SB701,3,1210 (b) "Mortgagee negotiator" means a mortgagee or mortgage servicer who has
11the authority to enter into negotiations regarding modifications to a mortgage loan
12involving owner-occupied residential property.

SB701,3,1513 (c) "Mortgage modification program" means the federal home affordable
14modification program established by the U.S. department of the treasury under 12
15USC 5219.

SB701,4,216 (d) "Mortgage modification program participant" means a financial institution
17or mortgage servicer that has executed an agreement with the Federal National

---

1Mortgage Association, in its capacity as financial agent for the United States, to be
2a participant in the mortgage modification program.

SB701,4,33 (e) "Mortgage servicer" means the servicing agent of the mortgagee.

SB701,4,64 (f) "Owner-occupied residential property" means a one-family to 4-family
5dwelling, which, at the time the mortgage loan was originated, was occupied or
6intended to be occupied, by the mortgagor as his or her place of residence.

SB701,4,10 7(2) Notification. Before commencing an action to foreclose on a mortgage loan
8involving owner-occupied residential property, a mortgage modification program
9participant shall provide to the mortgagor at his or her last-known address by
10certified mail a written notice that contains all of the following information:

SB701,4,1311 (a) That the mortgage loan is in default and a mortgage foreclosure action may
12be commenced, the reason that the mortgage loan is in default, and the action
13required of the mortgagor to cure the default.

SB701,4,1414 (b) The name, address, and telephone number of the mortgagee negotiator.

SB701,4,1815 (c) The names and addresses of adjustment service companies licensed under
16s. 218.02, and of independent nonprofit organizations approved by the federal
17department of housing and urban development, that offer credit counseling services
18to homeowners.

SB701,4,2119 (d) That the mortgagor may request to be considered under the mortgage
20modification program for a modification to the mortgage loan by contacting the
21mortgagee negotiator.

SB701,5,2 22(3) Affidavit. (a) In any mortgage foreclosure action involving owner-occupied
23residential property, the plaintiff shall file an affidavit with the court stating
24whether the mortgage loan is owned, securitized, or guaranteed by a

---

1government-sponsored enterprise and whether the mortgagee or mortgage servicer
2is a mortgage modification program participant.

SB701,5,73 (b) If the affidavit in par. (a) states that the mortgage loan is owned, securitized,
4or guaranteed by a government-sponsored enterprise and that the mortgagee or
5mortgage servicer is a mortgage modification program participant, a copy of the
6affidavit shall be attached to the complaint given to the mortgagor and the affidavit
7shall include a statement showing one of the following:

SB701,5,98 1. That the mortgage loan is not eligible for modification under the mortgage
9modification program.

SB701,5,1210 2. That the process required by the mortgage modification program has been
11properly completed without resulting in a modification of the mortgage loan and that
12the plaintiff has sent written notification of that result to the mortgagor.

SB701,5,1513 (c) If the affidavit in par. (a) includes a statement showing that the mortgage
14loan is not eligible for modification under the mortgage modification program, the
15affidavit shall include the reason for that determination.

SB701,5,19 16(4) Determination. (a) In all mortgage foreclosure actions involving
17owner-occupied residential property, the court shall not enter a judgment of
18foreclosure and sale until the court has received a copy of the affidavit as required
19under sub. (3) and made the determination required under par. (d).

SB701,6,220 (b) If the court determines that the mortgage modification program is
21applicable to the mortgage loan but that the process to determine if a modification
22will be made under that program has not been completed, the court shall stay the
23foreclosure action until the program's requirements are completed. If the action is
24stayed, the plaintiff shall advise the court of the status of the action every 45 days.

---

1If the plaintiff fails to advise the court of the status of the action every 45 days, the
2court may dismiss the foreclosure action.

SB701,6,53 (c) If the mortgage loan is modified under the mortgage modification program,
4and the mortgagor is complying with the terms of the modification, the plaintiff shall
5immediately notify the court and the court shall dismiss the foreclosure action.

SB701,6,76 (d) If the court determines that the facts set forth in the affidavit under sub.
7(3) are not in dispute, the foreclosure action may continue.

SB701,6,98 (e) This subsection does not preclude the plaintiff from voluntarily dismissing
9the foreclosure action.

SB701,6,12 10(5) Mortgage modification program participants. The department of financial
11institutions shall maintain a current list of mortgage modification program
12participants on the department's public Internet Web site.

SB701,6,13 13(6) Termination. This section does not apply after December 31, 2012.

SB701,6,1816 846.35 (1) (a) (intro.) If residential rental property is the subject of a foreclosure
17action, the plaintiff shall provide the following written notices at the following times
18to the tenants who are in possession of each rental unit when a notice is given:

SB701,6,2321 846.35 (1) (a) 1. No later than 5 30 days after the foreclosure action is filed,
22notice that the plaintiff has commenced a foreclosure action with respect to the rental
23property.

SB701,7,4

---

1846.35 (1) (a) 2. No later than 5 30 days after the judgment of foreclosure is
2entered, notice that the plaintiff has been granted a judgment of foreclosure with
3respect to the rental property and notice of the date on which the redemption period
4ends.

SB701,7,76 846.35 (1) (am) Each notice under par. (a) shall include a statement of the
7rights and obligations of the tenant specified under sub. (2).

SB701,7,1810 846.35 (1) (b) 2. By certified mail with return receipt requested supported by
11a certificate of mailing obtained from the U.S. post office from which the mailing was
12made, and, separately, by first class mail. Notice given under this subdivision is
13considered completed when it is mailed, unless the envelope enclosing the notice is
14returned unopened to the plaintiff both mailings are sent, postage pre-paid, to the
15tenant, or, if the tenant's name is unknown to the plaintiff, to the occupant, at each
16rental unit address. All notices mailed under this subdivision shall be mailed in
17envelopes upon which the plaintiff's, or the plaintiff's attorney's, return address
18appears, with a request to return to that address.

SB701,7,2321 846.35 (2) (a) (intro.) Notwithstanding ss. 708.02 and 710.10 (3) and ch. 704,
22all of the following apply to a tenant whose tenancy is terminated as a result of a
23foreclosure judgment and sale with respect to the rental property:

SB701,8,5

---

1846.35 (2) (c) After the sale of the property is confirmed and during the period
2that the tenant retains possession under this subsection, the purchaser at the sale
3and the tenant shall have all of the rights and obligations of a landlord and tenant,
4respectively, under ch. 704 and under the tenant's lease, if any, with respect to each
5other and the property.

SB701,8,138 846.35 (6) Penalties. If a plaintiff fails to provide a notice under par. sub. (1)
9(a) in accordance with pars. sub. (1) (a), (am), and (b), or fails to comply with sub. (5),
10the court shall award the tenant to whom the notice should have been given or who
11should not have been named as a defendant $250 in damages, plus reasonable
12attorney fees. A tenant may not recover under this paragraph for more than one
13notice violation.