An Act To Implement Model Time-share Foreclosure Procedures
Maine Legislature, Session 122, LD 1932
Committee Amendment CA_A_S557 (Senate)

COMMITTEE AMENDMENT "A" to S.P. 732, L.D. 1932, Bill, "An 
Act To Implement Model Time-share Foreclosure Procedures" 
Amend the bill in section 1 in subsection 1 by striking out 
all of the 1st underlined sentence (page 1, lines 6 to 10 in 
L.D.) 
and inserting in its place the following: 
'A managing 
entity has a lien on a time share for any assessment for expenses 
of the time share or taxes or fines levied against that time 
share in accordance with the project instrument or municipal or 
state law from the time the assessment, tax or fine becomes due.' 
Further amend the bill in section 1 in subsection 1 in the 
last line (page 1, 
line 24 
in L.D.) 
by inserting after the 
following: "filing." the following: 
'A copy of the notice of a 
lien on a time-share estate or time-share license must be sent by 
first class mail to the last known address of the time-share 
owner. 
A notice of a lien on a time-share estate or time-share 
license must include a statement that the federal Servicemembers' 
Civil Relief Act of 2003 applies to enforcement of liens when the 
owner of the time-share estate or time-share license is or was 
recently in military service.' 
Further amend the bill in section 2 in §595 in subsection 1 
in the first paragraph in the last 2 lines (page 1, lines 36 and 
in L.D.) 
by striking out the following: 
"sections 6201 to 
Q2.Q.2" and inserting in its place the following: 'chapter 713' 
Page l-LR2960(2) 
COMMITTEE AMENDMENT 
COMMITTEE AMENDMENT "A" to S.P. 732, L.D. 1932 
Further amend the bill 
in paragraph A in the 2nd 
striking out the following: 
the following: 'person' 
in section 2 in §595 in subsection 1 
line (page 1, line 45 in L.D.) by 
"f1..Q.tly" and inserting in its place 
Further amend the bill in section 2 in §595 in subsection I 
in paragraph A in the 5th line (page 1, line 48 in L.D.) by 
inserting after the following: "requested" the following: 
and 
by first class mail' 
Further amend the bill 
in paragraph B in the 3rd 
striking out the following: 
the following: 'person' 
in section 2 in §595 in subsection 1 
line (page 2, line 4 in L.D.) 
by 
"PQLty" and inserting in its place 
Further amend the bill in section 
in paragraph 
B in 
subparagraph 
(1) 
division (a) (page 2, lines 11 to 17 
its place the following: 
in §595 in 
by striking 
in L.D.) and 
subsection 1 
out all of 
inserting in 
'(a) 
Notice of the sale must be published once in 
each of 3 successive weeks in a newspaper with a 
general 
circulation in 
the 
town 
in 
which 
the 
time-share 
property 
is 
situated. 
The 
first 
publication must be not later than 30 days before 
the date of the sale, calculated by excluding the 
date of publication of the first notice and the 
date of sale.' 
Further amend the bill in section 2 in §595 in subsection 1 
in paragraph B in subparagraph (1) in division (b) in the 4th 
line (page 2, line 22 in L.D.) by inserting after the following: 
"requested" the following: " 
and by first class mail' 
Further amend the bill in section 2 in §595 in subsection 1 
in paragraph B in subparagraph (1) in division (b) in the 5th 
line (page 2, line 23 in L.D.) by inserting after the following: 
"sale." the following: 
'The notice to the time-share owner must 
include the following language: "You are hereby notified that you 
have a right to petition the Superior Court or District Court for 
the county or district in which the time-share estate is located, 
with service on the foreclosing person, and upon such bond as the 
court may require, to enjoin the scheduled foreclosure sale." , 
Further amend the bill in section 2 in §595 in subsection 1 
in paragraph B in subparagraph (1) in division (d) in the 4th 
paragraph by striking out all of the last underlined sentence 
(page 3, lines 23 to 25 in 
L.D.) and inserting in its place the 
following: 
'The time-share estates, if more than one, must be 
COMMITTEE AMENDMENT 
COMMITTEE AMENDMENT 
to s. P. 732, L. D. 1932 
sold in individual lots unless there are no individual bidders, 
in which case they may be sold as a group. ' 
Further amend the bill in section 2 in §595 in subsection 1 
in paragraph B in subparagraph (1) in division (e) in the 4th 
paragraph by striking out all of the last underlined sentence 
(page 4, lines 11 to 13 in 
L.D.) and inserting in its place the 
following: 
'The time-share estates, if more than one, must be 
sold in individual lots unless there are no individual bidders, 
in which case they may be sold as a group. ' 
Further amend the bill in section 2 in §595 in subsection 1 
in paragraph B in subparagraph (2) (page 4, lines 29 to 31 in 
L.D.) by striking out all of division (a) and inserting in its 
place the following: 
, (a) 
The foreclosure sale must take place on the 
time-share property or some other location wi thin 
the same town as the time-share property.' 
