June 2024

An informative e-newsletter for the Real Property Law Section of the State Bar of Michigan.

Kessler: The New Normal?


By Lavinia S. Biasell, Chief Legal Officer, Transnation Title Agency

Every once in a while, a case comes along and upsets the practice of real estate law as it is practically applied, such that we are left pondering the implication of a change in practice. One such case is that of Kessler and River AG Properties, LLC v Longview Agricultural Asset Management, LLC, 345 Mich App 196; 4 NW3d 767 (2023). In Kessler, the Court opined as to whether the long-standing practice of extending redemption periods due to late recording was permissible by statute. The Kesslers owned real property, which was encumbered by a mortgage granted to Longview. The Kesslers purportedly defaulted on the mortgage loan and Longview commenced foreclosure by advertisement. At sheriff’s sale, Longview acquired a sheriff’s deed interest in the real property subject to the Kesslers’ one-year right of redemption. The sheriff’s deed was recorded more than 20 days after the sheriff’s sale. The Kesslers argued that due to the tardy filing, the redemption period had been extended to one-year from the date of recording of the sheriff’s deed, not the sale. When the Kesslers attempted to redeem the property from the foreclosure sale, Longview rejected the redemption. Longview argued that the redemption deadline was one-year from the date of the sale, and the Kesslers were late in their attempt to redeem. Both sides filed motions for summary disposition, and the Court considered the law.

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The views and opinions expressed in these articles are those of the authors, and they do not reflect in any way the positions of the State Bar of Michigan or the Real Property Law Section. These columns are meant for informational purposes only and should not be construed as legal advice. IRS Circular 230 Disclosure: To ensure compliance with requirements imposed by the Internal Revenue Service, we inform you that any U.S. federal tax advice contained in this communication (including any attachments) was not intended or written to be used, and cannot be used, by any person for the purpose of (i) avoiding tax-related penalties or (ii) promoting, marketing, or recommending to another person any transaction or matter addressed in this communication.