N.Y. Real Prop. Acts. Law § 280-d

§ 280-d. Federal home equity conversion mortgage default and\nforeclosure regulation. 1. For the purposes of this section, the\nfollowing terms shall have the following meanings:\n (a) Reverse mortgage loan. A reverse mortgage loan as defined in\nsection two hundred eighty of this article, which is issued in this\nstate pursuant to the home equity conversion mortgage for seniors\nprogram operated by the federal Department of Housing and Urban\nDevelopment.\n (b) Authorized lender. An authorized lender as defined in section two\nhundred eighty of this article authorized to make reverse mortgage\nloans, as defined in this section.\n (c) Department. The department of financial services established\npursuant to section one hundred two of the financial services law.\n 2. In addition to the requirements of section one thousand three\nhundred four of the real property actions and proceedings law, an\nauthorized lender shall include in the notice required by such section\nany additional information required by the department. The department is\nhereby authorized to promulgate rules and regulations requiring that a\nnotice issued pursuant to subdivision one-a of section one thousand\nthree hundred four of the real property actions and proceedings law\ninclude additional information necessary to explain the mortgagor's\nrights in a foreclosure process.\n 3. In addition to the requirements of section one thousand three\nhundred six of the real property actions and proceedings law, each\nfiling with the department that relates to a reverse mortgage loan shall\ninclude an affirmative statement that the lender, assignee or mortgage\nloan servicer either received final approval from the federal Department\nof Housing and Urban Development to accelerate the reverse mortgage loan\nthat is the subject of the filing or that no such approval from the\nfederal Department of Housing and Urban Development is required.\n 4. Authorized lenders shall comply with all applicable laws,\nregulations and any guidelines issued by the federal Department of\nHousing and Urban Development on loss mitigation for reverse mortgages\nand shall maintain policies on loss mitigation that shall be updated\nwhen necessary to ensure compliance with all applicable rules. Each\nauthorized lender shall maintain loan level data and loss mitigation\ndata for all loans associated with a repayment plan including, but not\nlimited to:\n (a) monthly surplus income;\n (b) term of repayment plan;\n (c) amount of monthly repayment plan;\n (d) due date of each monthly payment;\n (e) when a mortgagor experiences a hardship; and\n (f) the nature of the hardship.\n 5. Any person who has been injured by reason of any violation of this\nsection may bring an action in his or her own name to recover treble his\nor her actual damages, plus the prevailing plaintiff's reasonable\nattorney's fees.\n 6. The requirements of this section shall be conditions precedent to\ncommencing an action to foreclose upon a home equity conversion mortgage\nwhich is subject to the provisions of this section, and failure to\ncomply therewith shall be a complete defense to a foreclosure action.\n