It shall be a prohibited practice for any foreclosing mortgagee to engage in any of the following practices:
(1) Holding a public sale on a date, at a time, or at a place other than that described in the public notice of the public sale or a properly noticed postponement;
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Terms Used In Hawaii Revised Statutes 667-56
Escrow: Money given to a third party to be held for payment until certain conditions are met.
Foreclosure: A legal process in which property that is collateral or security for a loan may be sold to help repay the loan when the loan is in default. Source: OCC
Mortgagor: means the mortgagor or borrower named in the mortgage and, unless the context otherwise indicates, includes the current owner of record of the mortgaged property whose interest is subject to the mortgage. See Hawaii Revised Statutes 667-1
Mortgagor: The person who pledges property to a creditor as collateral for a loan and who receives the money.
(2) Specifying a fictitious place in the public notice of the public sale;(3) Conducting a postponed public sale on a date other than the date described in the new public notice of the public sale;(4) Delaying the delivery of the recorded, conformed copy of the conveyance document to a bona fide purchaser who purchases in good faith for more than sixty days after the completion of the public sale;(5) Completing nonjudicial foreclosure proceedings during short sale escrows with a bona fide purchaser if the short sale offer is at least ten per cent greater than the public sale price; provided that escrow is opened within ten days and closed within forty-five days of the public sale; and provided further that a bona fide short sale purchaser shall have priority over any other purchaser;(6) Completing nonjudicial foreclosure proceedings during bona fide loan modification negotiations with the mortgagor; or(7) Completing nonjudicial foreclosure proceedings against a mortgagor who has been accepted or is being evaluated for consideration for entry into any federal loan modification program before obtaining a certificate or other documentation confirming that the mortgagor is no longer eligible for, or an active participant of, that federal program.
