MERS Hit with $400,000,000 Lawsuit | Mortgage Electronic Registration Systems Sued Over Michigan Foreclosures

 

“$100 million in actual damages on multiple counts including fraud and wrongful foreclosure, as well as more than $300 million in punitive damages”

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Electronic Mortgage Registry Is Sued Over Michigan Foreclosures

Mortgage Electronic Registration Systems Inc. “illegally prosecuted” non-judicial foreclosures in Michigan and owes more than $100 million to people who lost their homes, lawyers for three homeowners said in a lawsuit.

The homeowners said Merscorp Inc.’s MERS, which runs an electronic registry of mortgages, used Michigan’s so-called foreclosure by advertisement process illegally and “misappropriated” their homes. Any foreclosures by MERS using this process in Michigan should be voided, they said in their complaint filed in federal court in Detroit.

Michigan is one of 27 states where banks don’t have to get a court’s permission to seize a property, meaning homeowners have to bring their own lawsuit to halt a foreclosure. Michigan law lets mortgage lenders or servicers foreclose after advertising a default in a newspaper for four consecutive weeks.

Check out the rest from Bloomberg here…

Pulling the case file and will put up shortly…

Case file below…

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4closureFraud.org

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Marlya Depauw and Sharon & Terrance Lafrance v. Mortgage Electronic Registration Systems, Inc., MERS

Comments
47 Responses to “MERS Hit with $400,000,000 Lawsuit | Mortgage Electronic Registration Systems Sued Over Michigan Foreclosures”
  1. Maggie May says:

    I HAD A DREAM!!!!!!!!!!!!!!!!!!!!!!!!! SOME AWFUL WOMAN OR WOMEN GOING DOWN !!!!

  2. Upset says:

    I feel bad for everyone that lost their homes in this mess but in a way this entire lawsuit has ruined many things in other peoples lives too. I was set to close on my first house that was a HUD home in less than a week… I have put a lot of time and money into getting ready for it! Then Friday I received a call from my realtor saying because of this Lawsuit all sales were cancelled including the house I worked so hard to get and was planning on. I had everything packed, paid for, and lined up to move next week and they just took it from me and left me and I’m sure many other people with nothing! Not to mention, think of all the realtors and how much money, time, and work they lost because of this… they have families to feed too just like everyone else! Now I have to start all over with trying to find another house that is never going to be what I originally wanted. Hundreds of people had their sales cancelled on them and they give us no explaination and don’t care that they have turned our lives upside down. As everyone else on here is bashing people that buy or own previously forclosed homes and giving people who have had their homes forclosed on frickin’ pitty parties… I just think you guys should look at and understand all the angles that this has impacted people.

    • Moral to the story is: Don’t buy stolen property. Sorry, the “deadbeats” did not create this mess, the banksters did. You decided to deal with the devil and lost.

    • Maggie May says:

      I AM SO SORRY FOR YOU UPSET,,,I JUST SAY 1 THING TO YOU,,THIS IS THE BEST THING THAT EVER HAPPNED TO U U JUST DONT KNOW IT YET!! A MIRACLE ON SUNDAY MORNING!! YAY!!!

    • Maggie May says:

      A BLESSING IN DISGUISE,,MR UPSET!!

    • see says:

      Upset you don’t realize that we the deadbeat who tell people not to buy foreclosed homes may be doing you a big favor and as pointed out a blessing you did not get the house. Who would you blame a couple years down the road, if you were notified that the home is not yours and the original homeowner gets it back? My guess it would be the original homeowner. I am truly sorry you are disappointed you lost the house. Does the fact you could not buy the home tell you something here about the foreclosure process mess and fraud? You have to do some homework here. You have to read what we foreclosed on homeowners are saying and what the experts are saying. Sounds like you found a foreclosed home that you liked and naturally you are disappointed you did not get it. The news in what little coverage they do on foreclosures have given the facts and come out and say most of the foreclosures are illegal. So look at your own pitty party. Yes, everyone is affected by this mess, even the peoole trying to buy homes. So stay away from foreclosed homes period and save yourself some grief. We are here to warn everyone that foreclosed homes are bad news. We care about future homeowners that is why we are saying run away from foreclosed homes. What don’t you get about that?

    • Maggie May says:

      BAM!

