Does Michigan's claims process for tax debt property sales violate the Takings and Due Process Clauses and should Nelson v. City of New York be overruled?

When government takes and sells private property to collect a tax debt, it must return the surplus proceeds from the sale to the former property owner as just compensation. Tyler v. Hennepin Cnty. , 598 U.S. 631 (2023). Michigan continues to evade that categorical duty. It established a complicated claims process purporting to offer owners an opportunity to claim their funds, Mich. Comp. Laws § 211.78t, yet in approximately 95% of cases, the tax debtors cannot successfully navigate it. When that happens, the government keeps the owner’s equity as a windfall. Four other states have enacted similarly Byzantine claims processes. Federal and state courts allow this end-run around Tyler and due process mainly based on Nelson v. City of New York , 352 U.S. 103 (1956), which contains language that the existence of any procedure to recover surplus proceeds prevents the taking from occurring. The questions presented are: 1. Does Michigan’s claims process violate the Takings and Due Process Clauses? 2. To the extent it authorizes Michigan’s confiscatory claim statute, should the Court overrule Nelson v. City of New York ?