Mandatory foreclosure mediation for houses pushed
Rep. Janet Maratita (Ind-Saipan) introduced a bill establishing foreclosure mediation for all principal residences, saying this will help families avoid losing their homes in times of financial difficulties.
“It’s a win-win bill especially for the homeowners. Many of our people are losing their homes due to financial constraints, either because of unemployment, death or medical expense of a family member, 25-percent cut in pension, etc. I hope this bill will alleviate foreclosures of primary residential,” Maratita, a Saipan senatorial candidate, told Saipan Tribune Wednesday.
House Bill 18-203 establishes a program assuring the availability of mediation and application of the federal Home Affordable Modification Program, or HAMP, requirements on foreclosure of a mortgage on any dwelling house of four units or less that is occupied by the owner as a principal residence.
This only applies to foreclosure actions involving loans that are subject to the federal HAMP guidelines.
Under the bill, a qualified mediator is someone licensed to practice law in the state and is required to have taken a specialized, continuing legal education training course on foreclosure prevention or loss mitigation approved by the CNMI Bar Association.
The parties’ rights in a foreclosure action are not waived by their participation in mediation under the bill.
Yet another burden on business. So, what you are saying is that before a lender can enforce its rights and protect the collateral securing the deadbeat’s obligation, they have to incur the expense of a mediation and play nice? Another communist idea from the island brain trust.