Schor Introduces Foreclosure Legislation
LANSING - State Representative Andy Schor (D-Lansing) today announced the introduction of a bill aimed at providing homeowners facing foreclosure recourse when lenders engage in certain ‘bad practice’ lending behaviors. Schor’s legislation, House Bill 4800, attempts to address foreclosure fraud by amending the Revised Judicature Act to allow for judicial foreclosure proceedings when a lender engages in one or more of the following ‘bad practices:’
- Purposely failing to record mortgages or assignments on mortgages;
- Advising mortgagors not to make payments on mortgages; or
- Placing false signatures on mortgage foreclosure documents.
Schor noted, “The House and the Senate are in the midst of reviewing a variety of issues related to foreclosure here in our state. That discussion needs to include recourse for bad practices by bad actors, and I hope this bill will be a part of that conversation.”
State Representative Theresa Abed (D-Grand Ledge), who co-sponsored HB 4800, echoed Schor’s comments. She noted, “Foreclosure is a very serious issue facing many of Michigan’s citizens. There’s still work to do to ensure that our homeowners are protected so that our communities are able to continue to grow and thrive as our state moves forward in its recovery from the recession.”