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Backlog causes Cook County to delay some foreclosure actionsThursday, April 16, 2009 Chicago Tribune by Mary Ellen Podmolik and Azam Ahmed
Cook
County Circuit Court is delaying foreclosure actions against some
homeowners as it tries to work through an ever-growing backlog of cases.
Chancery Division Presiding Judge Dorothy Kirie Kinnaird notified
judges and attorneys April 1 that all mortgage default calls ? those
first court appearances made by a lender when a borrower has not
responded to a foreclosure action ? would be canceled for July and
August.
This has the effect of giving delinquent homeowners more time to find a
way to stay in their homes. It may have the greatest effect on some of
the homeowners involved in the 13,196 mortgage foreclosures filed in
the year's first quarter, because those default calls could have taken
place in early summer. As of last year, about 80 percent of homeowners
involved in foreclosure cases did not respond to filings.
Dealing with a growing number of foreclosures, the court has been
unable to keep up with the 2008 load, much less tackle the increasing
filings made this year. As of the end of February, 46,854 mortgage
foreclosure cases were pending in the Chancery Division. Based on
current trends, Kinnaird estimates the number of foreclosure filings in
Cook County would surpass 52,000 this year, according to the
administrative order. Last year, Cook County recorded 43,876 mortgage
foreclosure filings.
Kinnaird noted in her order that since 2005, the court has assigned 11
additional judges, seven extra courtrooms, 11 additional law clerks and
four more secretaries to foreclosures. The caseload has made it
difficult for the court, she wrote, to maintain a meaningful case
management system.
"The Illinois Supreme Court
requires that a case management conference be handled in every case,"
she said in an interview. "Because of the numbers of foreclosures that
have been filed in recent years, we have not been able to hold the kind
of case management system we want."
Kinnaird's decision does not apply to cases where a homeowner has
answered or fought a foreclosure or those cases that are uncontested.
Housing advocates said the move seems to have been a necessary step,
because doing nothing would have crippled efforts to deal with the
surging figures.
"If it's an unintended consequence that people are going to get more
time to resolve situations with their lender, then we're not opposed to
that," said Bob Palmer, executive director of Housing Action Illinois.
Data released Thursday revealed a sharp increases in Illinois
foreclosure activity, as mortgage lenders and servicers let lapse the
self-imposed moratoriums they put on foreclosure proceedings while they
waited for the Obama administration to release details of its housing
rescue plan.
Thursday, RealtyTrac said foreclosure notices in Illinois, which range
from the initial filing of a foreclosure action to notice of a bank
repossession, rose 8.3 percent from February to March. Compared with
March 2008, foreclosure notices were up 46 percent.
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