    • kim says:

      I for one lost my home of 17 years where we raised our children my husband was laid off for almost a year and B O A would not work with us. And you have the AUDACITY to play poor me for yourself!!! shame on you. I put my heart and soul into my home and someone like you does not deserve it, just because some honest person GOT SCREWED by MERS and guess what Im getting my house back. And I’m glad scavengers like you are not.

  3. see says:

    Millions of people have had MERS on their loans and I am sure there will be many millions more in works. We all know the mess that MERS has made and the powers that be also know. How many miilions of people have been foreclosed in the past few years have at some point had MERS involved somewhere? Can you imagine what would happen if through some divine intervention MERS was finally recognized as illegal? How many foreclosed on homeowners would be affected? How many banks would be affected? How many people who bought these foreclosed homes would be affected? And it goes on. You get the picture. How can you correct or make things right for the illegally foreclosed people? The magnitude of this is so great. The whole world would be turned upside side. That is why this injustice continues, you can’t fix this.

    People who buy foreclosed homes today have got to be out of their minds. Why even a year ago this foreclosure mess was starting to shed more light but people and investors kept buying. Now you hear about how they are worried if they really own the home. I know that the people who bought my home are worried according to my former neighbor. People have to refuse to buy foreclosed homes. Can you imagine the impact that would have? Just say “no” to buying foreclosed homes.

  4. 1ofthemany says:

    Awesome news here and it is breaking in more areas. “All things come to he who waits” and sometimes waits and waits. Man’s law is so corrupt so Justice is coming to the thirsty! we will drink it all in and them we will gulp it down.
    I am some what excited about this as many are I am sure. Time will tell more as we approach a more level battle ground.
    Justice to ALL
    Thanks you 4closure for your fortitude and your reveling and all of you out there. We are many, together we stand!!
    Blessing to ALL
    awesome news!!

  5. Maggie May says:

    BAMMMMMMMMMMMMMMMMM

  6. see says:

    I have already lost my house. After coming onto these sites and reading, I with a few questions to others, see the fraud that was involved in the foreclosure. We as lay people read the laws and can point out this is fraud, that is fraud. Defense attorneys are bringing case law into court proving that fraud exists, but hardly any of the judges are listening. Seems like some of the first things I read was about MERS and it shocked me. I remember reading about an attorney who brought bifurcation into a suit and it was totally disregarded. One of the first things that I understood was bifurcation and believe me I am the first to say I know nothing about the loan system, securitization and all that other things that goes with it.

    I live in a non-judicial state and I did not fight the foreclousre on the advise of my BK attorney. I had gotten some bad advice from him. And I take full responsibility for not fighting, but there was so much going on in my life besided the foreclosure and I was totally drained. You have to pick your battles. When I discovered all the fraud it was loo late.

    I always believed in America and that justice will win in the end, but not anymore. Our legal system is so corrupt, the banks took over and are running our lives, and more important there are everyday people who believe the crap about the deadbeat homeowner and there is no way the banks, courts, etc would ever do anything wrong. We need all homeowners whether they are current on their loans, just barely making it, in foreclosure or out of their homes to stand up to this crime being put on us all. Tell our government officials and the rest that we will not live by the laws of these corrupt banks, wall street, etc.

    I sincerely with all my heart pray that this suit will set some type of precedent and vindicate past, present and future homeonwer caught up in this fraud. But deep down inside I feel that there is way too much fraud and corruption. I have been told that the chances of me ever getting my house back since it was sold was probably zero. That is why I need someone to slap some sense of hope into me because I want to fight for myself and others who have been destroyed and thrown out with the trash.

    One thing I could never understand is how these banks who thought of MERS could say this is how we are now going to do this from now on because we say we can. Don’t even try to stop us. Who gave them the power to change the laws of land ownership? I know that some clerks tried to stop this, but why in the world did other clerks not see what was happening? What happened to the people who should have been fighting for our rights? What is so hard about following the laws set forth many many years ago?

    • l vent says:

      Too much corruption. Remember what Banker Amschel Rothchild said way back when. Give me control of a nations currency and I care not who rights the laws. These scums really don’t own anything. They just own alot of corruption and a lot of fake debt. The people are really getting wise to their game. They want a world of peasant slaves to the debt they create. National Sovereignty will prevail under the U.S. CONSTITUTION. They might think of us as ants, but we are marching towards them, there are more of us and we are armed.

