Commercial Foreclosure Lawyer in Memphis
In Tennessee, a creditor may begin a commercial foreclosure in two different ways. A foreclosure can be ordered by the court after a creditor files a petition. In addition, a creditor may also initiate foreclosure without court intervention if the borrower met the contractual conditions that justify foreclosure. Memphis commercial foreclosure lawyers can assist you in understanding the laws as they apply to you.
Tennessee commercial foreclosure laws
Commercial foreclosure is regulated by both state and federal laws. If you are facing a foreclosure in Memphis, it is to your advantage to be aware of the following laws:
- The Notice of Sale must be published. After a foreclosure, the sale of the property must be published three times in a newspaper that is distributed throughout the county in which the property is located. The notice must be published a minimum of 20 days before the date of the auction, and the lender must notify the debtor regarding the sale before the first notice is published.
- Cure of mortgage default. In Tennessee, the debtor may cure the debt during the period before the foreclosed property is put up for sale. This means that the debtor may pay the debt, and the property returns to the creditor, in order to restore his or her legal status to what it was before defaulting on the loan.
- Right of redemption. When a creditor forecloses on a property, the borrower in default may redeem the property within two years after the sale. The debtor is then responsible for the price paid by the purchaser plus interest as well as the charges that the purchaser incurred while purchasing the property, such as legal fees.
Contact skilled commercial lawyers in Memphis to learn more about mortgage and foreclosure laws in Tennessee.
What is a deficiency judgment?
When a foreclosed property is sold at an auction for less than the loan amount secured by the mortgage, the lender may pursue collections against the debtor to make up the difference. For example, if you have a mortgage of $150,000 and the lender forecloses and auctions the property for $100,000, the lender could potentially obtain a deficiency judgment from you for $50,000.
This is an important reason why business owners should pursue every option available to avoid foreclosure.
Call 1-901-620-6347 for commercial foreclosure lawyers in Memphis.
The Law Office of Ben G. Sissman represents clients from Memphis and surrounding counties north to the border: Shelby, Fayette, Tipton, Haywood, Lauderdale, Crockett, Dyer, Obion, Lake, and Gibson. For effective legal guidance, contact a highly qualified Memphis commercial foreclosure attorney today.