Florida Procedures For Disbursement In Residential Foreclosure

Effective Date: July 1, 2006

Residential Foreclosure Proceedings: Provides requirements and procedures for disbursement of surplus funds from a judicial sale; authorizes a court to determine reasonable attorney's fees for motions to disburse surplus funds; provides a right of parties to petition a court to set aside deeds or assignments; entitles parties to recover all fees and costs incurred in surplus funds proceedings; provides for the court to determine reasonable attorney's fees in such proceedings; specifies a required notice form to be served with a summons and complaint in actions to foreclose an interest in a mortgagor's primary dwelling; requires the notice to be included in the service of process; requires verification of service.

Specifies an additional notice requirement for return of service of process forms made for foreclosures of a mortgagor's primary dwelling; authorizes a clerk of court to collect a fee for attempts of service of process; requires the clerk of court to use fee proceeds for public education purposes; requires notices of action to contain an additional notice of potential surplus and application procedures information; provides a civil penalty for knowingly using unfair or deceptive homeowner victimization methods, acts, or practices in residential foreclosure proceedings.

Specifies a time period during which a person may not contact a homeowner for specified purposes; specifies higher priority of an order of restitution or reimbursement over imposition of a civil penalty; provides for deposit of civil penalties into the Legal Affairs Revolving Trust Fund of the Department of Legal Affairs; allocates such funds for specified purposes; requires documents transferring a mortgagor's primary dwelling to disclose specified information; authorizes a seller to void a transaction; requires the seller to repay specified amounts to a purchaser; provides that advertisements, publications, or notices relating to foreclosure proceedings must include the procedure for collecting surplus funds or list a telephone number or website at which the procedure will be explained; prohibits a court or clerk of court from entering a default or default judgment against a mortgagor in a proceeding to foreclose a mortgagor's primary dwelling if a return of service does not contain a required notice; includes a reference to a required notice for proceedings to foreclose a mortgagor's primary dwelling in orders to show cause in final judgment of foreclosure entries.