | of certification of tax deed order, the cost of issuance | 25 | | of tax deed, and the cost of recording of tax deed , and any | 26 | | indemnity fund fees as required by subsection (c) of |
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| 1 | | Section 22-40, subsection (e-5) of Section 22-40, | 2 | | subsection (b) of 22-50, and subsection (b) of Section | 3 | | 22-60 . | 4 | | (a-5) If an excess proceeds sale has occurred pursuant to | 5 | | Section 22-105, the county collector shall refund to the tax | 6 | | deed grantee, or to the grantee's successors and assigns, or, | 7 | | if a tax deed has not yet issued, to the holder of the | 8 | | certificate of purchase, the following amounts: | 9 | | (1) the amount owed to the holder of the certificate, | 10 | | which is listed in the order directing issuance of tax | 11 | | deed, with interest at the rate of 1% per month from the | 12 | | date the order directing issuance of tax deed was entered | 13 | | until the date of payment under this Section; | 14 | | (2) all taxes and special assessments paid or redeemed | 15 | | by the tax purchaser or the tax purchaser's assignee, or | 16 | | by the tax deed grantee or the grantee's successors and | 17 | | assigns, after the excess proceeds sale, with interest at | 18 | | the rate of 1% per month from the date each amount was paid | 19 | | until the date of payment pursuant to this Section; | 20 | | (3) the cost of certification of tax deed order, the | 21 | | cost of issuance of tax deed, the cost of recording of tax | 22 | | deed, and any indemnity fund fees as required by | 23 | | subsection (d) of Section 22-40, subsection (e-5) of | 24 | | Section 22-40, subsection (b) of 22-50, subsection (b) of | 25 | | and 22-60; and | 26 | | (4) the total amount of any excess surplus paid by the |
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| 1 | | winning bidder at any excess proceeds sale, provided that | 2 | | the amount bid was in excess of the total amount owed to | 3 | | the holder of the certificate as listed in the order | 4 | | directing issuance of tax deed with interest at the rate | 5 | | of 1% per month from the date the winning bidder paid the | 6 | | amount due at the excess surplus sale until the date of | 7 | | payment pursuant to this Section. The collector may file a | 8 | | motion with the court for release of any surplus funds | 9 | | held by the clerk of the circuit court as provided in | 10 | | Section 22-120, and the court shall enter an order | 11 | | requiring the clerk of the circuit court to release any | 12 | | remaining surplus funds to the collector from that excess | 13 | | proceeds sale. | 14 | | (b) Except in those cases described in subsection (a) and | 15 | | (a-5) of this Section, and unless the court on motion of the | 16 | | tax deed petitioner extends the redemption period to a date | 17 | | not later than 3 years from the date of sale, any order of | 18 | | court finding that an order directing the county clerk to | 19 | | issue a tax deed should be vacated shall direct the party who | 20 | | successfully contested the entry of the order to pay to the tax | 21 | | deed grantee or his or her successors and assigns (or, if a tax | 22 | | deed has not yet issued, the holder of the certificate) within | 23 | | 90 days after the date of the finding: | 24 | | (1) the amount necessary to redeem the property from | 25 | | the sale as of the last day of the period of redemption, | 26 | | except that, if the sale is a scavenger sale pursuant to |
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| 1 | | Section 21-260 of this Act, the redemption amount shall | 2 | | not include an amount equal to all delinquent taxes on | 3 | | such property which taxes were delinquent at the time of | 4 | | sale; and | 5 | | (2) amounts in satisfaction of municipal liens paid by | 6 | | the tax purchaser or his or her assignee, and the amounts | 7 | | specified in paragraphs (1) and (3) of subsection (a) of | 8 | | this Section, to the extent the amounts are not included | 9 | | in paragraph (1) of this subsection (b). | 10 | | If the payment is not made within the 90-day period, the | 11 | | petition to vacate the order directing the county clerk to | 12 | | issue a tax deed shall be denied with prejudice, and the order | 13 | | directing the county clerk to issue a tax deed shall remain in | 14 | | full force and effect. No