Posted by JT-IN on May 13, 2007 at 17:46:14:
Esty:
The foreclosure sale extinguishes your redemption rights in NY. There have been opposing views by the courts on this issue and it has been tried and determined. Read the scenario below on NY FC case:
“[Foreclosure/Right of Redemption: Bank foreclosed mortgage and conducted sale. Mortgagor attempted to redeem the property 6 days after the sale. Bank, who had not delivered the deed, was agreeable and moved to set aside the sale based upon language in the terms of sale that gave bank the right to extend the redemption period. The Supreme Court, Suffolk County denied and the Second Dept. sustained. The Court reminded the parties that the right of redemption is extinguished by the foreclosure sale, notwithstanding non-delivery of the deed. Here, the bank relied upon the terms of sale to effectuate an extension. However, the judgment of foreclosure provided that the sale terminated the right of redemption. The judgment prevailed over the terms of sale. Deutsche Bank Co. of Cal., N.A. v DePalo, 2007 NY Slip Op 01826, Appellate Division, Second Department, March 6, 2007]”
The “BUT” comes in with the fact that you contend you did not receive notice. You must check to see if they may have provided notice by publication, meaning they didn’t serve you personally, but did advertise the event properly, which could fulfill for notice. The court would likely have had to authorize the advertisement for notice. Barring another form of “Notice”, then this should be a material factor here.
I have seen sales in OH be set aside well after confirmation and any chance for a redemption, (usually in divorce cases) where an ex-spouse no longer occupying the property, and no longer on the deed, was but still on the mtg, did not receive notice of the case or the sale. Big mistake on the part of the Foreclosure Atty. So in my opinion, the door is till open here.
Now here comes the Atty advice; Get one NOW. Don’t get your buddies Atty who handled his divorce, get a real live and highly experienced foreclosure Atty. You must have your Atty motion the court immediately. One factor that will be somewhat important is who bought it at sale…? If it was the Bank/Lender, then that is your best issue. If a 3rd party purchased it, and adamently wants the property, this could complicate the matter somewhat. Until they realize that they may not be able to obtain clear title to the property… You have not been foreclosed properly.
That is my take on it. Please report back what happens, as it is situations like this that serve to build knowledge for many who participate here. Wish that was your only involvement too, but you just need to slay the dragon here and hope for the best. I’ll be pulling for you here. Good luck.
JT-IN