33-811. Payment of bid; trustee's deed
A. The highest bidder at the sale, other than the beneficiary to the extent of the
credit bid, shall pay the price bid by no later than 5:00 p.m. mountain standard time of
the following day, other than a Saturday or legal holiday. If the highest bidder fails to
pay the amount bid for the property struck off to the bidder at the sale, the trustee, in
the trustee's sole discretion, shall either continue the sale to reopen bidding or
immediately offer the trust property to the second highest bidder who may purchase the
trust property at that bidder's bid price. The deposit of the highest bidder who fails
to pay the amount bid shall be forfeited and shall be treated as additional sale proceeds
to be applied in accordance with section 33-812, subsection A. If the second highest
bidder does not pay that bidder's bid price by 5:00 p.m. mountain standard time of the
next day excluding Saturdays and legal holidays after the property has been offered to
that bidder by the trustee, the trustee shall either continue the sale to reopen bidding
or offer the trust property to each of the prior bidders on successive days excluding
Saturdays and legal holidays in order of their highest bid, until a bid price is paid, or
if there is no other bidder, the sale shall be deemed to be continued to a time and place
designated by the trustee, or if not designated, the sale shall be continued to the same
place and at the same time twenty-eight days after the last scheduled sale date. If the
twenty-eighth day is a Saturday or legal holiday, the sale shall be continued to the next
business day. If the sale is continued, the trustee shall provide notice of the
continuation of the sale by registered or certified mail, with postage prepaid, to all
bidders who provide their names, addresses and telephone numbers in writing to the party
conducting the sale. In addition to the forfeit of deposit, a highest bidder who fails
to pay the amount bid by that bidder is liable to any person who suffers loss or expenses
as a result, including attorney fees. In any subsequent sale of trust property, the
trustee may refuse to accept any bid of that person. In any sale that is continued
pursuant to this subsection, the trustee shall reject the bid from any previous bidder
who elected not to pay that bidder's bid price.
B. The price bid shall be paid at the office of the trustee or the trustee's agent,
or any other reasonable place designated by the trustee. The payment of the bid price
may be made at a later time if agreed upon in writing by the trustee. The trustee shall
execute and deliver the trustee's deed to the purchaser within seven business days after
receipt of payment by the trustee or the trustee's agent made in a form that is
satisfactory to the trustee. The recording of the trustee's deed upon sale may also
constitute delivery of the deed to the purchaser. The trustee is not liable for any
damages resulting from the failure to record the trustee's deed upon sale after physical
delivery of the deed to the purchaser. The trustee's deed shall raise the presumption of
compliance with the requirements of the deed of trust and this chapter relating to the
exercise of the power of sale and the sale of the trust property, including recording,
mailing, publishing and posting of notice of sale and the conduct of the sale. A
trustee's deed shall constitute conclusive evidence of the meeting of those requirements
in favor of purchasers or encumbrancers for value and without actual notice. Knowledge of
the trustee shall not be imputed to the beneficiary.
C. The trustor, its successors or assigns, and all persons to whom the trustee
mails a notice of a sale under a trust deed pursuant to section 33-809 shall waive all
defenses and objections to the sale not raised in an action that results in the issuance
of a court order granting relief pursuant to rule 65, Arizona rules of civil procedure,
entered before 5:00 p.m. mountain standard time on the last business day before the
scheduled date of the sale. A copy of the order, the application for the order and the
complaint shall be delivered to the trustee within twenty-four hours after entering the
order.
D. A sale is not complete if the sale violates subsection C of this section because
of an undisclosed order entered by the court within the time provided for in subsection C
of this section. A sale held in violation of subsection C of this section shall be
continued to a date, time and place announced by the trustee at the sale and shall comply
with section 33-810, subsection B. If not announced, the sale shall be continued to the
same place and at the same time twenty-eight days later. If the twenty-eighth day falls
on a Saturday or other legal holiday, the sale shall be continued to the next business
day. If the sale is continued because of an unknown or undisclosed order as provided in
this subsection, the trustee shall notify by registered or certified mail, with postage
prepaid, all bidders who provide names, addresses and telephone numbers in writing to the
party conducting the sale of the continuation of the sale.
E. The trustee's deed shall operate to convey to the purchaser the title, interest
and claim of the trustee, the trustor, the beneficiary, their respective successors in
interest and all persons claiming the trust property sold by or through them, including
all interest or claim in the trust property acquired subsequent to the recording of the
deed of trust and prior to delivery of the trustee's deed. That conveyance shall be
absolute without right of redemption and clear of all liens, claims or interests that
have a priority subordinate to the deed of trust and shall be subject to all liens,
claims or interests that have a priority senior to the deed of trust.
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