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Real Estate/Development

Jun. 8, 2026

Judge dismisses challenge to California's 'zombie mortgage' law

Federal judge says Attorney General Rob Bonta cannot be sued over the law because his office does not enforce it.

Judge dismisses challenge to California's 'zombie mortgage' law
U.S. District Judge Dale A. Drozd

A federal judge has dismissed a challenge to California's so-called zombie mortgage law.

But U.S. District Judge Dale A. Drozd sidestepped the plaintiffs' constitutional challenges to the law, which regulates some subordinate mortgage foreclosures. Instead, he agreed with arguments from Attorney General Rob Bonta's office that the California Department of Justice does not enforce the statute.

In his order issued Thursday, Drozd wrote that the law "creates...

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