Glitch Won't Affect Lawyers Handling Foreclosures

A new state law aimed at cracking down on scammers taking advantage of homeowners facing mortgage foreclosures will not affect the hiring of attorneys by those homeowners, according to Attorney General Bill McCollum.


In a July 8 letter, McCollum clarified that the provisions of HB 643 will not apply to the attorney-client relationship or the way attorneys are paid when they are hired to help distressed homeowners.

McCollum’s letter, sent to Bar President Jay White, addressed that.

“Pursuant to its authority under Section 501.1377(2)(b)2, the Office of the Florida Attorney General, Department of Legal Affairs,
hereby approves for exclusion from the definition in this provision of a foreclosure rescue consultant, a person licensed to practice law in this state, when such person provides legal representation to a client with respect to a foreclosure,McCollum wrote.

He also noted that the letter will “ensure that the attorney/client relationship is not adversely affected by this new provision.”


taken from an excerpt from a Florida Bar Article about the problems attorneys were having resulting from not being exempt from the new Foreclosure Rescue Fraud Prevention Act


"...early drafts of the bill specifically excluded lawyers from the bill’s restrictions and regulations, but that exemption was apparently accidentally dropped ..."

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