At least one state Supreme Court decision shows what many home becomes a trend, requiring strict compliance with foreclosure laws. The Supreme Court in Nevada handed down three decisions the week of July 11th denying foreclosure and passing along sanctions to lenders who didn't provide accurate documentation or an individual with settlement authority at State mandated foreclosure mediations.
One Nevada District court allowed a foreclosure to go forward even after the mediator found the loans beneficiary representative negotiated in bad faith and failed to bring required documents or presented incomplete paperwork. The name of the assignee was missing from the mortgage assignment, as well!
In another instance, the court said Wells Fargo could not proceed with a foreclosure because it brought inadequate documentation at foreclosure mediation. The record of the case shows Wells Fargo tried to prove ownership through a certified copy of the original deed of trust and note, each listing MortgageIT Inc. as the lender, and a notarized statement from a Wells Fargo employee claiming Wells was the rightful possessor of the deed of trust and mortgage and any later assignments. Each of these cases has been remanded to the District Court to determine appropriate sanctions against the lenders.
Although similar decisions have not yet been handed down in Florida, another state's determinations against lenders could potentially be persuasive. Since reports broke last week that banks continue to employ shoddy foreclosure practices, it seems that more states are choosing punishment over praise for lenders. If you are facing a Florida Foreclosure Lawsuit, contact a Jacksonville Foreclosure Lawyer or a Florida Foreclosure Lawyer today.