final order vacating any order | 15 | | directing the county clerk to issue a tax deed shall be entered | 16 | | pursuant to this subsection (b) until the payment has been | 17 | | made. | 18 | | (c) Except as described in subsection (a), (a-5), or (b), | 19 | | any order of the court finding that an order directing the | 20 | | county clerk to issue a tax deed shall be vacated when an | 21 | | excess proceeds sale has occurred shall direct the party who | 22 | | successfully contested the entry of the order to pay to the tax | 23 | | deed grantee or the grantee's successors and assigns (or, if a | 24 | | tax deed has not yet issued, to the holder of the certificate) | 25 | | within 90 days after the date of the finding the following | 26 | | amounts: |
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| 1 | | (1) the amount owed to the holder of the certificate | 2 | | that is listed in the order directing issuance of tax | 3 | | deed, with interest at the rate of 1% per month from the | 4 | | date the order directing issuance of tax deed was entered | 5 | | until the date of payment pursuant to this Section; | 6 | | (2) all taxes and special assessments paid or redeemed | 7 | | by the tax purchaser or his or her assignee, or by the tax | 8 | | deed grantee or his or her successors and assigns, after | 9 | | the excess proceeds sale, with interest at the rate of 1% | 10 | | per month from the date each amount was paid until the date | 11 | | of payment pursuant to this Section; and | 12 | | (3) the cost of certification of tax deed order, the | 13 | | cost of issuance of tax deed, the cost of recording of tax | 14 | | deed, and any indemnity fund surcharge fees as required by | 15 | | subsection (c) of Sections 22-40, subsection (e-5) of | 16 | | Section 22-40, subsection (b) of Section 22-50, and | 17 | | subsection (b) of Section 22-60. | 18 | | If the payment is not made within the 90-day period, the | 19 | | petition to vacate the order directing the county clerk to | 20 | | issue a tax deed shall be denied with prejudice, and the order | 21 | | directing the county clerk to issue a tax deed shall remain in | 22 | | full force and effect. No final order vacating any order | 23 | | directing the county clerk to issue a tax deed shall be entered | 24 | | pursuant to this subsection (c) until the payment has been | 25 | | made. | 26 | | (d) If the total amount from any excess proceeds sale |
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| 1 | | exceeds the total amount owed to the holder of the certificate | 2 | | as listed in the order directing issuance of tax deed. The tax | 3 | | deed grantee or his or her successors and assigns (or, if a tax | 4 | | deed has not yet issued, the holder of the certificate) may | 5 | | file a motion with the court for release of any surplus funds | 6 | | held by the clerk of the circuit court as provided in Section | 7 | | 22-120 and the court shall order the clerk of the circuit court | 8 | | to release any remaining surplus funds from said sale to the | 9 | | movant. | 10 | | (Source: P.A. 91-357, eff. 7-29-99.) | 11 | | (35 ILCS 200/22-85) | 12 | | Sec. 22-85. Failure to timely take out and record deed; | 13 | | deed is void. Unless the holder of the certificate purchased | 14 | | at any tax sale under this Code takes out the deed in the time | 15 | | provided by law, and records the same within one year from and | 16 | | after the time for redemption expires, the certificate or | 17 | | deed, and the sale on which it is based, shall, after the | 18 | | expiration of the one-year period one year period , be | 19 | | absolutely void with no right to reimbursement. If the holder | 20 | | of the certificate is prevented from obtaining or recording a | 21 | | deed by injunction or order of any court, or by the refusal or | 22 | | inability of any court to act upon the application for a tax | 23 | | deed, or by the refusal of the clerk to execute the same deed, | 24 | | or by the refusal, inability, or delay of any county, city, | 25 | | village, or incorporated town to issue transfer stamps, the |
