Sec. 49-14. Deficiency judgment.
Sec. 49-14. Deficiency judgment. (a) At any time within thirty days after the time
limited for redemption has expired, any party to a mortgage foreclosure may file a motion
seeking a deficiency judgment. Such motion shall be placed on the short calendar for
an evidentiary hearing. Such hearing shall be held not less than fifteen days following
the filing of the motion, except as the court may otherwise order. At such hearing the
court shall hear the evidence, establish a valuation for the mortgaged property and shall
render judgment for the plaintiff for the difference, if any, between such valuation and
the plaintiff's claim. The plaintiff in any further action upon the debt, note or obligation,
shall recover only the amount of such judgment.
(b) Upon the motion of any party and for good cause shown, the court may refer
such motion to a state referee, who shall have and exercise the powers of the court with
respect to trial, judgment and appeal in such case.
(c) Any party to a mortgage foreclosure who has moved for an appraisal of property
for the purpose of obtaining a deficiency judgment, but has not been granted a deficiency
judgment, or has not received full satisfaction of any deficiency judgment obtained
subsequent to the filing of such motion, may make a motion to the court for a deficiency
judgment as set forth in subsection (a) of this section. If such motion is made on or
before November 1, 1979, such moving party shall be deemed to have complied with
all of the requirements of subsection (a) of this section and shall be entitled to the benefit
of any deficiency judgment rendered pursuant to said subsection (a).
(d) Any appeal pending in the Supreme Court with regard to any deficiency judgment or proceedings relating thereto shall be stayed until a hearing is held pursuant to
subsection (a) of this section. Any appellant in such an appeal shall have the right for
a period of thirty days after the rendering of judgment pursuant to subsection (a) of this
section to amend his appeal. There shall be no stay of such an appeal if no motion has
been filed pursuant to this section on or before November 1, 1979.
(1949 Rev., S. 7195; P.A. 79-110, S. 1, 2.)
History: P.A. 79-110 entirely replaced previous provisions re appraisal of property and use of appraised value in
determining awards to mortgage creditor and plaintiff in foreclosure proceedings.
A mortgage may be foreclosed for interest overdue on the mortgage note, where the principal is not yet due. 45 C. 159.
Appraisers should report whole value of mortgaged property without reference to prior mortgages. 50 C. 292. Where
creditor had a mortgage and a judgment lien on different lands for the same debt, debtor could not have appraisal of
mortgaged property, and collection of balance of debt only from lien property; this section is not applicable. 54 C. 106.
This remedy for collection of deficiency not exclusive. 55 C. 443; 91 C. 587; 102 C. 648; 109 C. 329; 128 C. 695.
Effect of requirement as to crediting one-half the difference between the appraisal and the debt upon rights of subsequent
mortgages. 89 C. 103. Deficiency judgment not proper if appraisal exceeds debt; reduction in value by prior encumbrances
must be pleaded. 90 C. 618. If all three appraisers consider appraisal, and two concur in written report, statute is satisfied.
107 C. 275. However, all appraisers must have opportunity to participate in consideration of appraisal. 111 C. 492. Applies
to purchase money mortgage. 116 C. 332. Appraisers act in quasi-judicial capacity and their report is final. 107 C. 272;
116 C. 333; However, a remonstrance will lie against their report for irregularity. 117 C. 239; 122 C. 455. Appraisal may
not be made before the law day. 118 C. 570. Cited. 120 C. 671. Principles governing appraisal and limited function of
court on review of same. 122 C. 455. Mistake of single appraiser insufficient to invalidate appraisal reached by all three.
Id., 458. Date title vests in plaintiff controlling. Id., 459. Under former statute, judgment rendered after ninety days erroneous
unless objection waived. 123 C. 583. Amount of deficiency against purchaser giving second mortgage as affected by his
failure to assume first mortgage. 124 C. 604. Cited. 128 C. 693. Cited. 133 C. 154. Cited. 153 C. 274. Fact that statute
does not require appraisers to hold hearings and receive evidence not violative of due process. Id., 292, 293. Trial court
not in error in refusing to deduct from appraised value a contingent sewer assessment in such amount as should ultimately
be determined to be due upon completion of the constructions. Id., 457. Appointment of appraisers pursuant to this statute
necessary to obtain a deficiency judgment. Section 49-1 does not affect this section. 154 C. 216. Cited. 168 C. 554. To
determine property value, statute does not bar court-appointed appraiser from consulting outside sources, including text
books, public records and realtors or professional appraisers. 174 C. 77. Cited. Id., 268. Section held unconstitutional since
it provides no statutory hearing and defendant deprived of right to be heard at a meaningful time and in a meaningful
manner; violative of due process clauses of both state and federal constitutions. 176 C. 563. Cited. Id., 578. Cited. 180 C.
