Foreclosure mediation in Maine

How foreclosure mediation works in Maine, step by step

1. Who qualifies

   Any home foreclosure filed after January 1, 2010

   The program covers foreclosures of owner-occupied homes with up to four units that are the owner's primary residence. Vacation homes, second homes and commercial properties do not qualify.

   14 M.R.S. § 6321-A(2), (3)

2. Ask for mediation in writing

   Within 20 days of receiving the court papers

   Fill out and return the Response to Complaint and Request for Mediation form that came with the complaint, or send a written request to the clerk. Returning the form also counts as your answer to the complaint. If you are late, the court says to send a written request anyway.

   14 M.R.S. § 6321-A(2), (6)

3. Attend the Informational Session

   Before your first mediation

   The clerk schedules you for a group session at a courthouse or on Zoom, where a judge explains the process and a HUD-certified housing counselor talks about working with your lender. If you cannot attend, you must ask in writing for a new date before the deadline.

4. What mediation pauses

   Until the mediator's report is done

   For a case scheduled for mediation, the court cannot issue a final judgment until the mediator has completed a report. Taking part does not waive your rights or defenses in the lawsuit.

   14 M.R.S. § 6321-A(5), (9)

5. Who must be there

   Every session

   You, the lender's lawyer and your lawyer if you have one must attend. The lender must take part with someone who has authority to agree to a settlement or loan modification, and may join by phone or video. You do not need a lawyer to mediate.

   14 M.R.S. § 6321-A(11)

6. What happens in the sessions

   Reports after each session

   Mediation can cover reinstatement, loan modification, a repayment plan, a short sale or a deed in lieu. The parties must complete a net present value worksheet, and the mediator writes a report of agreements and deadlines after each session. Follow-up sessions are scheduled when needed.

   14 M.R.S. § 6321-A(3), (13)

7. Good faith, and what happens without a deal

   After mediation

   If a party does not attend or does not make a good faith effort, the court can impose sanctions, and mortgage servicers have a separate duty of good faith. If no agreement is reached, you and the lender can jointly ask to pause the case; otherwise it goes back on the court's schedule.

   14 M.R.S. §§ 6321-A(12), 6113

The program in Maine

Common questions in Maine