HB4794 Summary

• Property owners whose land is sold via tax deed to a county, municipality, or county land bank are entitled to recover the equity in the property, calculated as fair cash value minus redemption amount, taxes paid by the grantee, mortgages/liens, and a $500 administrative fee.

• Equity claims must be filed within 90 days after the tax deed is recorded; for deeds issued between May 24, 2021 and the effective date of this act, claims must be filed within 90 days of the effective date.

• The county, municipality, or county land bank shall pay equity claims from its general fund, not from the county indemnity fund established under Section 21-295.

• Owners barred from recovering the property may still seek indemnity from the indemnity fund under existing provisions, with a 10-year filing deadline and a $99,000 cap for residential properties (4 or fewer units).

• Indemnity fund fraud becomes a Class A misdemeanor for a single offense or Class 4 felony for multiple offenses or subsequent convictions, including fraudulent inducement to forego property recovery actions.