2020 IL App (1st) 191464
Ill. App. Ct.2020Background
- At a June 2016 annual tax sale, Blossom63 (successor to the bidder) acquired the certificate to purchase delinquent 2014 real estate taxes on a commercial condominium; to obtain the certificate it also paid the unpaid 2013 second-installment tax required by section 21-240.
- Blossom63 received a certificate showing it paid $40,300.02 for 2014 and $6,762.55 for the 2013 second installment (total $47,309.57).
- Blossom63 delivered a section 22-5 post-sale notice listing only "Sold for General Taxes of (year) 2014" and stating the redemption amount ($47,340.01) and redemption deadline; it later sent a section 22-10 notice that said "2014 (2013 incld)."
- The circuit court initially granted Blossom63 an order directing the county clerk to issue a tax deed and the deed was recorded; Devonshire then moved to vacate the order, arguing the 22-5 notice was defective for failing to list the 2013 installment and later contested the interest owed under section 22-80.
- The trial court vacated the tax-deed order (finding the 22-5 notice deficient) and concluded Devonshire did not owe the purchaser post-redemption statutory interest; the appellate court reversed, holding the 22-5 notice complied with the Code and remanding for entry of appropriate orders (interest issue moot because tax deed order was reinstated).
Issues
| Issue | Plaintiff's Argument | Defendant's Argument | Held |
|---|---|---|---|
| Whether a section 22-5 post-sale notice that lists only the single year sold ("2014") complies when the purchaser also paid an earlier unpaid installment (2013) required to obtain the certificate | Blossom63: The 22-5 form asks for a single "year"; listing 2014 satisfied the statutory form and purpose; additional detail optional | Devonshire: Notice should identify all tax years/amounts the purchaser paid (including 2013 installment) so owner can know what to pay to redeem; omission renders notice defective | Held for Blossom63 — listing only "2014" satisfied section 22-5 because purchaser did not "purchase" 2013 at the sale and the notice conveyed the necessary redemption amount and deadline |
| Whether the property owner (successful contestor) must pay statutory interest under section 22-80 for the period from the end of redemption to the actual date of payment (post-redemption delay) | Blossom63: Entitled to 1% per month interest on amounts paid by purchaser from the redemption date until actual payment (19 months) | Devonshire: Redemption payment required by section 22-80 is measured as of the last day of the period of redemption, so no additional interest accrues after that date | Court reversed trial-court order vacating tax deed; because Blossom63 prevailed on deed, the appellate court did not award Blossom63 the contested post-redemption interest (issue rendered moot by reversal) |
Key Cases Cited
- Gaither v. Lager, 2 Ill. 2d 293 (1954) (holding omission of taxed year(s) in notice can render notice defective)
- DG Enterprises, LLC-Will Tax, LLC v. Cornelius, 2015 IL 118975 (Ill. 2015) (distinguishes collateral attacks on issued tax deeds and emphasizes limits under section 22-45)
- In re Application of the County Collector, 225 Ill. 2d 208 (2007) (underscoring strict compliance with statutory notice requirements)
- A.P. Properties, Inc. v. Goshinsky, 186 Ill. 2d 524 (1999) (explaining the tax-sale process as the collector selling property in exchange for payment of taxes)
- Block v. Hooper, 318 Ill. 182 (1925) (noting tax sale is a drastic remedy and statutes must be strictly complied with)