Bill > H2036

This bill authorizes municipalities to establish foreclosure mediation programs. The key provisions are: 1. Municipalities can create a foreclosure mediation program that provides mediation prior to all foreclosures of residential properties where the mortgagor or their family resides. The mediation aims to negotiate commercially reasonable alternatives to foreclosure. 2. The mediation program must use established calculation methods and forms, and evaluate the program's effectiveness annually. The municipality can terminate a mediation program manager for good cause. 3. Mortgage-related financial information provided during mediation is confidential and cannot be used in subsequent legal proceedings. Mortgagees must send notices to the municipality, which triggers the mediation process. 4. The mediation program includes mandatory mediation conferences, loan counselor assignment, and mortgagor orientation. If mediation fails, a certificate of mediation completion is issued to allow the foreclosure to proceed. 5. Municipalities can charge mortgagees a reasonable mediation registration fee, and mortgagees face fines for non-compliance with the mediation requirements.

Government Affairs

https://malegislature.gov/Bills/193/H2036