H.C.R. 154 Summary

• Urges that surplus proceeds from mortgage foreclosure sales be paid to the previous mortgagor within 30 days after sale completion, after deducting liens, encumbrances, fees, and costs.

• Directs surplus funds to the unclaimed property trust fund under Hawaii Revised Statutes section 523A-26 if the previous mortgagor cannot be located.

• Requires foreclosing mortgagees to distribute sale proceeds in order of priority: first to all liens and encumbrances by legal priority, then to foreclosing mortgagee's fees and costs, then to junior creditors with valid liens in priority order (not pro rata), and finally any remaining balance to the mortgagor.

• Protects the mortgagee's power of sale rights as provided in the mortgage and Hawaii Revised Statutes chapters 501 and 502.

• Directs transmission of certified copies to the Governor, Director of Commerce and Consumer Affairs, and all county mayors.