Your friend needs the advise of counsel, any lien holder on a property can foreclose. For example: if a person has a judgement and it is inrolled that lien holder can do a Judical Forecloser. There is a lot of legal back and forth on these things and if you don't want to get your Ars handed to you get a good real estate attorney.
Its like they always say any person that acts Pro Se has a fool for a client. Good Luck