There is a newer version of the Illinois Compiled Statutes
2005 Illinois 735 ILCS 5/ Code of Civil Procedure. Article XV - Mortgage Foreclosure
(735 ILCS 5/15‑1101) (from Ch. 110, par. 15‑1101)
Sec. 15‑1101.
Title.
This Article shall be known, and may be cited,
as the Illinois Mortgage Foreclosure Law.
(Source: P.A. 84‑1462.)
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(735 ILCS 5/15‑1102) (from Ch. 110, par. 15‑1102)
Sec. 15‑1102.
Enforcement.
The Court has full power to enforce any order
entered pursuant to this Article by contempt process or by such other order
as may be appropriate.
(Source: P.A. 84‑1462.)
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(735 ILCS 5/15‑1103) (from Ch. 110, par. 15‑1103)
Sec. 15‑1103.
Jurisdiction.
The authority of the
court continues during
the entire pendency of the foreclosure and until disposition of all
matters
arising out of the foreclosure.
(Source: P.A. 85‑907.)
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(735 ILCS 5/15‑1104) (from Ch. 110, par. 15‑1104)
Sec. 15‑1104.
Wrongful Inducement of Abandonment.
Any person who willfully
misrepresents to the Court any fact resulting in a finding of abandonment
of mortgaged real estate in connection with subsection (b) of Section 15‑1603 or
subsection (d) of Section 15‑1706 of this Article or who threatens to injure the person or
property of occupants of mortgaged real estate, or who knowingly gives such
occupants false and misleading information, or who harasses or intimidates
such occupants, with the intent of inducing such occupants to abandon the
mortgaged premises, in order to obtain a finding of abandonment under
subsection (b) of Section 15‑1603 or subsection (d) of Section 15‑1706 of
this Article, shall be guilty of a
Class B misdemeanor.
(Source: P.A. 84‑1462.)
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(735 ILCS 5/15‑1105) (from Ch. 110, par. 15‑1105)
Sec. 15‑1105.
Interpretation.
(a) "May." The word "may" as used in this
Article means permissive and not mandatory.
(b) "Shall." The word "shall" as used in this Article means mandatory
and not permissive.
(Source: P.A. 84‑1462.)
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(735 ILCS 5/15‑1106) (from Ch. 110, par. 15‑1106)
Sec. 15‑1106.
Applicability of Article.
(a) Exclusive Procedure. From and after the
effective date of this amendatory Act of 1986, the following shall be
foreclosed in a foreclosure pursuant to this Article:
(1) any mortgage created prior to, on or after the effective date of this
amendatory Act of 1986;
(2) any real estate installment contract for residential real estate
entered into on or after the effective date of this amendatory Act of 1986
and under which (i)
the purchase price is to be paid in installments over a period in excess of
five years and (ii) the amount unpaid under the terms of the contract at
the time of the filing of the foreclosure complaint, including principal
and due and unpaid interest, at the rate prior to default, is less than
80% of the original purchase price of the real estate as
stated in the contract;
(3) any collateral assignment of beneficial interest made on or after the
effective date of this amendatory Act of 1986 (i) which is made with respect to a land
trust which was created contemporaneously with the collateral assignment of
beneficial interest, (ii) which is made pursuant to a requirement of the
holder of the obligation to secure the payment of money or performance of
other obligations and (iii) as to which the security agreement or other
writing creating the collateral assignment permits the real estate which is
the subject of the land trust to be sold to satisfy the obligations.
(b) Uniform Commercial Code. A secured party, as defined in Article
9 of the Uniform Commercial Code, may at its election enforce its security interest in a
foreclosure under this Article if its security interest was created on or after
the effective date of this amendatory Act of 1986 and is created by (i) a collateral
assignment of beneficial interest in a land trust or (ii) an assignment for
security of a buyer's interest in a real estate installment contract. Such
election shall be made by filing a complaint stating that it is brought
under this Article, in which event the provisions of this Article shall be
exclusive in such foreclosure.
(c) Real Estate Installment Contracts. A contract seller may at its
election enforce in a foreclosure under this Article any real estate
installment contract entered into on or after the effective date of this
Amendatory Act of 1986
and not required to be foreclosed under this Article. Such election shall
be made by filing a complaint stating that it is brought under this
Article, in which event the provisions of this Article shall be exclusive
in such foreclosure. A contract seller must enforce its contract under
this Article if the real estate installment contract is one described in
paragraph (2) of subsection (a) of Section 15‑1106.
(d) Effect of Election. An election made pursuant to subsection (b) or
(c) of Section 15‑1106 shall be binding only in the foreclosure and shall be
void if
the foreclosure is terminated prior to entry of judgment.
(e) Supplementary General Principles of Law. General principles of law
and equity, such as those relating to capacity to contract, principal and
agent, marshalling of assets, priority, subrogation, estoppel, fraud,
misrepresentations, duress, collusion, mistake, bankruptcy or other
validating or invalidating cause, supplement this Article unless displaced
by a particular provision of it.
Section 9‑110 of the Code of Civil Procedure shall not be applicable to
any real estate installment contract which is foreclosed under this Article.
(f) Pending Actions. A complaint to foreclose a mortgage filed before
July 1, 1987, and all proceedings and third party actions in connection
therewith, shall be adjudicated pursuant to the Illinois statutes and
applicable law in effect immediately prior to July 1, 1987. Such statutes
shall remain in effect with respect to such complaint, proceedings and
third party actions notwithstanding the amendment or repeal of such
statutes on or after July 1, 1987.
(Source: P.A. 85‑907.)
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(735 ILCS 5/15‑1107) (from Ch. 110, par. 15‑1107)
Sec. 15‑1107.
Mode of Procedure.
(a) Other Statutes.
Except as otherwise provided in this Article, the mode of procedure,
including the manner of service of pleadings and other papers and service
by publication, shall be in
accordance with the provisions of Article II of the Illinois Code of Civil
Procedure and any other statutes of this State which are from time to
time applicable, and with Illinois Supreme Court Rules applicable to
actions generally or otherwise applicable. If a mortgage lien is being
foreclosed under this Article and one or more non‑mortgage liens or
encumbrances is being foreclosed or enforced in the same proceedings, then,
regardless of the respective priorities of the various liens or
encumbrances, the procedures and all other provisions of this Article
shall govern such proceedings, and any inconsistent statutory provisions
shall not be applicable. Without limiting the foregoing, any provision
of Article XII or
any other Article of the
Code of Civil Procedure shall apply unless inconsistent with this
Article and, in case of such inconsistency, shall not
be applicable to actions under this Article.
(b) Mechanics' Liens. Mechanics' liens shall be enforced as provided in
the Mechanics' Lien Act; provided, however,
that any mechanics' lien
claimant may assert such lien in a foreclosure under this Article, may
intervene in such foreclosure in accordance with this Article and may be
made a party in such foreclosure.
(c) Instruments Deemed a Mortgage. For the purpose of proceeding under
this Article, any instrument described in paragraph (2) or (3) of
subsection (a) of Section 15‑1106, or in subsection (b) or (c) of Section
15‑1106 which is foreclosed under this Article shall be deemed a mortgage.
For such purpose, the real estate installment contract purchaser, the
assignor of the beneficial interest in the land trust and the debtor, as
appropriate, shall be deemed the
mortgagor, and the real estate installment contract seller, the assignee of
the beneficial interest in the land trust and the secured party, as
appropriate, shall be deemed the mortgagee.
(Source: P.A. 85‑907.)
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(735 ILCS 5/15‑1201) (from Ch. 110, par. 15‑1201)
Sec. 15‑1201.
Agricultural Real Estate.
"Agricultural real estate"
means real estate which is used primarily (i)
for the growing and harvesting of crops, (ii) for the feeding, breeding
and management of livestock, (iii) for dairying, or (iv) for any other agricultural
or horticultural use or combination thereof, including without limitation, aquaculture,
silvaculture and any other activities customarily engaged in by persons
engaged in the business of farming.
(Source: P.A. 84‑1462.)
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(735 ILCS 5/15‑1202) (from Ch. 110, par. 15‑1202)
Sec. 15‑1202.
Collateral Assignment of Beneficial Interest.
"Collateral
assignment of beneficial interest" means any pledge or assignment of the
beneficial interest in a land trust to any person to secure a debt or other obligation.
(Source: P.A. 84‑1462.)
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(735 ILCS 5/15‑1203) (from Ch. 110, par. 15‑1203)
Sec. 15‑1203.
Foreclosure.
"Foreclosure" means an action commenced
under this Article and "to foreclose" means to terminate legal and equitable
interests in real estate pursuant to a foreclosure.
(Source: P.A. 84‑1462.)
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(735 ILCS 5/15‑1204) (from Ch. 110, par. 15‑1204)
Sec. 15‑1204.
Guarantor.
"Guarantor" means any person who has
undertaken to pay any indebtedness or perform any obligation of a mortgagor
under a mortgage or of any other person who owes payment or the performance
of other obligations secured by the mortgage, which undertaking is made by
a guaranty or surety agreement of any kind.
(Source: P.A. 84‑1462.)
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(735 ILCS 5/15‑1205) (from Ch. 110, par. 15‑1205)
Sec. 15‑1205.
Land Trust.
"Land trust" means any trust arrangement
under which the legal and equitable title to real estate is held by a
trustee, the interest of the beneficiary of the trust is personal property
and the beneficiary or any person designated in writing by the beneficiary
has (i) the exclusive power to direct or control the trustee in dealing
with the title to the trust property, (ii) the exclusive control of the
management, operation, renting and selling of the trust property and (iii)
the exclusive right to the earnings, avails and proceeds of the trust property.
(Source: P.A. 84‑1462.)
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(735 ILCS 5/15‑1206) (from Ch. 110, par. 15‑1206)
Sec. 15‑1206.
Mechanics' Lien.
