§ 36-9-36-56 — Foreclosure actions; parties; appearances; disposition of proceeds

Indiana § 36-9-36-56

• Jurisdiction: Indiana
• Title 36: LOCAL GOVERNMENT
• Art. 9: TRANSPORTATION AND PUBLIC WORKS
• Ch. 36: Barrett Law Funding for Counties and Municipalities

Text

(a) In a foreclosure action under this chapter,
other than a foreclosure action in which the unit is the plaintiff, the
plaintiff must do the following:
(1) Name the officer who has custody of the improvement funds
of the unit as a party defendant.
(2) Name that officer as custodian of the improvement assessment
fund of the unit.
(b) The officer described in subsection (a) shall then notify the
attorney of the unit to appear in the action.
(c) The fiscal officer of the unit shall do the following:
(1) Trace the proceeds of the foreclosure so that proceeds arising
from assessments for the improvement of a particular project are
not diverted to the payment of any other improvement.
(2) Ensure that in each case the judgment proceeds constitute a
special fund for the payment of contractors or bondholders for the
particular work.
(d) The judgment proceeds shall be allocated to the proper public
improvement fund for pro rata distribution to the bondholders or
contractors who are entitled to those proceeds.

Legislative History

As added by P.L.98-1993, SEC.7.