Tracking Changes as the result of Tyler v. Hennepin
Tyler v. Hennepin County was a U.S. Supreme Court case from 2023 that ruled it is unconstitutional for governments to keep surplus funds from a tax foreclosure sale when the property’s value exceeds the owner’s tax debt. The Court found that retaining these surplus funds violated the Fifth Amendment’s “takings clause,” which requires just compensation for private property taken for public use.
As a result, more states/counties will be coming forth with changes and updates that will ultimately benefit Asset Recovery Specialists when it come to the recovery of excess proceeds resulting from property tax foreclosure auctions.
We are set up to receive news regarding this matter and we will report our findings here.
10-11-2025 Michigan: “Fairness Is Judged at the Time of Settlement” – Read Article
10-03-2025 California Law Updates Rules For Tax-Defaulted Property Sales
The state of California has provided their updated Excess Proceeds Guide for 2025. Download it here
10-01-2025 Minnesota: The new era of property tax forfeitures.
In April 2025, the first auction was conducted under the new statutes. Read article