BILL NUMBER: S9447

SPONSOR: BORRELLO
 
TITLE OF BILL:

An act to amend the real property actions and proceedings law, in
relation to the sale of a mortgaged premises after a judgment of sale
has been entered

 
PURPOSE OR GENERAL IDEA OF BILL:

This bill relates to the sale of a mortgaged premises after a judgment
of sale has been entered.

 
SUMMARY OF PROVISIONS:

Section 1. Subdivision 1 of section 1351 of the real property actions
and proceedings law is amended and states, the judgment shall direct
that the mortgaged debt, the expenses of the sale and the costs of the
action, and which may be sold separately without material injury to the
parties interested, be sold by or under the direction of the sheriff of
the county, or a referee within forty-five days of the date of the judg-
              

ment.

Section 2. This act shall take effect on the one hundred eightieth day
after it shall have become a law.

 
JUSTIFICATION:

The legislation changes the timeframe from ninety days to forty-five
days. The reason for this amendment is to protect the interests of all
parties involved in the foreclosure process.

A shorter timeframe expedites the foreclosure process, facilitating a
quicker resolution for both the lender and borrower. This proves advan-
tageous particularly in scenarios where the property is distressed or
when there's an urgent need to conclude the foreclosure proceedings. It
addresses situations where properties may linger in uncertainty, acquir-
ing additional expenses such as property taxes, maintenance costs, or
legal fees. By mitigating such financial burdens, this legislation aids
both borrowers and lenders. Moreover, expediting foreclosure proceedings
contributes to market stability by avoiding prolonged vacancies or ambi-
guity surrounding property status. Additionally, the bill eases the
burden on our judicial system by reducing the duration of court involve-
ment in foreclosure cases, enabling courts to allocate resources more
efficiently to other legal matters.