A629B-2011 Actions

• Mar 30, 2012: amended on third reading 629d
• Mar 5, 2012: amended on third reading 629c
• Jan 4, 2012: ordered to third reading cal.36
• Jan 4, 2012: RETURNED TO ASSEMBLY
• Jan 4, 2012: DIED IN SENATE
• Jun 22, 2011: REFERRED TO RULES
• Jun 22, 2011: delivered to senate
• Jun 22, 2011: passed assembly
• May 23, 2011: amended on third reading 629b
• May 2, 2011: amended on third reading 629a
• Feb 24, 2011: advanced to third reading cal.46
• Feb 15, 2011: reported
• Jan 5, 2011: referred to judiciary

A629B-2011 Text

 S T A T E   O F   N E W   Y O R K
 
 629--B
 Cal. No. 46
 2011-2012 Regular Sessions
 I N  ASSEMBLY
 (PREFILED)
 January 5, 2011
 
 Introduced  by  M.  of  A.  WEINSTEIN, CLARK, P. RIVERA, COLTON, LAVINE,
 M. MILLER -- Multi-Sponsored by -- M. of A. ABINANTI, SCHIMEL --  read
 once  and  referred  to  the  Committee  on Judiciary -- reported from
 committee, advanced to a third reading, amended and ordered reprinted,
 retaining its place on the order of third reading -- again amended  on
 third  reading, ordered reprinted, retaining its place on the order of
 third reading
 

AN ACT to amend the  real  property  actions  and  proceedings  law,  in
 relation to standing to commence an action to foreclose a mortgage
 

THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM
 BLY, DO ENACT AS FOLLOWS:

 

Section 1. Subdivision 1 of section 1302 of the real property  actions
 and  proceedings  law, as amended by chapter 472 of the laws of 2008, is
 amended to read as follows:

 1. Any complaint served in a proceeding  initiated  pursuant  to  this
 article  relating  to  a high-cost home loan or a subprime home loan, as
 such terms are defined in section six-l and six-m of  the  banking  law,
 respectively,  must  contain  an affirmative allegation that at the time
 the proceeding is commenced, the plaintiff[:
 (a) is the owner and holder of the subject mortgage and note,  or  has
 been  delegated the authority to institute a mortgage foreclosure action
 by the owner and holder of the subject mortgage and note; and
 (b)] has complied with all of the provisions of section  five  hundred
 ninety-five-a  of  the banking law and any rules and regulations promul
 gated thereunder, section six-l or six-m of the banking law, and  SUBDI
 VISION  TWO  OF  SECTION  THIRTEEN  HUNDRED  TWO-A  AND section thirteen
 hundred four of this article.
 

S 2. The real property actions  and  proceedings  law  is  amended  by
 adding a new section 1302-a to read as follows:

 EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
 [ ] is old law to be omitted.
 LBD03116-06-1
 
       A. 629--B                           2
 

S  1302-A.  STANDING  TO  COMMENCE  AN ACTION. 1. NO PERSON SHALL HAVE
 STANDING TO COMMENCE AN ACTION PURSUANT TO THIS ARTICLE UNLESS IT IS THE
 OWNER AND HOLDER OF THE SUBJECT MORTGAGE AND NOTE, OR HAS BEEN DELEGATED
 THE AUTHORITY TO INSTITUTE A MORTGAGE FORECLOSURE ACTION  BY  THE  OWNER
 AND  HOLDER  OF  THE  SUBJECT  MORTGAGE  AND  NOTE.  NOTWITHSTANDING THE
 PROVISIONS OF SUBDIVISION (E) OF RULE THIRTY-TWO HUNDRED ELEVEN  OF  THE
 CIVIL  PRACTICE LAW AND RULES, ANY DEFENSE BASED ON THE PLAINTIFF'S LACK
 OF STANDING IN A FORECLOSURE PROCEEDING SHALL NOT BE WAIVED IF A DEFEND
 ANT FAILS TO RAISE THE DEFENSE IN A RESPONSIVE  PLEADING  OR  PRE-ANSWER
 MOTION TO DISMISS.
 2.  EVERY SUMMONS AND COMPLAINT TO COMMENCE A FORECLOSURE ACTION SHALL
 INCLUDE AN AFFIRMATIVE ALLEGATION THAT AT THE  TIME  THE  PROCEEDING  IS
 COMMENCED, THE PLAINTIFF IS THE OWNER AND HOLDER OF THE SUBJECT MORTGAGE
 AND  NOTE,  OR  HAS BEEN DELEGATED THE AUTHORITY TO INSTITUTE A MORTGAGE
 FORECLOSURE ACTION BY THE OWNER AND HOLDER OF THE SUBJECT  MORTGAGE  AND
 NOTE.   IN ADDITION, THE PLAINTIFF SHALL PLEAD IN ITS COMPLAINT THAT THE
 ORIGINALS OF THE SUBJECT MORTGAGE AND NOTE ARE  IN  ITS  POSSESSION  AND
 CONTROL,  AND  THAT  SUCH PLAINTIFF IS OTHERWISE ENTITLED TO ENFORCE THE
 SUBJECT MORTGAGE AND NOTE PURSUANT TO LAW.
 3. THERE SHALL BE FILED WITH EVERY SUMMONS AND COMPLAINT TO COMMENCE A
 FORECLOSURE ACTION:

 (A) A COPY OF THE ORIGINAL SUBJECT MORTGAGE AND NOTE, AND PROOF OF THE
 OWNERSHIP THEREOF INCLUDING ALL ORIGINAL ENDORSEMENTS,  ASSIGNMENTS  AND
 TRANSFERS OF SUCH MORTGAGE AND NOTE; AND
 (B) IF APPLICABLE, PROOF OF DELEGATION OF AUTHORITY FROM THE OWNER AND
 HOLDER OF THE SUBJECT MORTGAGE AND NOTE TO INSTITUTE A MORTGAGE FORECLO
 SURE ACTION ON BEHALF OF SUCH OWNER AND HOLDER.
 4. THE COURT SHALL MAKE AN AFFIRMATIVE FINDING OF STANDING WHICH SHALL
 BE INCLUDED IN THE JUDGMENT OF FORECLOSURE AND SALE.
 

S  3.  This act shall take effect immediately, except that section one
 of this act and subdivisions 2 and 3 of section 1302-a of the real prop
 erty actions and proceedings law, as added by section two of  this  act,
 shall take effect on the ninetieth day after it shall have become a law.

*By contributing or voting you agree to the Terms of Participation and Privacy Policy and verify you are over 13.

Discuss!