Relates to actions upon a subordinate bond or note

This bill amends New York's foreclosure laws for residential mortgages (covering 1-4 family homes) involving subordinate loans. It requires lenders (plaintiffs) to prove ownership of the mortgage note by providing a detailed custodial file showing the note's chain of custody, plus complete payment history from loan origination. Borrowers (defendants) can now raise defenses based on missing documentation or lack of standing, even if not initially raised in court filings. The bill also establishes a statute of limitations for foreclosure actions related to these loans. These changes directly affect lenders initiating foreclosures and borrowers defending against them.