To address safe harbor for certain servicers.

SA 1019. Mr. CORKER submitted an amendment intended to be proposed to
amendment SA 1018 submitted by Mr. Dodd (for himself and Mr. Shelby) to
the bill S. 896, to prevent mortgage foreclosures and enhance mortgage
credit availability; as follows:

On page 17, strike line 1 and all that follows through page
18, line 4 and insert the following:
``(1) to the extent that the servicer owes a duty to
investors or other parties to maximize the net present value
of such mortgages, the duty shall be construed to apply to
all such investors or group of investors; and
``(2) the servicer shall be deemed to have satisfied the
duty set forth in paragraph (1) if, before December 31, 2012,
the servicer implements a qualified loss mitigation plan that
meets the following criteria:
``(A) Default on the payment of such mortgage has occurred,
is imminent, or is reasonably foreseeable, as such terms are
defined by guidelines issued by the Secretary of the Treasury
or his designee under the Emergency Economic Stabilization
Act of 2008.
``(B) The mortgagor occupies the property securing the
mortgage as his or her principal residence.
``(C) The servicer reasonably determined, in good faith,
consistent with the guidelines issued by the Secretary of the
Treasury or his designee, that the application of such
qualified loss mitigation plan to a mortgage or class of
mortgages will likely provide an anticipated recovery on the
outstanding principal mortgage debt that will exceed the
anticipated recovery through foreclosures or other
resolution.
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