HB1844 Summary

• Establishes new protections for residential mortgage foreclosures by requiring lenders to provide borrowers with 30 days' notice before initiating foreclosure and full documentation of the original note, mortgage, assignments, and available loan modification programs.

• Allows borrowers to elect judicial foreclosure or mediation without posting bond, with mediation costs paid by the lender; foreclosure mediators must be approved by the Arkansas Alternative Dispute Resolution Commission.

• Requires circuit clerks to conduct all judicial and statutory foreclosure sales as part of official duties; eliminates deficiency judgments for mortgagees using the statutory foreclosure process.

• Limits allowable expenses and attorney fees that lenders can charge borrowers, including title examination ($200 maximum), sheriff fees, and tiered attorney fees ($125 before notice of default, $500 before sale concludes).

• Increases the filing fee for notices of default and intention to sell from $140 to $165, with $25 per filing going to the Trial Court Administrative Assistant Fund and commissioner fees supporting circuit clerk operations.