MERS appears to finally be succumbing to many of the arguments that foreclosure defenses attorney's and other MERS detractors have been stating for years. Effective July 22, 2011, MERS officially changed Rule 8 of the Rules of Membership which now states:
"No foreclosure proceeding may be initiated, and not Proof of Claim or Motion for Relief from Stay (Legal Proceedings) in a bankruptcy may be filed, in the name of Mortgage Electronic Registration Systems, Inc. (MERS)" and "the Certifying Officer must execute the assignment of the Security Instrument from MERS before initiating foreclosure proceedings or filing Legal Proceedings and promptly send the assignment of the Security Instrument for recording in the applicable public land records".
This new policy runs counter to an argument that MERS and many Plaintiff's attorney's have been making for years, that an "equitable transfer" occurred prior to the date the foreclosure actions were filed and the assignment filed after the foreclosure date doesn't matter, the date of equitable transfer is what truly matters. It remains to be seen how this new policy change will be treated by judges where cases have been filed and the assignments have already been executed...and what about cases that have already been adjudicated?
If you are facing a Florida Foreclosure Lawsuit and have a MERS mortgage, contact a Jacksonville Foreclosure Lawyer or a Florida Foreclosure Defense Lawyer today to see what foreclosure defense options are available to you.
