Senate Bill 48 - Deceptive Foreclosure Practices

• Adds new § 509 to Title 6 of Delaware Code prohibiting any person from creating, using, or causing deceptive or fraudulent records, documents, or statements in foreclosure proceedings, including false claims about loan modifications, payment history, mortgage assignment validity, or code/court rule compliance.

• Grants the Delaware Attorney General enforcement authority under Chapter 25 of Title 29 and §§ 511-2527 and 2531-2536 of Title 6, but prohibits private citizens from pursuing enforcement through private causes of action.

• Establishes civil penalties of up to $10,000 per willful violation, with an additional $10,000 per violation for violations against elderly persons or persons with disabilities; each day a violation continues constitutes a separate violation.

• Defines willful violation as occurring when the violating party knew or should have known the conduct was prohibited.

• Protects innocent third-party purchasers by preventing title from being contested or deemed unmarketable based solely on a violation of this section after Superior Court confirms the foreclosure sale.