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| 1 | | time he or she is so prevented shall be excluded from | 2 | | computation of the one-year period one year period . | 3 | | Certificates of purchase and deeds executed by the clerk shall | 4 | | recite the qualifications required in this Section. The court | 5 | | shall retain jurisdiction to enter orders pursuant to this | 6 | | Section. | 7 | | If any owner of the property sold requests an excess | 8 | | proceeds sale, the time for recording any tax deed shall be | 9 | | extended pursuant to the requirement of subsection (g) of | 10 | | Section 22-105. | 11 | | (Source: P.A. 87-669; 88-455.) | 12 | | (35 ILCS 200/22-100 new) | 13 | | Sec. 22-100. Request for excess proceeds sale. Any owner | 14 | | who has an interest in the property on the date a tax deed | 15 | | petition is filed with the clerk of the circuit court may | 16 | | request an excess proceeds sale by: | 17 | | (1) filing a request for an excess proceeds sale with | 18 | | the county clerk before the final date of redemption; the | 19 | | clerk shall provide the request form to the person making | 20 | | the request and, upon completion of the form, shall | 21 | | immediately mark the request on the tax judgment, sale, | 22 | | redemption, and forfeiture record; the county clerk may | 23 | | charge a reasonable fee for such a request and shall | 24 | | provide a receipt to the person making such request; | 25 | | (2) filing a request for an excess proceeds sale with |
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| 1 | | the clerk of the circuit court for which the tax deed | 2 | | proceeding is pending before the entry of any tax deed | 3 | | order; or | 4 | | (3) filing a request for an excess proceeds sale with | 5 | | the clerk of the circuit court for which the tax deed | 6 | | proceeding is pending within 90 days after date the tax | 7 | | deed order is entered or the date the notice required | 8 | | under Section 22-40 is mailed, whichever is later. | 9 | | An owner's failure to request an excess proceeds sale | 10 | | shall not affect any rights the owner may have for | 11 | | indemnification pursuant to Section 21-305. | 12 | | The request for an excess proceeds sale shall be completed | 13 | | in its entirety by the owner in the following form: | 14 | | REQUEST FOR AN EXCESS PROCEEDS SALE | 15 | | Name of Owner: ........................................... | 16 | | Property Address: ........................................ | 17 | | Property Index Number: ................................... | 18 | | Sold or Forfeited for General Taxes of (year) Tax Deed | 19 | | Case Number: ................................................. | 20 | | I, [insert name], am an owner of the above property. If I | 21 | | cannot redeem my property from the above tax sale, I hereby | 22 | | request that the court order an excess proceeds sale, and that | 23 | | I be given an opportunity to claim any surplus funds that may | 24 | | be collected in excess of the amounts due for taxes, | 25 | | penalties, costs, and other encumbrances on the property. | 26 | | Date: .................................................... |
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| 1 | | Owner: ................................................... | 2 | | If no request for an excess proceeds sale has been made by | 3 | | any owner prior to the entry of the tax deed order, the holder | 4 | | of the certificate of purchase as listed in the tax deed order | 5 | | shall mail the form for a request for an excess proceeds sale | 6 | | as set forth in this Section to the persons listed in | 7 | | subsection (a-5) of Section 22-40 as required by that Section. | 8 | | The form shall include the date on which the excess proceeds | 9 | | sale is to be held. | 10 | | (35 ILCS 200/22-105 new) | 11 | | Sec. 22-105. Excess proceeds sale. | 12 | | (a) If an owner makes a written request for an excess | 13 | | proceeds sale, as set forth in Section 22-100, upon entry of an | 14 | | order directing the county clerk to issue a tax deed (tax deed | 15 | | order), the certificate of purchase that is the subject of the | 16 | | tax deed order shall be sold at an excess proceeds sale in | 17 | | accordance with this Section. | 18 | | (b) The certificate of purchase shall be sold as provided | 19 | | in this Section, on such terms and conditions as shall be | 20 | | specified by the court in the tax deed order. The sale may be | 21 | | conducted by any licensed title insurance company in the State | 22 | | of Illinois or by the law firm or attorney who obtained the tax | 23 | | deed order. | 24 | | (c) The title insurance company, law firm, attorney, or | 25 | | such other party as is designated by the court shall give |
