Public Act 90-0514 of the 90th General Assembly
Public Act 90-0514
SB465 Enrolled LRB9003092KDks
AN ACT in relation to property, amending named Acts.
Be it enacted by the People of the State of Illinois,
represented in the General Assembly:
Section 5. The Property Tax Code is amended by changing
Section 21-260 as follows:
(35 ILCS 200/21-260)
Sec. 21-260. Collector's scavenger sale. Upon the
county collector's application under Section 21-145, to be
known as the Scavenger Sale Application, the Court shall
enter judgment for the general taxes, special taxes, special
assessments, interest, penalties and costs as are included in
the advertisement and appear to be due thereon after allowing
an opportunity to object and a hearing upon the objections as
provided in Section 21-175, and order those properties sold
by the County Collector at public sale to the highest bidder
for cash, notwithstanding the bid may be less than the full
amount of taxes, special taxes, special assessments,
interest, penalties and costs for which judgment has been
entered.
(a) Conducting the sale - Bidding. All properties
shall be offered for sale in consecutive order as they appear
in the delinquent list. The minimum bid for any property
shall be $250 or one-half of the tax if the total liability
is less than $500. The successful bidder shall immediately
pay the amount of minimum bid to the County Collector in
cash, by certified or cashier's check, or by money order. If
the bid exceeds the minimum bid, the successful bidder shall
pay the balance of the bid to the county collector in cash,
by certified or cashier's check, or by money order by the
close of the next business day. If the minimum bid is not
paid at the time of sale or if the balance is not paid by the
close of the next business day, then the sale is void and the
minimum bid, if paid, is forfeited to the county general
fund. In that event, the property shall be reoffered for
sale within 30 days of the last offering of property in
regular order. The collector shall make available to the
public a list of all properties to be included in any
reoffering due to the voiding of the original sale. The
collector is not required to serve or publish any other
notice of the reoffering of those properties. In the event
that any of the properties are not sold upon reoffering, or
are sold for less than the amount of the original voided
sale, the original bidder who failed to pay the bid amount
shall remain liable for the unpaid balance of the bid in an
action under Section 21-240. Liability shall not be reduced
where the bidder upon reoffering also fails to pay the bid
amount, and in that event both bidders shall remain liable
for the unpaid balance of their respective bids. A sale of
properties under this Section shall not be final until
confirmed by the court.
(b) Confirmation of sales. The county collector shall
file his or her report of sale in the court within 30 days of
the date of sale of each property. No notice of the county
collector's application to confirm the sales shall be
required except as prescribed by rule of the court. Upon
confirmation, except in cases where the sale becomes void
under Section 22-85, or in cases where the order of
confirmation is vacated by the court, a sale under this
Section shall extinguish the in rem lien of the general
taxes, special taxes and special assessments for which
judgment has been entered and a redemption shall not revive
the lien. Confirmation of the sale shall in no event affect
the owner's personal liability to pay the taxes, interest and
penalties as provided in this Code or prevent institution of
a proceeding under Section 21-440 to collect any amount that
may remain due after the sale.
(c) Issuance of tax sale certificates. Upon confirmation
of the sale the County Clerk and the County Collector shall
issue to the purchaser a certificate of purchase in the form
prescribed by Section 21-250 as near as may be. A
certificate of purchase shall not be issued to any person who
is ineligible to bid at the sale or to receive a certificate
of purchase under Section 21-265.
(d) Scavenger Tax Judgment, Sale and Redemption Record -
Sale of parcels not sold. The county collector shall prepare
a Scavenger Tax Judgment, Sale and Redemption Record. The
county clerk shall write or stamp on the scavenger tax
judgment, sale, forfeiture and redemption record opposite the
description of any property offered for sale and not sold, or
not confirmed for any reason, the words "offered but not
sold". The properties which are offered for sale under this
Section and not sold or not confirmed shall be offered for
sale annually thereafter in the manner provided in this
Section until sold, except in the case of mineral rights,
which after 10 consecutive years of being offered for sale
under this Section and not sold or confirmed shall no longer
be required to be offered for sale. At any time between
annual sales the County Collector may advertise for sale any
properties subject to sale under judgments for sale
previously entered under this Section and not executed for
any reason. The advertisement and sale shall be regulated by
the provisions of this Code as far as applicable.
(e) Proceeding to tax deed. The owner of the certificate
of purchase shall give notice as required by Sections 22-5
through 22-30, and may extend the period of redemption as
provided by Section 21-385. At any time within 5 months prior
to expiration of the period of redemption from a sale under
this Code, the owner of a certificate of purchase may file a
petition and may obtain a tax deed under Sections 22-30
through 22-55. All proceedings for the issuance of a tax deed
and all tax deeds for properties sold under this Section
shall be subject to Sections 22-30 through 22-55. Deeds
issued under this Section are subject to Section 22-70. This
Section shall be liberally construed to that the deeds
provided for in this Section convey merchantable title.
(f) Redemptions from scavenger sales. Redemptions may be
made from sales under this Section in the same manner and
upon the same terms and conditions as redemptions from sales
made under the County Collector's annual application for
judgment and order of sale, except that in lieu of penalty
the person redeeming shall pay interest as follows if the
sale occurs before September 9, 1993:
(1) If redeemed within the first 2 months from the
date of the sale, 3% per month or portion thereof upon
the amount for which the property was sold;
(2) If redeemed between 2 and 6 months from the
date of the sale, 12% of the amount for which the
property was sold;
(3) If redeemed between 6 and 12 months from the
date of the sale, 24% of the amount for which the
property was sold;
(4) If redeemed between 12 and 18 months from the
date of the sale, 36% of the amount for which the
property was sold;
(5) If redeemed between 18 and 24 months from the
date of the sale, 48% of the amount for which the
property was sold;
(6) If redeemed after 24 months from the date of
sale, the 48% herein provided together with interest at
6% per year thereafter.
