SB1259 EnrolledLRB097 00223 AJO 40238 b

1    AN ACT concerning civil law.
 
2    Be it enacted by the People of the State of Illinois,
3represented in the General Assembly:
 
4    Section 5. The Code of Civil Procedure is amended by adding
5Section 15-1401.1 as follows:
 
6    (735 ILCS 5/15-1401.1 new)
7    Sec. 15-1401.1. Short sale in foreclosure.
8    (a) For purposes of this Section, "short sale" means the
9sale of real estate that is subject to a mortgage for an amount
10that is less than the amount owed to the mortgagee on the
11outstanding mortgage note.
12    (b) In a foreclosure of residential real estate, if (i) the
13mortgagor presents to the mortgagee a bona fide written offer
14from a third party to purchase the property that is the subject
15of the foreclosure proceeding, (ii) the written offer to
16purchase is for an amount which constitutes a short sale of the
17property, and (iii) the mortgagor makes a written request to
18the mortgagee to approve the sale on the terms of the offer to
19purchase, the mortgagee must respond to the mortgagor within 90
20days after receipt of the written offer and written request.
21    (c) The mortgagee shall determine whether to accept the
22mortgagor's short sale offer. Failure to accept the offer shall
23not impair or abrogate in any way the rights of the mortgagee

 

 

SB1259 Enrolled- 2 -LRB097 00223 AJO 40238 b

1or affect the status of the foreclosure proceedings. The 90-day
2period shall not operate as a stay of the proceedings.
 
3    Section 99. Effective date. This Act takes effect upon
4becoming law.