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Oklahoma Legislature· SB 974Placed on General Order

An act relating to online auctions, the official text

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1                  STATE OF OKLAHOMA

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2                 1st Session of the 60th Legislature (2025)

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3 SENATE BILL 974              By: Weaver
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6                  AS INTRODUCED

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7   An Act relating to online auctions; amending 12 O.S.

7   2021, Sections 757, as amended by Section 1, Chapter

8   326, O.S.L. 2022, 764, and 765, as amended by Section

8   2, Chapter 326, O.S.L. 2022 (12 O.S. Supp. 2024,

9   Sections 757 and 765), which relate to levy and

9   proceedings; adding certain notice requirements;

10  updating statutory language; updating statutory

10  references; making language gender neutral; allowing

11  for certain determination; adding certain reference;

11  modifying certain language relating to online

12  auctions for goods and chattels; prohibiting charging

12  of buyer's premium; authorizing certain use of online

13  auction marketplace; prohibiting purchases by certain

13  individuals; allowing for certain collection of

14  payments; allowing for certain fees for online

14  auction marketplaces; providing for codification; and

15  declaring an emergency.

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18 BE IT ENACTED BY THE PEOPLE OF THE STATE OF OKLAHOMA:
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19  SECTION 1.     AMENDATORY  12 O.S. 2021, Section 757, as

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20 amended by Section 1, Chapter 326, O.S.L. 2022 (12 O.S. Supp. 2024,
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21 Section 757), is amended to read as follows:
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22  Section 757. A. 1. No goods or, chattels, and real property

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23 levied upon by an officer pursuant to an execution issued by a court
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    Req. No. 804                                              Page 1
1 of record shall be sold unless the party causing the execution to be
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2 issued:
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3          a. causes a written notice of sale executed by the

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4                 sheriff describing the goods or, chattels, and real

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5                 property subject to sale and stating the date, time

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6                 and place where the sale shall occur and, if the sale

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7                 is to utilize an online auction marketplace, stating

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8                 the sale will be conducted through online auction, the

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9                 Internet address where bids may be entered, the date

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10                of the sale, and the time when bidding is scheduled to

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11                be open, to be mailed, by first class first-class

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12                mail, postage prepaid, to the judgment debtor, any

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13                holder of record of an interest in the property, and

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14                all other persons of whom the party causing the

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15                execution to be issued has notice who claim a lien or

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16                any interest in the goods or chattels, at least ten

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17                (10) days prior to the date of the sale, if the names

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18                and actual addresses of such persons are known, and

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19         b. causes public notice to be given of the date, time and

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20                place of sale, for at least ten (10) days before the

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21                day of sale. The notice shall be executed by the

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22                sheriff and shall state the name of any person having

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23                an interest in the property whose actual address is

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24                unknown, and shall designate the person or persons

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    Req. No. 804  Page 2
1                 whose unknown successors are being notified. The

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2                 notice shall be given by advertisement, published in

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3                 some newspaper published in the county, or, in case no

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4                 newspaper be is published therein, by setting up

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5                 advertisements in five public places in the county.

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6                 Two advertisements shall be put up in the township

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7                 where the sale is to be held, and

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8   c. files in the case an affidavit of proof of mailing and

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9                 of publication or posting.

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10  2. A written notice of sale executed prior to the effective

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11 date of this act November 1, 1987, by the party causing the
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12 execution to be issued but otherwise conforming to the provisions of
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13 this section shall, for all purposes, be deemed valid.
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14  B. 1. If a purchaser other than the party causing the

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15 execution to be issued, when required by the sheriff, fails to post
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16 cash or certified funds equal to ten percent (10%) of the amount bid
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17 for the property within twenty-four (24) hours of the sale,
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18 excluding Sundays and legal holidays, or otherwise fails to complete
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19 the sale, the sheriff may proceed with the sale and may accept the
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20 next highest bid.
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21  2. When goods and, chattels, and real property levied upon

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22 cannot be sold for want of bidders, the officer making such return
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23 shall affix a true and correct inventory of such goods and,
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24 chattels, and real property to the execution, and the party causing
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    Req. No. 804                                                Page 3
1 such execution to be issued may thereupon sue out another writ of
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2 execution, directing the sale of the property levied upon as
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3 provided for in this section.
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4   C. The sheriff may determine whether the auction provided for

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5 in this section shall utilize an online auction marketplace. All
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6 sales of goods and, chattels may be, and real property conducted by
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7 public auction through the Internet or other electronic means
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8 pursuant to this section. For a public auction held by Internet or
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9 other electronic means, place may include the Internet website of an
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10 online auction marketplace selected by the sheriff to host and
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11 conduct the sheriff's sale of goods and chattels.
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12  D. No sheriff nor other officer conducting the sale of such