"Mechanics' lien" or "mechanics' lien
claim" means a lien or claim arising under the Mechanics' Lien Act.
(Source: P.A. 84‑1462.)
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(735 ILCS 5/15‑1207) (from Ch. 110, par. 15‑1207)
Sec. 15‑1207.
Mortgage.
"Mortgage" means any consensual lien created
by a written instrument which grants or retains an interest in real estate
to secure a debt or other obligation. The term "mortgage" includes, without limitation:
(a) mortgages securing "reverse mortgage" loans as authorized by
subsection (a) of Section
5 of the Illinois Banking Act;
(b) mortgages securing "revolving credit" loans as authorized by
subsection (c) of Section
5 of the Illinois Banking Act, Section 1‑6b of the Illinois Savings and
Loan Act and Section 46 of the Illinois Credit Union Act;
(c) every deed conveying real estate, although an absolute conveyance in
its terms, which shall have been intended only as a security in the nature
of a mortgage;
(d) equitable mortgages; and
(e) instruments which would have been deemed instruments in the nature
of a mortgage prior to the effective date of this amendatory Act of 1987.
(Source: P.A. 85‑907.)
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(735 ILCS 5/15‑1208) (from Ch. 110, par. 15‑1208)
Sec. 15‑1208.
Mortgagee.
"Mortgagee" means (i) the holder of an
indebtedness or obligee of a
non‑monetary obligation secured by a mortgage or any person designated or
authorized to act on behalf of such holder and (ii) any person claiming
through a mortgagee as successor.
(Source: P.A. 84‑1462.)
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(735 ILCS 5/15‑1209) (from Ch. 110, par. 15‑1209)
Sec. 15‑1209.
Mortgagor.
"Mortgagor" means (i) the person whose
interest in the real estate is the subject of the mortgage and (ii) any
person claiming through a mortgagor as successor.
Where a mortgage is executed by a trustee of a land trust, the mortgagor
is the trustee and not the beneficiary or beneficiaries.
(Source: P.A. 85‑907.)
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(735 ILCS 5/15‑1210) (from Ch. 110, par. 15‑1210)
Sec. 15‑1210.
Nonrecord Claimant.
"Nonrecord claimant" means any
person (i) who has or claims to have an interest in mortgaged real estate,
(ii) whose name or interest, at the time a notice of foreclosure is
recorded in accordance with Section 15‑1503, is not disclosed of record
either (1) by means of a recorded notice or (2) by means of a proceeding
which under the law as in effect at the time the foreclosure is commenced
would afford constructive notice of the existence of such interest and
(iii) whose interest falls in any of the following categories: (1) right of
homestead, (2) judgment creditor, (3) beneficial interest under any trust
other than the beneficial interest of a beneficiary of a trust in actual
possession of all or part of the real estate or (4) mechanics' lien claim.
Notwithstanding the foregoing, for the purpose of this Article no
proceeding shall be deemed to constitute constructive notice of the
interest of any nonrecord claimant in the mortgaged real estate unless in
the proceeding there is a legal description of the real estate sufficient
to identify it with reasonable certainty. The classification of any person
as a nonrecord claimant under the foregoing definition shall not be
affected by any actual notice or knowledge
of or attributable to the mortgagee.
(Source: P.A. 84‑1462.)
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(735 ILCS 5/15‑1211) (from Ch. 110, par. 15‑1211)
Sec. 15‑1211.
Notice of Foreclosure.
"Notice of foreclosure" means
the notice of a foreclosure which is made and recorded in accordance with
Section 15‑1503 of this Article.
(Source: P.A. 84‑1462.)
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(735 ILCS 5/15‑1212) (from Ch. 110, par. 15‑1212)
Sec. 15‑1212.
Owner of Redemption.
"Owner of redemption" means a
mortgagor, or other owner or co‑owner of the
mortgaged real estate.
(Source: P.A. 84‑1462.)
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(735 ILCS 5/15‑1213) (from Ch. 110, par. 15‑1213)
Sec. 15‑1213.
Real Estate.
"Real estate" means land or any estate or
interest in, over or under land (including minerals, air rights,
structures, fixtures and other things which by custom, usage or law pass
with a conveyance of land though not described or mentioned in the contract
of sale or instrument of conveyance). "Mortgaged real estate" means the
real estate which is the subject of a mortgage.
(Source: P.A. 84‑1462.)
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(735 ILCS 5/15‑1214) (from Ch. 110, par. 15‑1214)
Sec. 15‑1214.
Real Estate Installment Contract.
"Real estate
installment contract" means any agreement or contract for a deed under
which the purchase price is to be paid in installments with title to the
real estate to be conveyed to the buyer upon payment of the purchase price
or a specified portion thereof. For the purpose of this definition, an
earnest money deposit shall not be considered an installment.
(Source: P.A. 84‑1462.)
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(735 ILCS 5/15‑1215) (from Ch. 110, par. 15‑1215)
Sec. 15‑1215.
Receiver.
"Receiver" means a receiver appointed
pursuant to Section 15‑1704 of this Article.
(Source: P.A. 84‑1462.)
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(735 ILCS 5/15‑1216) (from Ch. 110, par. 15‑1216)
Sec. 15‑1216.
Recorder.
"Recorder" means (i) the Recorder
of the county in which the mortgaged real estate is located or (ii) if the
mortgaged real estate is registered under the Torrens Act, the Registrar of
Titles of the county in which the mortgaged real estate is located.
"Recorder" includes any authorized assistant or employee of the Recorder.
(Source: P.A. 84‑1462.)
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(735 ILCS 5/15‑1217) (from Ch. 110, par. 15‑1217)
Sec. 15‑1217.
Recording of Instruments.
"Recording of instruments"
or "to record" means to present to the Recorder a document, in recordable
form, which is to be recorded in accordance with Section 11 of the
Recorder's Act, together with the required recording fee. The Registrar of
Titles shall accept the filing of notices or affidavits required or
permitted by this Article without the necessity of the production of evidence of title.
(Source: P.A. 84‑1462.)
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(735 ILCS 5/15‑1218) (from Ch. 110, par. 15‑1218)
Sec. 15‑1218.
Recorded Notice.
"Recorded notice" with respect to any
real estate means (i) any instrument filed in accordance with Sections
2‑1901 or 12‑101 of the Code of Civil Procedure or (ii) any
recorded instrument which
discloses (a) the names and
addresses of the persons making the claim or asserting the interest
described in the notice; (b) that such persons have or claim some interest
in or lien on the subject real estate; (c) the nature of the claim; (d) the
names of the persons against whom the claim is made; (e) a legal
description of the real estate sufficient to identify it with reasonable
certainty; (f) the name and address of the person executing the notice; and
(g) the name and address of the person preparing the notice.
(Source: P.A. 85‑907.)
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(735 ILCS 5/15‑1219) (from Ch. 110, par. 15‑1219)
Sec. 15‑1219.
Residential Real Estate.
"Residential real estate"
means any real estate, except a single tract of agricultural real estate
consisting of more than 40 acres, which is improved with a single family
residence or residential condominium units or a multiple dwelling structure
containing single family dwelling units for six or fewer families living
independently of each other, which residence, or at least one of which
condominium or dwelling units, is occupied as a principal residence either
(i) if a mortgagor is an individual,
by that mortgagor, that mortgagor's spouse or that mortgagor's descendants,
or (ii) if a mortgagor is a trustee of a trust or an executor or
administrator of an estate, by a beneficiary of that trust or estate or by such
beneficiary's spouse or descendants or (iii) if a mortgagor is a
corporation, by persons owning collectively at least 50 percent of the
shares of voting stock of such corporation or by a spouse or descendants
of such persons.
The use of a portion of residential real estate for non‑residential
purposes shall not affect the characterization of such real estate as
residential real estate.
(Source: P.A. 85‑907.)
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(735 ILCS 5/15‑1220) (from Ch. 110, par. 15‑1220)
Sec. 15‑1220.
Statutory Judgment Rate.
"Statutory judgment rate"
means the rate of interest on judgments specified in Section 2‑1303 of the
Code of Civil Procedure.
(Source: P.A. 84‑1462.)
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(735 ILCS 5/15‑1221) (from Ch. 110, par. 15‑1221)
Sec. 15‑1221.
Unknown Owner.
"Unknown owner" means the same as
"unknown owner" as used in Section 2‑413 of the Code of Civil Procedure.
(Source: P.A. 84‑1462.)
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(735 ILCS 5/15‑1222) (from Ch. 110, par. 15‑1222)
Sec. 15‑1222.
Acts Referred to in this Article.
Acts referred to by
name in this Article shall mean those Acts, as amended from time to time,
and, in particular:
(a) "Torrens Act" means "An act concerning land titles", approved May 1, 1897.
(b) "Recorder's Act" means "An act to revise the law in relation to
recorders", approved March 9, 1874.
(c) "Mechanics' Lien Act" means "An Act relating to contractors' and
material men's liens, known as mechanics' liens", approved May 18, 1903, as amended.
(Source: P.A. 84‑1462.)
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(735 ILCS 5/15‑1223)
Sec. 15‑1223.
Occupant.
"Occupant" means a person in lawful physical
possession
of all or part of the mortgaged real estate.
(Source: P.A. 88‑265.)
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(735 ILCS 5/15‑1301) (from Ch. 110, par. 15‑1301)
Sec. 15‑1301.
Lien Created.
Except as provided in Section 15‑1302,
from the time a mortgage is recorded it shall be a lien upon the real
estate that is the subject of the mortgage for all monies advanced or
applied or other obligations secured in accordance with the terms of the
mortgage or as authorized by law, including the amounts specified in a
judgment of foreclosure in accordance with subsection (d) of Section 15‑1603.
(Source: P.A. 84‑1462.)
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(735 ILCS 5/15‑1302) (from Ch. 110, par. 15‑1302)
Sec. 15‑1302.
Certain Future Advances.
