Oregon Implements New Procedural Requirements for Trustees
HB 3630 which added new procedural and practical requirements for trustees handling nonjudicial foreclosures in Oregon was signed into law by the Governor on March 11th. The bill is effective June 9th. Notices must be used from and after that date. A recent story by David Fennell, Esq., Routh Crabtree, Olsen, in the UTA eNews provided details on the legislation.

Additional Details on New Maryland Foreclosure and Residential Mortgage Laws
Marjorie A. Corwin, Esq., of Gordon Feinblatt in Baltimore, Maryland, provides details on  several new laws affecting residential mortgage lending and foreclosures in Maryland. The initial summary was provided in the last issue of the UTA eNews.

Massachusetts Intermediate Appeals Court Upholds Fremont Preliminary Injunction
On Friday, May 2, a Massachusetts appellate judge upheld the trial court's entry of a preliminary injunction (the "Order") requested by the Massachusetts Attorney General (the "Mass AG") against Fremont Investment & Loan ("Fremont") including the Order's later modification to prohibit future servicing sales by Fremont unless the new servicer agreed to abide by the terms of the Order. The appeal was heard by an individual justice of the appellate court rather than a panel. For a full summary provided by Buckley Kolar LLP, click here.

This is an update on the matter from the last issue of the UTA eNews. 

Minnesota Changes Redemption Period
Governor Tim Pawlenty recently signed H.F. No. 3474. affecting the Redemption Period in the State of Minnesota.
Read the legislation.

Minnesota Amends Foreclosure Law and Authorizes Electronic Document Recording
On April 25, Minnesota Governor Tim Pawlenty signed a bill (H.F. 3516) to amend Minnesota's foreclosure law and authorize electronic recording of documents. The new law requires the name of the transaction agent, mortgage servicer, and mortgage originator to be recorded on the notice of pendency, notice of sale, and certificate of sale. The new law also creates a Statewide Foreclosure Data Collection group to study the most efficient and cost-effective way to develop and implement an electronic filing system for foreclosure data. Lastly, the new law authorizes electronic recording and signing of documents in connection with any law that requires, as a condition for recording, respectively (i) that a document be an original, on paper, or another tangible medium, or in writing, or (ii) that a document be signed. The foreclosure notice requirements become effective August 1, 2008; the Statewide Foreclosure Data Collection group electronic filing study is effective immediately; and the authorization for electronic recording and signing of documents is effective July 1, 2008. For a copy of the bill, please click here.

(Reprinted with permission from BuckleyKolar, LLP) 

New York Assembly Passes Mortgage Foreclosure Legislation
On May 7, the New York State Assembly passed four bills that included financial assistance for borrowers facing foreclosure and a foreclosure moratorium. The legislation would (i) provide $25 million in temporary financial assistance to homeowners with sub-prime or unconventional mortgages facing foreclosure, capped at an amount equal to three months of mortgage payments and provide legal services and counseling to assist certain homeowners in default or foreclosure, (ii) establish requirements on all home loans, including (A) establishing a lender's responsibility to verify a borrower's ability to repay loans and to verify income, (B) establishing an agency relationship between the mortgage broker and borrower, and (C) prohibiting practices such as balloon payments, negative amortization and prepayment penalties, (iii) allow a court to delay the actual order to transfer title when faced with the foreclosure of a sub-prime mortgage under specific conditions for no more than one year in order to allow the mortgagor to apply for relief, and (iv) require mortgage lenders and brokers to provide consumers with a bill of rights pamphlet that must be read and signed by the consumer prior to applying for a mortgage, enumerating all information that a prospective homeowner needs to know in order to make a decision about a home loan including how to file a complaint with the Banking Department or the Department of State. The bills have been sent to the state senate. For a copy of the State Assembly press release, which includes links to the four bills, please click here.

(Reprinted with permission from BuckleyKolar, LLP) 

Virginia Legislation Places Additional Requirements on Servicers
VA SB 797 places additional requirements on servicers pertaining to foreclosure notification and forebearance.
Read the legislation.