If the sale occurs on or after September 9, 1993, the
person redeeming shall pay interest on that part of the
amount for which the property was sold equal to or less than
the full amount of delinquent taxes, special assessments,
penalties, interest, and costs, included in the judgment and
order of sale as follows:
(1) If redeemed within the first 2 months from the
date of the sale, 3% per month upon the amount of taxes,
special assessments, penalties, interest, and costs due
for each of the first 2 months, or fraction thereof.
(2) If redeemed at any time between 2 and 6 months
from the date of the sale, 12% of the amount of taxes,
special assessments, penalties, interest, and costs due.
(3) If redeemed at any time between 6 and 12 months
from the date of the sale, 24% of the amount of taxes,
special assessments, penalties, interest, and costs due.
(4) If redeemed at any time between 12 and 18
months from the date of the sale, 36% of the amount of
taxes, special assessments, penalties, interest, and
costs due.
(5) If redeemed at any time between 18 and 24
months from the date of the sale, 48% of the amount of
taxes, special assessments, penalties, interest, and
costs due.
(6) If redeemed after 24 months from the date of
sale, the 48% provided for the 24 months together with
interest at 6% per annum thereafter on the amount of
taxes, special assessments, penalties, interest, and
costs due.
The person redeeming shall not be required to pay any
interest on any part of the amount for which the property was
sold that exceeds the full amount of delinquent taxes,
special assessments, penalties, interest, and costs included
in the judgment and order of sale.
Notwithstanding any other provision of this Section,
except for owner-occupied single family residential units
which are condominium units, cooperative units or dwellings,
the amount required to be paid for redemption shall also
include an amount equal to all delinquent taxes on the
property which taxes were delinquent at the time of sale.
The delinquent taxes shall be apportioned by the county
collector among the taxing districts in which the property is
situated in accordance with law. In the event that all moneys
received from any sale held under this Section exceed an
amount equal to all delinquent taxes on the property sold,
which taxes were delinquent at the time of sale, together
with all publication and other costs associated with the
sale, then, upon redemption, the County Collector and the
County Clerk shall apply the excess amount to the cost of
redemption.
(g) Bidding by county or other taxing districts. Any
taxing district may bid at a scavenger sale. The county
board of the county in which properties offered for sale
under this Section are located may bid as trustee for all
taxing districts having an interest in the taxes for the
nonpayment of which the parcels are offered. The County shall
apply on the bid the unpaid taxes due upon the property and
no cash need be paid. The County or other taxing district
acquiring a tax sale certificate shall take all steps
necessary to acquire title to the property and may manage and
operate the property so acquired.
When a county, or other taxing district within the
county, is a petitioner for a tax deed, no filing fee shall
be required on the petition. The county as a tax creditor and
as trustee for other tax creditors, or other taxing district
within the county shall not be required to allege and prove
that all taxes and special assessments which become due and
payable after the sale to the county have been paid. The
county shall not be required to pay the subsequently accruing
taxes or special assessments at any time. Upon the written
request of the county board or its designee, the county
collector shall not offer the property for sale at any tax
sale subsequent to the sale of the property to the county
under this Section. The lien of taxes and special assessments
which become due and payable after a sale to a county shall
merge in the fee title of the county, or other taxing
district, on the issuance of a deed. The County may sell the
properties so acquired, or the certificate of purchase
thereto, and the proceeds of the sale shall be distributed to
the taxing districts in proportion to their respective
interests therein. The presiding officer of the county board,
with the advice and consent of the County Board, may appoint
some officer or person to attend scavenger sales and bid on
its behalf.
(h) Miscellaneous provisions. In the event that the
tract of land or lot sold at any such sale is not redeemed
within the time permitted by law and a tax deed is issued,
all moneys that may be received from the sale of properties
in excess of the delinquent taxes, together with all
publication and other costs associated with the sale, shall,
upon petition of any interested party to the court that
issued the tax deed, be distributed by the County Collector
pursuant to order of the court among the persons having legal
or equitable interests in the property according to the fair
value of their interests in the tract or lot. Section 21-415
does not apply to properties sold under this Section. Appeals
may be taken from the orders and judgments entered under this
Section as in other civil cases. The remedy herein provided
is in addition to other remedies for the collection of
delinquent taxes.
(Source: P.A. 88-455; incorporates 88-482; 88-670, eff.
12-2-94.)
Section 10. The Code of Civil Procedure is amended by
changing Section 12-112 as follows:
(735 ILCS 5/12-112) (from Ch. 110, par. 12-112)
Sec. 12-112. What liable to enforcement. All the lands,
tenements, real estate, goods and chattels (except such as is
by law declared to be exempt) of every person against whom
any judgment has been or shall be hereafter entered in any
court, for any debt, damages, costs, or other sum of money,
shall be liable to be sold upon such judgment. Any real
property, or any beneficial interest in a land trust, held in
tenancy by the entirety shall not be liable to be sold upon
judgment entered on or after October 1, 1990 against only one
of the tenants, except if the property was transferred into
tenancy by the entirety with the sole intent to avoid the
payment of debts existing at the time of the transfer beyond
the transferor's ability to pay those debts as they become
due. However, any income from such property shall be subject
to garnishment as provided in Part 7 of this Article XII,
whether judgment has been entered against one or both of the
tenants.
This amendatory Act of 1995 is declarative of existing
law.
This amendatory Act of 1997 is intended as a
clarification of existing law and not as a new enactment.
(Source: P.A. 89-88, eff. 6-30-95; 89-438, eff. 12-15-95.)
Section 99. Effective date. This Act takes effect upon
becoming law.