Court adopts new rules on foreclosure

July 23, 2008

The Maryland Court of Appeals adopted new foreclosure rules yesterday to conform to 2008 legislation that gives delinquent homeowners more notification and more time before their homes are sold.

The court expedited the rulemaking process after the General Assembly passed emergency legislation that requires a lender to make a genuine effort to notify homeowners who are in arrears that their houses might be sold.

Under the new law and court rules, lenders must provide homeowners with 45 days' written notice by certified or first-class mail, and they may not foreclose until 90 days after a default.

Judge Alan M. Wilner, chairman of the court's Rules Committee, said a panel is considering other changes in the state's foreclosure procedures, and will report back to the high court in December.

"We're doing a much broader look at all these foreclosure rules," said Wilner.

Sumathi Reddy