Land contract forfeiture for Michigan buyers
I am Mitchell Bisson, a Grand Rapids real estate lawyer. I have litigated for over 15 years. Buying a home on land contract raises questions that a mortgage does not, especially when payments fall behind. This page covers questions Michigan buyers ask about land contract forfeiture, including the steps and deadlines, stopping a writ of restitution, foreclosure as an alternative, who must be served, recording the contract, and what the seller owes at payoff. I handle these matters on the homeowner side. The short answers below come from my Michigan legal library.
Most land contract forfeiture cases in Grand Rapids, Kentwood, Wyoming and the rest of Kent County start with a letter. A buyer who has paid for years falls behind after a layoff, a medical bill or a fight over taxes, and the seller sends a written notice saying the contract is forfeited unless the missed payments are made in 15 days. The clock is short, and what the buyer does in those first two weeks shapes everything that follows.
Michigan law lets a seller recover possession after forfeiture only if the contract expressly provides for termination or forfeiture, or gives the vendor the right to declare a forfeiture, for nonpayment or another material breach. MCL 600.5726. The seller must then serve a written notice of forfeiture. Unless the parties agreed in writing to a longer time, the person served has 15 days to pay what the contract requires, cure other material breaches or deliver possession. MCL 600.5728(1).
People often ask whether the deadline is 15 days or 90 days. It is both, because they are different clocks. The 15 days runs from service of the notice. The 90 days or 6 months runs after the seller wins a judgment for possession: a writ of restitution cannot issue until 90 days after the judgment if less than 50 percent of the purchase price has been paid, or 6 months after the judgment if 50 percent or more has been paid. MCL 600.5744(4). Paying the amount in the judgment, with taxed costs, within the time provided stops the writ. MCL 600.5744(7).
A seller who wants the balance instead of the house can foreclose the land contract in circuit court under MCL 600.3101. That path is slower, and the buyer has 6 months after the sale to redeem. MCL 600.3140(2). Nothing on this page predicts how your case will end, and I do not promise outcomes. I do promise to tell you where you stand.
Michigan land contract forfeiture deadlines, steps and foreclosure at a glance
Which of these controls your case depends on what your contract says, what the notice says and how much of the price you have paid.
| Step or issue | What must be shown | Time limit or key rule | Authority |
|---|---|---|---|
| Right to forfeit | The contract expressly provides for termination or forfeiture, or gives the vendor the right to declare a forfeiture, for nonpayment or another material breach | Accelerated indebtedness is not counted as moneys required to be paid | MCL 600.5726 |
| Notice of forfeiture | Written notice served on the buyer or the person holding possession under the buyer; the buyer then fails to pay or cure in the required time | 15 days after service, or a longer time agreed in writing | MCL 600.5728 |
| Buyer cannot be found | Buyer absent from Michigan, concealed, or not located after diligent search and inquiry | Notice may be published 3 successive times at weekly intervals in a county newspaper; proof of the publication and of the circumstances is shown at trial | MCL 554.301; MCL 554.302 |
| Summary proceeding | Complaint joins the necessary parties, alleges the original price, principal balance and arrears, and attaches the notice showing when and how it was served | Summons sets trial within 30 days of issuance and must be served at least 10 days before trial, unless a local rule uses the shorter schedule | MCL 600.5735(2)(a), (4)(a); MCR 4.202(C)-(D) |
| Judgment and appeal | The court states the amount due at trial and when and under what conditions a writ will issue | An appeal or post-judgment motion must be filed within 10 days | MCL 600.5741; MCR 4.202(J), (L) |
| Writ of restitution | Judgment for possession after forfeiture | No writ for 90 days (less than 50 percent of price paid) or 6 months (50 percent or more); paying the judgment amount and costs and curing other breaches within the time provided stops it; once a writ issues the equitable right of redemption is foreclosed | MCL 600.5744(4), (7), (8) |
| Money claims after forfeiture | A judgment for possession after forfeiture of a land contract | It merges and bars claims for payments due or in arrears at trial, and if a writ issues, for payments that would later have come due | MCL 600.5750 |
| Foreclosure instead | Circuit court action to foreclose the land contract | No sale within 3 months after the complaint is filed; sale on at least 42 days’ notice; buyer may redeem within 6 months after the sale | MCL 600.3101; MCL 600.3115; MCR 3.410(C); MCL 600.3140(2) |
What the seller has to show before a court can order possession
A forfeiture clause. The statute allows the summary proceeding only if the contract expressly provides for termination or forfeiture, or gives the vendor the right to declare a forfeiture. MCL 600.5726. I read the contract before I read anything else. In Baldwin v. Williams, an unpublished May 2026 decision, the Court of Appeals found that the land contract attached to the complaint had no such clause, held that the district court lacked subject-matter jurisdiction under the summary proceedings act, vacated the possession judgment and the eviction order, and remanded for dismissal without prejudice. No. 373471 (Mich. Ct. App. May 21, 2026) (unpublished). The panel also set out MCL 600.5750, which says the summary remedy is in addition to, and not exclusive of, other remedies. Unpublished opinions are not precedentially binding under MCR 7.215(C)(1), so I use it as a signal of how a panel read the statute, not as law.