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| 1 | | public notice of the sale as follows: | 2 | | (1) The notice of sale shall include at least the | 3 | | following information, but an immaterial error in the | 4 | | information shall not invalidate the legal effect of the | 5 | | notice: | 6 | | (A) the name, address, and telephone number of the | 7 | | person to contact for information regarding the | 8 | | certificate of purchase and the real estate to which | 9 | | it pertains; | 10 | | (B) the property address (as identified on the | 11 | | most recent tax bill, if available); the Property | 12 | | Index Number listed on the certificate of purchase, | 13 | | and any other common description, if any, of the real | 14 | | estate; | 15 | | (C) a legal description of the real estate | 16 | | sufficient to identify it with reasonable certainty; | 17 | | (D) a description of the improvements on the real | 18 | | estate; | 19 | | (E) the time and place of the sale; | 20 | | (F) the terms of the sale; | 21 | | (G) the case title, case number, and court in | 22 | | which the tax deed order was entered; | 23 | | (H) such other information as is ordered by the | 24 | | court. | 25 | | (2) The notice of sale shall be published once each | 26 | | week for at least 3 consecutive calendar weeks (Sunday |
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| 1 | | through Saturday). The first such notice shall be | 2 | | published not more than 45 days before the sale, and the | 3 | | last such notice shall be published not less than 7 days | 4 | | before the sale. Notice shall be in the following manner: | 5 | | (A) by advertisement in a newspaper circulated to | 6 | | the general public in the county in which the real | 7 | | estate is located, in the section of that newspaper | 8 | | where legal notices are commonly placed; | 9 | | (B) by separate advertisements in the section of | 10 | | such a newspaper, which (except in counties with a | 11 | | population in excess of 3,000,000) may be the same | 12 | | newspaper, in which real estate other than real estate | 13 | | being sold as part of legal proceedings is commonly | 14 | | advertised to the general public; provided that the | 15 | | separate advertisements in the real estate section | 16 | | need not include a legal description and that, if both | 17 | | advertisements could be published in the same | 18 | | newspaper and that newspaper does not have separate | 19 | | legal notices and real estate advertisement sections, | 20 | | a single advertisement with the legal description | 21 | | shall be sufficient; and | 22 | | (C) by such other publications as may be further | 23 | | ordered by the court. | 24 | | (3) The party who gives notice of public sale in | 25 | | accordance with this subsection (c) shall also give notice | 26 | | to all interested parties who were named in the tax deed |
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| 1 | | proceeding via first-class mail at the addresses used in | 2 | | the tax deed proceeding and to any attorney or person who | 3 | | appeared in the proceeding to receive notice. After notice | 4 | | is given as required in this Section, a copy of the notice | 5 | | shall be filed in the office of the clerk of the court | 6 | | entering the tax deed order, together with a certificate | 7 | | of counsel or other proof that notice has been served in | 8 | | compliance with this Section. | 9 | | (4) The party who gives notice of public sale in | 10 | | accordance with this subsection (c) shall again give | 11 | | notice in accordance with this Section of any canceled | 12 | | sale; provided, however, that, if the canceled sale is to | 13 | | occur less than 30 days after the last scheduled sale, | 14 | | notice of any canceled sale need not be given pursuant to | 15 | | this Section. In the event of cancellation, the person | 16 | | conducting the sale shall, upon cancellation, announce the | 17 | | date, time, and place upon which the adjourned sale shall | 18 | | be held. Notwithstanding any language to the contrary, for | 19 | | any canceled sale that is to be conducted more than 60 days | 20 | | after the date on which it was to first be held, the party | 21 | | giving notice of the sale shall again give notice in | 22 | | accordance with this Section. | 23 | | (5) No other notice by publication or posting is | 24 | | necessary unless required by order or rule of the court. | 25 | | (d) Upon and at the sale of the certificate of purchase, | 26 | | the person conducting the sale shall give to the purchaser a |
