| Need a handle on how long it will take to liquidate | | | | extension |
| your borrower's collateral in Indiana? Since the | | | | 5. Motion for summary judgment: can be filed |
| foreclosure process officially starts with the filing of a | | | | immediately after the filing of the Answer |
| complaint, my timelines start there. A complaint | | | | 6. Objection to motion for summary judgment: due |
| cannot be filed until there has been a default under | | | | 30 days after the filing of the motion for summary |
| the terms of the real estate mortgage or personal | | | | judgment |
| property security agreement. Needless to say, many | | | | 7. Summary judgment hearing: usually held 75-120 |
| weeks if not months might pass between the initial | | | | days after the motion is filed |
| loan default and the decision to file suit. | | | | 8. Entry of judgment and decree of foreclosure: |
| The timing of the foreclosure process largely | | | | occurs on day of hearing, or soon thereafter, unless |
| depends upon whether and to what extent the | | | | the motion is vigorously contested with viable |
| borrower contests the proceeding: | | | | defenses |
| Uncontested Foreclosure: 4½ - 6 months | | | | 9. Praecipe for Sheriff's sale: can be submitted |
| minimum. If a business debtor does not contest | | | | immediately after the entry of judgment assuming |
| foreclosure (but will not agree to a deed in lieu), the | | | | more than 3 months have passed since the complaint |
| process can move relatively quickly. Here are the | | | | was filed |
| major steps and applicable ranges of time: | | | | 10. Sheriff's sale: takes place 45-90 days from |
| 1. Filing of the Complaint | | | | Praecipe, depending on the county |
| 2. Service of process on the debtor: occurs in 5-10 | | | | Judicial sales. Indiana law requires a judicial sale in |
| days unless service by publication | | | | order to foreclose a mortgage. I.C. 32-29-7-4 ( is a |
| 3. Application for default judgment: can be sought | | | | nice option for creditors looking to expedite a sale. |
| 21-24 days after service of process | | | | The statute permits, under certain limited |
| 4. Entry of default judgment and decree of | | | | circumstances, the sheriff's sale to be conducted by |
| foreclosure: should occur within approximately 30 | | | | a private auctioneer on the civil sheriff's behalf. This |
| days after the Application is filed | | | | may be advisable in counties without |
| 5. Praecipe for Sheriff's sale, including notice of same: | | | | regularly-scheduled sheriff's sales. (I should note that, |
| by statute, cannot be filed until 3 months after the | | | | as to personal property security interests, UCC |
| Complaint | | | | Article 9.1 and/or the terms of a security agreement |
| 6. Sheriff's sale: happens about 45-90 days from | | | | may allow the creditor to repossess the collateral |
| Praecipe, depending on the county | | | | without a sheriff's sale.) |
| Contested Foreclosure: 6-9 months minimum. Given | | | | Be prepared for delays. Although the basic procedure |
| the vagaries of litigation, it's virtually impossible to | | | | is the same throughout Indiana, the timing can be |
| conclusively estimate how long a contested | | | | impacted dramatically by the dockets of the individual |
| foreclosure case may last. Much depends upon how | | | | courts and/or the schedules of the individual civil |
| clear the default and the damages are. Perhaps the | | | | Sheriffs' offices. The periods described are the |
| most significant factor relates to the time associated | | | | minimum time periods. The actual time usually is |
| with workout negotiations. In that regard, each case | | | | longer. This is especially true if there are multiple |
| is different. Here are the main steps of a fairly quick | | | | creditors named in the lawsuit. Further, in contested |
| contested foreclosure: | | | | cases involving debtors represented by counsel, |
| 1. Filing of the Complaint | | | | opposing attorneys can prolong the process in a |
| 2. Service of process on the debtor: occurs in 5-10 | | | | variety of ways, including multiple motions for |
| days unless service by publication | | | | extensions of time, requests for discovery and |
| 3. Appearance of debtor's attorney and motion for | | | | vigorous challenges to a motion for summary |
| one or more 30-day extensions of time to respond | | | | judgment. In the event a trial must occur, a |
| to the Complaint: filed 20-23 days after service of | | | | resolution of the case can be delayed several months |
| process | | | | if not years. In addition, a bankruptcy can be filed up |
| 4. Answer to Complaint: filed 30 days after filing of | | | | until the time when the Sheriff's sale begins, and that |
| Appearance and expiration of last motion for | | | | can delay the foreclosure process indefinitely. |