- When a purchaser defaults on a land contract, the original seller may go to court to foreclose. The county clerk auctions the property and issues a county clerk's deed. Is the purchase from a county clerk exempt?
No. The foreclosure is a court-ordered sale of the purchaser's equity in the property (county clerk's sale) subject to redemption. The county clerk does not in this case act in his or her official capacity, i.e., as a representative of the county, but rather for the debtor. Therefore, MCL 207.526(h)(i) does not apply. In as much as a land contract is not a mortgage, MCL 207.526 (v) does not apply.