(a) Advances Made After
Eighteen Months. Except as provided in subsection (b) of Section 15‑1302, as to any
monies advanced or applied more than 18 months after a mortgage is
recorded, the mortgage shall be a lien as to subsequent purchasers and
judgment creditors only from the time such monies are advanced or applied.
However, nothing in this Section shall affect any lien arising or existing
by virtue of the Mechanics' Lien Act.
(b) Exceptions.
(1) All monies advanced or applied pursuant to commitment, whenever
advanced or applied, shall be a lien from the time the mortgage is
recorded. An advance shall be deemed made pursuant to commitment only if
the mortgagee has bound itself to make such advance in the mortgage or in
an instrument executed contemporaneously with, and referred to in, the
mortgage, whether or not a subsequent event of default or other event not
within the mortgagee's control has relieved or may relieve the mortgagee
from its obligation.
(2) All monies advanced or applied, whenever advanced or applied, in
accordance with the terms of a reverse mortgage shall be a lien from the
time the mortgage is recorded.
(3) All monies advanced or applied in accordance with the terms of a
revolving credit arrangement secured by a mortgage as authorized by law
shall be a lien from the time the mortgage is recorded.
(4) All interest which in accordance with the terms of a mortgage is
accrued or added to the principal amount secured by the mortgage, whenever
added, shall be a lien from the time the mortgage is recorded.
(5) All monies advanced by the mortgagee in accordance with the terms of
a mortgage to (i) preserve or restore the mortgaged real estate, (ii)
preserve the lien of the mortgage or the priority thereof or (iii) enforce
the mortgage, shall be a lien from the time the mortgage is recorded.
(Source: P.A. 84‑1462.)
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(735 ILCS 5/15‑1401) (from Ch. 110, par. 15‑1401)
Sec. 15‑1401.
Deed in Lieu of Foreclosure.
The mortgagor and
mortgagee may agree on a termination of the mortgagor's interest in the
mortgaged real estate after a default by a mortgagor. Any mortgagee or
mortgagee's nominee may accept a deed from the mortgagor in lieu of
foreclosure subject to any other claims or liens affecting the real estate.
Acceptance of a deed in lieu of foreclosure shall relieve from personal
liability all persons who may owe payment or the performance of other
obligations secured by the mortgage, including guarantors of such
indebtedness or obligations, except to the extent a person agrees not to be
relieved in an instrument executed contemporaneously. A deed in lieu of
foreclosure, whether to the mortgagee or mortgagee's nominee, shall not
effect a merger of the mortgagee's interest as mortgagee and the
mortgagee's interest derived from the deed in lieu of foreclosure.
The mere tender of an executed deed by the mortgagor or the recording of
a deed by the mortgagor to the mortgagee shall not constitute acceptance by
the mortgagee of a deed in lieu of foreclosure.
(Source: P.A. 86‑974.)
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(735 ILCS 5/15‑1402) (from Ch. 110, par. 15‑1402)
Sec. 15‑1402.
Consent Foreclosure.
(a) No Objection. In a
foreclosure, the court shall enter a judgment satisfying the mortgage
indebtedness by vesting absolute title to the mortgaged real estate in the
mortgagee free and clear of all claims, liens (except liens of the United
States of America which cannot be foreclosed without judicial sale) and
interest of the mortgagor, including all rights of reinstatement and
redemption, and of all rights of all other persons made parties in the
foreclosure whose interests are subordinate to that of the mortgagee and
all nonrecord claimants given notice in accordance with paragraph (2) of
subsection (c) of Section
15‑1502 if at any time before sale:
(1) the mortgagee offers, in connection with such a | ||
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(2) such offer is made either in the foreclosure | ||
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(3) all mortgagors who then have an interest in the | ||
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(4) no other party, by answer or by response to the | ||
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(5) upon notice to all parties who have not | ||
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(b) Objection. If any party other than a mortgagor who
then has an interest in the mortgaged real estate objects to the entry
of such judgment by consent, the court, after hearing, shall enter an order
providing either:
(1) that for good cause shown, the judgment by | ||
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(2) that, good cause not having been shown by the | ||
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(3) determining the amount required to redeem in | ||
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(c) Judgment. Any judgment entered pursuant to Section 15‑1402 shall
recite the mortgagee's waiver of rights to a personal judgment for
deficiency and shall bar the mortgagee from obtaining such a deficiency
judgment against the mortgagor or any other person liable for the
indebtedness or other obligations secured by the mortgage.
(Source: P.A. 86‑974.)
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(735 ILCS 5/15‑1403) (from Ch. 110, par. 15‑1403)
Sec. 15‑1403.
Common Law Strict Foreclosure.
Nothing in this Article
shall affect the right of a mortgagee to foreclose its mortgage by a common
law strict foreclosure as in existence in Illinois on the effective date of
this Article.
(Source: P.A. 84‑1462.)
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(735 ILCS 5/15‑1404) (from Ch. 110, par. 15‑1404)
Sec. 15‑1404.
Judicial Foreclosure.
Except as provided
in subsection (d) of Section 15‑1501, the interest in the
mortgaged real estate of (i) all persons
made a party in such foreclosure and (ii) all nonrecord claimants given
notice in accordance with paragraph (2) of subsection (c) of Section
15‑1502, shall be terminated by the
judicial sale of the real estate, pursuant to a judgment of
foreclosure, provided the sale is confirmed in
accordance with this Article.
(Source: P.A. 85‑907.)
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(735 ILCS 5/15‑1405) (from Ch. 110, par. 15‑1405)
Sec. 15‑1405.
Power of Sale.
No real estate within this State may be
sold by virtue of any power of sale contained in a mortgage or any other
agreement, and all such mortgages may only be foreclosed in accordance with
this Article.
(Source: P.A. 84‑1462.)
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(735 ILCS 5/15‑1501) (from Ch. 110, par. 15‑1501)
Sec. 15‑1501.
Parties.
(a) Necessary Parties. For the purposes of
Section 2‑405 of the Code of Civil Procedure, only (i) the mortgagor and (ii)
other
persons (but not guarantors)
who owe payment of indebtedness or the performance of other
obligations secured by the mortgage and against whom personal liability is
asserted shall be necessary parties defendant in
a foreclosure. The court may proceed to adjudicate their respective
interests, but any disposition of the mortgaged real estate shall be
subject to (i) the interests of all other persons not made a party or (ii)
interests in the mortgaged real estate not otherwise barred or
terminated in the foreclosure.
(b) Permissible Parties. Any party may join as a party any other
person, although such person is not a necessary party, including, without
limitation, the following:
(1) All persons having a possessory interest in the | ||
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(2) A mortgagor's spouse who has waived the right of | ||
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(3) A trustee holding an interest in the mortgaged | ||
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(4) The owner or holder of a note secured by a trust | ||
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(5) Guarantors, provided that in a foreclosure any | ||
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(6) The State of Illinois or any political | ||
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(7) The United States of America or any agency or | ||
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(8) Any assignee of leases or rents relating to the | ||
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(9) Any person who may have a lien under the | ||
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(10) Any other mortgagee or claimant.
(c) Unknown Owners. Any unknown owner may be made a party in accordance
with Section 2‑413 of the Code of Civil Procedure.
(d) Right to Become Party. Any person who has or claims an interest in
real estate which is the subject of a foreclosure or an interest in any
debt secured by the mortgage shall have an unconditional
right to appear and become a party in such foreclosure in accordance with
subsection (e) of Section 15‑1501, provided, that neither such
appearance by a lessee
whose interest in the real estate is subordinate to the interest being
foreclosed, nor the act of making such lessee a party,
shall result in the termination of the lessee's lease unless the
termination of the lease or lessee's interest in the mortgaged real estate is
specifically
ordered by the court in the judgment of foreclosure.
(e) Time of Intervention.
(1) Of Right. A person not a party, other than a | ||
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(2) In Court's Discretion. After the right to | ||
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(3) Later Right. After the sale of the mortgaged | ||
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(4) Termination of Interest. Except as provided in | ||
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(f) Separate Actions. Any mortgagee or claimant, other than the
mortgagee who commences a foreclosure, whose interest in the mortgaged real
estate is recorded prior to the filing of a notice of foreclosure in
accordance with this Article but who is not made a party to such
foreclosure, shall not be barred from filing a separate foreclosure (i) as
an intervening defendant or counterclaimant in accordance with subsections
(d) and (e) of Section
15‑1501 if a judgment of foreclosure has not been entered
in the original foreclosure or (ii) in a new foreclosure subsequent to the
entry of a judgment of foreclosure in the original foreclosure.
(g) Service on the State of Illinois. When making the State of
Illinois a party to a foreclosure, summons may be served by sending, by
registered or certified mail, a copy of the summons and the complaint to
the Attorney General. The complaint shall set forth with particularity the
nature of the interest or lien of the State of Illinois. If such interest
or lien appears in a recorded instrument, the complaint must state the
document number of the instrument and the office wherein it was recorded.
(Source: P.A. 88‑265.)
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(735 ILCS 5/15‑1502) (from Ch. 110, par. 15‑1502)
Sec. 15‑1502.
Nonrecord Claimants.
(a) Right to Become Record Claimant.
At any time prior to the recording of a notice of foreclosure in accordance
with Section 15‑1503, a nonrecord claimant or unknown owner may become a
record claimant with respect to the foreclosure by recording a notice of
such claimant's interest in the mortgaged real estate in accordance with Section 15‑1218.
(b) Rights of Nonrecord Claimants After Notice. The interest in the
mortgaged real estate of a nonrecord claimant who is given notice of the
foreclosure as provided in paragraph (2) of subsection (c) of Section 15‑1502
shall be barred and
terminated by any judgment of foreclosure to the same extent as if such
claimant had been a party.
