21-45-51. Application of proceeds of sale of encumbered property.
The proceeds of the sale of encumbered property must be applied under the direction of the court as follows:
(1)To pay its just proportion of the general costs of the action;
(2)To pay the costs of the reference;
(3)To satisfy and cancel of record the several liens in their order or priority, by payment of the sums due and to become due; the amount due to be verified by affidavit at the time of payment;
(4)The residue among the owners of the property sold, according to their respective shares therein.
Source: CCivP 1877, §567; CL 1887, §5381; RCCivP 1903, §606; RC 1919, §2817; SDC 1939 & Supp 1960, §37.1418.