§ 1393 — Mortgages in default

§ 1393. Mortgages in default. 1. No local law, ordinance or resolution\nshall allow for the registration of residential mortgages in default\nprior to a mortgagee filing a notice of pendency in a court of competent\njurisdiction.\n 2. No such local law, ordinance or resolution shall require a\nhomeowner or occupant to register.\n 3. Any local law, ordinance or resolution that allows for the\nregistration of residential mortgages in default may impose a\nregistration fee not exceeding seventy-five dollars annually. A\nmortgagee and/or its agents are prohibited from passing along such fees\nto the mortgagor in default.\n 4. For the purposes of this section, a mortgage default occurs when a\nmortgagor fails to fulfill its obligations under a mortgage agreement.\n 5. "Registration" shall mean the collection, publication or posting,\npublic or otherwise, of residential mortgages in default by a local\ngoverning body or an agency thereof, or any third-party entity that\ncontracts with such local governing body.\n 6. "Notice of pendency" shall have the same meaning as defined in\nsection sixty-five hundred one of the civil practice law and rules.\n 7. A local governing body, through a local law, ordinance or\nresolution, may impose a fine on a mortgagee for noncompliance with this\nsection or any local law, ordinance or resolution that allows for the\nregistration of residential mortgages in default. A mortgagee and/or its\nagents are prohibited from passing along such fines to the mortgagor in\ndefault.\n 8. The provisions of this section shall supersede any local law,\nordinance, or resolution requiring the registration of mortgages in\ndefault that was enacted prior to the effective date of this section.\n