State Codes and Statutes

State Codes and Statutes

Statutes > North-carolina > Chapter_53 > GS_53-244_117

§ 53‑244.117. Foreclosure suspension.

In the event the Commissionershall have evidence that a material violation of law has occurred in theorigination or servicing of a loan then being foreclosed or then delinquent andin threat of foreclosure, and that the putative violation would be sufficientin law or equity to base a claim or affirmative defense that would affect thevalidity or enforceability of the underlying contract or the right toforeclose, then the Commissioner may notify the clerk of superior court, andthe clerk shall suspend foreclosure proceedings on the mortgage for 60 daysfrom the date of the notice. In the event that the Commissioner notifies theclerk, the Commissioner shall also notify the servicer, if known, and providean opportunity to cure the violation or provide information to the Commissionerto rebut the evidence of the suspected violation. If the violation is cured orthe information satisfies the Commissioner that no material violation hasoccurred, the Commissioner shall notify the clerk so that the foreclosureproceeding may be resumed. The authority granted to the Commissioner in thissection is in addition to any powers or authority granted to the Commissionerunder Chapter 45 of the General Statutes.  (2009‑374, s. 2.)