Alaska Legislation Positively Clarifies Foreclosure Process
- UTA Recommends Slight Revisions -

Legislation has been introduced in Alaska, HB 108, that would change the foreclosure process.  Introduced by Rep. Jay Ramras (D-10), the bill was referred to the House Judiciary Committee.  Hearings were held on the bill last year.  The current session ends in mid-April.

While UTA generally supports the bill, the Association has contacted the Chair of the Judiciary Committee (and the entire committee) to express suggested revisions to the legislation.  Stephen Routh, Esq., Counsel for Routh Crabtree was involved with the negotiations of many of the positive elements of the bill.  The legislation helps avoid forced mediations and eliminates many cumbersome foreclosure processes while bringing clarity to many areas that have been muddled by court decisions.

With the assistance of contributions from Michelle Mierzwa, Esq, Counsel for Cal-Western Reconveyance, UTA pointed out concerns with both the five-day TDUS period and the with the escrow deposit requirement via a letter to Alaska House Judiciary Chair Hollis French.  The letter was distributed to each member of the committee.

As summarized by the bill’s sponsor, the legislation would:

• Clarify how proceeds from a foreclosure auction are to be disbursed
• Assure that foreclosure trustees are fiscally responsible by imposing reasonable bond requirements
• Allow trustees to nullify sales when mistakes are made that negatively affect the integrity of the sale
• Set up procedures to follow involving a deceased borrower
• Create common-sense rules to govern times and methods for posting foreclosure properties
• Define when one's rights are terminated in the foreclosure process
• Allow acceptance of foreclosure auction bids via email, internet, and telephone for greater accessibility
• Propose new publication requirements

Read the legislation

Read UTA’s letter to the Alaska Judiciary Chair