The court made it clear: Banks can’t just reset the clock on foreclosure timelines with a letter. Under FAPA—a law passed in 2022 to put an end to abusive foreclosure practices—those kinds of unilateral moves don’t hold up. The court also confirmed that FAPA applies retroactively, protecting homeowners in cases that began before the law took effect.

This ruling strengthens homeowners’ rights and prevents financial institutions from using legal gray areas to keep foreclosure threats alive for years. By dismissing the case as time-barred, the court not only shut down the foreclosure but gave the homeowner a fresh start.

The court also rejected arguments that FAPA’s retroactive application violated constitutional protections like due process, the contract clause, or the takings clause. Referring to recent Appellate Division decisions, the judge said FAPA was meant to clarify an unsettled area of law and stop the revival of expired claims through legal maneuvering.

“This case is a turning point—not just for our client, but for every homeowner stuck in an endless foreclosure limbo,” said Steven Amshen, founding partner of Petroff Amshen LLP. “For too long, financial institutions have played games with the law to keep people on the edge of losing their homes. The Foreclosure Abuse Prevention Act was established to prevent banks from constantly abusing homeowners. And we’re here to make sure lenders are held to it.”

This decision adds to a growing number of rulings that define how FAPA is being applied in courts. For homeowners who’ve spent years under the weight of foreclosure threats—often due to repeated filings—this brings hope, legal clarity, and the chance for closure.