HOUSE BILL 26

52nd legislature - STATE OF NEW MEXICO - first session, 2015

INTRODUCED BY

Brian Egolf

AN ACT

RELATING TO REAL PROPERTY; ENACTING THE FORECLOSURE FAIRNESS ACT; ALLOWING RECOVERY OF ATTORNEY FEES FOR THE PREVAILING DEFENDANT IN A FORECLOSURE ACTION.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF NEW MEXICO:

     SECTION 1. [NEW MATERIAL] SHORT TITLE.--This act may be cited as the "Foreclosure Fairness Act".

     SECTION 2. [NEW MATERIAL] FORECLOSURE--ATTORNEY FEES--COSTS.--

          A. The court shall award reasonable attorney fees and costs to a defendant who prevails in a claim of foreclosure on a mortgage note or deed of trust secured by the defendant's primary residence; provided that the plaintiff in such an action is not an individual bringing the claim on the individual's own behalf or on behalf of a sole proprietorship owned by the plaintiff.

          B. For the purposes of this section, a defendant who exercises the defendant's right of reinstatement or redemption shall not be considered a prevailing party.     

     SECTION 3. EFFECTIVE DATE.--The effective date of the provisions of this act is July 1, 2015.

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