January 27, 2009, Introduced by Senator CLARKE and referred to the Committee on Judiciary.
A bill to amend 1961 PA 236, entitled
"Revised judicature act of 1961,"
by amending sections 3130, 3208, and 3236 (MCL 600.3130, 600.3208,
and 600.3236) and by adding section 3108.
THE PEOPLE OF THE STATE OF MICHIGAN ENACT:
Sec. 3108. On commencing an action under this chapter to
foreclose a mortgage of residential rental property, the plaintiff
shall give notice of the action to the tenants of the property by
ordinary mail.
Sec. 3130. (1) The person making the sale under section 3125
shall execute deeds specifying the names of the parties in the
action, the date of the land contract or mortgage, when and where
it was recorded, a description of the premises sold, and the amount
for
which each parcel of land described in the deed was sold. ;
and
he
The person shall indorse upon each deed the time it becomes
operative if the premises are not redeemed according to law. Unless
the
premises or any parcel of them the
premises are redeemed within
the
time limited for redemption, the deed shall become becomes
operative
as to all parcels not redeemed , and, shall
vest subject
to
subsection (3), vests in the grantee
named in the deed , his and
the
grantee's heirs , or assigns all the right, title, and interest
which
the mortgagor had at the time of
the execution of the
mortgage or at any time thereafter.
(2)
The deed of sale as As soon as practicable and within 20
days after the sale, a deed of sale executed under this section
shall be deposited with the register of deeds of the county in
which
the land therein described in
the deed is situated. ,
and the
The register shall indorse upon the deed the time it was received,
and
shall record the deed at length in
a book to be provided kept
in
his the register's office for that purpose, and shall
index the
deed
in the regular index of deeds. , and the The fee for recording
the deed shall be included among the other costs and expenses
allowed
by law. If the premises or any parcel of them the premises
are
is redeemed, the register of deeds shall write "redeemed" on
the
face of the record the work "Redeemed" and he shall write
at
what
the date the entry is made and shall sign
the entry. with his
official
signature.
(3) If the sale under section 3115 is pursuant to the
foreclosure of a mortgage and if the property described in a deed
executed under this section is residential rental property, the
grantee named in the deed has the rights and obligations of the
mortgagor under any lease of the property that is in effect at the
time the deed becomes operative.
Sec.
3208. (1) Notice that the a mortgage
will be foreclosed
under this chapter by a sale of the mortgaged premises, or some
part
of them, shall be given by publishing the same notice for
4
successive
weeks at least once in each week , in a
newspaper
published in the county where the premises included in the mortgage
and intended to be sold, or some part of them, are situated. If no
newspaper is published in the county, the notice shall be published
in
a newspaper published in an adjacent county. In every case
within
Within 15 days after the first publication of the notice, a
true copy shall be posted in a conspicuous place upon any part of
the premises described in the notice.
(2) If the mortgaged premises includes residential rental
property, a true copy of the notice published under this section
shall be provided to the tenants of the property by ordinary mail
within 15 days after the first publication of the notice.
Sec.
3236. (1) Unless the premises described in such a deed
shall
be executed under section
3232 are redeemed within the time
limited
for such redemption as hereinafter provided in this
chapter, such the deed shall thereupon
become becomes operative
,
and, shall
vest subject to subsection
(2), vests in the grantee
therein
named , his in the deed or the grantee's heirs or assigns ,
all
the right, title, and interest which that the mortgagor had at
the
time of the execution of the mortgage was executed, or at any
time
thereafter after the
mortgage was executed, except as to any
parcel
or parcels which may have with
respect to which the deed has
been
redeemed and canceled, as hereinafter provided ;
and the in
this
chapter. The record thereof of the deed shall thereafter , for
all
purposes be deemed considered
a valid record of said the deed
without
being re-recorded rerecorded, but no a person having any
who has a valid subsisting lien upon the mortgaged premises, or any
part
thereof of the mortgaged
premises, created before the lien of
such
the mortgage took effect, shall not be
prejudiced by any such
the
sale, nor shall his the person's rights or interests be in any
way
affected thereby by the sale.
(2) If the property described in a deed executed under this
section is residential rental property, the grantee named in the
deed has the rights and obligations of the mortgagor under any
lease of the property that is in effect at the time the deed
becomes operative.