Legal Alert - Nevada Rejects Literalist View on Some Lender and Trust Deed Holder Requirements for the Right to Enforce
by John S. Delikanakis
Nevada’s Foreclosure Mediation Program (FMP), statutorily mandates mediation before a non-judicial foreclosure of an owner-occupied residence can proceed. It also encourages the judicial review of that mediation. It has been a steady source of litigation in Nevada since its inception in 2009. Much of the litigation at the District Court level centers on the FMP’s mandate that parties mediate in “good faith,” what facts constitute “bad faith,” the constitutionality of the FMP, who may prosecute a foreclosure, and in what form evidence of trust-deed ownership must be brought to the mediation in order to proceed in the non-judicial foreclosure process. Slowly, appeals and writs have been making their way to the Nevada Supreme Court and opinions are now being issued.