Nevada Foreclosures Legal Questions

I'm not sure what you mean by "legal representative." If a decedent dies with a will, the probate court appoints an executor. If the person dies intestate (without a will), the court appoints an administrator. Executors and administrators are called "personal representatives." If the parents had a living trust, their daughter would be called the trustee. If I understand correctly, you are asking whether the personal representative can sue for a breach of contract that occurred before she became the representative (that is before her parents died). The answer is yes. But the suit has to be filed within the statutory limitations period. The statute of limitations for breach of written contract is four years. So the personal representative can sue only for missed payment within four years immediately preceding the date the lawsuit is filed.... Read More

The County Recorder is not the arbiter of priority of liens.  Lien priority is a matter of statute and then timing.  Therefore the answer to your question is no.  However you can still contest the documents presented by the Lender in the FMP mediation--which continues to be a very effective defense.... Read More

The issue of whether to foreclose or not is complex. Foreclosure will adversely affect your credit and potentially subject you to future collection. I suggest you review your specific circumstance with an experienced lawyer. You have options other than foreclosure, including a loan modification. But a review of your documents, your financial situation and your goals is necessary to advise you moving forward.... Read More

It depends on the law of the state where the property is located. In Arizona you have 6 months after the sheriff's sale to redeem. If you fail to redeem in that period then the new owner holds free title. Since your e-mail does not state where your property is located - please talk to a good foreclosure attorney in the state where you live.... Read More

The term "compromise settlement" is not a legally defined term under Nevada law. While the term is used in various statutes (see e.g. NRS 17.115--Offer of judgment), the context of each is a negotiated, arms length agreement to settle. You did not negotiate or settle with your lender. Your lender had legal rights against you to conduct a non-judicial foreclosure which it exercised. Your lender may have had rights to pursue deficiency judgment against you post-foreclosure which your Lender(s) elected not to pursue. Therefore your situation has none of the elements of what I would consider a compromise or settlement (or compromise settlement).... Read More

The answer to your question regarding whether eviction is automatically stayed is no.  You should file an Emergency Motion on Order Shortening Time to allow reentry of the premises.  Unfortunately after the foreclosure, you could have petitioned the Court for injunctive relief to stay any eviction.  Even once the Eviction occurred, you could have petitioned the Court to stay the eviction pending reconsideration or appeal.  At this time, after lockout has occurred, your road to injunctive or temporary relief is much more limited now. You should further be cognizant not to waive appellate deadlines which may apply to your Order and which are not tolled by a "Motion to Rescind."... Read More

The general answer is that many mediations center on questions of damages.  However your question appears to be directed to the Nevada Supreme Court Foreclosure Mediation Program, which only addresses whether the Borrower and Lender can reach an accord regarding modification of the loan and/or non-retention options for the property.  There is no damages component. However if you believe that the Lender does not properly possess the paperwork, one of the requirements for foreclosure mediation is that the Lender present certifications regarding its possession of the Note and Deed of Trust (as well as any assignments).  You should be familiar with the Foreclosure Mediation Rules regarding certifications of documents before your Foreclosure Mediation.... Read More

Unfortunately for you, after a foreclosure, a foreclosing lender has no duty to and will not pay off junior lienholders after the foreclosure.  While in a short sale it is not uncommon for the 1st Trust Deed lender to allow some payments to juniors (to make sure that the sale proceeds), there is no leverage or basis for any payments after the foreclosure occurs. With that being said, in regards to your Second Lender pursuing a deficiency, you should be aware that Nevada has tightened the time lines and terms for second trust deed holders to pursue their deficiency rights.  You should definitely explore and understand your rights and remedies, including speaking with Counsel who is familiar to deficiency rights.... Read More

While there is an ambiguity under Nevada law regarding the rights of a tenant after a Notice of Default (but before foreclosure sale) to be able to elect to terminate a lease agreement, there is no ambiguity regarding the duties of a tenant to continue to pay rent while continuing to occupy the property.  You should have received a "Notice of Tenant's Rights" form from the lender at the time of the Notice of Default.  Pursuant to NRS 107.087, this form should expressly state that, between the date of the Notice of Default and the date of the sale, you may be evicted if you fail to pay rent or live up to your other obligations to the Landlord.  If you fail to pay rent to the Landlord, the Landlord will have the right to evict you.... Read More

Your question implicates a variety of factors which are unique to every lender.  The first question is whether the debt is a commercial or residential debt.  The second question is whether the lender is in first position or is a junior lienholder.  The third question is who/what is the lender (national bank, local bank, credit union, etc.)  Lenders likewise look at the viability of collection upon  any judgment as well as costs of pursuing the deficiency litigation.  Credit and assets of the debtor are also a factor which many lenders will consider.  Because the nebulousness of factors, many borrowers seek to negotiate express deficiency waivers as part of any disposition of their properties. ... Read More

The law regarding deficiency judgments on foreclosed out junior lienholders changed during the 2011 Legislative Session.  For foreclosure sales occurring after July 1, 2011, a junior lienholder who has been foreclosed out (meaning had its security interest extinguished by foreclosure by a senior lienholder) must file its lawsuit within 6 months after the foreclosure sale.  The statute of limitations used to be 6 years.  Please note that this statute of limitations change applies only to foreclosure and not to short sale; however profound changes to short sale laws occurred also.... Read More

Unfortunately you are out of luck. The credit hit from a short sale is inevitable, and would be there regardless of how late you were in your payments, and while many banks officially say that you do not have to be late in payments, short sales are rarely approved for mortgages that are not in default. I'm not saying that there's not a technical legal argument against what they did, but I dont think its an argument any judge would accept, and I'd consider such a suit a waste of your money.... Read More