Foreclosure Abuse Prevention Act: Retroactivity Debate and Its Implications for Borrowers

The Foreclosure Abuse Prevention Act (FAPA) was signed by Governor Hochul effective December 30, 2022. Since then, the Courts have been split on whether this Act is retroactive.

What does this mean for the borrower on a residential mortgage? It could mean that the bank cannot foreclose based on the 6-year statute of limitations and the mortgage is canceled.

A recent article was posted discussing the New York Courts’ split on the Constitutionality of FAPA by Goodwin on July 7, 2023. https://lnkd.in/eS9NSjuc

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