71. Cited. 183 C. 85. Cited. 184 C. 569. Cited. 190 C. 60. By its terms statute applicable only to claims by foreclosing
plaintiffs. 199 C. 368. Cited. 216 C. 443. Cited. 222 C. 784. Cited. 227 C. 270. Cited. 228 C. 766; Id., 929. Cited. 233 C.
153. Cited. 241 C. 269. Statute applies only where title has vested in a foreclosing plaintiff. Because plaintiff did not
acquire possession of units in foreclosure action, trial court in that action could not have made required determination that
value of units was insufficient to satisfy plaintiff's debt. 247 C. 575. Deficiency judgment provisions of section do not
apply to tax lien foreclosure actions brought pursuant to Sec. 12-181. 255 C. 379. Deficiency judgment rendered pursuant
to this section may be obtained in judgment lien foreclosure actions pursuant to Sec. 52-380a(c). Id. Deficiency judgment
rendered pursuant to this section may be obtained in condominium lien foreclosure actions pursuant to Sec. 47-258(j). Id.
The fact that this statute makes no provision for attorneys' fees is not controlling. The mandate of Sec. 49-7 is crystal
clear so that such provision in this statute would be unnecessary and repetitive. Legal fees for services not yet performed
discussed. 1 CA 30. Cited. 4 CA 426. Cited. 6 CA 691. Cited. 19 CA 291. Cited. 20 CA 638. Cited. 23 CA 266; Id., 159.
Cited. 28 CA 809. Cited. 31 CA 1; Id., 80; Id., 260; Id., 266; Id., 476; Id., 621. Cited. 32 CA 309. Cited. 33 CA 388; Id.,
401. Cited. 34 CA 204. Cited. 35 CA 81. Cited. 38 CA 198. Cited. 39 CA 684; Id., 829. Cited. 40 CA 115. Cited. 41 CA
324. Cited. 44 CA 439; Id., 588. In determining value, trier must consider everything that might legitimately affect value;
failure requires a new deficiency hearing. 49 CA 452. Statute does not preclude recovery where a foreclosing mortgagee
complies with the statutory provisions and seeks a deficiency judgment against guarantor who is obligated pursuant to a
limited guarantee. 70 CA 341.
Rule of People's Holding Co. v. Bray, 118 C. 568, upheld. 1 CS 45. A remonstrance to such a report alleging an
irregularity as a matter of law should be joined by demurrer or answer. 3 CS 232. Cited. Id., 261. In the third sentence, the
word "may" is permissive and not mandatory except as to the period of time in which the appraisal is to be made. Purpose
of appraisal. Id., 395. No particular form for appraiser's oath is provided. 4 CS 427. The action of two of the three appraisers
acting without notice to the third could not make a legal determination of the value unless the third appraiser had knowledge
of the meeting and an opportunity to be present. 5 CS 358. The fact that both causes, one seeking foreclosure and one on
the mortgage debt, can be brought in one proceeding takes nothing away from the fundamental distinction between them.
The complaint must allege facts descriptive of the essential elements of an action in equity in rem and one in personam at
law. 6 CS 121. Appraisal made before time limited for redemption is invalid. Id., 398. On motion for deficiency judgment
following foreclosure, it was not a valid objection that the report of the appraisers failed to give any indication that its
compilation followed a public hearing, the reception of testimony or notice to the defendant. 12 CS 402. Section, to extent
that it permits deficiency judgment, is in derogation of common law. It becomes increasingly more suspect as violative of
due process clause. Since its appraisal provisions are for benefit of mortgagor, it must therefore be strictly construed. 34
CS 147. Cited. 41 CS 587.
Subsec. (a):
Application of procedures of this section effectively and constitutionally empowered by Sec. 49-14(d). 184 C. 569.
Pursuant to Sec. 52-380a(c) provisions of this section concerning deficiency judgments apply to strict foreclosures on
judgment liens. 220 C. 643. Thirty-day time limitation is inapplicable to motion for deficiency judgment following a
judgment of foreclosure by sale. 222 C. 784. Cited. 234 C. 905. Cited. 237 C. 378.
Cited. 25 CA 159. Cited. 37 CA 423.
Cited erroneously as Sec. 49-14a. 42 CS 302.
Subsec. (d):
This section effectively and constitutionally empowered the trial court to apply the procedures of Sec. 49-14(a). 184
C. 569.