SOL Expiring on Tens of Thousands of New York State Mortgages
Bank’s Chance to Foreclose Expiring in New York State
The New York Post recently reported that the clock is ticking on the time to foreclose on many troubled mortgages that were originated during the subprime mortgage crisis.
In fact, loans that are six (6) or more years old are still clogging the New York City courts. Recently, more and more cases have arisen where Foreclosure Defense attorneys are challenging the bank’s right to foreclose based on expiration of the applicable Statute of Limitations. Consumer advocates have expressed disbelief that it has come to this point.
Meanwhile, the New York Court system is struggling to clear croweded dockets. As many practitioners have noted with disbelief, and apparently due to mounting political pressure, the Kings County (Brooklyn) Courthouse has moved cases to a small group of judges tasked with working on speedy resolutions. Meanwhile, the Office of Court Administration has announced generally that case resolution has become an urgent priority.
What does this mean for beleaguered homewoners? It means that you have an opportunity, if you are facing foreclosure, to raise the bank’s delay in providing you with loss mitigation relief or choosing to take legal action as a defense. After all, it is an equiable maxim that courts of equity aid the vigilant and will not assist wrongdoers who sleep on their rights.
If you have questions about your foreclosure case, give us a call at (201) 529-8024 to set up a free consultation.