I 
111TH CONGRESS 
2D SESSION 
H. R. 6133 
To require the lender or servicer of a home mortgage, upon a request by 
the homeowner for a short sale, to make a prompt decision whether 
to allow the sale. 
IN THE HOUSE OF REPRESENTATIVES 
SEPTEMBER 15, 2010 
Mr. ANDREWS (for himself and Mr. ROONEY) introduced the following bill; 
which was referred to the Committee on Financial Services 
A BILL 
To require the lender or servicer of a home mortgage, upon 
a request by the homeowner for a short sale, to make 
a prompt decision whether to allow the sale. 
Be it enacted by the Senate and House of Representa-
tives of the United States of America in Congress assembled, 
SECTION 1. SHORT TITLE. 
This Act may be cited as the ‘‘Prompt Decision for 
Qualification of Short Sale Act of 2010’’. 
SEC. 2. PROMPT DECISION REGARDING SHORT SALE. 
(a) IN GENERAL.—Chapter 2 of the Truth in Lend-
ing Act (15 U.S.C. 1631 et seq.) is amended— 
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(1) by redesignating the second section 129, as 
added by section 201(b) of the Helping Families 
Save Their Homes Act of 2009 (Public Law 111–22; 
123 Stat. 1638), as section 129A; and 
(2) by inserting before section 130 (15 U.S.C. 
1640) the following new section: 
‘‘SEC. 129B. PROMPT DECISION REGARDING SHORT SALE. 
‘‘(a) REQUIREMENT.—Except as provided in sub-
section (b) and notwithstanding any other provision of law 
or of any contract, including a contract between a servicer 
of a residential mortgage loan and a securitization vehicle 
or other investment vehicle, if the mortgagor under a resi-
dential mortgage loan submits to the servicer of the mort-
gage loan a written request for a short sale of the dwelling 
or residential real property that is subject to the mortgage, 
deed or trust, or other security interest that secures the 
mortgage loan, and all information required by the 
servicer in connection with such a request (including a 
copy of an executed contract between the owner of the 
dwelling or property and the prospective buyer that is sub-
ject to approval by the servicer), and the mortgagor does 
not receive from the servicer, before the expiration of the 
45-day period beginning upon receipt by the servicer of 
such request and information, a written notification of 
whether such request has been approved, that such re-
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quest has been approved subject to specified changes, or 
that additional information is required for such a deter-
mination, such request shall be considered to have been 
approved by the servicer. 
‘‘(b) INAPPLICABILITY TO CERTAIN EXISTING MORT-
GAGES.—Subsection (a) shall not apply with respect to 
any residential mortgage with respect to which the mort-
gagor and the mortgagee or servicer have entered into a 
written agreement before the date of the enactment of the 
Prompt Decision for Qualification of Short Sale Act of 
2010 explicitly providing a procedure or terms for ap-
proval of a short sale. 
‘‘(c) TREATMENT OF OTHER TIME LIMITS.—This 
section may not be construed to preempt, annul, or other-
wise affect any other provision of law or of any contract 
or program that provides a shorter period than is provided 
under subsection (a) for a decision by the servicer of a 
residential mortgage loan regarding a short sale of the 
dwelling or residential real property that is subject to the 
mortgage, deed or trust, or other security interest that se-
cures the mortgage loan. 
‘‘(d) DEFINITIONS.—For purposes of this section, the 
following definitions shall apply: 
‘‘(1) RESIDENTIAL
MORTGAGE
LOAN.—The 
term ‘residential mortgage loan’ means any con-
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sumer credit transaction that is secured by a mort-
gage, deed of trust, or other equivalent consensual 
security interest on a dwelling or on residential real 
property that includes a dwelling, other than a con-
sumer credit transaction under an open end credit 
plan or an extension of credit relating to a plan de-
scribed in section 101(53D) of title 11, United 
States Code. 
‘‘(2) SECURITIZATION
VEHICLE.—The term 
‘securitization vehicle’ means a trust, special purpose 
entity, or other legal structure that is used to facili-
tate the issuing of securities, participation certifi-
cates, or similar instruments backed by or referring 
to a pool of assets that includes residential mortgage 
loans (or instruments that are related to residential 
mortgage loans, such as credit-linked notes). 
‘‘(3) SERVICER.—The term ‘servicer’ has the 
meaning provided in section 129A, except that such 
term includes a person who makes or holds a resi-
dential mortgage loan (including a pool of residential 
mortgage loans) if such person also services the 
loan. 
‘‘(4) SHORT
SALE.—The term ‘short sale’ 
means the sale of the dwelling or residential real 
property that is subject to the mortgage, deed or 
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trust, or other security interest that secures a resi-
dential mortgage loan that— 
‘‘(A) will result in proceeds in an amount 
that is less than the remaining amount due 
under the mortgage loan; and 
‘‘(B) 
requires 
authorization 
by 
the 
securitization vehicle or other investment vehicle 
or holder of the mortgage loan, or the servicer 
acting on behalf of such a vehicle or holder.’’. 
(b) APPLICABILITY.—The amendment made by sub-
section (a) of this section shall apply to any written re-
quest for a short sale made after the date of the enactment 
of this Act. 
Æ 
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