The Maine Legislature adopted legislation clarifying definitions in the laws governing mortgage foreclosure. The bill, SP 334, was sponsored by Sen. Donna Bailey, D-York.
The bill states, “except as provided in subsection 5, ‘mortgage servicer’ means a person responsible for servicing an obligation, including a person that holds or owns an obligation or originates a mortgage loan if the person also services the obligation.”
It defines obligation as “a debt or other duty or liability of an obligor secured by a mortgage of the type described in Section 6111, subsection 1 and includes a mortgage deed even if the debt secured by the mortgage deed has been discharged in bankruptcy.”
Under the legislation, servicing can be, among other things, taking an action with respect to an obligation that affects the obligor’s payment or performance of the obligation or that relates to the enforcement of the rights of the loan owner arising under the obligation.