Commercial Foreclosure Defense

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Defending a Commercial Foreclosure

Experienced Commercial Foreclosure Defense Attorneys Helping Florida Business Owners Develop Comprehensive Debt Solution Strategies

Going through a foreclosure is a stressful process. However, foreclosures for commercial properties add an extra layer of pressure. If you stop paying your commercial mortgage expenses, your lender can choose to pursue legal action and foreclose your property.

In the instance that they are successful with their foreclosure, your business, finances, and even your family can be impacted.

Commercial mortgage delinquency rates skyrocketed during the COVID-19 pandemic nearing record levels in June of 2020.

Thankfully, there are various commercial foreclosure defense options in such situations. It’s important to act quickly, talk to an experienced foreclosure defense attorney, and learn all your alternatives.

Below, we’ll walk through some common commercial foreclosure defense strategies our attorneys employ.

Mediation

Worried business owners calculating finances - Small restaurant entrepreneurs SME go bankrupt due to Coronavirus pandemic - Young woman and man with headache and overwhelmed by financial difficulties - Commercial Foreclosure Defense Attorneys Foreclosure Defense Group The first option for a commercial foreclosure defense is mediation. Mediation is essentially the process of resolving a dispute through intervention, often with an impartial third party.

For commercial foreclosures, the mediation process will traditionally include you, your mortgage lender, both sides’ attorneys, and a mediator. The mediator themselves will not provide you or the lender with legal advice. Rather, they act as a person who will help facilitate compromise.

With your foreclosure defense lawyer present, they will attempt to negotiate with the lender and their lawyer to create a payment plan that works well for you both. With this, you may hopefully retain your property and avoid the foreclosure process.

Failed Compliance of Pre-Suit Requirements

In the majority of commercial mortgages, a lender is required to send the borrower a pre-suit letter prior to filing a foreclosure complaint. A pre-suit letter, as the name suggests, is a pre-lawsuit notice that informs the potential defendant of the sender’s intent to file a lawsuit. This letter can only be sent after 30 days of a missing mortgage payment.

This pre-suit letter will contain information about your default, which means you are not complying with the terms or conditions of the mortgage. Additionally, they should detail ways in which you may bring your loan back to proper standing. The pre-suit letter must be mailed to the commercial business address as well. If any of these requirements for pre-suit letters are not met, they may act as grounds for commercial foreclosure defense.

Improper Service

Another commercial foreclosure defense is the instance of improper service. This means that they did not properly serve your notice of foreclosure. After your lender complains about your default to the court clerk, they will serve you and your business separately.

Your individual service will either be at your home or at your commercial business. However, a server can also opt for a substitution service which means a relative can accept the service as well. Though lenders prefer to attempt service through publication since they could avoid the lender defending themselves, the only way this is permitted is if they attempted to serve you personally prior.

Personal service refers to direct contact. If they leave the complaint in your mailbox, it is illegal. Thus, the process of foreclosure is complex, and if any step of it is out of place it can be deemed improper.

Schedule A Free Consultation With A Commercial Foreclosure Defense Attorney

The aforementioned defenses are some of the most common defense methods in the instance of commercial foreclosure. There are, however, more options for commercial foreclosure defense. For this reason, it’s vital to hire an experienced Florida foreclosure defense attorney.

In Florida, our Foreclosure Defense Law Firm has over 30 years of experience handling foreclosure-related matters and maintains an A+ BBB rating. When going through a commercial foreclosure, having our Foreclosure Defense Law Firm represent you can ensure you take all the necessary precautions to prevent financial stress. Call or contact us today for a free consultation to discuss how we can help you best.

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