Court orders managed mediation for foreclosures.

As 2009 came to a close, the Supreme Court approved the managed mediation program recommended by the task force it created to deal with Florida's mounting foreclosure crisis.

On December 28 --In re: Final Report and Recommendations on Residential Mortgage Foreclosure Cases (case no. AOSC09-54) --the court addressed the Florida foreclosure problem, which encompasses "the worst foreclosure inventory and the most foreclosure starts in the nation," and now 456,000 pending foreclosure cases statewide.

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"The crisis continues unabated," Chief Justice Peggy Quince wrote in her administrative order.

To help alleviate the continued increase in cases, the court approved a managed mediation program detailed by the Task Force on Residential Mortgage Foreclosure Cases in committee meetings this fall.

"In its report, the Task Force identified lack of communication between plaintiffs and borrowers as the most significant issue impeding early resolution of foreclosure cases, and concluded that effective case management and mediation techniques are the best methods the courts can employ to ensure that such communications occur early enough in the case to avoid wasted time and resources for the courts and the parties," the order said.

After 20 weeks spent developing a plan to combat the consistent barrage of foreclosure cases slamming the courts, the task force presented its proposed managed mediation program to the Supreme Court on November 4 during oral argument and responded to the hesitations of those uncertain about implementation of a managed mediation program.

"We're very pleased with the outcome," said former Bar president and task force member Alan Bookman. "The court adopted the overwhelming majority of what the task force recommended. We believe that because of the unbelievable numbers--which have slowed the judicial process considerably-- the mediation program will unclog the clogged system and have lenders and homeowners talking to each other for sometimes the first time.

"Cases can now be solved before they go to litigation so homeowners can stay in their homes and lenders can be paid back on their loans."

The program is set to be put into operation in the new year through a model administrative order issued by each circuit chief judge. All foreclosure cases currently residing in the courts and involving residential homestead property will be referred to mediation through qualified providers and Supreme Court-certified...