BK court moves to dismiss thousands of foreclosure cases

Lawyers say homeowners will be negatively affected by the action

TRD New York /
May.May 09, 2017 11:20 AM

The Kings County Supreme Court will toss out thousands of foreclosure cases, a move Public Advocate Letitia James says is a violation to due process.

All cases filed before Jan. 1, 2016 that have have been inactive since Sept. 30, 2016 will be thrown out, DNAinfo reported. The court published the notice in the New York Law Journal on April 27, giving parties until May 1 to Notify The Court if they wanted to keep the cases open. According to the Office of Court Administration, around 6,500 cases will be dismissed, including 1,600 foreclosure cases.

Defense lawyers told the publication the decision will have a major impact on homeowners, because any motions they filed against lenders will be lost. While lenders may have delayed proceedings, once a case is dismissed without fault to either party the lender will be able to refile the case with a fresh start. Lawyers are also concerned that many of the people representing themselves would not have seen the notice in the Journal.

Legal Aid lawyers will head to the court Tuesday on behalf of homeowners who’ve been affected by the decision. James has written to the Office of Court Administration, asking that it stop the dismissal action.

“I am extremely troubled by Kings County Supreme Court’s tactless plan to dismiss these civil action cases,” she said, according to DNAinfo. “In an effort to eliminate backlog the court is in fact undermining due process to some of our most vulnerable New Yorkers who rely on the courts to secure justice.”

Approximately 325,000 homes in the U.S. were in foreclosure as of November 2016, a 30 percent decline compared to November 2015. [DNAinfo]Miriam Hall


Related Articles

arrow_forward_ios
(iStock)

Manhattan co-op sales prices saw 11% drop in Q2

Manhattan co-op sales prices saw 11% drop in Q2
(iStock)

Manhattan vacancy hits new peak; Brooklyn stable

Manhattan vacancy hits new peak; Brooklyn stable
200 Water Street and 31 Prospect Park West (Google Maps)

Brooklyn’s luxury deal totals rise for 3rd straight week

Brooklyn’s luxury deal totals rise for 3rd straight week
Metro areas with less affordable housing drive high-income buyers to eye homes in lower-income neighborhoods at disproportionate rates (iStock)

TRD Insights: Gentrification happening fastest in least affordable cities

TRD Insights: Gentrification happening fastest in least affordable cities
348 Court Street (Photo by Justin Heiman/Getty Images)

Collapses raise questions about safety-law exemption

Collapses raise questions about safety-law exemption
Gov. Andrew Cuomo has given the go-ahead to reopen schools for in-person learning statewide (Getty; iStock)

School’s back on. Will the NYC resi market follow suit?

School’s back on. Will the NYC resi market follow suit?
New York’s real estate market is becoming two different stories: Manhattan, where deals are falling — and the suburbs, where demand is spiking. (iStock, Unsplash)

Manhattan is cold, the suburbs and Brooklyn are hot: Here’s what the resi market looked like in July

Manhattan is cold, the suburbs and Brooklyn are hot: Here’s what the resi market looked like in July
Matthew Kramer, Victor Petrescu, Sebastian Jaramillo and Gov. Ron DeSantis (Getty, iStock) 

Eviction, foreclosure freeze in Florida delaying inevitable flood of cases

Eviction, foreclosure freeze in Florida delaying inevitable flood of cases
arrow_forward_ios

The Deal's newsletters give you the latest scoops, fresh headlines, marketing data, and things to know within the industry.

Loading...