AN ACT CONCERNING A FORECLOSURE COMMITTEE'S ABILITY TO RECOUP EXPENSES AND FEES WHEN A REAL ESTATE OWNER FILES FOR BANKRUPTCY.

Be it enacted by the Senate and House of Representatives in General Assembly convened:

That chapter 846 of the general statutes be amended to provide that a court-appointed foreclosure committee, charged with the sale and auction of real estate being foreclosed, shall be permitted to recoup committee expenses and legal fees when the real estate owner files for bankruptcy protection seeking to discharge all fees and expenses of the foreclosure committee.

Statement of Purpose:

To allow a court-appointed foreclosure committee, charged with the sale and auction of real estate being foreclosed, to recoup committee expenses and fees when the real estate owner files bankruptcy and seeks to discharge all expenses and debts, including the fees and expenses of the foreclosure committee.