(c) Terminating Rights of Nonrecord Claimants. (1) Contents of
Affidavit. A party in a foreclosure seeking to bar and terminate the
interest in the mortgaged real estate of nonrecord claimants shall file in
the office of the clerk of the court in which such action is pending an
affidavit stating (i) the names and respective present or last known places
of residence of such nonrecord claimants, or (ii) that the existence, names
or the present or last known places of residence, or both, of such
nonrecord claimants are unknown as of that time to the party and to the
party's attorney. Such affidavit, with respect to names and places of
residence, may be made upon information and belief of the affiant. The
affidavit need not state that inquiry has been made to ascertain the names
or present or last known places of residence of such nonrecord claimants,
and no such inquiry need be made.
(2) Notice. At least 30 days prior to the entry of a judgment of
foreclosure, any person identified in the affidavit described in paragraph
(1) of subsection (c) of Section
15‑1502 shall be given a notice of the foreclosure complying with the
requirements of Section 15‑1503 by the party filing the affidavit. Such
notice shall be given in the manner and upon the terms and conditions set
forth in Sections 2‑206 and 2‑207 of the Code of Civil Procedure, except
that (i) such notice with
respect to nonrecord claimants whose names are not set forth in such
affidavit, instead of being addressed to such nonrecord claimants by name,
may simply be addressed to "Nonrecord Claimants" and (ii) when the
mortgaged real estate is located within a municipality in a county with a
population under 2,000,000, publication shall be in a newspaper generally
circulated in such municipality. Such notice shall
have the same effect with respect to all nonrecord claimants designated
therein as though a notice containing their names had been published in
accordance with Sections 2‑206 and 2‑207 of the Code of Civil
Procedure and may be combined with any
notice published against parties defendant in the same action pursuant to those Sections.
(3) Errors. Any inaccuracy in the affidavit described
in paragraph (1) of subsection (c) of Section 15‑1502 or the failure to
file such affidavit or the failure to give notice in accordance with
paragraph (2) of subsection (c) of Section 15‑1502 shall not
invalidate any sale made pursuant to this Article.
(4) Rights of Barred Nonrecord Claimant.
Nothing in
paragraph (3) of subsection (c) of Section
15‑1502 shall affect the rights, if any, of any nonrecord claimant
whose interest in the mortgaged real estate was barred and terminated to
bring an action against any party to the foreclosure on whose behalf the
affidavit was filed, on account of the
filing of an inaccurate affidavit by such party in accordance with
paragraph (1) of subsection (c) of Section
15‑1502 or the failure to give notice in accordance with paragraph (2) of
subsection (c) of Section 15‑1502.
(Source: P.A. 84‑1462.)
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(735 ILCS 5/15‑1503) (from Ch. 110, par. 15‑1503)
Sec. 15‑1503.
Notice of Foreclosure.
A notice of foreclosure, whether
the foreclosure is initiated by complaint or
counterclaim, made in accordance with this Section and recorded in the
county in which the mortgaged real estate is located shall be constructive
notice of the pendency of the foreclosure to every person claiming an
interest in or lien on the mortgaged real estate, whose interest or lien
has not been recorded prior to the recording of such notice of foreclosure.
Such notice of foreclosure must be executed by any party or any party's
attorney and shall include (i) the names of all plaintiffs and the case
number, (ii) the court in which the action was brought, (iii) the names of
title holders of record, (iv) a legal description of the real estate
sufficient to identify it with reasonable certainty, (v) a common address
or description of the location of the real estate and (vi) identification
of the mortgage sought to be foreclosed. An incorrect common address or
description of the location, or an immaterial error in the identification
of a plaintiff or title holder of record, shall not invalidate the lis
pendens effect of the notice under this Section.
A notice which complies with this Section shall be deemed to comply with
Section 2‑1901 of the Code of Civil
Procedure and shall have the same effect as a notice filed pursuant to
that Section; however, a notice which complies with Section 2‑1901 shall
not be constructive notice unless it also complies with the requirements of
this Section.
(Source: P.A. 86‑974.)
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(735 ILCS 5/15‑1504) (from Ch. 110, par. 15‑1504)
Sec. 15‑1504.
Pleadings and service.
(a) Form of Complaint. A foreclosure complaint
may be in substantially the following form:
(1) Plaintiff files this complaint to foreclose the | ||
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(2) Attached as Exhibit "A" is a copy of the | ||
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(3) Information concerning mortgage:
(A) Nature of instrument: (here insert whether a | ||
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(B) Date of mortgage:
(C) Name of mortgagor:
(D) Name of mortgagee:
(E) Date and place of recording:
(F) Identification of recording: (here insert | ||
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(G) Interest subject to the mortgage: (here | ||
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(H) Amount of original indebtedness, including | ||
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(I) Both the legal description of the mortgaged | ||
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(J) Statement as to defaults, including, but not | ||
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(K) Name of present owner of the real estate:
(L) Names of other persons who are joined as | ||
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(M) Names of defendants claimed to be personally | ||
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(N) Capacity in which plaintiff brings this | ||
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(O) Facts in support of redemption period | ||
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(P) Statement that the right of redemption has | ||
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(Q) Facts in support of request for attorneys' | ||
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(R) Facts in support of a request for | ||
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(S) Offer to mortgagor in accordance with | ||
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(T) Name or names of defendants whose right to | ||
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REQUEST FOR RELIEF
Plaintiff requests:
(i) A judgment of foreclosure and sale.
(ii) An order granting a shortened redemption | ||
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(iii) A personal judgment for a deficiency, if | ||
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(iv) An order granting possession, if sought.
(v) An order placing the mortgagee in possession or | ||
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(vi) A judgment for attorneys' fees, costs and | ||
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(b) Required Information. A foreclosure complaint need contain only such
statements and requests called for by the form set forth in subsection (a) of
Section
15‑1504 as may be appropriate for the relief sought. Such complaint may
be filed as a counterclaim, may be joined with other counts or may include
in the same count additional matters or a request for any additional
relief permitted by Article
II of the Code of Civil Procedure.
(c) Allegations. The statements contained in a complaint in the form
set forth in subsection (a) of Section 15‑1504 are deemed and construed to include
allegations as follows:
(1) on the date indicated the obligor of the | ||
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(2) that the exhibits attached are true and correct | ||
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(3) that the mortgagor was at the date indicated an | ||
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(4) that the mortgage was recorded in the county in | ||
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(5) that defaults occurred as indicated;
(6) that at the time of the filing of the complaint | ||
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(7) that the mortgage constitutes a valid, prior and | ||
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(8) that by reason of the defaults alleged, if the | ||
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(9) that any and all notices of default or election | ||
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(10) that any and all periods of grace or other | ||
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(11) that the amounts indicated in the statement in | ||
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(12) that, upon confirmation of the sale, the holder | ||
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(d) Request for Fees and Costs. A statement in the complaint that
plaintiff seeks the inclusion of attorneys' fees and of costs and expenses
shall be deemed and construed to include allegations that:
(1) plaintiff has been compelled to employ and | ||
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(2) that the plaintiff has been compelled to advance | ||
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(3) that under the terms of the mortgage, all such | ||
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(4) that in order to protect the lien of the | ||
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(5) that in order to protect and preserve the | ||
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(6) that under the terms of the mortgage, any money | ||
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(e) Request for Foreclosure. The request for foreclosure is deemed and
construed to mean that the plaintiff requests that:
(1) an accounting may be taken under the direction | ||
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(2) that the defendants be ordered to pay to the | ||
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(3) that in default of such payment in accordance | ||
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(4) that in the event the plaintiff is a purchaser | ||
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(5) that in the event of such sale and the failure | ||
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(6) that if no redemption is made prior to such | ||
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(f) Request for Deficiency Judgment. A request for a personal judgment
for a deficiency in a foreclosure complaint if the sale of the mortgaged
real estate fails to produce a sufficient amount to pay the amount found
due, the plaintiff may have a personal judgment against any party in the
foreclosure indicated as being personally liable therefor and the enforcement
thereof be had as provided by law.
(g) Request for Possession or Receiver. A request for possession or appointment
of a receiver has the meaning as stated in subsection (b) of Section 15‑1706.
(h) Answers by Parties. Any party
may assert its interest by counterclaim and such counterclaim may at the
option of that party stand in lieu of answer to the complaint for
foreclosure and all counter complaints previously or thereafter filed
in the foreclosure. Any such counterclaim shall be deemed to constitute a
statement that the counter claimant does not have sufficient knowledge to
form a belief as to the truth or falsity of the
allegations of the complaint and all other counterclaims, except
to the extent that the counterclaim admits or specifically denies such
allegations.
(Source: P.A. 91‑357, eff. 7‑29‑99.)
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(735 ILCS 5/15‑1505) (from Ch. 110, par. 15‑1505)
Sec. 15‑1505.
Real Estate Subject to Senior Liens.
During a foreclosure, and any time prior to sale, a mortgagee or any other
lienor may pay (i) when due installments of principal, interest or other
obligations in accordance with the terms of any senior mortgage, (ii) when
due installments of real estate taxes or (iii) any other obligation
authorized by the mortgage instrument. With court approval, a mortgagee or
any other lienor may pay any other amounts in connection with other liens,
encumbrances or interests reasonably necessary to preserve the status of title.
(Source: P.A. 84‑1462.)
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(735 ILCS 5/15‑1506) (from Ch. 110, par. 15‑1506)
Sec. 15‑1506.
Judgment.
(a) Evidence. In the trial of a foreclosure, the evidence to support the
allegations of the complaint shall be taken in open court, except:
(1) where an allegation of fact in the complaint is not denied by a
party's verified answer or verified counterclaim, or where a party pursuant
to subsection (b) of Section 2‑610 of the Code of Civil Procedure states,
or is deemed to have stated, in
its pleading that it has no knowledge
of such allegation sufficient to form a belief and attaches the required
affidavit, a sworn verification of the complaint or a separate affidavit
setting forth such fact is sufficient evidence thereof against such party
and no further evidence of such fact shall be required; and
(2) where all the allegations of fact in the complaint have been proved
by verification of the complaint or affidavit, the court upon motion
supported by an affidavit stating the amount which is due the mortgagee,
shall enter a judgment of foreclosure as requested in the complaint.
