12.01 References of judicial sales to the Master Commissioner shall be provided by the Rules of Civil Procedure, Rules of Administrative Procedure, Part lV, applicable Kentucky Revised Statutes, by these Rules, and by Court Order in individual cases. If by Court Order, the order shall specifically indicate the purpose of the reference and the duties to be performed by the Master Commissioner.

12.02 Domestic Relations Actions

(A) Except for good cause shown to the presiding Judge, all judicial sales in domestic relations actions shall be referred to the Master Commissioner, who shall not be disqualified from conducting such sales by the mere fact that he/she also serves as Domestic Relations Commissioner pursuant to Civil Rule 53.03(1). Any objection to a recommended judicial sale may be raised by filing an objection to the Commissioner's report as provided in the rules of Domestic Relations Practice appended hereto.

(B) All known holders of liens against property ordered to be sold in a domestic relations action shall be made parties thereto at the time the Court determines the property must be sold.

12.03 Every motion for default judgment or summary judgment and order of sale shall include, but not be limited to, the following information:

(A) Every motion filed seeking judicial sale of property must include the following documents:

i. An affidavit of the attorney for the party seeking a judgment and judicial sale of property that he/she has searched, or caused to be searched, the records of the applicable County Clerk, covering a period of at least thirty (30) years next proceeding the date of filing of the complaint continuing through the date and time recording of the Lis Pendens. In addition, Opinion relating to the applicable property and the named parties as their interests appear of record shall be attached. Said Title Opinion shall be required to be run to the date and time of the filing of the Lis Pendens in the County Clerk's office. Said Title Opinion shall note all delinquent property taxes and assigned certificates of delinquency. Said Title Opinion shall be kept under seal by the Clerk subject only to inspection by the Court, the Master Commissioner, the parties to the action or their counsel, or upon order of the Court; AND,

ii. A copy of the Lis Pendens filed in the Office of the applicable County Court Clerk with the Clerk's stamp showing the date and time such Lis Pendens was filed; AND,

iii. If any defendant has sought relief in bankruptcy, proof of discharge, dismissal or relief from stay is required to be filed.

(B) Every motion for default judgment or summary judgment and order of sale shall be accompanied by the following:

i. An affidavit signed by and sworn to by an individual(s) with personal knowledge or responsibility of the account or obligation for which judgment is sought or been previously awarded setting forth: (a) the name of the person(s) and/or entity(ies) owing the obligation, debt or judgment; (b) the amount owed with interest if any; (c) a schedule of costs; and, (d) the facts which constitute the default or acceleration of the obligation; AND,

ii. If the matter is before the Court on a motion for default judgment, an affidavit pursuant to the Servicemembers' Civil Relief Act of 2003; and an affidavit of the Attorney stating that the Defendant(s) in default have failed to plead or otherwise defended as provided by the applicable rules of procedure; and, that no papers have been served on counsel by the party in default or received by counsel from the party in default.

(C) A proposed judgment and order of sale, which contain the following provisions:

i. A statement of the manner in which the Court has acquired jurisdiction over the parties to the action; to wit, “The Defendant,__________, is before the Court by means of (TYPE OF SERVICE) which was accomplished on (DATE).”

ii. The typed or machine printed legal description of the property to be sold with a complete source of title. (A reference to an attachment will not be sufficient).

iii. “The Master Commissioner of this Court is hereby directed to sell the real estate described in the judgment at public auction to the highest bidder on the _____ day of __________, 20_____, at _____ a.m./p.m. local time at the county courthouse after first having caused the property to be appraised according to law; and having advertised the sale as to the time, terms and place by posting handbills at the courthouse and on or near the property to be sold for at least fifteen (15) days prior to the date of sale, also by inserting notice thereof as to its time, terms and place of sale together with a street address or short description of said parcel of land once a week for three (3) successive weeks next preceding the date of sale in the newspaper with the largest bona fide circulation published in this County. The real estate shall be sold on terms of ten percent (10%) down and the balance on credit of forty-five (45) days, bearing interest at the rate of twelve percent (12%) per annum from date of sale until the purchase price is paid.”

(D) If the purpose of the sale is to divide jointly held property and not to enforce a lien against the property, the language “having caused the property to be appraised according to law” and shall not be included in the order of sale.

(E) A certificate that a copy of the tendered judgment and order of sale was served on the Master commissioner at the time the motion is filed.

12.04 Unless specifically stated otherwise in the order or judgment, taxes for the current year shall be assumed by the purchaser and delinquent taxes and assessments and assigned certificates of delinquency against the property shall be paid out of the proceeds of the sale, for which the purchaser shall not receive credit upon his purchase price; or in the event the plaintiff is taking a credit against the judgment, then the delinquent property taxes and assessment shall be taxed as costs to be paid to the Master Commissioner.

12.05 Conduct of Sale

(A) Deposit and Bond Requirements - Resale Upon Failure to Comply: In every judicial sale, except where the order of sale directs otherwise, the cash deposit specified in the order or judgment of sale shall be made immediately upon the conclusion of the sale as required by the judgment or order of sale. The successful bidder must be ready to comply immediately with the terms of that bond, including having a surety available to sign the bond immediately upon the conclusion of the sale. If the deposit, bond or surety requirements are not complied with immediately upon the conclusion of the sale, the Master Commissioner may reject the bid and resell the property forthwith. In making such resale, the Master Commissioner shall accept no bid from the rejected bidder.

(B) Interest - Accrual of interest on the successful bid shall be suspended to the extent of any repayment or deposit as of the date the payment or deposit is made to the Master Commissioner.

12.06 The Commissioner shall file his/her report of sale with the Clerk of the Court, who shall forthwith serve notice of the filing upon all parties who would be entitled to notice of entry of a final judgment. Thereafter, and within thirteen (13) days after being served with notice of the filing of the report, any party may serve written objections thereto upon the other parties. If no objections are filed, the report will be submitted to the presiding Judge on the fourteenth (14^th) day after the notice of the report was served on the parties if the motioning attorney notifies the clerk. If objections are filed, any party may apply to the Court for confirmation of the report by notice and motion properly filed.

12.07 If the purchaser at a judicial sale desires to assign his/her bid to a third party, then this assignment shall be filed with the Circuit Court Clerk and a copy tendered to the Master Commissioner.