Supreme Court Says Governments Can't Pocket Windfalls From Property Tax Sales

The Supreme Court ruled unanimously that state and local governments cannot keep surplus money from selling properties due to unpaid taxes and must pay former owners their fair share.
The case centered around Geraldine Tyler, 94, who lost her Minnesota condo after failing to pay $15,000 in taxes, interest and fees.
Hennepin County sold Tyler's condo for $40,000 but kept the full amount, arguing she had essentially abandoned the property.
The high court rejected that argument and said keeping excess proceeds from tax sales violates the Fifth Amendment.
The ruling strikes down laws in about a dozen states that allow governments to pocket windfalls from tax foreclosures.