      • Art says:

        I vent you rock :) Fractional reserve banking is fraud, banks never borrow out their depositors money, they just type in into their computer and viola, here’s your loan, now go be a good debt slave and work your ass off for 30 years to pay it back. Same thing with car loans, credit cards, any bank loan is fraud, pure and simple. How about some honest money in this country, get rid of the fraudulent federal reserve and all their TBTF banks. Put all these stealing conniving bankster in JAIL with Bubba where they belong !!

      • lvent says:

        ART..YOU ARE THE BOX OF ROCKS IF YOU THINK THAT .I am not well aware of the FRACTIONAL RESERVE BANKING SYSTEM OF FRAUD AND HOW THEY OPERATE ON CREDIT BACKED BY ALL OF US………I DON’T NEED AN EDUCATION ON THAT FROM YOU………..BUZZ OFF…. BANK TROLL….

      • lvent says:

        BTW, ART, I AM NOT THE ONE WHO SNUCK THE CRIMINAL AND UNCONSTITUTIONAL FEDERAL RESERVE INTO AMERICA…..YOU CAN THANK THE .TRAITORS IN OUR OWN CONGRESS FOR THAT….

    • AliceN.Wunderland says:

      see, I am so sorry that you lost your home. I believe the most important thing you can do now is to tell your story. Share what you have learned with your family and friends. The ‘deadbeat’ home buyer myth needs to end. We were all victims of this ponzi scheme.

      I was in the mortgage business for many years and quit right before MERS started. I was not aware of what was going on but I saw alot of red flags, things that weren’t making sense to me. I wish I had started really paying attention earlier but no one would have listened to me. I watched friends and relatives buying houses that I knew couldn’t afford them but the banks said they could and they believed the banks. I had no idea that MERS had destroyed the very fibre of the American Dream of home ownership.

      I am so sickened by all of this and so sorry for everyone that was victimized. Try to get the message to those you know. Let them know that every house now has a clouded title. Tell people not to buy a house. We need to collectively put an end to this by not buying any more real estate. We are the blood that allows the banks to live and if we stop giving them our blood they will die. Many in the industry will suffer if people stop buying but think of the money they made off the backs of innocent people. Perhaps that is the way it is supposed to be. What goes around comes around.

      Everyday when I come to this site and see the articles and the lawsuits it gives me hope. The banks operated this scam in the shadows for many years and now the light is shining on all of it. Awareness is key to stopping this. This can’t be hidden any longer. The light is shining on every corrupt judge and attorney as well. We need to applaud the honest ones and damn the corrupt ones. All each of us has is our honor and when we loose that we have lost our soul.

      We the People are the judges now. We will try them everyday on sites like this. Let the names of the criminals be written for all to see. Let us see their faces because they are people too, because they hide behind a corporate name means nothing. They are no more important in the grand scheme of things that you or I. Because they have more material wealth means nothing, they can’t destroy our souls with their diamonds, yachts, and bentleys. They will answer to their crimes in the end, of that I have no doubt.

    • l vent says:

      see, have you thought about filling an appeal on the grounds of rampant fraud in your fraudclosure? Don’t give up. I know many of us are broke but there are other avenues that you could persue this that should not cost you money. If there is fraud in your foreclosure, there is no doubt fraud everywhere in your loan, There is no doubt fraud in your public recordings, find it and call the recorder’s office. My recorders office has a mortgage fraud hotline. Call your FBI White Collar Crimes Division and tell them that you have reason to believe you may have been wrongfully foreclosed on. Your AG wont represent individual cases but the States Attorney’s office will. I would still file a complaint with the State Ag and don’t give up the fight for your home. That is what they want.

    • housemanrob says:

      See……..We are simply being led to the slaughterhouse!…….that is a fact……plain…simple and unadulturated….plain and simple…….except the small percentage of us who will be left as slaves…….

  7. So they sued MERS, what good is that going to do to the regular homeowner, that is the question, well…nothing, the only think that can help the homeowner is a national foreclosure moratorium and it is not going to happen

    • l vent says:

      acmod,Gotta keep fighting. They ARE losing. I see progress, though slow, it is progress. Every lawsuit filed, every insider trader that gets busted, every fine these dirty bastards have to pay, helps all of us. They get delegitamized and that give us more power to win. I am feeling more and more optimistic and I think there will be a foreclosure moratorium. Half of the homes in America are underwater and the housing market is a dead fish. Do you really think the States want to lose all of the tax revenue from all of these homeowners?

