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HB 2067 seeks to amend the Civil Practice and Remedies Code to establish that if the maturity date of a series of notes or obligations or a note or obligation payable in installments and secured by a real property lien is accelerated and the accelerated maturity date is rescinded or waived before the limitations period expires, the acceleration is deemed rescinded and waived and the note, obligation, or series of notes or obligations is to be governed by statutory provisions relating to real property liens as if no acceleration had occurred.
HB 2067 would establish that a rescission or waiver of acceleration is effective if made by a written notice served by the lien holder, the servicer of the debt, or an attorney representing the lien holder on each debtor who, according to the records of the lien holder or the servicer of the debt, is obligated to pay the debt.
The bill requires service of the written notice to be by first class or certified mail and establishes that service is complete when the notice is deposited in the United States mail, postage prepaid and addressed to the debtor at the debtor's last known address. The bill specifies that the affidavit of a person knowledgeable of the facts to the effect that service was completed is prima facie evidence of service. The bill specifies that a written notice served under the bill's provisions does not affect a lien holder's right to accelerate the maturity date of the debt in the future nor does it waive past defaults.
HB 2067 would not expressly create an exclusive method for waiver and rescission of acceleration or affect the accrual of a cause of action and the running of the related limitations period on any subsequent maturity date, accelerated or otherwise, of the note, or obligation, or series of notes or obligations.
The bill applies with respect to a maturity date accelerated before,
on, or after the bill's effective date and any notice of a rescission or waiver of an accelerated
maturity date served before, on, or after the bill's effective date.
This bill takes effect immediately if passed with 2/3 of both chambers or on September 1, 2015.
HB 2067 seeks to help prevent lien maturity from accelerating even after a rescission or waiver of acceleration has gone into effect. This would help protect lien holders from accruing unreasonable debt when they are actively trying to manage and pay down their debts. We are neutral on this legislation.