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13 property, nor any appraiser or online auction marketplace, shall
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14 either directly or indirectly purchase the same; and every purchase
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15 so made shall be considered fraudulent and void. If the online
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16 auction marketplace is a corporation, limited liability company,
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17 limited liability partnership, or partnership, the foregoing
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18 restriction shall apply to any director, officer, employee, managing
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19 member, or partner of such appraiser or online auction marketplace.
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20  E. In the case of a sale by a sheriff conducted through an

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21 online auction marketplace, the online auction marketplace may
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22 collect deposits and payments by wire transfer, electronic funds
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23 transfer, or cashier's check from a registered bidder, settle the
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24 transaction, and then remit payment of the purchase price to the
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    Req. No. 804                                      Page 4
1 court clerk as directed by the a sheriff utilizing an online auction
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2 marketplace shall be conducted in accordance with the provisions of
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3 Section 4 of this act.
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4       SECTION 2.  AMENDATORY  12 O.S. 2021, Section 764, is

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5 amended to read as follows:
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6       Section 764. A. Lands and tenements taken on execution shall

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7 not be sold unless the party causing the execution to be issued:
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8       1. Causes a written notice of sale executed by the sheriff

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9 containing the legal description of the property to be sold and
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10 stating the date, time and place where the property will be sold
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11 and, if the sale is to utilize an online auction marketplace,
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12 stating the sale will be conducted through online auction, the
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13 Internet address where bids may be entered, the date of the sale,
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14 and the time when bidding is scheduled to be open, to be mailed, by
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15 first class first-class mail, postage prepaid, to the judgment
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16 debtor, any holder of interest of record in the property to be sold
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17 whose interest is sought to be extinguished, and all other persons
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18 of whom the party causing the execution to be issued has notice who
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19 claim a lien or any interest in the property whose interest is
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20 sought to be extinguished, at least ten (10) days prior to the date
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21 of the sale, if the names and addresses of such persons are known;
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22 and
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23      2. Causes public notice of the date, time and place of sale to

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24 be given by publication for two (2) successive weeks in a newspaper
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    Req. No. 804                Page 5
1 published in the county in which the property to be sold is
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2 situated, or in case no newspaper be is published in such county,
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3 then in a newspaper of general circulation therein and by putting up
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4 an advertisement upon the courthouse door and in five other public
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5 places in such county, two of which shall be in the township where
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6 such lands and tenements lie; provided, that in counties now having
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7 a population of one hundred ten thousand (110,000) or more according
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8 to the last Federal Decennial Census, the advertisement shall be
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9 published in some newspaper published in the city or township where
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10 said such lands and tenements lie, or if there be is no newspaper in
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11 such city or township, then in some newspaper published in the
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12 county. Notice shall be executed by the sheriff and state the name
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13 of any person having an interest in the property to be sold whose
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14 interest is sought to be extinguished and whose actual address is
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15 unknown, and shall designate the person or persons whose unknown
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16 successors are being notified; and
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17  3. Files in the case an affidavit of proof of mailing and of

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18 publication or posting.
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19  B. A written notice of sale executed prior to the effective

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20 date of this act November 1, 1987, by the party causing the
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21 execution to be issued but otherwise conforming to the provisions of
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22 this section shall, for all purposes, be deemed valid.
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23  C. Such sale shall not be held less than thirty (30) days after

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24 the date of first publication of the notice required in paragraph 2
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    Req. No. 804                                                Page 6
1 of subsection A of this section. If a purchaser other than the
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2 party causing the execution to be issued, when required by the
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3 sheriff, fails to post cash or certified funds equal to ten percent
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4 (10%) of the amount bid for the property within twenty-four (24)
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5 hours of the sale, excluding Sundays and legal holidays, or
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6 otherwise fails to complete the sale, the sheriff may accept the
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7 next highest bid. Except as otherwise provided for in subsection B
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8 of this section, sales for which the provisions of subsection A of
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9 this section have not been complied with shall be set aside on
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10 motion by the court to which the execution is returnable.
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11  D. The sheriff may determine whether the auction provided for

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12 in this section shall utilize an online auction marketplace. All
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13 sales of lands and tenements conducted by a sheriff utilizing an
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14 online auction marketplace shall be conducted in accordance with the
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15 provisions of Section 4 of this act.
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16  SECTION 3.    AMENDATORY  12 O.S. 2021, Section 765, as

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17 amended by Section 2, Chapter 326, O.S.L. 2022 (12 O.S. Supp. 2024,
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18 Section 765), is amended to read as follows:
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19  Section 765. A. Upon the return of any writ of execution for

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20 the satisfaction of which any lands or tenements have been sold, the
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21 party causing the execution to be issued shall:
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22  1. Cause a written notice of hearing on the confirmation of the