Further amend the bill in section 2 in §595 in subsection 1 
in paragraph B in subparagraph (2) in division (d) by striking 
out all of the 2nd underlined sentence (page 4, lines 49 and 50 
and page 5 lines 1 to 6 in L.D.) and inserting in its place the 
following: 
'The successful buyer at the foreclosure sale takes 
title to the time-share estate free and clear of any outstanding 
assessments owed by the prior time-share owner to the managing 
entity. ' 
Further amend the bill in section 2 in §595 in subsection 3 
in the 14th line (page 6, line 24 in L.D.) by inserting after the 
following: 
"foreclosure" the following: 
'conducted pursuant to 
Title 14, chapter 713' 
Further amend the bill in section 2 in §595 in subsection 3 
in the last line (page 6, line 29 in L.D.) by inserting after the 
following: 
"foreclosure" the following: 
'pursuant to Title 14, 
chapter 713, 
which may include judicial foreclosure by way of 
court action' 
Further amend the bill in section 2 in §595 by inserting 
after subsection 3 the following: 
'4. 
Forfeiture of deficiency claim. 
If the holder of the 
mortgage 
conducts 
a 
nonjudicial foreclosure pursuant to 
this 
section, the holder forfeits the holder's right to pursue a claim 
for 
any deficiency in the 
payment of the time-share owner's 
obligations resultin9-irom the application of the proceeds of the 
sale to such obligations. 
COMMITTEE AMENDMENT 
COMMITTEE AMENDMENT .. A 
.. to S.P. 732, L.D. 1932 
If the holder of a security interest in a 
time-share license 
conducts a nonjudicial foreclosure pursuant to this section, the 
holder forfeits the holder's right to pursue a 
claim for any 
deficiency in the payment of the time-share owner's obligations 
resulting from the application of the proceeds of the sale to 
such obligations.' 
SUMMARY 
This amendment makes various changes to the bill, including: 
1. 
Specifying that a lien on a 
time share may be created 
for taxes levied against that time share; 
2. 
Changing the notice provisions regarding sale due to 
default, including the content, method of delivery and frequency 
wi th which the notices must appear in a newspaper. 
The notice 
filed must specifically mention the federal Servicemembers' Civil 
Relief Act; 
3. 
Requiring that the time-share estates, if more than one, 
must be sold in individual lots unless there are no individual 
bidders; and 
4. 
Specifying that a holder of a mortgage who conducts a 
nonjudicial foreclosure forfeits any right to pursue a claim for 
deficiency 
in 
payment 
of 
the 
time-share 
owner's 
obligations 
resul ting from the application of the proceeds of the sale to 
those 
obligations. 
The 
right 
to 
a 
deficiency 
is 
also 
extinguished 
when 
the 
holder 
of 
a 
security 
interest 
in 
a 
time-share license conducts a nonjudicial foreclosure under this 
section. 
FISCAL NOTE REQUIRED 
(See attached) 
COMMITTEE AMENDMENT 
Approved: 03/23/06 hac:.. 
122nd MAINE LEGIS LA TURE 
LD 1932 
LR 2960(02) 
An Act To Implement Model Time-share Foreclosure Procedures 
Fiscal Note for Bill as Amended by Committee Amendment ,A" 
Committee: Judiciary 
Fiscal Note Required: Yes 
Fiscal Note 
Minor savings - General Fund 
Minor revenue decrease - General Fund 
Correctional and Judicial Impact Statements 
This bill may decrease the number of civil suits filed in the court system. 
Reductions in the collection of filing fees may decrease General Fund revenue by minor amounts. 
LR2960(2) - Fiscal Note - Page 1 of 1