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bankruptcyIn a residential foreclosure, a third party purchased the property at auction. On July 11, 2013, the Clerk of Court issued a Certificate of Sale.  On September 26, 2013 Defendants filed bankruptcy.  On October 8, 2013, the clerk issued a  Certificate of Title. On January 6, 2014, the  Court,  issued a writ of possession.  Thereafter, Defendants filed to reverse the sale and stay the writ.

The court noted that the redemption period set forth in § 45.0315, Fla. Stat., is “the later of the filing of a certificate of sale . . . or the time specified in judgment, order, or decree of foreclosure . . . .” See, e.g., Matter of Sarasota Land Co v. Barnett Bank of Sarasota, NA., 36 B.R. 563, 566 (M.D. Fla. 1983) (holding that because the debtor/mortgagor failed to exercise his right of redemption within the statutory period, his interest in the property was permanently foreclosed and the issuance of the Certificate of Title was proper); In re Trust No. 101B, 77 B.R. 973, 975 (S.D. Fla. 1987) (reaching the same conclusion as Sarasota Land and holding that the purchaser at the judicial sale “is now entitled to receive a Certificate of Title pursuant to Florida law without the need for further proceedings.”).  In this case, the foreclosure judgment is silent on the issue and the Certificate of Sale was filed months prior to the bankruptcy filing.   Therefore,  as defendants redemption period had expired,  they had no remaining interest in the property, and the bankruptcy could act neither to reverse the sale or stay the writ of possession.

WELLS FARGO BANK, N.A,  v  OSBORNE, et al.,. Circuit Court, 11th Judicial Circuit in and for Miami-Dade County. Case No. 2011-3143 CA 01 (11). February 24, 2014. 21 Fla. L. Weekly Supp. 519b