If you get sued by your bank in a foreclosure proceeding they always ask for attorneys fees. If the bank is successful in the foreclosure proceeding their attorneys get awarded attorneys fees. Theses attorneys fees can be substantial involving many thousands of dollars.
Up until now if a homeowner is successful in defending a foreclosure proceeding he or she get stuck paying his/her attorneys fees. However, David Patterson, the Governor of the State of New York has come to homeowners rescue.
Banks Pay Homeowners Attorneys Fees
Under a new law passed by the state legislature and signed by Governor David Patterson homeowners in foreclosure proceedings can claim attorneys fees from lenders. The law titled the Access to Justice in Lending Act will allow homeowners to be on the some footing as financial institutions in foreclosure proceedings. Homeowners will be entitled to recoup all of their attorneys fees in the event they are successful against their mortgage lenders. It is hoped that the potential of homeowners collecting attorneys fees from their financial institutions will motivate the financial institutions to be more cooperative with regard to working out loan modification agreements with their mortgage holders.
The law was originally opposed by the State Bankers Association. Organizations representing homeowners were extremely enthusiastic about the new bill. The homeowners associations argued that the proposal would allow more homeowners to obtain legal representation and motivate lenders to amicably resolve foreclosure proceedings.
The statute is modeled on New York Real Property Actions Proceedings Law section 234. This give tenants the right to obtain attorneys fees from landlords when landlords had a provision in their lease agreements giving them attorneys fees in eviction proceedings against tenants.
About Our Firm
For more than 45 years our law firm has assisted individuals with mortgage modifications, foreclosure defense and lawsuits involving creditors. We have expertise in defending homeowners in foreclosure lawsuits. We have litigated cases involving predatory lending practices. We are also familiar with the issues involving failed mortgage modification programs. Should you, a friend or family member be involved in a foreclosure. You need a foreclosure defense attorney to represent you. Our experience in representing individuals in all aspects of foreclosure defense including but not limited to foreclosure defenses and litigating foreclosure issues makes us one of the foremost foreclosure defense law firms in the metropolitan New York area. Feel free to call us for a free consultation at 516-561-6645, 718-350-2802 or 1-800-344-6431. We are available 7 days a week.
