In Florida a bank or homeowners’ association must receive court approval before foreclosing on a home. The homeowner will have a right to present a legal defense to the foreclosure and it is highly recommended that they do so before the sale of the home. The first and most commonly used way to try and cancel a foreclosure is to file bankruptcy. When bankruptcy is file, there is an immediate “automatic stay” that will go into effect. This stay requires any and all collections against the individual to stop, including foreclosures.
One other way to possibly cancel a foreclosure, is to ensure that all procedures in Florida Statute 45.031 have been followed. If the lender, whether it be a bank or homeowner’s association, failed to follow any procedure set forth, there may be legal ground to cancel the foreclosure.