SB 1226: Homestead Foreclosure Relief

• Applies to mortgages on Florida homestead property entered into between January 1, 2004, and December 31, 2008.

• Establishes a statute of limitations for deficiency judgments of either one year after the final foreclosure judgment or July 1, 2014, whichever applies based on when the foreclosure judgment was entered.

• Limits lienholders to a 2-year collection period for moneys owed if a deficiency judgment is entered within the statute of limitations.

• Allows equitable tolling of the 2-year collection period only if the lienholder proves fraud or contempt of court by the debtor.

• Makes lienholders liable to debtors for actual damages, elimination of the lien in equity, attorney fees, and costs if they violate these provisions; effective July 1, 2013.