Under existing law, a person with the right to redeem residential property has 180 days to exercise that right when the property is sold pursuant to any execution, judgment, or foreclosure sale. Notice of a mortgagor's right to redeem residential property in foreclosure must be mailed by the mortgagee at least 30 days prior to the foreclosure date by certified mail with proof of mailing. The 180-day right of redemption period does not begin to run until notice is given in accordance with state law.
This bill would provide that a right of redemption cannot be exercised later than one year after the date of foreclosure.
This bill would also provide that possession or production of the proof of mailing of the notice would constitute an affirmative defense to any action related to the notice requirement.
Existing law also requires all actions related to the notice requirement be brought within two years after the date of foreclosure, or the action is barred.
This bill would limit the time frame in which actions related to the notice requirement can be brought to one year after the date of foreclosure.
Assigned Act No. 2018-126.
Delivered to Governor at 10:08 a.m. on February 15, 2018.
Clerk of the House Certification
Enrolled
Signature Requested
Passed Second House
Motion to Read a Third Time and Pass adopted Roll Call 393
Third Reading Passed
Read for the second time and placed on the calendar
Read for the first time and referred to the Senate committee on Banking and Insurance
Motion to Read a Third Time and Pass adopted Roll Call 50
Third Reading Passed
Read for the second time and placed on the calendar
Read for the first time and referred to the House of Representatives committee on Insurance
Source: Alabama Legislature