25 Nov 2013 in Case Notes
Many cities have struggled with the effects of foreclosures.
But given the complex mix of state laws that often governs the issue, how much authority do local governments have in this area?
A First Circuit case, Easthampton Savings Bank v. City of Springfield, No. 12-1917 (Nov. 22, 2013) addresses that question.
Six banks sued the City of Springfield, Massachusetts, after it had adopted two foreclosure ordinances. The ordinances require:
banks to maintain property during the foreclosure process and to provide a $10,000 cash bond to the City; and