      • AliceN.Wunderland says:

        I vent, I am right there with you, I see progress. Florida was the beginning and my state will probably be the ending. The builders are still building here but I was told when I watched everything crumbling that Washington was never going to be hit, that we were in fine shape. I laughed at them. I tried to warn a couple of developers that it was all coming apart. Well all the previous developers were foreclosed on and those $l00,000 lots are now being sold to National home builders for $20,000, they put up a pre-fab house and sell them to innocent people using the same scams. The buyes don’t have a clue they are entering MERS world or as I call it, Wonderland. The warning “Buyer Beware” has taken on a whole new meaning for me. I wouldn’t buy a house today if my life depended on it.

      • l vent says:

        So true, Alice. Those of us who know the truth would never want to borrow a promise to pay from these criminals with no protection for we the consumer against their rampant, abusive fraud ever again. The shit they sold us was never secured to anything. The deception ran incredibly deep and it still does.. They truly lost the trust of millions and surely there are millions more who will get it and never want to borrow an unsecured promise to pay, a float, from this tyranny ever again. That is what will bring death to their Foreign Multinational tyranny. Without our trust, this tyranny truly has nothing. Same goes for the corrupt politicians who are hiding in plain sight.

      • AliceN.Wunderland says:

        Yes I vent, the politicians are so clueless they don’t know we can see them naked. Or, they don’t care, as they strut their stuff…lol.

  8. Binkey says:

    Get them before they get us….The TAXPAYERS OF AMERICA……WHAT THE HELL! There are court judges, attorney’s, banks, and credit unions all alike who are involved in this mess.

  9. Binkey says:

    I am really surprised that anybody has charged MERS with anything as far foreclosures are concerned….and to be frauded along with it is scandolous. I just learned last night that not only have I been Foreclosed on and Frauded, but the Federal Courts have committed an act of forgery against me. I submitted a documents to the courts in October 2009, a male friend and I sat down together and he helped me with the documents and we sent it out by certified mail. Well I was going through the documentation that was sent to me regarding my case and decided I would take some time just to read through the case file. I run across the document that I submitted to the courts only to learn that it was not documentation I submitted. The Residing Judge was seen at one of the investor’s mothers home (mamma’s house) and the Magistrate Judge used to be an attorney for the Banks. I am appauled by the tactics they are using or have used to take my home, as if Predatory Lending was not a part of it all, then to make matters worse I did not learn until 2010 that I was Frauded by the Bank through the IRS. We are talking about one of the oldest banks in the USA….M &T Bank/Corporation….who name has never been printing in any papers or for matter they have never been charged with anything. Even though they sold HUD millions of dollars worth of properties that had all been predatory lended against. A government agency mind you, oh and by the way they were/are backed by both Fannie Mae and Freddie Mac. This has to be a joke right…..I will not run….and if all else fails I will have to go that bank, but first I will post a You Tube Video….act like the man in Cario….something needs to happen because these are criminals at their best. And last but not least the person who continues to harass me lives directly across the street from. They come into my home when I am not here and rifle through documents. They also submitted some documents to HAMP orginization I dealt with and breached the contract, and taboot provided them with incorrect information. I am fed up with all the crap….People need to fight and insist that something is done, before leaving your homes.

    • AliceN.Wunderland says:

      Good on you Binkey. I am glad you posted your story. Everyone needs to share and name names of the people who did this to you. There are a ton of sites now online that are exposing all of the fraud. People should not leave their homes. Stay in them. The latest I have read is 25% are underwater. That is alot of evicting that has to be done and I am sure that number includes many that have to do the evicting..how will they feel when their co-worker comes to evict them. How will that judge or sheriff feel when he/she finds out they don’t have a clear title to their home and they can’t sell it. How will feel if they think they own it free and clear and find out the satisfaction/full reconveyance was robo-signed and not worth the paper it was written on. MERS got us all. Everyone from the Judges to the unemployed, they got us all. I hope those signing the foreclosure approvals start reading the paperwork, they could possibly be approving a foreclosure on the own child or grandchild, or their good friend Tom, Dick or Harry. The cherry on the top of this is our very own government who won’t do anything to stop it and they too have clouded titles..good luck to them. And I will reiterate, because one thinks they ‘own’ their home ‘free and clear’ doesn’t make it so if it had MERS written on it. Best be checking those docs regulators.