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| 1 | | receipt of sale. The receipt shall describe the real estate | 2 | | purchased and shall show the amount bid, the amount paid, the | 3 | | total amount paid to date and the amount still to be paid for | 4 | | it. An additional receipt shall be given at the time of each | 5 | | subsequent payment. The holder of the certificate of purchase | 6 | | identified in the tax deed order may place a credit bid equal | 7 | | to the total amount as listed in the tax deed order. | 8 | | (e) Upon payment in full of the amount bid, the person | 9 | | conducting the sale shall assign and deliver the original | 10 | | certificate of purchase to the winning bidder who shall become | 11 | | the holder of the certificate of purchase. The sale amount of | 12 | | the certificate of purchase is prima facia evidence of the | 13 | | fair market value of the real estate as of the date of the | 14 | | excess proceeds sale. Any certificate of purchase following a | 15 | | sale under this Section shall be freely assignable by | 16 | | endorsement as set forth in Section 21-250. | 17 | | (f) Following a sale as set forth in this Section, the | 18 | | holder of the certificate of purchase, or the holder's | 19 | | assignee, shall present the certificate of purchase to the | 20 | | county clerk in order to obtain a tax deed for the property. | 21 | | (g) Notwithstanding the provisions of Section 22-85, if a | 22 | | sale occurs under this Section, the winning bidder or the | 23 | | bidder's assignee shall have one year from the date of the sale | 24 | | under this Section to take out and record the tax deed. If the | 25 | | bidder or the bidder's assignee fails to record the tax deed | 26 | | within one year after the sale under this Section, the |
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| 1 | | certificate or deed, and the sale on which it is based, shall | 2 | | be absolutely void with no right to reimbursement. If the | 3 | | holder of the certificate is prevented from obtaining or | 4 | | recording a deed by injunction or order of any court, by the | 5 | | refusal or inability of any court to act upon the application | 6 | | for a tax deed, by the refusal of the clerk to execute the same | 7 | | deed, or by the refusal, inability, or delay of any county, | 8 | | city, village, or incorporated town to issue transfer stamps, | 9 | | then the time during which the holder is so prevented shall be | 10 | | excluded from computation of the one-year period. The court | 11 | | shall retain jurisdiction to enter orders pursuant to this | 12 | | Section. | 13 | | (35 ILCS 200/22-110 new) | 14 | | Sec. 22-110. Excess Proceeds Sale; Indemnity Fund. | 15 | | (a) Upon and at the excess proceeds sale under Section | 16 | | 22-105, the purchaser shall pay to the person conducting the | 17 | | sale a fee for deposit into the county indemnity fund | 18 | | established by Section 21-295. The fee shall be $500 and shall | 19 | | be paid by the purchaser to the person conducting the sale, as | 20 | | reflected in the receipt of sale issued to the purchaser. This | 21 | | fee shall also be paid by the holder of the certificate of | 22 | | purchase pursuant to any credit bid at the sale. Upon the | 23 | | completion of the sale, the person conducting the sale shall | 24 | | remit the fee to the county treasurer as trustee of the county | 25 | | indemnity fund for the county in which the sale occurred. |
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| 1 | | (b) All fees paid by purchasers under this Section shall | 2 | | be disbursed within 60 days after receipt by the person | 3 | | conducting the sale as follows: (i) 95% to the county | 4 | | treasurer, as trustee of the county indemnity fund for deposit | 5 | | into the indemnity fund; and (ii) 5% to be retained by the | 6 | | person conducting the sale to defray administrative expenses | 7 | | related to implementation of this Section. | 8 | | (c) Not later than March 1 of each year, the county | 9 | | treasurer, as trustee of the indemnity fund, shall submit to | 10 | | the county clerk a report of the funds collected