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Seven bills, designed to protect homeowners from unfair practices by banks and mortgage companies as part of the new California Homeowner Bill of Rights, passed through State Assembly and Senate committees.

“All Californians have been impacted by the toll the mortgage and foreclosure process has taken on our neighborhoods,” said State Attorney General Kamala D. Harris. “Our California Homeowner Bill of Rights will provide relief for homeowners, tenants and communities. I thank the authors and supporters of these important bills.”

If passed into law, the bills will:

Require purchasers of foreclosed homes to honor the terms of existing leases and give tenants at least 90 days before commencing eviction proceedings. The bill passed the Assembly and Senate Judiciary Committees on a 7 to 3 and 3 to 2 vote, respectively.

Provide local jurisdictions with additional tools to fight blight from abandoned homes. These tools include fines against the owners of blighted property, including the cost of taking control of that property. The bill unanimously passed the Judiciary Committees.

Provide additional tools for the Attorney General’s office to investigate and prosecute mortgage frauds and crimes, such as loan modification scams and the unlawful foreclosures. This legislation would also provide the Attorney General’s office with funding to prosecute mortgage-related crimes through a $25 fee to be paid by servicers upon the recording of a Notice of Default. The bill passed the Assembly Public Safety Committee on a 4 to 2 vote.

Allow the Attorney General to convene a special grand jury to investigate and indict the perpetrators of financial crimes involving victims in multiple jurisdictions. The bill passed the Public Safety Committees unanimously.

The Homeowner Bill of Rights is a follow-up to the National Mortgage Settlement in which Attorney General Harris secured $18 billion for California from the five biggest banks as a fine for fraudulent mortgage practices.

“When I secured the California commitment, I made clear it was only one of many steps I am taking to comprehensively address the mortgage and foreclosure crisis,” Attorney General Harris said.