Opinion ID: 1489893
Heading Depth: 1
Heading Rank: 3

Heading: Was Salvadore a mortgage foreclosure consultant?

Text: Holden argues that the trial justice made an erroneous ruling when he concluded that Salvadore was not a mortgage foreclosure consultant who was subject to the prohibitions set forth under § 5-79-4. [9] To summarize, the statute defines a mortgage foreclosure consultant as a person who, for compensation, renders services to carry out one or more of eight delineated functions. [10] Holden alleges that Salvadore was a mortgage foreclosure consultant because he performed a service that would either [s]top or postpone the foreclosure sale or [s]ave the owner's residence from foreclosure. Section 5-79-1(a)(1), (8). We do not agree. The record reveals that Salvadore never made a solicitation, representation, or offer to help Holden stop or postpone the foreclosure sale or save her residence from foreclosure. Rather, Salvadore represented that he would step into the shoes of the purchaser and become the grantee/purchaser at the closing. Indeed, the agreement between the parties stated that, assignor previously owned the premises   , which premises were sold at a foreclosure sale held on or about July 6, 2002. In fact, by the time Holden contacted Salvadore, the sale and foreclosure already had taken place, Holden was the highest bidder, and she and the auctioneer had signed the appropriate documents. See Outpost Cafe, Inc. v. Fairhaven Savings Bank, 3 Mass.App.Ct. 1, 322 N.E.2d 183, 184, 187 (1975) (holding under Massachusetts law, a sale at foreclosure occurs when the highest bid is accepted and the memorandum of sale is executed with the purchaser); see also 140 Reservoir Avenue Associates v. Sepe Investments, LLC, 941 A.2d 805, 812 (R.I.2007) ([T]he mortgagor has an opportunity to redeem down to the time of the [mortgage foreclosure] sale   , but this opportunity comes to an end with such sale   .) (quoting 4 Richard R. Powell, Powell on Real Property, § 37.46 at 37-317 (2007)). Therefore, we can draw no conclusion other than that Salvadore did not make any representation to Holden that he would stop or postpone the foreclosure sale or save her residence from foreclosure. Consequently, there is nothing in the record that would justify a holding that Salvadore was a mortgage foreclosure consultant as that term is defined in the statute.