(b) Instruments. In all cases the evidence of the indebtedness and the
mortgage foreclosed shall be exhibited to the court and appropriately
marked, and copies thereof shall be filed with the court.
(c) Summary and Default Judgments. Nothing in this Section 15‑1506
shall prevent a party from obtaining a summary or default judgment
authorized by Article II of the Code of Civil Procedure.
(d) Notice of Entry of Default. When any judgment in a foreclosure is
entered by default, notice of such judgment shall be given in accordance
with Section 2‑1302 of the Code of Civil Procedure.
(e) Matters Required in Judgment. A judgment of foreclosure shall
include the last date for redemption and all rulings of the court entered
with respect to each request for relief set forth in the complaint. The
omission of the date for redemption shall not extend the time for
redemption or impair the validity of the judgment.
(f) Special Matters in Judgment. Without limiting the general
authority and powers of the court, special matters may be included in the
judgment of foreclosure if sought by a party in the complaint or by separate
motion. Such matters may include, without limitation:
(1) a manner of sale other than public auction;
(2) a sale by sealed bid;
(3) an official or other person who shall be the officer to
conduct the sale other than the one customarily designated by the court;
(4) provisions for non‑exclusive broker listings or designating a duly
licensed real estate broker nominated by one of the parties to exclusively
list the real estate for sale;
(5) the fees or commissions to be paid out of the sale proceeds to the
listing or other duly licensed broker, if any, who shall have procured the accepted bid;
(6) the fees to be paid out of the sale proceeds to an auctioneer, if
any, who shall have been authorized to conduct a public auction sale;
(7) whether and in what manner and with what content signs shall be
posted on the real estate;
(8) a particular time and place at which such bids shall be received;
(9) a particular newspaper or newspapers in which notice of
sale shall be published;
(10) the format for the advertising of such sale,
including the size, content
and format of such advertising, and additional advertising of such sale;
(11) matters or exceptions to which title in the real estate may be subject
at the sale;
(12) a requirement that title insurance in a specified form be provided
to a purchaser at the sale, and who shall pay for such insurance;
(13) whether and to what extent bids with mortgage or other
contingencies will be allowed;
(14) such other matters as approved by the court to ensure sale of the
real estate for the most commercially favorable price for the type of real
estate involved.
(g) Agreement of the Parties. If all of the parties agree in writing on
the minimum price and that the real estate may be sold to the first person
who offers in writing to purchase the real estate for such price, and on
such other commercially reasonable terms and conditions as the parties may
agree, then the court shall order the real estate to be sold on such terms,
subject to confirmation of the sale in accordance with Section 15‑1508.
(h) Postponement of Proving Priority. With the approval of the court
prior to the entry of the judgment of foreclosure, a party claiming an
interest in the proceeds of the sale of the mortgaged real estate may defer
proving the priority of such interest until the hearing to confirm the sale.
(i) Effect of Judgment and Lien.
(1) Upon the entry of the judgment of foreclosure, all rights of a party
in the foreclosure against the mortgagor provided for in the judgment of foreclosure
or this Article shall be secured by a lien on the mortgaged
real estate, which lien shall have the same priority as the claim to
which the judgment relates and shall be terminated upon confirmation of a judicial
sale in accordance with this Article.
(2) Upon the entry of the judgment of foreclosure, the rights in the
real estate subject to the judgment of foreclosure of (i) all persons made
a party in the foreclosure and (ii) all nonrecord claimants given notice in
accordance with paragraph (2) of subsection (c) of Section 15‑1502, shall
be solely as provided for in
the judgment of foreclosure and in this Article.
(Source: P.A. 85‑907.)
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(735 ILCS 5/15‑1507) (from Ch. 110, par. 15‑1507)
Sec. 15‑1507.
Judicial Sale.
(a) In General. Except as provided in
Sections 15‑1402 and 15‑1403, upon entry of a judgment of foreclosure, the
real estate which is the subject of the judgment shall be sold at a
judicial sale in accordance with this Section 15‑1507.
(b) Sale Procedures. Upon expiration of the reinstatement period and
the redemption period in accordance with subsection (b) or (c) of Section
15‑1603 or upon the entry of a judgment of foreclosure after the waiver of
all rights of redemption, except as provided in subsection (g) of Section
15‑1506, the real estate shall be sold at a sale as provided in this
Article, on such terms and conditions as shall be specified by the court in
the judgment of foreclosure. A sale may be conducted by any judge or sheriff.
(c) Notice of Sale. The mortgagee, or such other party designated by the
court, in a foreclosure under this Article shall give public notice of the
sale as follows:
(1) The notice of sale shall include at least the | ||
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(A) the name, address and telephone number of | ||
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(B) the common address and other common | ||
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(C) a legal description of the real estate | ||
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(D) a description of the improvements on the | ||
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(E) the times specified in the judgment, if any, | ||
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(F) the time and place of the sale;
(G) the terms of the sale;
(H) the case title, case number and the court in | ||
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(I) such other information ordered by the Court.
(2) The notice of sale shall be published at least 3 | ||
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(3) The party who gives notice of public sale in | ||
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(4) The party who gives notice of public sale in | ||
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(5) Notice of the sale may be given prior to the | ||
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(6) No other notice by publication or posting shall | ||
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(7) The person named in the notice of sale to be | ||
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(d) Election of Property. If the real estate which is the subject of a
judgment of foreclosure is susceptible of division, the court may order it to be sold
as necessary to satisfy the judgment. The court shall determine which real
estate shall be sold, and the court may determine the order in which
separate tracts may be sold.
(e) Receipt upon Sale.
Upon and at the sale
of mortgaged real estate, the person conducting the sale shall give to
the purchaser a receipt of sale. The receipt shall describe the real
estate purchased and shall show the amount bid, the amount paid, the
total amount paid to
date and the amount still to be paid therefor. An
additional receipt shall be given at the time of each subsequent
payment.
(f) Certificate of Sale. Upon
payment in full of the amount bid, the person conducting
the sale shall issue, in duplicate, and give to the purchaser a Certificate
of Sale. The Certificate of Sale shall be in a recordable form, describe
the real estate purchased, indicate the date and place of sale and show the
amount paid therefor. The Certificate of Sale shall further indicate that
it is subject to confirmation by the court. The duplicate certificate may
be recorded in accordance with Section 12‑121. The Certificate of Sale
shall be freely assignable by endorsement thereon.
(g) Interest after Sale. Any bid at sale shall be deemed to include,
without the necessity of a court order, interest at the statutory judgment
rate on any unpaid portion of the sale price from the date of sale to the
date of payment.
(Source: P.A. 86‑974.)
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(735 ILCS 5/15‑1508) (from Ch. 110, par. 15‑1508)
Sec. 15‑1508.
Report of Sale and Confirmation of Sale.
(a) Report. The person conducting the sale shall promptly make a report to
the court, which report shall include a copy of all receipts and, if any,
certificate of sale.
(b) Hearing. Upon motion and notice in accordance with court rules
applicable to motions generally, which motion shall not be made prior to
sale, the court shall conduct a hearing to
confirm the sale. Unless the court finds that (i) a notice required in
accordance with subsection (c) of Section 15‑1507 was not given, (ii) the
terms of sale were unconscionable, (iii) the sale was conducted
fraudulently or (iv) that justice was otherwise not done, the court shall
then enter an order confirming the sale. The confirmation order may
also:
(1) approve the mortgagee's fees and costs arising | ||
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(2) provide for a personal judgment against any | ||
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||
(3) determine the priority of the judgments of | ||
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||
(c) Failure to Give Notice. If any sale is held without compliance with
subsection (c) of Section 15‑1507 of this Article, any party entitled to
the notice provided for in paragraph (3) of that subsection
(c) who was not so notified may, by motion supported by affidavit
made prior to confirmation of such sale, ask the court which entered the
judgment to set aside the sale, provided that such party shall guarantee or
secure by bond a bid equal to the successful bid at the prior sale. Any
subsequent sale is subject to the same notice requirement as the original sale.
(d) Validity of Sale. Except as provided in subsection (c) of Section
15‑1508, no sale under this Article shall be held invalid or be set aside
because of any defect in the notice thereof or in the publication of the
same, or in the proceedings of the officer conducting the sale, except upon
good cause shown in a hearing pursuant to subsection (b) of Section
15‑1508. At any time after a sale has occurred, any party entitled to
notice under paragraph (3) of subsection (c) of Section 15‑1507 may recover
from the mortgagee any damages caused by the mortgagee's failure to comply
with such paragraph (3). Any party who recovers damages in a judicial
proceeding brought under this subsection may also recover from the
mortgagee the reasonable expenses of litigation, including reasonable attorney's fees.
(e) Deficiency Judgment. In any order confirming a sale pursuant to the
judgment of foreclosure, the court shall also enter a personal judgment
for deficiency against any party (i) if otherwise authorized and (ii) to
the extent requested in the complaint and proven upon presentation of the
report of sale in accordance with Section 15‑1508. Except as otherwise provided
in this Article, a judgment may be entered for any balance of money that
may be found due to the plaintiff, over and above the proceeds of the sale
or sales, and enforcement may be had for the collection of such balance,
the same as when the judgment is solely for the payment of money. Such
judgment may be entered, or enforcement had,
only in cases where personal service has been had upon the
persons personally liable for the mortgage indebtedness, unless they have
entered their appearance in the foreclosure action.
(f) Satisfaction. Upon confirmation of the sale, the
judgment stands satisfied to the extent of the sale price less expenses and
costs. If the order confirming the sale includes a deficiency judgment, the
judgment shall become a lien in the manner of any other
judgment for the payment of money.
