81R4591 PMO-D
By: Estes, Van de Putte S.B. No. 472
A BILL TO BE ENTITLED
AN ACT
relating to notice required before and period to vacate after
foreclosure sale of real property.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1. Section 51.002, Property Code, is amended by
amending Subsection (d) and adding Subsections (d-1), (d-2), and
(i) to read as follows:
(d) Notwithstanding any agreement to the contrary, the
mortgage servicer of the debt shall serve a debtor in default under
a deed of trust or other contract lien on real property used as the
debtor's residence with written notice by certified mail stating
that the debtor is in default under the deed of trust or other
contract lien and giving the debtor at least 45 [20] days to cure
the default before notice of sale can be given under Subsection (b).
The entire calendar day on which the notice required by this
subsection is given, regardless of the time of day at which the
notice is given, is included in computing the 45-day [20-day]
notice period required by this subsection, and the entire calendar
day on which notice of sale is given under Subsection (b) is
excluded in computing the 45-day [20-day] notice period.
(d-1) In addition to the notice provided by Subsection (d),
a mortgage servicer of the debt shall serve the debtor with a
written notice under this subsection. The notice must be printed on
a separate sheet of canary yellow or a similarly colored yellow
paper that is 8-1/2 by 11 inches or larger and affixed to the notice
of default provided under Subsection (d). The attorney general
shall prescribe the contents of the notice. The notice must include
the following:
(1) a statement that the notice provided by the
mortgage servicer is required by law;
(2) a description of the process of foreclosure on a
mortgage;
(3) a statement that the debtor in default has 45 days
to cure the default as provided by Subsection (d);
(4) a description of the options available to the
debtor in default to prevent the foreclosure;
(5) a description of and warning against
unconscionable actions or courses of action under Subchapter E,
Chapter 17, Business & Commerce Code, relating to the foreclosure;
(6) a description of resources available to the debtor
in default to assist in preventing the foreclosure;
(7) a list of resources the debtor may contact for
assistance in filing a complaint concerning the foreclosure
process; and
(8) a statement that the debtor must serve a copy of
the notice of sale on each tenant as prescribed by Section 51.0022.
(d-2) In addition to the notices provided under Subsections
(d) and (d-1), the mortgage servicer of the debt shall, not later
than the fifth day after the date the notices are mailed under
Subsections (d) and (d-1), attempt and make every reasonable effort
to contact the debtor in default by telephone if the debtor has
telephone service and provide the debtor with the same information
provided in the notices under Subsections (d) and (d-1). The
mortgage servicer shall maintain a telephone log that indicates
each attempted telephone contact and whether the debtor was
contacted.
(i) If a sale of property described by this section occurs,
notwithstanding Chapter 24, the debtor or a tenant of the debtor is
not required to vacate the property before the 31st day after the
date of the sale.
SECTION 2. Chapter 51, Property Code, is amended by adding
Section 51.0022 to read as follows:
Sec. 51.0022. NOTICE OF SALE TO TENANT. Not later than the
seventh day after the date a debtor receives a notice of sale under
Section 51.002(b), the debtor shall serve a copy of the notice on
each tenant of the property by any one of the following methods:
(1) personal delivery to the tenant;
(2) certified mail, return receipt requested, to the
tenant; or
(3) leaving the notice inside the dwelling, as defined
by Section 92.001, in a conspicuous place if notice in that manner
is authorized in a written lease.
SECTION 3. The changes in law made by this Act apply only to
a notice required to be provided on or after September 1, 2009. A
notice required to be provided before September 1, 2009, is
governed by the law in effect immediately before that date, and that
law is continued in effect for that purpose.
SECTION 4. This Act takes effect September 1, 2009.