Big Island Homeowners May Mediate Foreclosure ActionPosted on Jan 20, 2010 in Press Releases
For Hawaii Island Media Release: January 20, 2010
Homeowners on the Big Island who have been served with a foreclosure action on the residential property that they occupy may ask to participate in mediation with the lender before the case is heard by a judge.
Lenders seeking to foreclose on owner-occupied residential properties must now notify the borrowers that they have the option of mediation by serving the Foreclosure Mediation Notice on the borrower along with the complaint and summons.
Eligible borrowers may indicate their willingness to participate in mediation by filing a Foreclosure Mediation Request with the court.
“There are many good reasons why a borrower may want to try mediation as an option to litigation,” said Circuit Court Judge Greg Nakamura. “Litigation can be very expensive and time consuming. Mediation by a trained, neutral third party is a cheaper, more efficient and less divisive way to resolve a dispute.”
“When compared to the court process, mediation is more informal and parties have more time to negotiate and, hopefully, reach a joint agreement on the terms,” added Nakamura.
The Foreclosure Mediation Notice and Foreclosure Mediation Request forms may be obtained from the Judiciary’s website or from the Chief Court Administrator’s Office in Hilo.
The Foreclosure Mediation Project began on November 1, 2009 as a pilot project of the Third Circuit.
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Contact: Marsha Kitagawa 539-4909