TITLE CARD: WHAT HAPPENS ONCE A FORECLOSURE LAWSUIT IS FILED?

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1 TITLE CARD: WHAT HAPPENS ONCE A FORECLOSURE LAWSUIT IS FILED? TITLE CARD: INTRODUCTION INT. COURTHOUSE DAY The PRESENTER faces the camera. PRESENTER Hello. This video will teach you about what happens once a mortgage foreclosure lawsuit is filed. A foreclosure lawsuit usually starts after you have missed three mortgage payments. The lawyer for your lender will start the process by filing a complaint in court. The lender is the plaintiff; you are the defendant. View the video Options for Avoiding Foreclosure, linked to below for further details about avoiding foreclosure. TITLE CARD: THE COMPLAINT AND SUMMONS The law requires that you be served with a copy of the complaint and with a summons. You might receive those documents by someone delivering them to you, or they might come in the mail. If they come in the mail, the mail might be addressed to you or to unknown owners. Remember, you do not have to move just because you received those papers. Do not ignore those papers! You should do 3 things when you receive those papers. First, try to talk to an attorney. Second, call your lender. Third, file your appearance and answer in court. [Mediation]: Many counties in Illinois have mediation programs that provide free help to homeowners facing foreclosure. The mediation program may help you learn about the foreclosure process, explore your

2 options, and work out an agreement with your lender. Click on the links on this page for more information. An attorney can tell you whether the papers were served in the right way, if you have any defenses to the lawsuit, and can help you work with your lender. Be sure to search the Helpful Organizations section below to find free or low-cost legal assistance. You should talk to your lender about alternatives. You have 90 days from the date you are served to bring your payments up to date. This is called reinstatement. You can discuss your options for reinstatement with your lender, such as a payment plan, or a change to the terms of your loan. The law gives you thirty days from the date you are served to file an appearance and answer. The summons will tell you where to go to file those things. A fee must be paid to file, but, depending on your income, you might be able to have the fee waived. Click on the links on this page for additional information about getting your fees waived. If you file an appearance and answer, the law says that notice of all future court proceedings must be sent to you. If you do not file the appearance and answer, you might not receive important notices. For example, you may not know when your house will be sold, or when you may be required to move. The next step in the court process is for the lawyer for the lender to schedule a court date to get a judgment against you. This could happen any time after 30 days from the date you were served. You will probably receive a notice in the mail. You can also get information about the status of your case by checking the records of the Clerk of the Court. [Cook County: Case Management Date]: If you live in Cook County, you will

3 receive a case management date on the summons. This date will be 60 days from when the foreclosure suit was filed. The lender can file a motion for judgment after the case management date has passed. You should not ignore your court case and any notices sent to you. You should go to any court dates. You must be on time for court. Bullet Point: You must be served a Summons Bullet Point: Talk to an attorney Bullet Point: Call your lender Bullet Point: File Appearance and Answer Bullet Point: You may be able to get court costs waived TITLE CARD: COURT DATE When you go to court, you should tell the judge if you did not receive the summons and complaint. You should also tell the judge if you are doing anything to try to save your home. This includes any options you are discussing with your lender. Bring with you any papers that you have that will help show the judge what you are doing. You should also tell the judge if you have hired an attorney or if you are trying to hire an attorney. [Notice]: After you file your appearance or attend a court hearing, you only have 60 days to use the defense that you were not given proper notice. If you think you were not given proper notice you should ask an attorney. At the first court date, the judge can continue the case, or the judge can enter the foreclosure judgment against you. If the case is continued, be sure to get a copy of the judge s order that indicates the next court date before you leave. Be sure to go to court on the next date listed in the order.

4 Bullet Point: Lender s attorney schedules court date Bullet Point: You should receive notice Bullet Point: Do not ignore court case Bullet Point: Tell judge all you are doing Bullet Point: Bring paperwork Bullet Point: Get a copy of judge s order TITLE CARD: JUDGMENT If the judge enters judgment against you, you still have some rights and you still do not have to move. You have at least 90 days to pay off your loan. This is called redemption. You can pay off the loan by refinancing or selling your home. You may request additional time from the court to sell your home. You should also continue to work with your lender on all options to save your home. If you do not pay off the loan or work out some other agreement with your lender, the lender will sell the property at auction after those 90 days run out. You do not have to move out before the sale. After the auction is held, the lawyer will schedule a court date to ask the judge to give possession of the property to the buyer. Generally, the law allows you thirty days after that court date before you must move. Bullet Point: You still have ninety days to work something out Bullet Point: Lender will sell house at auction Bullet Point: You do not have to move out until after the sale TITLE CARD: CONCLUSION Remember, you should continue to try to bring your mortgage current or pay it off. You should also try to work something out with your lender. Do not ignore papers from the court. Be sure to file your appearance and answer. And be sure to attend all court dates and tell the judge about any plans you have for bringing your mortgage current and for selling your home.

5 Finally, click on the links on this page for additional information. 5. Bullet Point: Continue trying to work something out Bullet Point: Do not ignore court papers Bullet Point: Attend all court dates Bullet Point: See links below Remember, there are many organizations and resources that can help answer your questions about Mortgage Foreclosure. Be sure to explore resources that can help you, contact your state or local bar associations, and visit illinoislegalaid.org for more information. Bullet Point: Explore helpful resources Bullet Point: Contact your state or local bar associations Bullet Point: Visit illinoislegalaid.org [Legal Help]: If you live in Cook County, you can call the Chicago Legal Clinic at [ ] or visit the Chancery Division Advice Desk in room 1303 at the Daley Center. Bullet Point: Chicago Legal Clinic hotline [ ] Bullet Point: Advice Desk Daley Center Room 1303, Monday Friday, 9:00 a.m. 4:30 p.m.