Section 667-56 - Prohibited conductIt shall be a prohibited practice for any foreclosing mortgagee to engage in any of the following practices:
(1) Holding a public sale on a date, at a time, or at a place other than that described in the public notice of the public sale or a properly noticed postponement;(2) Specifying a fictitious place in the public notice of the public sale;(3) Conducting a postponed public sale on a date other than the date described in the new public notice of the public sale;(4) Delaying the delivery of the recorded, conformed copy of the conveyance document to a bona fide purchaser who purchases in good faith for more than sixty days after the completion of the public sale;(5) Completing nonjudicial foreclosure proceedings during short sale escrows with a bona fide purchaser if the short sale offer is at least ten per cent greater than the public sale price; provided that escrow is opened within ten days and closed within forty-five days of the public sale; and provided further that a bona fide short sale purchaser shall have priority over any other purchaser;(6) Completing nonjudicial foreclosure proceedings during bona fide loan modification negotiations with the mortgagor; or(7) Completing nonjudicial foreclosure proceedings against a mortgagor who has been accepted or is being evaluated for consideration for entry into any federal loan modification program before obtaining a certificate or other documentation confirming that the mortgagor is no longer eligible for, or an active participant of, that federal program.Amended by L 2012, c 182, § III-30, eff. 6/29/2012.Added by L 2011, c 48, § 6, eff. 5/5/2011.