Burr Alert: Georgia Foreclosure Law in the Wake of Recent Decisions on Residential Mortgage Loans

December 27, 2012

Thousands of wrongful foreclosure lawsuits are filed each year in Georgia against banks, lenders, servicers, foreclosure firms, and other entities involved in the non-judicial foreclosure process for residential mortgage loans.

There has been recent upheaval in Georgia foreclosure law resulting from several key cases decided in 2012. We do not summarize the cases here, but rather seek to analyze their decisions’ impact on Georgia’s non-judicial foreclosure process while we await the Georgia Supreme Court’s response.

Reese v. Provident Funding Associates, LLP, 730 S.E.2d 551, 317 Ga. App. 353 (Ga. Ct. App. July 12, 2012)

In a sharply-divided decision, the majority held, as a matter of first impression, that Georgia’s foreclosure notice statute, O.C.G.A. § 44-14-162.2(a), requires the person or entity conducting a non-judicial foreclosure of a residential mortgage loan to provide the borrower/debtor with a written notice of the foreclosure sale that discloses not only "the name, address, and telephone number of the individual or entity who shall have full authority to negotiate, amend, and modify all terms of the mortgage with the debtor" (the language that appears in the statute), but also the identity of the "secured creditor" (not required by the statutory language, but which the majority inferred based on legislative intent). The majority further found that the failure to identify the "secured creditor" in the foreclosure notice renders the notice, and any subsequent foreclosure sale, invalid as a matter of law. The dissenting judges in Reese found that the majority’s holding "amount[ed] to a judicial rewriting of [O.C.G.A. § 44-14-162.2(a)]" to mean that the notice must disclose not only the identity of the person identified in the text of the statute, but the identity of the secured creditor as well.

To read more about this topic, please see full article below

Download PDF



Legal Disclaimer:
No representation is made that the quality of services to be performed is greater than the quality of legal services performed by other lawyers.

Featured Attorneys

send article

TESTIMONIALS

  • “He is an outstanding OSHA attorney who has been very valuable in his area of expertise.”

    -Chambers 2012

  • “They are outstanding and get high marks for their commercial awareness, staffing, training and pro-activity."

    -Chambers 2012

  • “Gail Mills has the ability to find a solution for the tough problems that arise, and she does it with grace and charm.  As a client, we can rest easy knowing that Gail is more than capable to protect our interests.”

    -Anonymous

  • “It is my pleasure to recommend Howard and the healthcare team at Burr & Forman.  From issues related to medical staff bylaws, through numerous regulatory compliance and certificate-of-need applications, to the successful resolution of the largest Medicare recoupment effort against a private medical practice; Howard has always been a knowledgeable counselor, keen advisor and staunch advocate for the hospitals and medical practices I have managed. 

    Howard’s record of accomplishment is broad and impressive.  He is quick to respond when called.  His advocacy style is reassuring as he blends superior organizational skills, subject matter expertise and a willingness to listen and grasp the full understanding of his client’s needs and objectives.  

    This recommendation is made without reservation because for nineteen years, when my own reputation was at stake, I have introduced Howard to the organizations I manage.  In every case, the organization has benefitted greatly as he has managed to achieve the best outcomes possible.”

    -G. Thomas Brown, CEO, Eye Specialty Group and Ridge Lake Ambulatory Surgery Center

  • “As a small business owner, I have used Ladd Mark in a variety of capacities over the time that I have known him.  He has helped me through the complex issues of both disposing of and acquiring a business.  At all times during both transactions (and everything that comes up in between), Ladd exemplified the legal competence and professionalism, which I have come to expect from all of my dealings with the staff at Burr Forman. Ladd combines his broad knowledge of legal issues with prompt, courteous service and sincere empathy for a business owner that is truly overwhelmed with the density of transactions.  His communication skills kept me aware of where I stood during transactions.  Ladd has definitely helped me through some difficult situations, and I consider him a friend.”

    -Harold R. “Bubba” Wells, Jr., President of WorkTrux and All About Trucks