(g) The order confirming the sale shall include, notwithstanding any
previous orders awarding possession during the pendency of the foreclosure, an
award to the purchaser of possession of the mortgaged real estate, as of the
date 30 days after the entry of the order, against the
parties to the foreclosure whose interests have been terminated.
An order of possession authorizing the removal of a person from possession
of the mortgaged real estate shall be entered and enforced only against those
persons personally
named as individuals in the complaint or the petition under subsection (h)
of Section 15‑1701 and in the order of possession and shall
not be entered and enforced against any person who is only generically
described as an
unknown owner or nonrecord claimant or by another generic designation in the
complaint.
Notwithstanding the preceding paragraph, the failure to personally
name,
include, or seek an award of
possession of the mortgaged real estate against a person in the
confirmation order shall not abrogate any right that the purchaser may have to
possession of the mortgaged real estate and to maintain a proceeding against
that person for
possession under Article 9 of this Code or subsection (h) of Section 15‑1701;
and possession against a person
who (1) has not been personally named as a party to the
foreclosure and (2) has not been provided an opportunity to be heard in the
foreclosure proceeding may be sought only by maintaining a
proceeding under Article 9 of this
Code or subsection (h) of Section 15‑1701.
(Source: P.A. 88‑265; 89‑203, eff. 7‑21‑95.)
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(735 ILCS 5/15‑1509) (from Ch. 110, par. 15‑1509)
Sec. 15‑1509.
Transfer of Title and Title Acquired.
(a) Deed. After (i) confirmation
of the sale, and (ii) payment of the purchase price and any other
amounts required to be paid by the purchaser at sale, the court (or, if the
court shall so order, the person who conducted the
sale or such person's successor or some persons specifically appointed
by the court for that purpose), shall upon the request of the holder
of the certificate of sale
(or the purchaser if no certificate of sale was issued), promptly
execute a deed to the
holder or purchaser sufficient to convey
title. Such deed
shall identify the court and the caption of the case in which judgment was
entered authorizing issuance of the deed. Signature and the recital in the
deed of the title or authority of the person signing the deed as grantor,
of authority pursuant to the judgment and of the giving of the notices
required by this Article is sufficient proof of the facts recited and of
such authority to execute the deed, but such deed shall not be construed to
contain any covenant on the part of the person executing it. If the deed
issues to a grantee prior to the expiration of the period for appealing the
confirmation of sale, and the grantee conveys title to
another party within that period, that other party will not be deemed a
bona fide purchaser unless and until such period expires without an appeal
having been filed or, an appeal having been filed, such appeal is denied or
withdrawn.
(b) Effect Upon Delivery of Deed. Delivery of the deed executed on the
sale of the real estate, even if the purchaser or holder of the certificate
of sale is a party to the foreclosure, shall be sufficient to pass the
title thereto.
(c) Claims Barred. Any vesting of title by a consent foreclosure
pursuant to Section 15‑1402 or by deed pursuant to subsection (b) of
Section 15‑1509, unless otherwise specified in the judgment
of foreclosure, shall be an entire bar of (i) all claims of parties to the
foreclosure and (ii) all claims of any nonrecord claimant who is given
notice of the foreclosure in accordance with paragraph (2) of subsection
(c) of Section 15‑1502, notwithstanding the provisions of subsection (g) of
Section 2‑1301 to the contrary. Any person seeking relief from any
judgment or order entered in the foreclosure in accordance
with subsection (g) of Section 2‑1301 of the Code of Civil Procedure may
claim only an interest in the proceeds of sale.
(Source: P.A. 86‑974.)
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(735 ILCS 5/15‑1510) (from Ch. 110, par. 15‑1510)
Sec. 15‑1510.
Attorney's Fees and Costs by Written Agreement.
Attorneys' fees and other costs incurred in connection with the
preparation, filing or prosecution of the foreclosure suit shall be
recoverable in a foreclosure only to the extent
specifically set forth in the mortgage or other written agreement between
the mortgagor and the mortgagee or as otherwise provided in this Article.
(Source: P.A. 86‑974.)
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(735 ILCS 5/15‑1511) (from Ch. 110, par. 15‑1511)
Sec. 15‑1511.
Deficiency.
Except as expressly prohibited by this Article,
foreclosure of a mortgage does not affect a mortgagee's rights, if any, to
obtain a personal judgment against any person for a deficiency.
(Source: P.A. 84‑1462.)
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(735 ILCS 5/15‑1512) (from Ch. 110, par. 15‑1512)
Sec. 15‑1512.
Application of Proceeds of Sale and Surplus.
The proceeds
resulting from a sale of real estate under this Article shall be applied
in the following order:
(a) the reasonable expenses of sale;
(b) the reasonable expenses of securing possession before sale, holding,
maintaining, and preparing the real estate for sale, including payment of
taxes and other governmental charges, premiums on hazard and liability
insurance, receiver's and management fees, and, to the extent provided
for in the mortgage
or other recorded agreement and not prohibited by law, reasonable
attorneys' fees, payments made pursuant to Section 15‑1505 and other legal
expenses incurred by the mortgagee;
(c) if the sale was pursuant to judicial foreclosure, satisfaction of
claims in the order of priority adjudicated in the judgment of foreclosure
or order confirming the sale; and
(d) remittance of any surplus to be held by the person appointed by
the court to conduct the
sale until further order of the court. If there is a surplus, such person
conducting the sale shall send written notice to all parties to the
proceeding advising them of the amount of the surplus, and that the surplus
shall be held until a party obtains a court order for its distribution or
until, in the absence of an order, the surplus is forfeited to the State.
(Source: P.A. 86‑974.)
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(735 ILCS 5/15‑1601) (from Ch. 110, par. 15‑1601)
Sec. 15‑1601.
Waiver of Rights of reinstatement and Redemption.
(a)
Residential and Certain Agricultural Real Estate. Except as otherwise
provided in this Article, no mortgagor of real estate
which is residential real estate at the time of such attempted waiver may waive
the mortgagor's rights of reinstatement and redemption, or either of them,
and any such waiver shall be void. Except as otherwise provided in
subsection (b) of this Section, no mortgagor of real estate
which is agricultural real estate at the time of such attempted waiver
may waive the mortgagor's rights of reinstatement and redemption, or either
of them, and any such waiver shall be void.
(b) Other Real Estate. Any corporation or
any corporate trustee of any express trust who is a mortgagor of agricultural
real estate may waive the
mortgagor's right of redemption (i) by
express waiver stated in the mortgage or (ii) by any other waiver in writing
which has been acknowledged by the mortgagor and recorded. A mortgagor of
real estate other than a mortgagor of residential real estate or other
mortgagor who is not otherwise so prohibited by this Article may waive the
mortgagor's right of redemption (i) by express waiver stated in the mortgage or
(ii) by any other waiver in writing which has been acknowledged by the mortgagor
and recorded.
(c) Waiver After Commencement of Foreclosure. After commencement of a
foreclosure proceeding under this Article a mortgagor of residential real
estate or other mortgagor who is otherwise so prohibited may waive the
mortgagor's rights of reinstatement and redemption, or
either of them, if (i) the mortgagor expressly consents in writing to the
entry of a judgment without such right of reinstatement or redemption, (ii)
such written consent is filed with the clerk of the court, and (iii) the
mortgagee consents and agrees to waive any and all rights to a deficiency judgment.
(d) Prior Waivers. Nothing contained in this Section shall invalidate
any waiver of any right of redemption made pursuant to Section 12‑124 or
Section 12‑125 of the Code of Civil Procedure in effect prior to July 1,
1987 which is contained in any instrument executed prior to July 1, 1987.
(Source: P.A. 85‑907.)
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(735 ILCS 5/15‑1602) (from Ch. 110, par. 15‑1602)
Sec. 15‑1602.
Reinstatement.
In any foreclosure of a mortgage
executed after July 21, 1959, which has become due prior to the maturity
date fixed in the mortgage, or in any instrument or obligation secured by
the mortgage, through acceleration because of a default under the mortgage,
a mortgagor may reinstate the mortgage as provided herein. Reinstatement
is effected by curing all defaults then existing, other than payment of
such portion of the principal which would not have been due had no
acceleration occurred, and by paying all costs and expenses required by the
mortgage to be paid in the event of such defaults, provided that such cure
and payment are made prior to the expiration of 90 days from the date the
mortgagor or, if more than one, all the mortgagors (i) have been served
with summons or by publication or (ii) have
otherwise submitted to the
jurisdiction of the court. When service is made by publication, the first
date of publication shall be used for the calculation. Upon such reinstatement of
the mortgage, the foreclosure and any other proceedings for the collection
or enforcement of the obligation secured by the mortgage shall be dismissed
and the mortgage documents shall remain in full force and effect as if no
acceleration or default had occurred. The relief granted by this Section
shall not be exhausted by a single use thereof, but if the
court has made an express written finding that the mortgagor has exercised
its right to reinstate pursuant to this Section, such relief shall not be
again available to the mortgagor under the same mortgage for a period of
five years from the date of the dismissal of such foreclosure. The
provisions of Section 9‑110 of the Code of Civil Procedure shall be
inapplicable with respect to any
instrument which is deemed a mortgage under this Article. The court may
enter a judgment of foreclosure prior to the expiration of the
reinstatement period, subject to the right of the mortgagor to reinstate
the mortgage under this Section.
(Source: P.A. 86‑974.)
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(735 ILCS 5/15‑1603) (from Ch. 110, par. 15‑1603)
Sec. 15‑1603.
Redemption.
(a) Owner of Redemption. Except as
provided in subsection (b) of Section 15‑1402, only an owner of redemption
may redeem from the foreclosure, and such owner of redemption may redeem
only during the redemption period specified in subsection (b) of Section
15‑1603 and only if the right of redemption has not been validly waived.
(b) Redemption Period.
