Additional Rules on Temporary Restraining Orders (TRO) on Foreclosures of Real Estate Mortgage

The Supreme Court has issued additional guidelines on the issuance of temporary restraining orders or writs of preliminary injunctions enjoining foreclosures of real estate mortgages. The additional rules will take effect on March 10, 2007.

Here’s the full text of AM No. 99-10-05-O (Re: Procedure in Extrajudicial Or Judicial Foreclosure of Real Estate Mortgages, dated February 20, 2007):

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Acting on the recommendation of the Committee on the Revision of the Rules of Court, the Court RESOLVED to adopt the following additional rules with respect to the Extrajudicial or Judicial Foreclosure of Real Estate Morgages:

1. No temporary restraining order or writ of preliminary injunction against the extrajudicial foreclosure of real estate mortgage shall be issued on the allegation that the loan secured by the mortgage has been paid or is not delinquent unless the application is verified and supported by evidence of payment.

2. No temporary restraining order or writ of preliminary injunction against the extrajudicial foreclosure of real estate mortgage shall be issued on the allegation that the interest on the loan is unconscionable, unless the debtor pays the mortgagee at least 12 percent per annum interest on the principal obligation as stated in the application for foreclosure sale, which shall be updated monthly while the case is pending;

3. Where a writ of preliminary injunction has been issued against a foreclosure of mortgage, the disposition of the case shall be speedily resolved. To this end, the court concerned shall submit to the SC, through the Office of the Court Administrator, quarterly reports on the progress of the cases involving Php10 million and above;

4. All requirements and restrictions prescribed for the issuance of a temporary restraining order/writ of preliminary injunction, such as the posting of a bond, which shall be equal to the amount of the outstanding debt, and the time limitation for its effectivity, shall apply as well to a status quo order

Upon effectivity of these additional rules, all rules resolutions, orders and circulars of this Court, which are inconsistent therewith, are hereby repealed or modified accordingly.

These additional Rules in the Procedure in Extrajudicial or Judicial Foreclosure of Real Estate Mortgage shall take effect on March 10, 2007 following their publication in a newspaper of general circulation not later than February 28, 2007.

5 thoughts on “Additional Rules on Temporary Restraining Orders (TRO) on Foreclosures of Real Estate Mortgage

  1. frederick

    Hello Atty Fred,

    I just got a letter from Pag-Ibig Fund that due to my failure to redeem the property within the prescribed period, the ownership of the property was consolidated in favor of HDMF on September 22, 2006. HDMF then advised me to vacate the property with 15 days upon receipt of the letter dated June 25, 2008.

    I think I can liquidate some of my properties and raise the money within three months to buy back the property. Is there a way to defer my ejection from the property until I raise the money? What are the legal remedy so that I can stop the ejection for at least two or three months? Can you give me some tips for me to be able to regain back the property?

    Your advise on this will be greatly appreciated.

    Thanks,

    Frederick

    Reply
  2. giselle

    good morning po, I just want to ask may lupa po kaming namana at may kahati po kami dun, dati po pinapaupahan po namin ung bahay ngaun po nabakante, ang gusto po nung kahati namin sya ang tumira, di po kami pumayag, ngaun ang sabi nya lilipat na daw sya, sabi ko po ayusin mo muna yan para mahati na ng maayos. ang tanong ko po pwede po ba kaming mag apply sa korte na ipapasarado muna namin ung property na di pwede tirahan o paupahan? at pano po ba ito ipatupad? at magkano po? sana po matulungan nyo po kami.
    maraming salamat po sa pagbasa ng aking e-mail
    magandang araw po.

    Reply
  3. Angelita

    I’m a Filipina who is living in Singapore and I would like some advice on foreclosure. My sister was recently shocked to hear that the bank was going to repossess her home.

    Shocked because she had always been making her amortizations but more so because she had not received any warning letter or reminder from the bank. Her husband is bedridden and he was close to death when she missed her payment as she was taking care of him.

    Can the bank repossess a home without giving their client a warning letter or reminder? can they also do it when the client has been making all payment except for the last one? pleae advice me on this matter as my sister is beyond distraught over this case with a bedridden husband to care for. I look forward to your response. Thanks.

    Best regards,

    Angelita

    Reply

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