Timothy Froehle
The University of Iowa College of Law
Iowa Law Review, Forthcoming
Abstract:
In the current fallout from the foreclosure crisis and the securitization of mortgages, an old procedural doctrine is becoming increasingly relevant to homeowners facing foreclosure. The doctrine of standing is surfacing in the contexts of judicial foreclosure and bankruptcy proceedings as a defense to the foreclosing party’s right to foreclose. Defendants and debtors are affirmatively compelling lenders to produce evidence of ownership of the underlying note and mortgage, and lenders are increasingly falling victim to the same haste and lack of foresight that led to the crisis.
Additionally, courts are beginning to raise these issues on their own, a sign that they are inclined not to allow lenders to foreclose without properly protecting the homeowners at risk. This protective stance, however, fails to reach the homeowners whose foreclosures occur outside the judicial system. Numerous defects in standing and ownership of the mortgages pass through non-judicial foreclosure without any scrutiny, and homeowners’ interests in retaining ownership of their property will continue to suffer unless legislators respond with laws requiring proof of ownership of the loan before foreclosure.
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4closureFraud.org
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Why Procedural Requirements are Necessary to Prevent Further Loss to Homeowners
The banksters should not be allowed to strip homeowner’s of their property rights without the homeowner having their day in court. The Banksters should have to prove without a shred of uncertainty that they hold the note and the mortgage and it was properly assigned to the deed and recorded starting from the origination and done in a timely manner and including any subsequent transactions made in our names on our property were recorded and assigned PROPERLY and TIMELY and a clear chain of title was always kept on the biggest investment that most American’s make in their lifetime, THEIR HOMES. After all there are LAWS in this country that state clearly that all of transactions made on a property must be recorded and this MUST BE DONE PROPERLY and DILLIGENTLY. The JUDGES should not be allowing fraudclosures to go through either if these Banks and other lending institutions did not do what the law or the Pooling and Servicing Agreement requires them to do. The banks are even tricking people in Judicial states out of their homes by lying to the Judges about the Homeowner ignoring repeated requests to contact them and the Judges are allowing the Banksters to sell the homes right out from under the homeowner’s by using lies and deceit on the court. I do not think any Judge should be believing any Bankster or Bankster attorney without demanding the presence of the Homeowner in the courtroom to reach this most important decision. They act as if this is some kind of a game. THESE ARE PEOPLE’S HOMES! There does need to be a law legislated and passed by Congress and signed into law by President Obama that prevents the American people from having their homes stolen from them and their Constitutional rights stripped from them BY ARROGANT,GREEDY and SLOPPY BANKSTERS who are only looking to cover-up their own crimes with fraudclosures and steal as much money and as many homes as they can, while they still can. How is this Government STILL ALLOWING FRAUDCLOSURES? The CRIME SPREE by the Banksters and their Attorneys has to STOP. Is this America or Hitler’s Germany? It is way past the time now for a NATIONWIDE MORATORIUM on FORECLOSURES.