(1) In the foreclosure of a mortgage of real estate | ||
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(2) In all other foreclosures, the redemption period | ||
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(3) Notwithstanding paragraphs (1) and (2), the | ||
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(4) Notwithstanding paragraphs (1) and (2), the | ||
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(c) Extension of Redemption Period.
(1) Once expired, the right of redemption provided | ||
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(2) If a court has the authority to stay, and does | ||
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(d) Amount Required to Redeem. The amount required to redeem shall be the sum of:
(1) The amount specified in the judgment of | ||
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(2) The amount of other expenses authorized by the | ||
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(e) Notice of Intent to Redeem. An owner of redemption who intends to
redeem shall give written notice of such intent to redeem to the
mortgagee's attorney of record specifying the date designated for
redemption and the current address of the owner of redemption for purposes
of receiving notice. Such owner of redemption shall file with the clerk of
the court a certification of the giving of such notice. The notice of
intent to redeem must be received by the mortgagee's attorney at least 15
days (other than Saturday, Sunday or court holiday) prior to the date
designated for redemption. The mortgagee shall thereupon file with the
clerk of the court and shall give written notice to the owner of redemption
at least three days (other than Saturday, Sunday or court holiday) before
the date designated for redemption a certification,
accompanied by copies of paid receipts or appropriate affidavits, of
any expenses authorized in paragraph (2) of subsection (d) of Section
15‑1603. If the mortgagee fails
to serve such certification within the time specified herein, then the owner
of redemption intending to redeem may redeem on the date designated for
redemption in the notice of intent to redeem, and the mortgagee shall not
be entitled to payment of any expenses authorized in paragraph (2) of
subsection (d) of Section 15‑1603.
(f) Procedure for Redemption.
(1) An owner of redemption may redeem the real | ||
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(2) If the mortgagee refuses to accept payment or if | ||
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(3) Upon payment to the clerk, whether or not the | ||
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(g) Procedure Upon Objection. If an objection is filed by an owner of
redemption in accordance with paragraph (2) of subsection (f) of Section
15‑1603, the clerk shall hold the amount to which the objection pertains
until the court orders distribution of those funds. The court shall hold a
hearing promptly to determine the distribution of any funds held by the
clerk pursuant to such objection. Each party shall pay its own costs and
expenses in connection with any objection, including attorneys' fees,
subject to Section 2‑611 of the Code of Civil Procedure.
(h) Failure to Redeem. Unless the real estate being foreclosed is redeemed
from the foreclosure, it shall be sold as provided in this Article.
(Source: P.A. 86‑974.)
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(735 ILCS 5/15‑1604) (from Ch. 110, par. 15‑1604)
Sec. 15‑1604.
Special Right to Redeem.
(a) Circumstances. With
respect to residential real estate, if (i) the purchaser at the sale was a
mortgagee who was a party to the foreclosure or its nominee and (ii) the
sale price was less than the amount specified in subsection (d) of Section
15‑1603, then, and only in such circumstances, an owner of redemption as
specified in subsection (a) of Section 15‑1603 shall have a special right
to redeem, for a period ending 30 days after the date the sale is
confirmed, by paying to the mortgagee (i) the sale price, (ii) all additional
costs and expenses incurred by the mortgagee set forth in the report of
sale and confirmed by the court, and (iii) interest at the statutory
judgment rate from the date the purchase price was paid or credited as an offset.
(b) Procedure. Upon receipt of such amount, the mortgagee shall assign
to the redeeming owner of redemption its certificate of
sale or its right to such certificate or to a deed. The mortgagee shall
give to the redeeming owner of redemption an executed duplicate of such
assignment, marked "Duplicate", which duplicate the owner of redemption
shall file with the court. If a deed has been issued to the mortgagee
or its nominee, the holder of such deed, or such holder's successor in
title, shall execute and deliver a deed conveying the
mortgaged real estate to
the redeeming owner of redemption subject only to those encumbrances that
would normally arise on title if a redemption were made under Section
15‑1603, including a deficiency, if any, resulting from the foreclosure
sale. Nothing contained herein shall affect the right to a personal or in
rem deficiency judgment, and enforcement thereof shall be allowed as provided
by law. Any deficiency judgment shall retain the same priority on title as did
the mortgage from which it arose. The mortgagee, its nominee or its
successors in title shall not permit encumbrances on title arising on or
after the date of the deed to the
mortgagee or nominee caused by or relating
to the mortgagee or its nominee or its successors in title.
(Source: P.A. 86‑974.)
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(735 ILCS 5/15‑1605) (from Ch. 110, par. 15‑1605)
Sec. 15‑1605.
Equitable Right of Redemption.
No equitable right of
redemption shall exist or be enforceable under or with respect to a
mortgage after a judicial sale of the mortgaged real estate pursuant to
Section 15‑1507 or after entry of a judgment of foreclosure pursuant to
Sections 15‑1402 or 15‑1403.
(Source: P.A. 84‑1462.)
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(735 ILCS 5/15‑1701) (from Ch. 110, par. 15‑1701)
Sec. 15‑1701.
Right to possession.
(a) General. The provisions of
this Article shall govern the right to possession of the mortgaged real
estate during foreclosure. Possession under this Article includes physical
possession of the mortgaged real estate to the same extent to which the
mortgagor, absent the foreclosure, would have been entitled to physical
possession. For the purposes of Part 17, real estate is residential real estate
only if it is residential real estate at the time the foreclosure is commenced.
(b) Pre‑Judgment. Prior to the entry of a judgment of foreclosure:
(1) In the case of residential real estate, the | ||
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(2) In all other cases, if (i) the mortgagee is so | ||
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(c) Judgment Through 30 Days After Sale Confirmation. After the entry
of a judgment of foreclosure and through the 30th day after a foreclosure
sale is confirmed:
(1) Subsection (b) of Section 15‑1701 shall be | ||
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(2) Notwithstanding paragraph (1) of subsection (b) | ||
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(d) After 30 Days After Sale Confirmation. The holder of
the certificate of sale or deed issued pursuant to that certificate or, if
no certificate or deed was issued, the purchaser, except to the extent the
holder or purchaser may consent otherwise, shall be entitled to possession of
the mortgaged real estate, as of the date 30 days after the order confirming
the sale is entered, against those parties to the foreclosure whose interests
the court has ordered terminated, without further notice to any party, further
order of the court, or resort to proceedings under any other statute other than
this Article.
This right to possession shall be limited by the provisions
governing entering and enforcing orders of possession under subsection (g) of
Section
15‑1508.
If the holder or purchaser determines that there are occupants
of the mortgaged real estate who have not been made parties to the foreclosure
and had their interests terminated therein, the holder or purchaser may bring a
proceeding under subsection (h) of this Section or under Article 9 of this Code
to terminate the rights of possession of any such occupants. The holder or
purchaser shall not be entitled to proceed against any such occupant under
Article 9 of this Code until after 30 days after the order confirming the sale
is entered.
(e) Termination of Leases. A lease of all or any part of the mortgaged
real estate shall not be terminated automatically solely by virtue of the entry
into possession by (i) a mortgagee or receiver prior to the entry of an order
confirming the sale, (ii) the holder of the certificate of sale, (iii) the
holder of the deed issued pursuant to that certificate, or (iv) if no
certificate or deed was issued, the purchaser at the sale.
(f) Other Statutes; Instruments. The provisions of this Article
providing for possession of mortgaged real estate shall supersede any other
inconsistent statutory provisions. In particular, and without limitation,
whenever a receiver is sought to be appointed in any action in which a
foreclosure is also pending, a receiver shall be appointed only in
accordance with this Article. Except as may be authorized by this Article,
no mortgage or other instrument may modify or supersede the provisions of this
Article.
(g) Certain Leases. Leases of the mortgaged real estate entered into by
a mortgagee in possession or a receiver and approved by the court in a
foreclosure shall be binding on all parties, including the mortgagor after
redemption, the purchaser at a sale pursuant to a judgment of foreclosure
and any person acquiring an interest in the mortgaged real estate after
entry of a judgment of foreclosure in accordance with Sections 15‑1402 and
15‑1403.
(h) Proceedings Against Certain Occupants.
(1) The mortgagee‑in‑possession of the mortgaged | ||
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(2) The petitioner shall serve upon each named | ||
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(3) The supplemental petition shall be heard as part | ||
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(Source: P.A. 88‑21; 88‑265; 88‑670, eff. 12‑2‑94; 89‑203, eff. 7‑21‑95.)
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(735 ILCS 5/15‑1702) (from Ch. 110, par. 15‑1702)
Sec. 15‑1702.
Specific Rules of Possession.
(a) Mortgagee's Rights. No
mortgagee shall be required to take possession of the mortgaged real
estate, whether upon application made by any other party or otherwise.
Whenever a mortgagee entitled to possession so requests, the court shall
appoint a receiver. The failure of a mortgagee to request possession or
appointment of a receiver shall not preclude a mortgagee otherwise entitled
to possession from making such a request at any future time.
The appointment of a receiver shall not preclude a mortgagee from thereafter
seeking to exercise such mortgagee's right to be placed in possession.
(b) Designation of Receivers. Whenever a receiver is to be appointed,
the mortgagee shall be entitled to designate the receiver. If the mortgagor or
any other party to the foreclosure objects to any such designation
or designations and shows good cause, or the court disapproves the
designee, the mortgagee in such instance shall
be entitled to make another designation.
(c) Rights of Mortgagee Having Priority. If a mortgagee having priority
objects to the proposed possession by a subordinate mortgagee or by a receiver
designated by the subordinate mortgagee, upon entry of a finding in accordance
with subsection (d) of Section 15‑1702 the court shall instead place that
objecting mortgagee in possession or, if a receiver is to be designated in
accordance with subsection (b) of Section 15‑1702, allow the designation of
the receiver to be made by that objecting mortgagee.