A default the statute counts. The ground is nonpayment of moneys required to be paid under the contract or another material breach. A seller cannot treat an accelerated balance as moneys required to be paid, because the statute excludes accelerated indebtedness. MCL 600.5726. A notice that demands the whole balance rather than the missed installments deserves a hard look.
A notice that says what the statute requires. The notice must state the names of the parties and the date of the contract, give the address or legal description of the premises, specify the unpaid amount and the dates the payments were due, specify any other material breaches, and declare the forfeiture effective in 15 days or a specified longer time after service unless the money is paid and the breaches are cured. It must be dated and signed by the person entitled to possession or that person’s attorney or agent. MCL 600.5728(2).
Service on the right person. Possession may be recovered only after the buyer, or a person holding possession under the buyer, has been served and has failed to pay or cure in the required time. MCL 600.5728(1). The seller has to show when and how the notice was served on each defendant, because the complaint must attach the notice with that information. MCR 4.202(D)(4). If the buyer is absent from Michigan, concealed or cannot be found after diligent search and inquiry, the seller may publish the notice 3 successive times at weekly intervals in a newspaper printed and circulating in the county, or in an adjoining county if there is none. MCL 554.301. At trial the seller must prove the publication and prove to the court’s satisfaction that the circumstances justifying it existed when it was made. MCL 554.302.
The right defendants and a complete complaint. The seller must join the buyer named in the contract, anyone known to claim an interest in the premises under the contract, and anyone in possession unless that person has been released from liability. MCR 4.202(C). The complaint must allege the original selling price, the principal balance due and the amount in arrears, state any other material breach with particularity, and attach the forfeiture notice. MCR 4.202(D).
Answers and defenses I look at in a land contract forfeiture case
Does the contract allow forfeiture at all? If not, the summary proceeding is the wrong tool and the seller is left with other remedies, such as foreclosure under MCL 600.3101. The Baldwin panel repeated that “A challenge to subject-matter jurisdiction may be raised at any time, even if raised for the first time on appeal.” I still raise it early.
Is the notice defective? I compare the notice with the contents the statute requires and check the amount against the payment history. A wrong amount, a missing signature, an effective date shorter than the statute allows or a demand for accelerated money can each matter. Whether a defect defeats the forfeiture depends on the facts, and I do not promise that any will.
Was the notice period used? Possession may be recovered only after the buyer fails to pay or cure within the required time. MCL 600.5728(1). A buyer who pays the exact figure in time may end the forfeiture before a lawsuit exists.
Were the right people served and named? Service of the notice, any publication, and the joinder of everyone MCR 4.202(C) lists are all things the seller must get right. Tell me who else lives in the home.
Do you have a money claim of your own? A party to a summary proceeding may join claims and counterclaims for money damages, including for breach of the contract under which the premises were held. A money claim cannot exceed the amount in controversy that limits the court’s jurisdiction. MCL 600.5739(1). If deciding a money counterclaim will change the amount you must pay to prevent a writ, it must be tried at the same time as the claim for possession unless it appears to be without merit. MCR 4.202(I)(3). A claim that exceeds the district court’s limit is removed on motion or by the court. MCR 4.202(I)(4).
