Judicial Foreclosure Law and Legal Definition

Judicial foreclosure is a foreclosure which results from a court action as distinguished from foreclosure by seizure and sale. Judicial foreclosures occur when a trust deed or mortgage deed does not have a power of sale clause, thus compelling the lender to take the borrower to court. The function of a judicial foreclosure is to declare judicially the forfeiture for condition broken, to obtain an order for sale, and to perfect a transfer of title to the purchaser.