D.C. Mun. Regs. tit. 26, r. 26-C2708

Current through Register Vol. 71, No. 49, December 6, 2024

Rule 26-C2708 - ELECTION TO PARTICIPATE IN MEDIATION

2708.1

A borrower to whom a Notice of Default on Residential Mortgage (Form FM-1) is mailed pursuant to Section 2703 shall be eligible for mediation prior to the issuance of a Notice of Intention to Foreclose a Residential Mortgage (Form FM-5) by making an election pursuant to Subsection 2708.2 within thirty (30) days of the date of mailing of the Notice of Default on Residential Mortgage (Form FM-1).

2708.2

To elect to participate in mediation pursuant to this chapter, a borrower shall, within thirty (30) days of the date of mailing of the Notice of Default on Residential Mortgage (Form FM-1):

(a) Complete and mail, using the preaddressed envelope, to the lender the following:

(1) The Loss Mitigation Application included with the Notice of Default on Residential Mortgage received from the lender; and

(2) A copy of the Mediation Election Form (Form FM -2) to be sent to the Mediation Administrator pursuant to paragraph (b) of this subsection; and

(b) Complete and mail, using the preaddressed envelope, to the Mediation Administrator the following:

(1) The Mediation Election Form (Form FM -2) which was included with the Notice of Default on Residential Mortgage (Form FM-1) received from the lender;

(2) A copy of the Loss Mitigation Application submitted to the lender pursuant to paragraph (a) of this subsection; and

(3) The mediation fee in the amount of fifty dollars ($50).

2708.3

The fee required pursuant to Subsection 2708.2(b)(3) shall be in the form of a check or money order payable to the "District of Columbia Treasurer". No other form of payment will be accepted.

2708.4

Where there is more than one (1) borrower subject to the residential mortgage for which the Notice of Default on Residential Mortgage (Form FM-1) is issued, and at least one (1) of the borrowers makes an election pursuant to Subsection 2708.2 within thirty (30) days of the date of mailing of the Notice of Default on Residential Mortgage (Form FM-1), the Mediation Administrator shall schedule a mediation which shall include each borrower subject to the residential mortgage for which the Notice of Default on Residential Mortgage (Form FM-1) is mailed who makes a timely election pursuant to Subsection 2708.2.

2708.5

A borrower that does not make a timely election pursuant to subsection 2708.2 after receiving a Notice of Default on Residential Mortgage (Form FM-1) forfeits his or her right to mediate the default for which the Notice of Default on Residential Mortgage (Form FM-1) is issued as provided by the Act or this chapter unless good cause is shown to the Mediation Administrator.

2708.6

A borrower that does not make a timely election pursuant to subsection 2708.2 after receiving a Notice of Default on Residential Mortgage (Form FM-1) may participate in mediation pursuant to Subsection 2712.5(f) or Subsection 2712.6.

D.C. Mun. Regs. tit. 26, r. 26-C2708

Emergency and Proposed Rulemaking published at 58 DCR 2958 (April 8, 2011)[EXPIRED]; as amended by Emergency and Proposed Rulemaking published at 58 DCR 8247 (September 23, 2011)[EXPIRED]; as amended by Final Rulemaking published at 58 DCR 11469 (December 30, 2011); as amended by Final Rulemaking published at 61 DCR 6390 (June 27, 2014)

Authority: Section 539 b of An Act to establish a code of law for the District of Columbia, approved March 3, 1901 (31 Stat. 1189; D.C. Official Code § 42-815.02(j) (2012 Repl.)), and Mayor's Order 2011-51, dated March 2, 2011.