Do not miss the hearing. If the buyer does not appear, the court may enter a default and hear the seller’s proofs, and if satisfied that the complaint is accurate it must enter a default judgment. The clerk mails that judgment and it must say that the buyer may be evicted. MCR 4.202(H)(2)(a).
Judgment, the writ and what it takes to stop it
What the judgment says. If the seller is entitled to possession because of nonpayment, the court determines the amount due or in arrears at the time of trial and states it in the judgment. That figure is stated for the purpose of prescribing the amount which, with taxed costs, must be paid to prevent the writ. MCL 600.5741. The judgment must also state when, and under what conditions, a writ of restitution will issue, and that an appeal or post-judgment motion may be filed within 10 days. The time for applying for a writ does not begin to run until the court mails or delivers the judgment. MCR 4.202(J).
The waiting period. After a judgment for possession based on forfeiture, a writ of restitution may not issue until 90 days after entry if less than 50 percent of the purchase price has been paid, or until 6 months after entry if 50 percent or more has been paid. MCL 600.5744(4).
Stopping the writ. The writ must not issue if, within the time provided, the amount stated in the judgment, with the taxed costs, is paid to the plaintiff and other material breaches of the contract are cured. MCL 600.5744(7). The Michigan Supreme Court has read “within the time provided” closely. In Birznieks v. Cooper, the Court held that a buyer paid the judgment amounts within the time when he mailed personal checks for them to the seller’s lawyer on the last day, and it quashed the writs. 405 Mich. 319, 335 (1979). In Flynn v. Korneffel, buyers who put the judgment amount in escrow on the last day, conditioned on delivery of a deed and discharges, lost: the Court said the full amount, not merely an offer, must be tendered without qualification or condition, and that the escrow amounted only to an offer. 451 Mich. 186, 204 (1996). I do not advise anyone to count on the last day. Pay early, pay without conditions and keep proof.
If part has been paid. An order of eviction may not issue if any part of the amount due under the judgment has been paid unless a hearing has been held after the defendant has notice and a chance to appear. MCR 4.202(K)(2).
After the writ issues. Issuance of the writ forecloses any equitable right of redemption the buyer has or could claim in the premises. MCL 600.5744(8).
What the seller gives up. A judgment for possession after forfeiture merges and bars any claim for money payments due or in arrears under the contract at the time of trial, and if a writ issues it also bars claims for payments that would have come due later. MCL 600.5750. The seller may still join some claims in the possession case, such as damages for waste or malicious destruction of the premises. MCL 600.5739(1).
Forfeiture or foreclosure: the seller’s choice and what it means for you
A seller who has sent a forfeiture notice is not locked in. In Gruskin v. Fisher, the Michigan Supreme Court held that a seller may not accept possession and still seek money damages, but may, even after sending notice of forfeiture, refuse a tender of possession and either sue for money damages or foreclose the land contract. 405 Mich. 51 (1979). A buyer with real equity should find out early which route the seller has chosen.
How foreclosure works. The circuit court has jurisdiction to foreclose land contracts, except those held by the Michigan state housing development authority. MCL 600.3101. The complaint must say whether any action has ever been brought to recover the debt and whether part of it has been paid. MCR 3.410(B)(1). If the seller already has a money judgment on the debt, the foreclosure cannot go forward unless an execution was returned unsatisfied, and once a foreclosure complaint is filed no separate proceeding on the debt may be had unless the court authorizes it. MCL 600.3105.
The timeline. The court may not order the land sold within 3 months after the complaint is filed. MCL 600.3115. A sale under the judgment cannot be ordered on less than 42 days’ notice, and publication cannot begin until the time set by the judgment for payment has expired and until 3 months after the action is begun. MCR 3.410(C).
Redemption. The buyer, the buyer’s heirs or personal representative, or anyone lawfully claiming under them may redeem the entire premises within 6 months after the sale by paying the amount bid with interest from the sale at the rate in the land contract. MCL 600.3140(2). The purchaser must attach to the recorded deed an affidavit stating the exact amount required to redeem, and the redemption deadline must appear on the auctioneer’s certificate. MCL 600.3140(3).
Why the difference matters. Forfeiture is a district court case followed by a 90-day or 6-month wait. Foreclosure is a circuit court case that ends in a sale, with 6 months to redeem after it.
