New Maryland Foreclosure Statute Amendment Protects Government Workers from Foreclosure during a Government Shutdown

On May 13, 2019, Maryland promulgated an Act containing a foreclosure stay provision, effective immediately, staying foreclosure actions on owner-occupied residential property of government workers, who are not being paid because of a government shutdown.  The law covers federal, state and local government employees, and applies whether or not an employee is required to report to work during a furlough.

Foreclosures are stayed for a time that a court “considers reasonable” but not for a period that ends more than 30 days after the end of a government shutdown without a showing of sufficient cause.

The new amendment to Maryland’s existing foreclosure statute can be viewed here.