Nevada Judiciary

Grants will be available from the Administrative Office of the Courts to help those going through the Nevada Foreclosure Mediation Program (FMP) better understand their rights, obligations, and options.

The Administrative Office of the Courts is responsible for administering the program on a daily basis.  Funding for the FMP comes from recording fees on Notices of Default and Election to Sell when lenders begin the foreclosure process.  Some of that funding will be used for the grants.

“In the eight months since the FMP began, we have come to realize that the efficiency of the program could be enhanced if the parties – both borrower and lender – were better informed of the mediation requirements,” said Ron Titus, Director of the Administrative Office of the Courts (AOC). 

Although classes are currently offered by Legal Aide of Southern Nevada and the Washoe County Senior Law Project, not everyone can attend.  The AOC does not have the staff or facilities to provide additional outreach.

“It has become clear that it would be helpful to have outside experts to assist the parties in the mediation process,” said Mr. Titus.  “More education and assistance to the parties will not only be helpful, but in many cases necessary to ensure that both parties can benefit in an efficient and effective process.”

According to the grant guidelines, education about the mediation process is necessary because “to achieve the greatest success in this process, it has become clear that the parties need to understand the mediation process: what is required, what can be expected, and what mediation cannot accomplish.”

The grant guidelines also note that parties need to be educated about their obligations under Nevada law and FMP rules.

“The experience of the FMP thus far shows that the parties either do not understand their obligations or do not comply for other reasons,” the guidelines state.  “The success of this program is dependent upon both of the parties understanding their obligations and acting in good faith to try to resolve the issues.”

Education about available options is also needed.

“Experience over the past several months has shown that there are many creative ways that the lender and homeowner can agree that will assist both of them in resolving the disputes,” the grant guidelines state.  “While often the lender understands more of the options available, it would be beneficial to have both parties understand the majority of the potential ways that loans can be modified or other agreeable results can be achieved.”

Grants will be available to individuals or entities for projects or start-up costs to develop programs to educate the parties in the foreclosure process.

The AOC will review proposals and select projects for funding based on criteria such as:

“Projects selected by the AOC will be submitted to the Supreme Court for approval,” said Ron Titus, State Court Administrator.  The Supreme Court is required by law to establish rules for the FMP.

The Foreclosure Mediation Program Grant Guidelines and necessary forms are available on the Supreme Court website, www.nevadajudiciary.us.  Click on the Foreclosure Mediation link and go to “Documents and Forms.”