What changed in 2024 to 2026
I checked the statutes on this page as of Oct. 28, 2026. The history note printed with MCL 600.5744 shows its last amendment was 2019 PA 2, effective July 2, 2019, and I found no 2024 to 2026 amendment noted for MCL 600.5726, 600.5728 or 600.5744. The only 2024 to 2026 decision I verified applying these sections is the unpublished Baldwin opinion discussed above. I did not run an exhaustive search, so check for newer rules or decisions before you rely on any date here.
How I handle a land contract forfeiture case
- Put every date on a calendar. I find the date and manner of service of the notice, count the 15 days or the longer time agreed in writing, and calendar every later deadline from the summons and the judgment.
- Read the contract. I look for a forfeiture clause, the payment terms, the other covenants, any written extension and whether the contract was recorded.
- Test the notice. I compare it with the contents MCL 600.5728(2) requires, check who signed it, check the amount and how it was served, and check whether it counts accelerated money.
- Build the payment history. I total what has been paid against the purchase price, because the 50 percent line decides whether the post-judgment period is 90 days or 6 months.
- Decide whether to cure now. I tell you the options, get the exact figure in writing when I can, and set up payment in a way that is unconditional and documented.
- Answer and counterclaim if you are sued. I file the answer on time, state the defenses, and bring any money counterclaim in a way the court rule allows.
- Watch the writ date. After judgment I calendar the period, check the judgment’s conditions and make sure any payment arrives within the time provided.
- Handle foreclosure if the seller chooses it. I follow the circuit court case, the sale and the 6-month redemption period, and I get the redemption figure from the recorded affidavit.
Ways a land contract forfeiture dispute may end without a trial
None of these is automatic. Each depends on the facts and on the seller.
Cure during the notice period. Paying the moneys required under the contract and curing any other material breach within the required time ends the forfeiture ground the notice relies on. MCL 600.5728(1).
A written extension. The statute allows the parties to agree in writing to a longer time than 15 days.
Refinance, sale or payoff. A buyer with equity can often pay the seller off by refinancing or selling the property. The seller then conveys the deed. MCL 565.361(1).
A negotiated exit. A buyer who cannot keep the property may negotiate the terms of leaving, in writing, instead of waiting for a judgment. I read any surrender or deed-back agreement against Gruskin and MCL 600.5750 first.
What I need from you
Bring the land contract and every amendment or addendum, the forfeiture notice with the envelope or any proof of how and when it was delivered, and the summons and complaint if you have been sued, with the date you were served. Bring your payment records, bank statements or receipts, and proof of who paid the property taxes and insurance. Bring any recorded copy of the contract or a deed, any mortgage information on the seller’s side, and the messages with the seller about missed payments or extensions. Do not ignore a notice or a summons. Do not hand the seller money without a written receipt, and do not attach conditions to a payment. Do not sign a quitclaim deed, a surrender or any new agreement until someone has read it against the contract.
Where your Kent County land contract case will be heard
I represent clients in Grand Rapids, Kentwood, Grandville, Wyoming and across Kent County. A summary proceeding to recover possession after a land contract forfeiture is brought in the district court under MCL 600.5704. Under MCL 600.8301(1), the district court has exclusive jurisdiction in civil actions when the amount in controversy does not exceed $25,000. Kent County district courts include the 61st District Court in Grand Rapids, the 59th in Walker and Grandville, the 62A in Wyoming, the 62B in Kentwood and the 63rd for Rockford, Lowell, Cedar Springs, East Grand Rapids and the surrounding townships. A land contract foreclosure is a circuit court case under MCL 600.3101, in the Kent County Circuit Court, the 17th Judicial Circuit.
Why people hire me for a Michigan land contract forfeiture matter
You work directly with me, the lawyer handling your case. I give you the strengths and weaknesses of the case straight, including what it could cost you and what it could recover. I build the case the facts support, and then we decide together how to proceed.
Fees depend on the type of case, its complexity and whether it is likely to go to trial. I explain my fee arrangement at the consultation, before you decide whether to hire me.
Questions I hear from people facing land contract forfeiture in Michigan
What are the steps and deadlines in a Michigan land contract forfeiture lawsuit?
