Housing-News-Report-February-2017

HOUSINGNEWS REPORT

FEATURED ARTICLE

Share of Distressed Sales Falling ... And Rising 2015 2016 2014

Every time we turned around there was another opinion that came out that changed the way we did things. Nobody wanted to get sued for filing a case in violation of statute of limitations.”

40%

35%

30%

25%

20%

15%

10%

Andrea Tromberg Managing partner, Gladstone Law Group, Boca Raton, Florida

5%

0%

New Jersey

Florida

New York

U.S.

level since 2006, according to ATTOM foreclosure activity data.

2016, the Florida Supreme Court issued a similar decision in the “Bartram v. U.S. Bank National Association” case. Those rulings together have given foreclosing lenders the clarity needed to move forward with cases in limbo as a result of uncertainty around how to apply the statute of limitations, according to Andrea Tromberg, managing partner at Gladstone Law Group, which represents lenders in foreclosure cases in Florida. “We almost saw a grinding halt because of some of the issues with statute of limitations,” said Tromberg, referring to the foreclosure case referrals her firm was receiving. “Now the banks have had some time to update their system, calculate the amounts due and (determine) how to breach these loans correctly based on the court rulings.

“Every time we turned around there was another opinion that came out that changed the way we did things,” she added. “Nobody wanted to get sued for filing a case in violation of statute of limitations … I think a lot clients wanted to hear from the Supreme Court to make sure.” The two court rulings provide banks with the “roadmap” they need to move forward with delayed cases, according to Tromberg, who predicted an increase in Florida foreclosure filings early in 2017 as a result. “Where we’re seeing the uptick is mostly in these files … maybe they got dismissed in the past for improper documents … then they go to re-file and they have a statute of limitation issue,” Tromberg

But two court cases decided in favor of foreclosing lenders in 2016 could result in at least a short-term resurgence in foreclosure activity in 2017, according to experts. Both decisions revolved around how to apply the five-year statute of limitations on foreclosure cases in Florida. Florida Foreclosure Uptick Expected In April 2016, Florida’s Third District Court of Appeal reversed a previous decision it had made in the “Deutsche Bank Trust Co. Americas v. Beauvais” case, finding that a foreclosing lender could re-file a previously dismissed foreclosure case against a borrower even more than five years after the previously dismissed case was originally filed. Then in November

ATTOM Data Solutions • P8

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