and remitted | 11 | | during the preceding year. | 12 | | (35 ILCS 200/22-115 new) | 13 | | Sec. 22-115. Application of proceeds of sale. The proceeds | 14 | | resulting from a sale of a certificate of purchase under | 15 | | Section 22-105 shall be applied in the following order: | 16 | | (1) an amount equal to the cost of facilitating the | 17 | | excess proceeds sale, including the costs of providing all | 18 | | notices required by Section 22-105, to the person | 19 | | appointed by the court to conduct the sale; | 20 | | (2) a reasonable fee for conducting the sale, which | 21 | | shall not exceed $1,500, to the person appointed by the | 22 | | court to conduct the sale; and | 23 | | (3) the amount set forth in the tax deed order to be | 24 | | paid to the holder of the certificate of purchase at the | 25 | | time the order was entered. |
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| 1 | | (35 ILCS 200/22-120 new) | 2 | | Sec. 22-120. Surplus distribution. | 3 | | (a) Within 30 days after the completion of the sale, if | 4 | | there is a surplus following the distributions made pursuant | 5 | | to Section 22-115, the person conducting the sale shall | 6 | | deposit all surplus proceeds with the clerk of the circuit | 7 | | court in the county in which the sale was held until further | 8 | | order of the court. The surplus shall be held until a person | 9 | | obtains a court order for its distribution or until, in the | 10 | | absence of an order, the surplus is forfeited to the State. | 11 | | (b) Within 14 days after any surplus deposit is made to the | 12 | | clerk of the circuit court, the person appointed by the court | 13 | | to conduct the sale shall file a notice of deposit of surplus | 14 | | with the clerk of the circuit court in the same case in which | 15 | | the tax deed order was entered. The notice shall list the | 16 | | amount of the surplus and the date on which the surplus was | 17 | | deposited with the clerk of the circuit court, together with a | 18 | | certificate of counsel or other proof that notice has been | 19 | | mailed to the person who made the written request for an excess | 20 | | proceeds sale and to all persons named in the tax deed | 21 | | proceeding, via first-class mail at the addresses used in the | 22 | | tax deed proceeding, and to any attorney or person who | 23 | | appeared in the proceeding. In addition to the notice of | 24 | | surplus, a form motion and petition for turnover of surplus | 25 | | funds must be included. |
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| 1 | | (c) Any owner desiring to make a claim for any surplus | 2 | | proceeds must file a motion and petition for turnover of | 3 | | surplus funds in the circuit court and obtain a court order | 4 | | requiring the circuit court to release any surplus funds. The | 5 | | circuit court shall retain jurisdiction over the matter and | 6 | | enter any surplus order requiring the circuit court to release | 7 | | funds to satisfy all claims in the order of priority. | 8 | | (d) Any owner who requested an Excess Proceeds Sale need | 9 | | not pay an appearance fee in order to make a motion to claim | 10 | | any surplus. | 11 | | (e) The county treasurer, as trustee of the county | 12 | | indemnity fund, may file a motion and petition for turnover of | 13 | | surplus funds in the circuit court and obtain a court order | 14 | | requiring the circuit court to release any surplus funds as | 15 | | authorized by subsection (c) of Section 22-45. | 16 | | (f) The county collector may file a motion and petition | 17 | | for turnover of surplus funds in the circuit court and obtain a | 18 | | court order requiring the circuit court to release any surplus | 19 | | funds as authorized by Section subsection (a-5) of Section | 20 | | 22-80. | 21 | | (g) The tax deed grantee or the grantee's successors and | 22 | | assigns (or, if a tax deed has not yet issued, the holder of | 23 | | the certificate) may file a motion and petition for turnover | 24 | | of surplus funds in the circuit court and obtain a court order | 25 | | requiring the circuit court to release any surplus funds as | 26 | | authorized by subsection (d) of Section 22-80. |
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| 1 | | Section 99. Effective date. This Act takes effect upon | 2 | | becoming law.". |
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