Mortgage Loan Opinion Model Form
The New York City Bar Association, through its Real Property Law Committee, has publish a Mortgage Loan Opinion Report relating to legal opinions in commercial mortgage loan transactions. The report takes the form of a model opinion letter with extensive endnotes discussing and explaining various aspects of the letter.
The report, which is the latest update to a report authored originally in 1989, states that it “is fair to both borrowers and lenders and their counsel, and can be used to guide parties in reaching agreement on the issues raised by the requirement that borrower’s counsel deliver an opinion letter in a commercial real estate mortgage loan transaction.”
As the report explains, opinion letter practice with respect to commercial real estate mortgage loans has substantially evolved since the last report was issued. The City Bar hopes that the explanations will provide both lender’s counsel and borrower’s counsel with the basis for expeditiously reaching a meeting of the minds.
Read the report and find the model opinion letter here: https://bit.ly/3yBnH62