During the 2011 legislature, Hirst Applegate attorneys Dale Cottam and Jeffrey Boldt assisted Representative Tim Stubson and other legislators with needed amendments to Wyoming’s foreclosure laws. Mr. Cottam and Mr. Boldt were involved early on in the drafting of House Bill 189, which both the Wyoming House and Senate passed unanimously. The Bill was signed by Governor Mead on March 3. The Bill provides additional tools to both lenders and borrowers which will ease the strain and detrimental economic effect of foreclosures. For example, the Bill allows a lender to rescind a foreclosure sale and reinstate the mortgage due to foreclosure sale irregularities, or simply if the lender and borrower agree. In addition, the Bill allows a borrower to redeem his land from a foreclosure sale for an amount less than the foreclosure sale bid under certain circumstances. More flexible redemption rights will help avoid the subsequent need for credit damaging “short sales.” Finally, the Bill specifies that agricultural borrowers have the right to possess their lands for a full twelve months following a foreclosure sale, which corresponds with the existing redemption period. House Bill 189 can be found here: http://legisweb.state.wy.us/2011/Enroll/HB0189.pdf The Bill takes effect on July 1, 2011.
POSTED BY BILLIE LM ADDLEMAN AT 8:03 AM