On April 29, 2019, the New Jersey Legislature passed Assembly Bill No. 664. The bill creates a new requirement under the Fair Foreclosure Act for Notices of Intentions to Accelerate and Foreclose to include a provision advising debtors of the option to participate in the Foreclosure Mediation Program by submission of a request to the court upon the filing of a mortgage foreclosure complaint. Additionally, the new law requires that the written notices be served with the Summons and Complaint, in English and Spanish advising the debtors of the option to participate in the Foreclosure Mediation Program. The written notices are in addition to the existing mediation paperwork served upon the debtors.
Additionally, the statute of limitations is revised for certain residential mortgage foreclosure actions from 20 years to 6 years from the date on which the debtor defaulted, and in situations in which the date of default is used as the method to determine when the statute of limitations has expired.
The bill also requires a receivership appointment application before certain foreclosure actions, requires a notice of intention to foreclose on a residential mortgage to be filed within 180 days before commencing foreclosure, and limits reinstatements of dismissed mortgage foreclosure actions. Finally, the bill increases the filing fee of mortgage foreclosures to help fund the Foreclosure Mediation Program.