Kaman & Cusimano Successfully Preserves Sheriff's Sale Results
Due to the increased delinquency of maintenance fees and assessments at a condominium association, Kaman & Cusimano received authorization to proceed with the filing of a foreclosure action. Kaman & Cusimano successfully obtained a judgment and a decree of foreclosure against the delinquent owners and ordered a sheriff’s sale. However, the property was offered for sale with a requirement it be sold “subject to” the first mortgage. A third-party purchaser with a long history of buying properties at sheriff’s sale, purchased the property for over $113,000.00 and subject to the first mortgage.
Following the Sheriff's sale, the successful third-party purchaser attempted to set aside the sheriff’s sale and requested a return of its deposit arguing the company was not aware it would assume the first mortgage when it purchased the property. In response, Kaman & Cusimano filed a Brief in Opposition on behalf of the Association and successfully argued the third-party purchaser failed to conduct its due diligence prior to sale, was subject to the doctrine of Caveat Emptor (“Buyer Beware”) and, therefore, must complete the sale. The Court agreed and denied the Motion to Set Aside the Sale. The Court subsequently issued a confirmation Order requiring the third-party purchaser to complete the sale and remit the balance of the purchase price.