Alabama and Tennessee Legislative Update

Alabama and Tennessee Legislative Update

The Alabama legislature recently amended its laws related to foreclosure, effective February 22, 2018.  The Tennessee legislature recently amended its laws governing licensees under the Industrial Loan and Thrift Companies Act, effective April 1, 2018.

 

Alabama House Bill 90

 

For foreclosed residential property on which a homestead exemption was claimed in the tax year during which the sale occurred, the period of time during which a right of redemption is exercised may not begin until the right of redemption notice is given as required, provided that under no circumstances may a right of redemption be exercised later than one year after the date of foreclosure.

 

Possession or production of the proof of mailing of the required right of redemption notice constitutes an affirmative defense to any action related to the notice requirement.  All actions related to the notice requirement must be brought within one year (previously two years) after the date of foreclosure, or the action is barred.

 

Tennessee Senate Bill 1202

 

A certificate of registration as an Industrial Loan and Thrift Company expires on December 31 (previously March 31).  A certificate of registration may be renewed for the ensuing twelve-month period upon application by the registrant showing continued compliance with the statutory requirements and payment of the nonrefundable supervision fee.  A registrant making timely and complete application and payment for renewal of its certificate of registration may continue to operate under its existing certificate of registration until its application is approved or denied.  The completed renewal application and the payment of the annual supervision fee must be sent to the department on or before December 31 (previously March 1), but no earlier than November 1, of each year.