foreclosure mediation webinar for housing counselors mediation update september 16, 2010 martin...

Foreclosure Mediation Webinar for Housing Counselors

Mediation Update

September 16, 2010

• Martin O'Malley• GOVERNOR

• Anthony G. Brown• LT. GOVERNOR•

• Raymond A. Skinner• SECRETARY•

• Clarence J. Snuggs• DEPUTY SECRETARY

Make the most of the Webinar

•Press *7 to unmute your phone•To Ask Questions•Click on Raise Hand•Type in Chat box

Agenda

•Outline Program Model from 8/9 call•Role of Legal Partners•Role of Housing Counselors• Form needed to make a referral•Next steps.•Questions

Purpose of the Call

• Update housing counselors and other partners on Maryland Foreclosure Mediation Program,

• Introduce Legal Partners in the Maryland Foreclosure Mediation Program, and

• To identify issues for partners in Maryland Foreclosure Mediation Program.

DHCDHOPEHotline

CounselingNetwork

LegalReferrals

CC:

DHCD

Pro BonoLow

Bono

HOPE Program FY-11

Legal Aid

MVLS

&

Reporting

CJ

Others

PBRCAttorneyTrainings

&

PBRCWorkshops

(as needed)

CJ of CounselPanels

Update on Maryland Mediation

• 28 Mediation Sessions were scheduled• First Mediation session last week was

successful in reaching settlement• Activity is increasing•Mediation fund was at approx. 200K as of

September 8, 2010• http://www.oah.state.md.us/

foreclosuremediation.asp for site information

Pro Bono Resource Center

• 501(c)(3) non-profit founded in 1990 as “pro bono arm” of Maryland State Bar Association• Mission is to promote equal access to justice in

Maryland by coordinating and supporting volunteer civil legal services, providing resources and support for legal advocates for the poor, and promoting cooperation within the legal community• Led Maryland Foreclosure Prevention Pro Bono

Project initiated in July 2008

Foreclosure: Pro Bono Resource Center

• Recruit Maryland attorneys to provide pro bono legal representation and advice to Maryland homeowners• Coordinate training of attorneys on Maryland

foreclosure laws and new mediation process• Recruit pro bono attorneys to provide free legal

advice to homeowners at statewide public workshops and mediation orientation sessions• Continue working in partnership with housing

counselors at public workshops• Direct homeowners to most appropriate legal

resources

Legal Aid

• Founded in 1911, the Legal Aid Bureau, Inc. ("Legal Aid") is a non-profit law firm that provides free civil legal services to low-income Maryland residents from 13 offices statewide.

• Mission: to provide our clients with high quality legal advocacy to protect and advance basic human rights. 

• Legal Aid’s areas of practice include housing, health care, government benefits, family, child advocacy, consumer, education, and employment. 

Foreclosure: Legal Aid

• Legal Aid’s Foreclosure Legal Assistance Project will provide representation to low-income residents of Baltimore City, Prince George’s and Montgomery Counties at foreclosure mediations, as well as providing continuing legal representation, in foreclosure cases when mediation is unsuccessful.  • Clients who meet the Maryland Legal Services

Corporation (MLSC) guidelines will be eligible for Legal Aid services. • Legal Aid’s goal is to assist at least 275 homeowners

facing foreclosure over the next year.  Legal Aid will also assist eligible homeowners with other related issues such as unemployment benefits and bankruptcy.  

Maryland Volunteer Lawyers Service

•Maryland Volunteer Lawyers Service (MVLS) is a 501(c)(3) nonprofit organization that connects low-income Marylanders in need of civil legal assistance with pro bono attorneys. •MVLS provides free (and in some cases low

cost) legal representation to Marylanders with limited income.  • Each eligible client is matched with a

volunteer lawyer who has the appropriate skills to provide quality representation. 

Civil Justice, Inc.

•Civil Justice, Inc. is a Maryland not-for-profit corporation formed for the purpose of increasing the delivery of legal services to clients of low and moderate income while promoting a statewide network of solo, small firm and community based lawyers who share a common commitment to increasing access to justice through traditional and non-traditional means.

Foreclosure: Civil Justice

• “Low Bono” legal services to eligible clients

• Continue to develop curriculum to train pro bono attorneys•Continue to provide mentoring to pro bono

project attorneys•Maintain Of Counsel panel for Housing

Counseling agencies

Legal Partners: Geographic Service Area

PBRCStatewide

Civil JusticeStatewide

Legal AidFree legal services to clients in Baltimore City, Montgomery Co., Prince George’s Co.

MVLSPro Bono/All other counties not covered by Legal AidOverlap in Baltimore City

Roles of the Partners in the ProjectCivil Justice: Train legal partners and counseling

agencies in loss mitigation strategies and process. Lead low bono referral program statewide.

Legal Aid: Provide free legal representation for homeowners in Baltimore City, Montgomery Co. and Prince George’s Co,. for mediation. (2 dedicated staff attorneys.)

MVLS: Case placement of pro bono legal services.