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23 sale to be mailed, by first class first-class mail, postage prepaid,
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24 to all persons to whom mailing of the notice of the execution of
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    Req. No. 804                                               Page 7
1 sale was required to be made pursuant to Section 764 of this title
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2 and to the high bidder at such sale, at least ten (10) days before
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3 the hearing on the confirmation of the sale, and if the name or
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4 address of any such person is unknown, shall cause a notice of the
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5 hearing on the confirmation of the sale to be published in a
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6 newspaper authorized by law to publish legal notices in the county
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7 in which the property is situated. If no newspaper authorized by
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8 law to publish legal notices is published in such county, the notice
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9 shall be published in some such newspaper of general circulation
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10 which is published in an adjoining county. The notice shall state
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11 the name of any person being so notified and shall be published once
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12 at least ten (10) days prior to the date of the hearing on the
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13 confirmation of the sale; and
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14  2. Files in the case an affidavit of proof of mailing, and if

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15 required, of publication.
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16  B. Any person filing a written objection to the confirmation of

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17 the sale shall cause a copy of such written objection to be mailed,
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18 prior to the hearing on the confirmation of the sale, by first class
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19 first-class mail, postage prepaid, to all persons to whom mailing of
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20 the notice of the hearing on the confirmation of the sale was
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21 required to be made pursuant to this section. The court may
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22 continue the hearing or make such other orders as are necessary to
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23 allow the interested persons to adequately support or oppose any
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24 such objections to the confirmation of the sale. If the court,
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    Req. No. 804                  Page 8
1 after having carefully examined the proceedings of the officer, is
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2 satisfied that the sale has, in all respects, been made in
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3 conformity with the provisions of this article section, the court
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4 shall direct the clerk to make an entry on the journal that the
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5 court is satisfied of the legality of such sale and shall order that
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6 the officer make to the purchaser a deed for such lands and
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7 tenements; and the officer, on making such sale, shall deposit the
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8 purchase money with the clerk of the court from which said the writ
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9 of execution issued, where same shall remain until the court shall
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10 have examined his or her proceedings as aforesaid, when said the
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11 clerk of the court shall pay the same to the person entitled
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12 thereto, agreeable to the order of the court. In the case of a sale
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13 by a sheriff conducted through an online auction marketplace, the
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14 online auction marketplace may collect and hold deposits and
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15 additional purchase money payments up to the full amount of the
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16 winning bid, settle the transaction, and then remit payment of the
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17 purchase money to the court clerk as directed by the sheriff or the
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18 court. Any No buyer's premium shall be charged to a buyer for
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19 online auction marketplace services rendered to the buyer shall not
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20 be considered purchase price provided that the buyer's premium is
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21 disclosed in advance in the listing on any sale.
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22  SECTION 4.    NEW LAW  A new section of law to be codified

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23 in the Oklahoma Statutes as Section 776 of Title 12, unless there is
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24 created a duplication in numbering, reads as follows:
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    Req. No. 804                                               Page 9
1   A. In accordance with the provisions of Section 751 et seq. of

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2 Title 12 of the Oklahoma Statutes, sheriffs may conduct the sale of
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3 goods, chattels, real property, or lands and tenements utilizing an
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4 online auction marketplace.
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5   B. No sheriff or other officer conducting the sale of property

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6 or any appraiser or online auction marketplace, including any
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7 affiliation with a corporation, limited liability company, or
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8 partnership, shall either directly or indirectly purchase the
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9 property; any such purchase shall be considered fraudulent and void.
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10 The prohibition of this subsection shall also apply to those related
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11 by affinity or consanguinity within the third degree. If the
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12 appraiser or online auction marketplace is a corporation, limited
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13 liability company, limited liability partnership, or partnership,
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14 such prohibition shall apply to any director, officer, employee,
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15 managing member, or partner of such appraiser or online auction
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16 marketplace.
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17  C. The online auction marketplace may collect deposits and

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18 payments by wire transfer, electronic funds transfer, or cashier's
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19 check from a registered bidder, settle the transaction, and remit
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20 payment of the purchase price to the court clerk as directed by the
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21 sheriff.
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22  D. In accordance with the provisions of Section 765 of Title 12

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23 of the Oklahoma Statutes, no buyer's premium shall be charged to a
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24 buyer on any sale utilizing an online auction marketplace. The fee
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    Req. No. 804               Page 10
1 charged and all costs incurred by the online auction marketplace
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2 shall be assessed as costs not to exceed Four Hundred Twenty-five
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3 Dollars ($425.00) per sale.
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4   SECTION 5. It being immediately necessary for the preservation

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5 of the public peace, health or safety, an emergency is hereby
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6 declared to exist, by reason whereof this act shall take effect and
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7 be in full force from and after its passage and approval.
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    Req. No. 804                                             Page 11
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