  10. lucinda says:

    i hope they burn in hell………………………………………………ha ha ha ?

  11. leapfrog says:

    Woo-hoo! How’s old “titular head” Pfotenhauer going to fix this? Rearranging deck chairs on the SS MERS Titanic ain’t gonna cut it.

  12. Readdocs says:

    What needs to happen is justice. For all. The people who are involved in the property/land scandal all need to be looked at, investigated. The ones who are crooked should be investigated, and if needed prosecuted. This what’s happening right now is just more of sweeping it under the rug. The crooks aren’t even original in their
    stealing of land, this goes back to the 1860s when the rail roads were expanding across the coOnlntinent of America.
    Only this time the transaction history of the titles is being destroyed, to where some will never cleared and can never be sold or bought again. Who ever the foreign agents are should be extradicted to our courts for prosecution. The countries disallowing this should be penalized for enablement of criminality on our shores
    by their citizens.

    • AliceN.Wunderland says:

      Good point, the instruments they used in this ponzi scheme were sold on the Global market, woe, woe, woe. (I think that was what the angels say when the sh.it is going to hit fan)

  13. l vent says:

    OMG. THEY ARE ALL FINALLY GETTING IT!!!!! This should cause a NATIONWIDE HALT and MORATORIUM on fraudclosures immediately. MERS bifurcated the mortgage and the note nationwide and that NULLIFIES THE NOTE.

    • TheHutMaster says:

      Roger that @I Vent !!!!!
      I am going to have a cigar, as this is going to be a good one!

      “Fight The Good Fight”

    • AliceN.Wunderland says:

      They are getting alright, I think they got it a long time ago. They darn well know they can’t fix it, it is so big and global. What should they do, what should they do. I wish I could be a fly on the wall in some of those meetings. I can only imagine the finger pointing going on, lots of lost sleep in a few of those homes. And the Investors, the people that bought this crap, how can they look at themselves in the mirror, what are they telling their people that have lost their pensions, the people who trusted them with their money. I would be firing them when it came my turn to appoint them to manage my money. And Kurt Pfotenhauer gets to be the new Chairman of MERS how embarrassing. They are in such a tight cocoon they don” realize WE have gotten it.

  14. TheHutMaster says:

    Burn baby burn.!!!!

    MERS needs to be SHUT DOWN and the asshats within JAILED for FRAUD< TAX EVASION and for just being SCUMBAG THEIVES!

    "Fight The Good Fight"

  15. Pamela says:

    MERS really are you sure that this is true or is this just another case of a bad deadbeat home owner who’s trying to get a FREE house on the dole once again?Hard to believe poor old MERS is being held accountable in a non judicial state!Well live and learn I guess.

    • TheHutMaster says:

      “Poor Old MERs” HAHAHA,
      You mean “CRIMINAL Old MERS”, Right?

      SCUMBAGS Sounds better to me, just sayin…

      “Fight The Good Fight”

    • Bobbi Swann says:

      @ Pamela – this is not just one individual on this suit – it’s a class action suit – did you not read it? The Class of Plaintiffs in this action consists of all owners of residential real property located within theState of Michigan, whose property was illegally foreclosed upon by MERS, through the useof the non-judicial foreclosure by advertisement procedures as prescribed in MCL600.3201,et seq.

    • AliceN.Wunderland says:

      Pamela, that is the script. That is probably how the media will spin it. Just a bunch of deadbeat homeowners trying to get free houses. May I suggest that the media check out the titles on their mcmansions too. I wonder if all those rich wall street and k street types paid ‘all cash with their zillion dollar bonues we gave them. I hope so, wouldn’t chance having MERS on the title.

      • 1ofthemany says:

        My mod has MERS all over it and for a change I am happy about it.

      • l vent says:

        Tell them to take there mod and shove it then, until they can prove to you who is owed any money. The truth is they can’t because your house is paid for free and clear because of the giant ponzi scheme!!!!!!

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