Former Owner's Rights And Duties After Foreclosure
Find out what rights and obligations a homeowner has if they remain on the property after the home is sold through foreclosure.
Q&A - Right And Duties Of Former Owner
Can I be evicted after my home is sold at a foreclosure sale?
If your home was sold at a trustee's sale after foreclosure, the highest bidder (usually your lender) becomes the new owner. If you do not leave voluntarily or enter into an agreement with the new owner for more time on the property, the new owner can evict you by the "formal" eviction process. (NRS 40.255(1).) (The "summary" eviction process cannot be used to evict a former owner after a foreclosure. (NRS 40.253, 40.254.))
For more information, click to read Evicting a Former Owner After Foreclosure.
What must the new owner do before evicting me?
Before filing a "formal" eviction case with the court, the new owner must first give you a Three-Day Notice to Quit Following Foreclosure. (NRS 40.255(1)(b).) If you do not move within the three-day notice period (which does not include weekends and holidays), the new owner can serve you with a Summons and Complaint for Unlawful Detainer. In the complaint, the new owner can ask the court for an order evicting you and giving the new owner possession of the property. The new owner can also ask the court for a money judgment against you.
For more information, click to read Evicting a Former Owner After Foreclosure.
Is it true that there are laws that give me additional time to move after the foreclosure?
There are laws that protect a tenant who is renting a house when it is sold at a foreclosure sale. But those laws do not provide any protection to the former owner of the house. For more information, click to read Tenant's Rights and Duties Following Foreclosure.
What can I do if I get a three-day notice to quit?
If you believe the foreclosure sale did not comply with Nevada law, you should contact a lawyer immediately. Click to visit Lawyers and Legal Help.
Otherwise, you will typically need to move unless you make an agreement with the new owner to stay for an additional period (perhaps under a lease agreement) or to leave voluntarily on an agreed-upon date (perhaps for some type of "cash for keys").
If you and the new owner are unwilling or unable to reach an agreement, the new owner can serve you with a Summons and Complaint for Unlawful Detainer. The complaint will ask the court for an order evicting you and giving the new owner possession of the property. The complaint could also ask for a money judgment against you. You could potentially stay on the property until a court orders you to move.
What can I do if I am served with a Summons and Complaint for Unlawful Detainer?
If you believe the foreclosure sale did not comply with Nevada law, you should contact a lawyer immediately. Click to visit Lawyers and Legal Help.
Otherwise, you can either do nothing or you can respond to the complaint by filing an answer with the court. If you do nothing, the new owner can ask the court for a "default judgment" and an order granting the new owner permanent possession of the property. The new owner might also get a money judgment against you.
If you choose to file an answer in response to the complaint, you generally have twenty days to file. But the new owner might have obtained an order from the court shortening your time to file to as little as ten days. (JCRCP 108.) So read all the papers you receive carefully! If the time has been shortened, you must file your answer within the shortened time period or face a default.
For more information, click to read Evicting a Former Owner After Foreclosure.
What can I gain by filing an answer?
Filing an answer lets you assert whatever defense you believe you have in the case. Remember that if you fail to file an answer, the new owner will likely get a default judgment against you that gives the new owner permanent possession of the property. The new owner might also get a money judgment against you.
Can I lose anything by filing an answer?
If you file an answer, you will need to pay a filing fee unless the court grants a waiver based upon your inability to pay. Click to read Filing Fees and Waivers for more information.
If the court ultimately decides that the new owner is entitled to evict you, the court can order you to pay the new owner's costs, including the attorneys’ fees the new owner has incurred. (NRS 69.020 and NRS 69.030.)
How do I file an answer?
If you are served with a Summons and Complaint for Unlawful Detainer, you can file an answer to challenge the eviction and the money damages the new owner is seeking. To file an answer you must:
- Prepare an Answer
An Answer form is available, free of charge, at the Civil Law Self-Help Center. You can also download the form on your computer by clicking one of the listed formats underneath the form's title below:
ANSWER TO COMPLAINT FOR UNLAWFUL DETAINER
Word Fillable | Pdf Fillable | Pdf Nonfillable | Form Guide - Pay a $71 filing fee or submit an Application to Proceed in Forma Pauperis (sometimes called a "fee waiver application"), which is available, free of charge, at the Civil Law Self-Help Center. You can also download the form on your computer by clicking one of the listed formats underneath the form's title below:
APPLICATION TO WAIVE FILING FEE (LAS VEGAS ONLY)
Pdf Fillable
APPLICATION TO WAIVE FILING FEE (OTHER THAN LAS VEGAS)
Pdf Fillable | Pdf Nonfillable - Submit your completed answer and filing fee (or fee waiver application) to the court clerk. Click to visit Basics of Court Forms and Filing for specific information about how to file in the justice court or click to visit Justice Courts for links and contact information for your court.
TIP! Different justice courts may have different filing requirements, so be sure to familiarize yourself with your court's procedures. The Las Vegas Justice Court, for instance, requires all documents to be filed electronically, so anyone filing in that court needs an e-mail address to set up an electronic filing account. Click to visit the Las Vegas Justice Court to learn more about electronic filing.
What can I do if I am also served with an order to show cause?
If the new owner serves you with a Summons and Complaint for Unlawful Detainer, the new owner might also serve you with an Order to Show Cause Why a Temporary Writ of Restitution Should Not Be Issued. So look carefully through any papers you receive! There might be an order from the court setting a "show cause" hearing. At that hearing, the judge will decide whether the new owner is entitled to possession of the property.
A temporary writ of restitution is a court order that gives the new owner possession of the property at the beginning of the case. The court will normally not hold a "show cause" hearing for a temporary writ of restitution until at least eleven calendar days after the summons and complaint were served. (JCRCP 107.) The "show cause" hearing is not the same thing as a trial. (JCRCP 107(c).) A trial to decide whether the new owner gets permanent possession of the property cannot be held until at least twenty calendar days after the summons and complaint were served. (JCRCP 107(b).)
If the new owner schedules a "show cause" hearing, the new owner cannot get a default judgment against you until after the hearing. (JCRCP 107(e).)
You should appear at the "show cause" hearing to tell the judge about any defenses you believe you have. You can also request a "stay" (extra time to move if you need it).
For more information, click to read Formal Eviction Hearings.
Should I move before the sheriff or constable locks me out?
If the court issues an order evicting you, you should make every effort to move yourself and all your belonging out of the property before the sheriff or constable locks you out. If you cannot remove your belongings in time, you will need to schedule a reasonable time with the new owner to return for them.
