124 STAT. 2211 PUBLIC LAW 111–203—JULY 21, 2010 (2) NOTICE OF FORECLOSURE.—For any amounts made available under this section, under division B, title III of the Housing and Economic Recovery Act of 2008 (42 U.S.C. 5301), or under the heading ‘‘Community Planning and Development— Community Development Fund’’ in title XII of division A of the American Recovery and Reinvestment Act of 2009 (Public Law 111-5; 123 Stat. 217), the date of a notice of foreclosure shall be deemed to be the date on which complete title to a property is transferred to a successor entity or person as a result of an order of a court or pursuant to provisions in a mortgage, deed of trust, or security deed. SEC. 1498. LEGAL ASSISTANCE FOR FORECLOSURE-RELATED ISSUES. (a) ESTABLISHMENT.—The Secretary of Housing and Urban Development (hereafter in this section referred to as the ‘‘Sec- retary’’) shall establish a program for making grants for providing a full range of foreclosure legal assistance to low- and moderate- income homeowners and tenants related to home ownership preservation, home foreclosure prevention, and tenancy associated with home foreclosure. (b) COMPETITIVE ALLOCATION.—The Secretary shall allocate amounts made available for grants under this section to State and local legal organizations on the basis of a competitive process. For purposes of this subsection ‘‘State and local legal organizations’’ are those State and local organizations whose primary business or mission is to provide legal assistance. (c) PRIORITY TO CERTAIN AREAS.—In allocating amounts in accordance with subsection (b), the Secretary shall give priority consideration to State and local legal organizations that are oper- ating in the 125 metropolitan statistical areas (as that term is defined by the Director of the Office of Management and Budget) with the highest home foreclosure rates. (d) LEGAL ASSISTANCE.— (1) IN GENERAL.—Any State or local legal organization that receives financial assistance pursuant to this section may use such amounts only to assist— (A) homeowners of owner-occupied homes with mort- gages in default, in danger of default, or subject to or at risk of foreclosure; and (B) tenants at risk of or subject to eviction as a result of foreclosure of the property in which such tenant resides. (2) COMMENCE USE WITHIN 90 DAYS.—Any State or local legal organization that receives financial assistance pursuant to this section shall begin using any financial assistance received under this section within 90 days after receipt of the assistance. (3) PROHIBITION ON CLASS ACTIONS.—No funds provided to a State or local legal organization under this section may be used to support any class action litigation. (4) LIMITATION ON LEGAL ASSISTANCE.—Legal assistance funded with amounts provided under this section shall be lim- ited to mortgage-related default, eviction, or foreclosure pro- ceedings, without regard to whether such foreclosure is judicial or nonjudicial. (5) EFFECTIVE DATE.—Notwithstanding any other provision of this Act, this subsection shall take effect on the date of the enactment of this Act. States and local organizations. Grants. 12 USC 1701x–2.
