Massachusetts 2023-2024 Regular Session

Massachusetts House Bill H2937 Compare Versions

Only one version of the bill is available at this time.

Old	New	Differences
1	1	1 of 2
2	2	HOUSE DOCKET, NO. 81 FILED ON: 1/7/2023
3	3	HOUSE . . . . . . . . . . . . . . . No. 2937
4	4	The Commonwealth of Massachusetts
5	5	_________________
6	6	PRESENTED BY:
7	7	Jeffrey N. Roy and Tommy Vitolo
8	8	_________________
9	9	To the Honorable Senate and House of Representatives of the Commonwealth of Massachusetts in General
10	10	Court assembled:
11	11	The undersigned legislators and/or citizens respectfully petition for the adoption of the accompanying bill:
12	12	An Act relative to tax deeds and protecting equity for homeowners facing foreclosure.
13	13	_______________
14	14	PETITION OF:
15	15	NAME:DISTRICT/ADDRESS :DATE ADDED:Jeffrey N. Roy10th Norfolk1/4/2023Tommy Vitolo15th Norfolk1/7/2023Natalie M. Blais1st Franklin1/7/2023Sean Garballey23rd Middlesex1/26/2023Christopher Hendricks11th Bristol2/6/2023Christopher M. Markey9th Bristol2/6/2023Antonio F. D. Cabral13th Bristol2/6/2023David Paul Linsky5th Middlesex2/14/2023Steven S. Howitt4th Bristol2/14/2023James K. Hawkins2nd Bristol2/14/2023Tram T. Nguyen18th Essex2/14/2023Susan Williams Gifford2nd Plymouth2/14/2023Mindy Domb3rd Hampshire2/14/2023Carmine Lawrence Gentile13th Middlesex2/14/2023Thomas M. Stanley9th Middlesex2/14/2023Kevin G. Honan17th Suffolk2/14/2023Jack Patrick Lewis7th Middlesex2/14/2023Adrian C. Madaro1st Suffolk2/14/2023 2 of 2
16	16	Tricia Farley-Bouvier2nd Berkshire2/14/2023James C. Arena-DeRosa8th Middlesex2/22/2023Danillo A. Sena37th Middlesex2/22/2023 1 of 4
17	17	HOUSE DOCKET, NO. 81 FILED ON: 1/7/2023
18	18	HOUSE . . . . . . . . . . . . . . . No. 2937
19	19	By Representatives Roy of Franklin and Vitolo of Brookline, a petition (accompanied by bill,
20	20	House, No. 2937) of Jeffrey N. Roy, Tommy Vitolo and others relative to tax deeds and
21	21	protecting equity for homeowners facing foreclosure. Revenue.
22	22	The Commonwealth of Massachusetts
23	23	_______________
24	24	In the One Hundred and Ninety-Third General Court
25	25	(2023-2024)
26	26	_______________
27	27	An Act relative to tax deeds and protecting equity for homeowners facing foreclosure.
28	28	Be it enacted by the Senate and House of Representatives in General Court assembled, and by the authority
29	29	of the same, as follows:
30	30	1 SECTION 1. Section 53 of chapter 60 of the General Laws, as appearing in the 2018
31	31	2Official Edition, is hereby amended by striking the first paragraph in its entirety and replacing it
32	32	3with the following new paragraph:-
33	33	4 If a tax on land is not paid within 14 days after demand therefor and remains unpaid, the
34	34	5collector shall request a hearing in the land court seeking authorization to exercise the power of
35	35	6taking. The collector shall give 14 days notice of the intention to exercise such power of taking
36	36	7and of the hearing in the land court, which notice shall be served in the manner required by law
37	37	8for the service of subpoenas on witnesses in civil cases and shall be published and shall conform
38	38	9to the requirements of section 40. The collector shall also, 14 days prior to the hearing, post a
39	39	10notice so conforming at the property proposed for taking, in a newspaper of general circulation
40	40	11and in 2 or more convenient and public places where the property is located and the last known
41	41	12address of the owner. At the hearing, the court shall make inquiry into the nature of the debt 2 of 4
42	42	13owed and whether there is sufficient evidence to demonstrate that the city or town has not
43	43	14received payment from the debtor. The court shall also make inquiry and findings relative to the
44	44	15sufficiency of notice provided by the collector. The land court may authorize the taking only
