Bill Text: NY S05785 | 2021-2022 | General Assembly | Introduced

NOTE: There are more recent revisions of this legislation. Read Latest Draft

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Bill Title: Makes the affirmative allegation provisions for high-cost loans and subprime home loans applicable to foreclosures of residential mortgages covering one to four family dwellings.

Spectrum: Partisan Bill (Democrat 1-0)

Status: (Passed) 2021-08-02 - APPROVAL MEMO.16 [S05785 Detail]

Download: New_York-2021-S05785-Introduced.html

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                STATE OF NEW YORK
        ________________________________________________________________________

                                          5785

                               2021-2022 Regular Sessions

                    IN SENATE

                                     March 18, 2021
                                       ___________

        Introduced  by  Sen.  COMRIE -- read twice and ordered printed, and when
          printed to be committed to the Committee on Housing, Construction  and
          Community Development

        AN  ACT  to  amend  the  real  property  actions and proceedings law, in
          relation to foreclosure of mortgages

          The People of the State of New York, represented in Senate and  Assem-
        bly, do enact as follows:

     1    Section  1.  Section 1302 of the real property actions and proceedings
     2  law, as amended by chapter 472 of the laws of 2008, is amended  to  read
     3  as follows:
     4    §  1302. Foreclosure of [high-cost home loans and subprime home loans]
     5  mortgages. 1.  Any complaint served in a proceeding  initiated  pursuant
     6  to  this  article  [relating to a high-cost home loan or a subprime home
     7  loan, as such terms are defined in section six-l and six-m of the  bank-
     8  ing  law,  respectively,] must contain an affirmative allegation that at
     9  the time the proceeding is commenced, the plaintiff:
    10    (a) is the owner and holder of the subject mortgage and note,  or  has
    11  been  delegated the authority to institute a mortgage foreclosure action
    12  by the owner and holder of the subject mortgage and note; and
    13    (b) has complied with all of the provisions of  section  five  hundred
    14  ninety-five-a  of  the banking law and any rules and regulations promul-
    15  gated thereunder, section six-l or six-m of the banking law, and section
    16  thirteen hundred four of this article.
    17    2. It shall be a defense to an action to foreclose a mortgage  [for  a
    18  high-cost  home  loan  or subprime home loan] that the terms of the home
    19  loan or the actions of the lender violate any provision of section six-l
    20  or six-m of the banking law or section thirteen  hundred  four  of  this
    21  article.
    22    §  2. This act shall take effect on the first of January next succeed-
    23  ing the date on which it shall have become a  law  and  shall  apply  to
    24  actions commenced on or after such date.

         EXPLANATION--Matter in italics (underscored) is new; matter in brackets
                              [ ] is old law to be omitted.
                                                                   LBD00013-01-1