PBRC: Key workshop participant. Recruit and train volunteer core of attorneys for foreclosure prevention

)

Determining Eligibility: Pro Bono

•Homeowners must live in the property in foreclosure •Must not own any other property or a time

share. •Must not be currently represented by an

attorney or in bankruptcy.• Legal Aid will accept referrals of clients in

bankruptcy if they do not already have an attorney

Determining Eligibility- Pro Bono Services

General

• Income• Family Size• Assets

Other Circumstances & Hardships

• Unemployment• Disability• Seniors

Family SizeAnnual Income

Monthly Income

Weekly Income

1 $26,367 $2,197 $507

2 $34,480 $2,873 $663

3 $42,593 $3,549 $819

4 $50,707 $4,226 $975

5 $58,820 $4,902 $1,131

6 $66,933 $5,578 $1,287

7 $68,454 $5,704 $1,316

8 $69,975 $5,831 $1,346

9 $71,496 $5,958 $1,375

10 $73,017 $6,085 $1,404

Determining Income Eligibility based on MLSC Guidelines- Pro Bono

What should be included as Assets for Pro Bono Services

• Legal Aid and MVLS have asset limits which may make a client ineligible, but generally do not disqualify most income eligible clients

• Screening for assets will be done once the case is referred to either Legal Aid or MVLS

Role of Housing Counselor

If/when the client receives the Final Loss mitigation Affidavit and request for Foreclosure Mediation, you should

• Help the client to opt-in to mediation by sending in correct material in the preprinted envelope(s) and enclosing the $50 court fee or requesting a waiver of the fee.

• You can make a request for legal assistance by filling our the appropriate referral form and sending it to the appropriate referral agency

• You can still work to obtain a modification for the client.(coordinate with the legal service provider)

Where to refer clients

• If your client is eligible for free Legal Assistance, they should be sent to Legal Aid or MVLS.

Legal Aid - Baltimore City, Montgomery Co. or Prince George’s Co. and to

MVLS – All other counties in MD. • If your client is not eligible for free legal

assistance, they should be referred to Civil Justice to retain a low bono attorney for a $500 fee.

Form for Referral to Legal Services

Form for Referral to Legal Services

Form should be sent via email to

•Civil Justice (if low bono eligible)•MVLS (if pro bono eligible)• Legal Aid- Clients should call Legal Aid

Foreclosure Legal Assistance Number (number will be set up by September 1)

With a cc: to DHCD HOPE MAILBOX

HopeInfo@mdhousing.org

Ineligible Clients – Next Steps

•Create Online Handbook and Tutorial for clients who do not qualify for pro bono and who cannot afford low bono…(similar to bankruptcy pro se representation product.)

•Create a Training/Workshop for homeowners without legal representation in mediation

“The Ever Changing Program”

• In July, many counties saw at least a 95 percent drop in filings.• Based on volume & capacity, the servicing

agencies may have to change what they are doing and may have to change protocol. •HOPE Hotline Script revisions

Upcoming Events

• Tuesday, September 28: Follow-Up Mediation Training for Housing Counselors Location: Crownsville

• Wednesday, October 13: HOPE Quarterly MeetingLocation: Crownsville

To Registerhttp://www.neighborhoodrevitalization.org/

BLUE TRAINING SQUARE

Contact Information- DHCD Staff

Reginald Stanfield

Director,

Community Programs

stanfield@mdhousing.org

410-514-7209

Karen Ashby

Assistant Director , Community Programs

ashby@mdhousing.org

410-514-7289

Claudia Wilson Randall

Project Manager

wilsonrandall@mdhousing.org

410-514-7234

LaAndra Jones

Project Manager

jonesL@mdhousing.org

410-514-7232

Contact Information- DLLR Staff

Anne Balcer NortonAssistant Commissioner of Financial RegulationNon-depository InstitutionsDLLR500 N. Calvert StreetBaltimore, Maryland 21202410/230-6390 410/336-2534 (cell)

anorton@dllr.state.md.us

Contact Information- Legal Aid

Cheryl L. HystadDirector of AdvocacyLegal Aid Bureau, Inc.500 E. Lexington StreetBaltimore, MD 21202410-951-7813410-685-6951 (fax)chystad@mdlab.org

• see www.mdlab.org.

Contact Information- Pro Bono Resource Center

Jennifer A. Larrabee, Esq.

Manager

Foreclosure Prevention Pro Bono Project

Pro Bono Resource Center of Maryland

520 W. Fayette Street

Baltimore, Maryland 21201

410-837-9379; 800-396-1274

www.probonomd.org

Contact Information- MVLS

Bonnie Sullivan

Executive Director

Maryland Volunteer Lawyers Service

One North Charles Street, Suite 222

Baltimore, MD 21201

Phone: (443) 451- 4060

Fax: (443) 451-4081

bonnie@mvlslaw.org

Contact Information- Civil Justice

Carrie McCully

Project Coordinator

Civil Justice Inc.

520 W. Fayette Street

Baltimore, MD 21201

410-706-0174

Fax (410) 706-3196

cmccully@civiljusticenetwork.org

NEW MEDIATION HOTLINE 410-706-5649

LOW BONO FORECLOSURE MEDIATION ONLY

QUESTIONS??