Oregon Legislative and Maryland Regulatory Update

Oregon Legislative and Maryland Regulatory Update

Our August 11, 2011 Compliance Memorandum discussed the provisions of Oregon Senate Bill 491 that were effective on September 28, 2011, in which the Oregon legislature amended the requirements under Oregon law for notices of foreclosure to tenants.  This Memorandum discusses further amendments to such law that are effective January 1, 2015.  The Maryland Commissioner of Financial Regulation recently adopted amendments to regulations regarding foreclosure procedures for residential property, effective December 11, 2014.




The timeframes for providing notice to a tenant of a pending foreclosure have changed to:

  • At least 60 days after service of a written termination notice (previously upon expiration of the fixed term of the tenancy), if the bona fide tenancy is a fixed term tenancy; or
  • At least 30 (previously 90) days after service of written termination notice if the bona fide tenancy is:
    • A fixed term tenancy and the purchaser intends to occupy, as the purchaser’s primary residence, the dwelling unit that is subject to the fixed term tenancy; or
    • A month-to-month tenancy or week-to-week tenancy.


The purchaser’s written termination notice is now 30 days (previously 90 days).




The amendment added Notice of Intent to Foreclose forms (“Notice”) that conform to new federal regulations regarding the timeline for foreclosure referral.  There are specific forms for federally related mortgage loans, conventional mortgage loans, non-owner-occupied properties and circumstances where a lender is offering prefile mediation.  Copies of these forms can be found at the Maryland Office of the Secretary of State, Department of Labor, Licensing and Regulation website at: http://www.dsd.state.md.us/artwork/090312Appendices.pdf.


The instructions for the Notice of Intent to Foreclose from a lender offering prefile mediation for a federally related mortgage loan specify that the Notice must be accompanied in the same envelope or package with the Prefile Mediation Packet and Loss Mitigation Packet, both of which are also promulgated forms.  The instructions also provide that the Notice, Prefile Mediation Packet and Loss Mitigation Packet must be presented in that order and separated from each other by any reasonable method.


The Notice of Intent to Foreclose on residential property that is not owner-occupied is sent to the borrower and record owner only if there is a reasonable belief that the property is not owner-occupied.


For purposes of this law, the term “Federally related mortgage loan” has the same meaning stated in the federal Real Estate Settlement Procedures Act.