HB 3863

Abstract

Amends the Code of Civil Procedure. Provides that the homeowner notice attached to the summons in a residential mortgage foreclosure action shall include directions concerning giving written notice to any tenants about the foreclosure and the tenant's right to remain on the premises. Provides that an occupant may file an action for failure to provide notice and recover $200 plus actual damages, attorney's fees, and costs. Provides that a purchaser of property in a foreclosure must give notice to any occupants of the property that he or she has acquired the mortgaged real estate. Provides that a mortgagor in a foreclosure must notify any occupant or potential occupant of the foreclosure action. Provides that the purchaser of property sold at a court foreclosure sale must provide a notice of rights to occupants of the property within 7 days after the confirmation of the sale. Provides that until the rights of possession of all occupants of foreclosed property have been terminated, the purchaser of foreclosed property must maintain the property in a condition that is safe, healthful, and fit for occupancy. Provides that a receiver shall give similar written notices and may not increase the rent without leave of court. Provides that the court may allow a rent increase by a receiver or a mortgagee in possession if it finds that an increase is necessary to operate the property, after notice to all occupants affected by an increase, but nothing in the Act shall alter the lease. Makes other changes. Effective immediately.