(d) Removal of Mortgagee in Possession. A mortgagee placed in possession
shall not be removed from possession, and no receiver or other mortgagee
shall be placed in possession except upon (i) the mortgagee's misconduct,
death, legal disability or other inability to act, (ii) appointment of a
receiver in accordance with subsection (a) of Section 15‑1704 or (iii) a
showing of good cause by a mortgagee having priority. A receiver shall not
be removed solely on account of being designated by a mortgagee later
determined not to have priority.
(e) Determination of Priority. If the court is required to determine
priority for the purposes of subsection (c) of Section 15‑1702, a new
determination shall be made each time a mortgagee is to be placed in
possession or a receiver is to be appointed and shall be an interim
determination which shall not preclude the court from making a contrary
determination later in the foreclosure. If the court subsequently shall
make such a contrary determination, a mortgagee in possession or acting
receiver shall not be removed except in accordance with Part 17 of this Article.
(f) Rights to Crops. With respect to any crops growing or to be grown
on the mortgaged real estate, the rights of a holder of any obligation
secured by a collateral assignment of beneficial interest in a land trust,
the rights of a mortgagee in possession, or the rights of a receiver,
including rights by virtue of an equitable lien, shall be subject to a
security interest properly perfected pursuant to
Article 9 of the Uniform Commercial Code, where the holder of a
collateral assignment, mortgagee in possession, or receiver becomes
entitled to crops by obtaining possession on or after the effective date of
this Amendatory Act of 1988.
(Source: P.A. 85‑1427.)
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(735 ILCS 5/15‑1703) (from Ch. 110, par. 15‑1703)
Sec. 15‑1703.
Mortgagee in Possession.
(a) Powers and Duties. A mortgagee
placed in possession of the real estate pursuant to Section 15‑1701 or Section
15‑1702 shall have:
(1) such power and authority with respect to the real estate and other
property subject to the mortgage, including the right to receive the rents,
issues and profits thereof, as may have been conferred upon the mortgagee
by the terms of the mortgage or other written instrument authorizing the
taking of possession;
(2) all other rights and privileges of a mortgagee in possession under
law not inconsistent herewith; and
(3) the same powers, duties and liabilities as a receiver appointed for
the real estate in accordance with this Article. If an order placing a
mortgagee in possession is modified, revoked or set aside, the mortgagee
shall not be liable for any damages to the extent such damages arise
solely out of the fact that the mortgagor was removed from possession or
that the mortgagee was placed in possession.
(b) Fees and Expenses. A mortgagee in possession shall not be entitled
to any fees for so acting, but shall be entitled to reimbursement for
reasonable costs, expenses and third party management fees incurred in
connection with such possession.
(Source: P.A. 84‑1462.)
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(735 ILCS 5/15‑1704) (from Ch. 110, par. 15‑1704)
Sec. 15‑1704.
Receivers.
(a) Receiver. Notwithstanding the
provisions of subsections (b), (c) and (d) of Section 15‑1701, and except
as provided in Section 15‑1702, upon request of any party and a showing of
good cause, the court shall appoint a receiver for the mortgaged real estate.
(b) Powers. A receiver appointed pursuant to this Article shall have
possession of the mortgaged real estate and other property subject to the
mortgage during the foreclosure, shall have full power and authority to
operate, manage and conserve such property, and shall have all the usual
powers of receivers in like cases. Without limiting the foregoing, a
receiver shall have the power and authority to:
(1) secure tenants and execute leases for the real estate,
the duration and terms of which are
reasonable and customary for the type of use involved, and such leases
shall have the same priority as if made by the owner of the real estate;
but, unless approved by the Court, the receiver shall not
execute oil, gas or other mineral leases, or (even if otherwise allowed by
law) leases extending beyond the time of the receiver's possession;
provided, however, with respect to residential real estate leased by the
receiver, nothing in this Section shall affect the legal rights of any lessee
with respect to the safety and habitability of the residential real estate;
(2) collect the rents, issues and profits from the mortgaged real estate;
(3) insure the mortgaged real estate against loss by fire or other casualty;
(4) employ counsel, custodians, janitors and other help; and
(5) pay taxes which may have been or may be levied against the mortgaged real estate.
(c) Duties. A receiver appointed pursuant to this Article must manage
the mortgaged real estate as would a prudent person, taking into account
the effect of the receiver's management on the interest of the mortgagor.
A receiver may, without an order of the court, delegate managerial
functions to a person in the business of managing real estate of the kind
involved who is financially responsible, not related to the mortgagee or
receiver and prudently selected. However, the receiver
shall remain responsible to the mortgagor or other
persons for the acts or omissions of such management agent. When fees are
paid to such a management agent, the receiver's fees may be adjusted to the
extent the court deems appropriate. In managing the mortgaged real estate
and other property subject to the mortgage,
a receiver or receiver's delegate, to the extent the receiver receives
sufficient receipts from the mortgaged real estate, such other property or
other sources, except to the extent ordered otherwise by the court:
(1) shall maintain the existing casualty and liability insurance
required in accordance with the mortgage or applicable to the real estate
and other property subject to the mortgage at the time the receiver took possession;
(2) shall use reasonable efforts to maintain the real estate and other
property subject to the mortgage in at least as good condition as existed at
the time the receiver took possession, excepting reasonable wear and tear
and damage by any casualty;
(3) shall apply receipts to payment of ordinary operating expenses,
including royalties, rents and other expenses of management;
(4) shall pay any shared or common expense assessments due to any
association of owners of interests in real estate to the extent that such
assessments are or may become a lien against the mortgaged real estate;
(5) may pay the amounts due under any mortgage if the mortgagee thereof
is not a party in the foreclosure;
(6) may carry such additional casualty and liability insurance as is
reasonably available and reasonable as to amounts and risks covered;
(7) may make other repairs and improvements necessary to comply with
building, housing, and other similar codes or with existing contractual
obligations affecting the mortgaged real estate;
(8) may hold receipts as reserves reasonably required for the foregoing purposes; and
(9) may take such other actions as may be reasonably necessary to
conserve the mortgaged real estate and other property subject to the
mortgage, or as otherwise authorized by the court.
(d) Allocation of Receipts. Receipts received from operation of the
real estate and other property subject to the mortgage by the receiver
shall be applied in the following order of priority.
(1) to reimbursement of the receiver for all reasonable costs and
expenses incurred by the receiver or the receiver's delegates;
(2) to payment of insurance premiums authorized in paragraph (1) of
subsection (c) of Section 15‑1704;
(3) to payment of the receiver's delegates of any reasonable management
fees for managing real estate of the type involved;
(4) to payment of receiver's fees allowed by the court;
(5) to payment of expenses authorized in paragraphs (2), (3) and (4) of
subsection (c) of Section 15‑1704;
(6) to payment of amounts authorized in paragraph (5) of subsection (c)
of Section 15‑1704;
(7) to payment of expenses authorized in paragraphs (6) and (7) of
subsection (c) of Section 15‑1704; and
(8) the balance, if any, shall be held or disbursed as ordered by the court.
(e) Non‑Liability for Allocations. A receiver shall in no event be
liable to any person for the allocation of, or failure to allocate,
receipts to possible expenditures within the same priority category.
(f) Removal. The court may remove a receiver upon a showing of good
cause, in which case a new receiver may be appointed in accordance with
subsection (b) of Section 15‑1702 and subsection (a) of Section 15‑1704.
(Source: P.A. 84‑1462.)
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(735 ILCS 5/15‑1705) (from Ch. 110, par. 15‑1705)
Sec. 15‑1705.
Bond.
(a) Mortgagee in Possession. Upon good cause shown
after notice and hearing, the court may require that a mortgagee in
possession give bond to other parties to account for what shall come into
the mortgagee's possession by virtue of taking possession of the mortgaged
real estate and for the acts of such mortgagee. The bond shall be in such
reasonable amount, form and with such surety as may be required by the court.
(b) Receiver. When a receiver is appointed, bond may be required in
accordance with Section 2‑415 of the Code of Civil Procedure.
(c) Corporations. Notwithstanding the provisions of subsections (a) and
(b) of Section 15‑1705, a corporation qualified to administer trusts in
this State that is acting as a mortgagee in possession or receiver shall
not be required to give bond other than appeal bonds.
(Source: P.A. 84‑1462.)
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(735 ILCS 5/15‑1706) (from Ch. 110, par. 15‑1706)
Sec. 15‑1706.
Possession.
(a) Request. A request that the mortgagee be
placed in possession or that a receiver be appointed may be made by motion,
whether or not such request is included in the complaint or other pleading.
Any such request shall be supported by affidavit or other sworn pleading.
(b) Meaning of Request. A request in a motion or in the complaint
or other pleading that the mortgagee be placed in possession or that a
receiver be appointed shall be construed to mean a mortgagee placed in
possession or a receiver appointed in accordance with, and with powers and
duties specified by, Part 17 of this Article.
(c) Hearing. After reasonable notice has been given to all other
parties, the court shall promptly hold a hearing and promptly rule on a
request that a mortgagee be placed in possession or that a receiver be
appointed, except that, if no objection to the request is made prior to the
time specified for the hearing, the court shall rule without a hearing.
(d) Reasonable Notice. For the purposes of subsection (c) of Section
15‑1706,notice shall be reasonable if given as much in advance of the
hearing as notice of motions generally is required to be given under
applicable court rules, and if served in the same manner as motions
generally are served; except, if the mortgagor has not been served with the
complaint, the mortgagor must be served in the same manner as required for
service of process. Notwithstanding anything in the foregoing sentence to
the contrary, except with respect to the mortgagor of residential real
estate which has not been abandoned, the court may rule without service on
a party, if the party is in default or if the party making the request
shows good cause by affidavit or other sworn evidence. If the mortgagor is
not served prior to the hearing, he shall be given notice of the hearing to
the same extent as applicable court rules may provide for post‑hearing
notice of emergency and ex parte motions.
(Source: P.A. 84‑1462.)
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