2012 -- S 2486

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LC00977

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STATE OF RHODE ISLAND

IN GENERAL ASSEMBLY

JANUARY SESSION, A.D. 2012

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A N A C T

RELATING TO PROPERTY

     Introduced By: Senator Michael J. McCaffrey

     Date Introduced: February 16, 2012

     Referred To: Senate Judiciary

It is enacted by the General Assembly as follows:

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     SECTION 1. Section 34-26-7 of the General Laws in Chapter 34-26 entitled

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"Redemption, Release, and Transfer of Mortgages" is hereby amended to read as follows:

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     34-26-7. Certain ancient mortgages becoming void unless continued. -- On and after

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January 1, 1989, no power of sale in any mortgage of real estate, except mortgages made by

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public utilities, then now or thereafter hereafter of record shall be exercised and no entry shall be

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made nor possession taken nor proceeding begun for foreclosure of any such mortgage after the

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expiration of a period which shall be fifty (50) thirty-five (35) years from the date of recording of

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the mortgage or in the case of a mortgage in which the term or maturity date of the mortgage is

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stated, five (5) years from the expiration of the term or from the maturity date, unless an

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extension of the mortgage, or an acknowledgment by affidavit of the mortgagee that the mortgage

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is not satisfied, is recorded within the last ten (10) years of that period before the expiration of the

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applicable time period. In case an extension of the mortgage or such an acknowledgment by

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affidavit is so recorded, the period shall continue until ten (10) five (5) years shall have elapsed

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during which there is not recorded any further extension of the mortgage or acknowledgment or

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affidavit that the mortgage is not satisfied. The period shall not be extended by reason of a longer

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duration of the debt or the obligation secured being stated in the mortgage or in any extension of

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the mortgage, or otherwise, or by nonresidence or disability of any person interested in the

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mortgage or the real estate, or by any partial payment, agreement, extension, acknowledgment,

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affidavit or other action not meeting the requirements of this section. All extensions, agreements,

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affidavits and acknowledgments shall be indexed in the land evidence records under the name of

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the present landowner. Upon the expiration of the applicable period provided herein, the

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mortgage shall be treated for title purposes as if it had been properly discharged by the record

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holder thereof.

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     SECTION 2. This act shall take effect one year from the date of passage.

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LC00977

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EXPLANATION

BY THE LEGISLATIVE COUNCIL

OF

A N A C T

RELATING TO PROPERTY

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     This act would clarify and reduce the time after which a recorded mortgage would be

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unenforceable against real estate securing the mortgage.

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     This act would take effect one year from the date of passage.

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LC00977

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