The precipitous rise and subsequent fall of the Law Offices of David J. Stern seems to have reached rock bottom this week. In an SEC filing relating to DJSP Enterprises, the firms non-legal arm that handles real estate work, came the announcement that DJSP does not expect to obtain any future work from the firm, its largest and primary client. The Stern office sent a letter to Florida judges stating that they are stopping all foreclosure related operations in the State of Florida as of March 31, 2011.
The firm and its foreclosure practices have been under investigation since late 2010 and the Stern firm was fired by mortgage giants Fannie Mae and Freddie Mac in February 2011. Jeff Tew, the attorney representing Stern, said the firm is not officially closing but many attorneys point to the loss of Fannie and Freddie business has in effect shut the firm's doors. In his letter to Florida judges, Stern stated that the firm still needed to withdraw from more than 100,000 cases statewide, but "we have been forced to drastically reduce our attorney and paralegal staff to the point where we no longer have the financial or personnel resources to continue to file Motions to Withdraw in tens of thousands of cases that we will remain as counsel of record."
There is no word yet on the effect of the closing on the fraud investigation from the Florida Attorney General's Office. If you are facing a Florida Foreclosure Lawsuit where the Law Offices of David J. Stern is Plaintiff's attorney, contact a Jacksonville Foreclosure Defense Lawyer or a Florida Foreclosure Defense Lawyer today to see what defenses may be available to you.
To read a copy of the Letter to Judges from the Law Offices of David J. Stern click: Stern Letter.pdf