After the forfeiture notice period runs out, the seller starts a summary proceeding, which MCR 4.202 governs. Under MCL 600.5735(2)(a), the summons commands the buyer to appear for trial within 30 days of issuance and must be served at least 10 days before trial, unless a local court rule uses the shorter schedule in subsection (4). The judgment must say when and under what conditions a writ will issue, and an appeal or post-judgment motion must be filed within 10 days (MCR 4.202(J), (L)).
How and when do I have to pay to stop a writ of restitution after a land contract forfeiture judgment?
The writ must not issue if, within the time provided, you pay the amount stated in the judgment with taxed costs and cure other material breaches (MCL 600.5744(7)). In Birznieks v Cooper, the Michigan Supreme Court held a buyer paid within the time by mailing personal checks on the last day. In Flynn v Korneffel, it held that placing the money in escrow on conditions was only an offer, because the full amount must be tendered without qualification or condition.
Can a land contract seller take back the property by forfeiture and still sue me for the money I owe?
Not for payments due at the time of trial. MCL 600.5750 says a judgment for possession after forfeiture merges and bars any claim for money payments due or in arrears under the contract at the time of trial, and if a writ issues it also bars payments that would have come due later. A seller who wants the balance can foreclose instead, and Gruskin v Fisher held that sending a forfeiture notice does not by itself force the seller to accept the property.
If a land contract seller files a foreclosure case instead of forfeiting, how long does it take and how long do I have to redeem?
Foreclosure is a circuit court case under MCL 600.3101. MCR 3.410(C) says a sale cannot be ordered on less than 42 days’ notice, and publication cannot begin until 3 months after a land contract foreclosure action is begun. After the sale, MCL 600.3140(2) gives the buyer 6 months to redeem by paying the bid plus interest at the contract rate.
Who has to be served with a land contract forfeiture notice, and what if the buyer cannot be found?
MCL 600.5728 requires service of the written notice on the buyer or the person holding possession under the buyer. If the buyer is absent from Michigan, concealed, or cannot be found after diligent search and inquiry, MCL 554.301 lets the person giving notice publish it three successive times at weekly intervals in a newspaper circulating in the county. In the lawsuit, MCR 4.202(C) requires joining the buyer, anyone known to claim under the contract, and anyone in possession.
I finished paying off my land contract. What does the seller have to do, and what if the seller will not give me the deed?
Once the buyer has fully paid and performed the obligations that are a precondition to conveyance, MCL 565.361(1) requires the seller to convey by the deed the contract specifies or, if none, an appropriate deed. The duty continues if the seller assigned the contract or sold or mortgaged the land, and a seller who refuses is subject to the penalties for refusing to discharge a paid mortgage and to enforcement under MCL 565.44.
What happens if the seller of my land contract tries to forfeit it?
The contract must expressly provide for forfeiture. The seller must serve a written notice of forfeiture, and you have 15 days, or a longer time if agreed in writing, to pay the missed amounts and cure other material breaches. If you do not cure, the seller may start summary proceedings for possession in court.
After a land contract forfeiture judgment, how long before I can be put out of the house?
Under MCL 600.5744(4), a writ of restitution after a land contract forfeiture judgment cannot issue until 90 days after the judgment if less than 50% of the purchase price has been paid, or until 6 months after the judgment if 50% or more has been paid. Paying the judgment amount and costs within the time provided stops the writ.
Related Michigan pages
- Grand Rapids Real Estate Attorney
- Grand Rapids Foreclosure Defense Lawyer
- Redemption and eviction after foreclosure
- Deeds and title defects
- Seller disclosure and home purchase disputes
- Breach of contract
I handle land contract forfeiture and payoff disputes for Michigan buyers. Contact me 24/7 by phone or email. Your Rights, My Fight! Call for a free initial consultation.
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Law Offices of Mitchell S. Bisson, 2828 Kraft Ave SE, Suite 295, Grand Rapids, MI 49512, serving Kent County and West Michigan.
This page provides general information about Michigan law and is not legal advice. Reading it does not create an attorney-client relationship. Laws change and every case turns on its own facts. Consult a licensed attorney about your specific situation.