New Term: Proceedings Subsequent

I’m currently working with 4 different banks on offers for homes.  Two of the homes are owned by the bank through foreclosure and the other two are subject to a short sale.  Well, today I learned a new term: Proceedings Subsequent.  In this case, the bank acquired a property through foreclosure however the Registrar of Titles is still showing the home owner who had the bank loan as the “fee simple” owner of the property.  So in this case the bank has to file a motion with the court and have a hearing to determine the validity of the foreclosure and assign title to the bank, this is called a Proceedings Subsequent. 

Well, normally this is all done well before we get to closing however in this case the bank waited till two weeks before closing to get title work ordered, which means I got to learn a new term and my buyers and I got to worry about whether we would close on time or not.


  1. says

    Aaron: As you likely already know becasue the proceeding is before the Registrar of Titles, this procedure affects only Torrens registered property, not abstract property.

  2. Thos. says

    How long did it take to get clear title? I’m in the midst of one that’s taken seven months with no end in sight. Thanks.

  3. Hang says


    We signed a purchase agreement for a property in St Paul. Before closing, we found out that they haven’t completed the
    Proceedings Subsequent. It’s been 2 months since we signed the purchase agreement. The attorney that’s handing the Proceeding Subsequent told us it’s very normal and there is no risk. They wanted us to close the deal now rather than wait until the Proceeding to complete. We would have to sign an acknowlegment that we’re aware of the situation.
    What would be your advise? We don’t mind to wait but the bank has been pressuring us to close.

    Are there any risk if we close before they’re done with the Proceeding Subsequent?

    – Hang

    • says

      Unfortunately I cannot comment on the legal risks as I am not an attorney and that would be legal advise. I can tell you that you would want to confirm that your Owner’s Policy of Title Insurance covers these issues and that the proper paperwork has been filed. I have had clients close before a Proceedings Subsequent has been completed.

      It’s best to speak with an attorney, your agent and your title closer.