OLR Bill Analysis

HB 6419

AN ACT EXTENDING THE FORECLOSURE MEDIATION PROGRAM.

SUMMARY:

This bill extends the judicial foreclosure mediation program by two years, until July 1, 2016. This extension applies to foreclosure actions with return dates on or after (1) July 1, 2009 for residential real property and (2) October 1, 2011 for religious organizations' real property.

EFFECTIVE DATE: July 1, 2013

BACKGROUND

Foreclosure Mediation Program

The foreclosure mediation program is available to (1) religious organizations and (2) owner-occupants of one-to-four family residential real property who use the property as their primary residence. In either case, the property must be located in Connecticut, and the owner must also be the borrower under a mortgage on the property.

The mediation program brings together Judicial Branch mediators, borrowers, and lenders. Participation in the program is mandatory for all eligible foreclosure cases where the borrower has filed an appearance.

A return date is the date from which filing deadlines are calculated.

Related Bill

sHB 6355, favorably reported by the Banks Committee, changes the foreclosure mediation program by:

1. extending the program by two years for foreclosure return dates between July 1, 2008 and June 30, 2009;

2. identifying the program's goals;

3. specifying how mediation sessions are to be conducted;

4. adding information lenders must provide to mediators and borrowers;

5. broadening remedies available under the program; and

6. changing rules for foreclosure actions.

COMMITTEE ACTION

Housing Committee

Joint Favorable

Yea

12

Nay

0

(03/12/2013)