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Philadelphia Foreclosures Excess Proceeds Settlement

Settlement Structure: Claims Made

Active: Open

Case Summary:

The City of Philadelphia is settling a class action alleging that its Sheriff did not always returns excess proceeds from foreclosure sales to the former property owner. Normally, if the proceeds from a foreclosure sale exceed the amount of the owed mortgage, sale costs, and liens, the excess proceeds left over after these costs were paid were given to the former property owner. The complaint alleged that when the foreclosing creditor was the winning bidder, the city sometimes did not collect the full amount of the bid but allowed the creditor to pay only the amount of the judgment and sales costs, depriving the former property owner of the excess proceeds. According to the complaint, this was against Pennsylvania law.

Docket Number:

2:15-cv-01429-JS

Company: City of Philadelphia, Pennsylvania

Filing Deadline: October 7, 2022

Class Period: January 1, 2011

Objection Deadline: August 23, 2022

Exclusion Deadline: August 23, 2022

Final Approval Hearing: September 7, 2022

Proof of Purchase:

If you received a Notice in the mail, it should have included a pre-filled-out Claim Form. You do not have to provide proof to receive this amount.

Eligibility:

You may be eligible if you owned real property in Philadelphia and it was foreclosed on and sold by the City in a sheriff sale, since January 1, 2011, to the executing creditor (that is, the mortgage issuer). If the winning bid was greater than the mortgages or liens and costs of the sale, and you did not receive the excess, you may be entitled to a payment. If there were no excess proceeds from your property’s sale, then you do not have a claim under this settlement.

Typical Settlement Amount:

The undistributed excess proceeds will be distributed to the class members, with the average being $7,586. If there is not enough money left in the settlement fund to pay the actual damages, amounts will be reduced by a proportionate amount.

Total Settlement Amount: $950,000

Class Representative Proposed Incentive Fee:

$2,500

Law Firms:
Law Offices of MacElree Harvey, Ltd.
Law Offices of William Wilson, The
Levin Sedran & Berman

Claim Form: Butterline v. City of Philadelphia Claim Form

Case Name: Butterline v. City of Philadelphia

Settlement Website: Butterline v. City of Philadelphia Website

Claims Administrator:
Continental DataLogix, LLC

Claims Administrator Contact Information:

Settlement Administrator
Butterline v. City of Philadelphia
c/o Settlement Administrator
P.O. Box 16
West Point, PA 19486
questions@PhilaForeclosure.com
877-882-1011

Tags: Foreclosure, Less Than Full Proceeds of Sale