45	45	16after issuing its findings in writing. Upon issuance of an order on the taking, the land court shall
46	46	17also order a public sale of the foreclosed property and order distribution of proceeds consistent
47	47	18with the provisions of section 21 and sections 24 to 27, inclusive, of chapter 183; provided, that
48	48	19the order shall treat the tax title holder like a mortgagee with the first priority interest in proceeds
49	49	20from the property, and treating the delinquent debtor as a mortgagor.
50	50	21 SECTION 2. Section 53 of chapter 60 of the General Laws, as appearing in the 2020
51	51	22Official Edition, is hereby amended by inserting after the word “forty” in line 7, the following
52	52	23words:- and must include a clear statement in bold print that “Failure to act will result in losing
53	53	24ownership of your property.”
54	54	25 SECTION 3. The second paragraph of said section 53 of said chapter 60, as so appearing,
55	55	26is hereby further amended by inserting after the first sentence the following sentence:- Upon
56	56	27fulfillment of the tax debt through the collection of rents or other income from the land, the tax
57	57	28collector shall file a document reflecting that the property was redeemed through the collection
58	58	29of rents or other income from the land, and shall withdraw possession of the property.
59	59	30 SECTION 4. Section 64 of said chapter 60, as so appearing, is hereby amended by
60	60	31striking out, in line 2, the words “be absolute after” and inserting in place thereof the following
61	61	32words:- convey a right to collect rents from the property until the debt is paid or to obtain
62	62	33payment, with first priority over all other liens from the proceeds of a judicial sale, upon. 3 of 4
63	63	34 SECTION 5. Said section 64 of said chapter 60, as so appearing, is hereby further
64	64	35amended by adding the following paragraph:-
65	65	36 If deemed appropriate and just by the land court, it may order seizure of rents or other
66	66	37income from the property if doing so would fully satisfy property tax liens and applicable
67	67	38interest and costs. Upon issuance of a judgment foreclosing the right of redemption, the land
68	68	39court shall also order a public sale of the foreclosed property and order distribution of proceeds
69	69	40consistent with the provisions of sections 21 and sections 24 to 27, inclusive; provided, that the
70	70	41order shall treat the tax title holder like a mortgagee with the first priority interest in proceeds
71	71	42from the property, and treating the delinquent debtor as a mortgagor.
72	72	43 SECTION 6. Section 66 of said chapter 60 of the General Laws, as so appearing, is
73	73	44hereby amended by inserting after the word “shall,” in line 12, the following words:- include
74	74	45language expressing the amount necessary to redeem the property and the consequences of
75	75	46failing to pay, and.
76	76	47 SECTION 7. Said section 66 of said chapter 60, as so appearing, is hereby further
77	77	48amended by striking out, in lines 17 to 19, the words “a default will be recorded, the petition
78	78	49taken as confessed, and the right of redemption forever barred” and inserting in place thereof the
79	79	50following words:- that failure to act will result in losing ownership of your property and a public
80	80	51sale of your property. If applicable, this could also result in eviction.
81	81	52 SECTION 8. Section 69A of said chapter 60, as so appearing,, is hereby amended by
82	82	53inserting after the first sentence the following sentence:- Except in the interest of justice, no
83	83	54petition to vacate a decree of foreclosure entered under section 69 and no proceeding at law or in 4 of 4
84	84	55equity for reversing or modifying such a decree shall be commenced after the date of the judicial
85	85	56sale and distribution of proceeds required under section 64.