Business Week-

A federal judge on Tuesday upheld two Springfield anti-foreclosure ordinances, ruling against six banks that sought to overturn the regulations.

U.S. District Judge Michael Ponsor dismissed a lawsuit filed by the banks, finding that the ordinances do not violate any state law or the U.S. Constitution.

The banks sued after the Springfield City Council passed the ordinances last summer. One will require mortgage lenders to engage in mediation with homeowners in danger of foreclosure or face a $300-per-day fine. The other will require lenders to put up a $10,000 bond to secure and maintain their foreclosed and vacant properties.

Advocates said the measures will help people stay in their homes and fight urban blight.

[BUSINESS WEEK]

Ruling below courtesy of MassLive

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