The Arizona Revised Statutes have been updated to include the revised sections from the 55th Legislature, 2nd Regular Session. Please note that the next update of this compilation will not take place until after the conclusion of the 56th Legislature, 1st Regular Session, which convenes in January 2023.
This online version of the Arizona Revised Statutes is primarily maintained for legislative drafting purposes and reflects the version of law that is effective on January 1st of the year following the most recent legislative session. The official version of the Arizona Revised Statutes is published by Thomson Reuters.
6-991.16. Claimant's right to appeal denial of claim; service of notice of appeal; response; failure to file response
A. A claimant whose application is denied pursuant to section 6-991.15 may file within six months after receiving notice of a denial of the claim a verified application in the court in which judgment was entered in the claimant's favor for an order directing payment out of the mortgage recovery fund based on the grounds set forth in the claimant's application to the deputy director.
B. The claimant must serve a copy of the verified application on the deputy director and on the judgment debtor and file a certificate or affidavit of service with the court. Service on the deputy director shall be made by certified mail addressed to the deputy director. Service on a judgment debtor shall be made pursuant to section 6-991.12 and shall include the following notice:
An application has been filed with the court for a payment from the mortgage recovery fund that was previously denied by the deputy director of the financial institutions division of the department of insurance and financial institutions. If you wish to defend in court against this claim, you must file a written response with the court within thirty calendar days after you are served with a copy of the application. If you fail to file a written response, you waive your right to defend against the claim.
C. The deputy director and the judgment debtor each must file a written response within thirty calendar days after being served with the application under subsection B of this section. The court shall set the matter for hearing on the petition of the claimant. The court shall grant a request of the deputy director for a continuance of as much as thirty calendar days and, on a showing of good cause by any party, may continue the hearing for a time that the court considers to be appropriate.
D. At the hearing, the claimant must establish compliance with the requirements of section 6-991.11.
E. If the judgment debtor fails to file a written response to the application, the deputy director may compromise or settle the claim at any time during the court proceedings and, on joint petition of the applicant and the deputy director, the court shall issue an order directing payment out of the mortgage recovery fund.