An Act To Protect Owners of Property in Foreclosure from Accumulation of Debts When Mortgagees Refuse To Complete the Foreclosure Process
Maine Legislature, Session 126, LD 0612
Committee: Judiciary
Sponsors: CASAVANT, BEAVERS, HOBBINS, RUSSELL, WEAVER, VALENTINO
Amends: 14 MRSA §6326

Legislative Document 
No. 612 
H.P. 431 
House of Representatives, February 21, 2013 
An Act To Protect Owners of Property in Foreclosure from 
Accumulation of Debts When Mortgagees Refuse To Complete the 
Foreclosure Process 
(EMERGENCY) 
Reference to the Committee on Judiciary suggested and ordered printed. 
MILLICENT M. MacFARLAND 
Clerk 
Presented by Representative CASAVANT of Biddeford. 
Cosponsored by Representatives: BEAVERS of South Berwick, DeCHANT of Bath, 
HOBBINS of Saco, RUSSELL of Portland, WEAVER of York, Senator: VALENTINO of 
York. 
Emergency preamble. Whereas, acts and resolves of the Legislature do not 
become effective until 90 days after adjournment unless enacted as emergencies; and 
Whereas, in certain circumstances, lenders are not fully completing the foreclosure 
process following foreclosure judgment after homeowners have vacated the premises; and  
Whereas, property taxes and other debts remain the legal responsibility of the 
homeowner following foreclosure if title to the property is not transferred to the lender or 
to another party following a foreclosure sale; and  
Whereas, lenders are not required to notify the homeowner that the foreclosure 
process has not been completed on the property; and  
Whereas, this legislation seeks to protect homeowners by requiring them to provide 
notice that they have vacated the premises, along with their contact information, to the 
attorney representing the lender in the foreclosure and to the municipal tax assessor in the 
municipality in which the mortgaged property is located; and 
Whereas, this legislation also requires lenders to notify the owner of the vacated 
premises if the foreclosure process has not been completed within 6 months following the 
foreclosure judgment; and 
Whereas, this legislation must be enacted immediately so that homeowners are 
protected from accumulating further debt; and 
Whereas, in the judgment of the Legislature, these facts create an emergency within 
the meaning of the Constitution of Maine and require the following legislation as 
immediately necessary for the preservation of the public peace, health and safety; now, 
therefore, 
Be it enacted by the People of the State of Maine as follows: 
Sec. 1.  14 MRSA §6326 is enacted to read: 
§6326.  Notice of vacated premises after foreclosure judgment 
1.  Notice by mortgagor. Within 30 days of vacating the premises of residential 
property subject to foreclosure following notice of a foreclosure judgment, the mortgagor 
shall provide written notice that the mortgagor has vacated the mortgaged premises to the 
attorney of record representing the mortgagee in the foreclosure and to the municipal tax 
assessor of the municipality in which the mortgaged premises are located.  Notice may be 
provided by first class mail or registered mail. 
2.  Notice by mortgagee.  Using the contact information provided in the notice 
required by subsection 1, if, within 6 months following a foreclosure judgment, a 
mortgagee does not assume title to property following foreclosure pursuant to this Title or 
does not sell the property pursuant to section 6323, the mortgagee shall provide 
immediate written notice of the failure to complete the foreclosure to the mortgagor and 
to the municipal tax assessor of the municipality in which the mortgaged premises are 
located.  Notice may be provided by first class mail or registered mail. 
Emergency clause.  In view of the emergency cited in the preamble, this 
legislation takes effect when approved. 
SUMMARY 
This bill requires owners of foreclosed property who vacate their homes after 
receiving notice of a foreclosure judgment to notify the attorney representing the 
mortgagee in the foreclosure and the municipal tax assessor of the municipality where the 
mortgaged premises are located that they have vacated the property within 30 days of 
vacating the mortgaged premises and to also provide their contact information.  If, within 
months following a foreclosure judgment, the mortgagee has not completed the 
foreclosure process, the bill requires the mortgagee to notify the mortgagor using the 
contact information provided and to notify the municipal tax assessor.