Can the mortgagee continue with the foreclosure in the event of a default?
A. A foreclosure action can be placed on hold when a forbearance agreement has been entered into as long as the Notice of Hearing has been filed. If the agreement is entered into and the foreclosure placed on hold prior to the hearing having been held, a new hearing date will have to be set and the Notice of Hearing will have to be re-served if the forbearance agreement is subsequently breached. Therefore, there is no actual benefit to the Lender to place the foreclosure on hold under these circumstances.
