Maryland Launches New Programs to Help Homeowners Facing Foreclosure
Friday, July 11, 2008
According to the Maryland State Bar Association, one in every 200 Maryland homes is entering into some stage of a foreclosure and that 25,000 total foreclosures are to be expected this year. In order to combat these staggering figures, Maryland has made great strides recently to enact new legislation to help troubled borrowers, such as increasing the time to finalize a foreclosure from 15 days to 150, among other defenses. In addition to these efforts, Maryland is taking it a step further through the creation of the Foreclosure Pro Bono Project and a new legal guide created for homeowners.
Chief Justice Robert M. Bell of the Maryland Court of Appeals released a letter to attorneys in the state earlier this week. "Foreclosure impacts everyone—families are uprooted, property values are reduced, vacant and abandoned properties increase along with attendant crime, public revenues for the support of important services are lost, and court dockets become overwhelmed," he said.
In addition to reminding Maryland attorneys of the legislation that passed April 4, Bell also addressed distressed homeowners' lack of funding when it comes to attorney representation. To address this crisis, a partnership consisting of Governor Martin O'Malley, Congressman Steny Hoyer, Attorney General Douglas Gansier, the Maryland State Bar Association, the Pro Bono Resource Center of Maryland, the state Department of Housing and Community Development, among other associations and agencies, combined forces to recruit, train, and integrate pro bono lawyers.
Pro bono attorneys involved in the initiative will provide homeowners with foreclosure prevention or transition assistance through three ways: direct representation, brief assistance and advice, and Of Counsel. Through direct representation lawyers agree to be trained in how to represent homeowners in foreclosure defense cases, while in brief assistance, they agree to provide brief counsel to homeowners at foreclosure solutions workshops open to the public, and in Of Counsel, lawyers agree to serve as counsel to nonprofit housing counseling agencies representing borrowers.
"This is one of the most important pro bono initiatives of our time," Bell said in his letter. "In its absense, the thousands of individuals and families now at risk would almost surely move from being homeowners to becoming homeless."
The second effort, led by the Maryland State Bar, is a newly released pamphlet, provided free to the public. It will provide legal information to help homeowners understand a new foreclosure law that went into effect April 4. This new law provides new notice requirements and extended time periods for foreclosure sales. Rachel Daniels
Chief Justice Robert M. Bell of the Maryland Court of Appeals released a letter to attorneys in the state earlier this week. "Foreclosure impacts everyone—families are uprooted, property values are reduced, vacant and abandoned properties increase along with attendant crime, public revenues for the support of important services are lost, and court dockets become overwhelmed," he said.
In addition to reminding Maryland attorneys of the legislation that passed April 4, Bell also addressed distressed homeowners' lack of funding when it comes to attorney representation. To address this crisis, a partnership consisting of Governor Martin O'Malley, Congressman Steny Hoyer, Attorney General Douglas Gansier, the Maryland State Bar Association, the Pro Bono Resource Center of Maryland, the state Department of Housing and Community Development, among other associations and agencies, combined forces to recruit, train, and integrate pro bono lawyers.
Pro bono attorneys involved in the initiative will provide homeowners with foreclosure prevention or transition assistance through three ways: direct representation, brief assistance and advice, and Of Counsel. Through direct representation lawyers agree to be trained in how to represent homeowners in foreclosure defense cases, while in brief assistance, they agree to provide brief counsel to homeowners at foreclosure solutions workshops open to the public, and in Of Counsel, lawyers agree to serve as counsel to nonprofit housing counseling agencies representing borrowers.
"This is one of the most important pro bono initiatives of our time," Bell said in his letter. "In its absense, the thousands of individuals and families now at risk would almost surely move from being homeowners to becoming homeless."
The second effort, led by the Maryland State Bar, is a newly released pamphlet, provided free to the public. It will provide legal information to help homeowners understand a new foreclosure law that went into effect April 4. This new law provides new notice requirements and extended time periods for foreclosure sales. Rachel Daniels
