Court victory for homeowners in Oregon, MERS on notice
Project REconomy/Good Grief America announces a significant legal victory in the effort to enforce the rule of law, protect homeowners from fraudulent foreclosure practices.
Federal Court Judge Michael Simon in the case of Douglas James v. Recon Trust (Bank of America) reversed the earlier ruling of a magistrate judge who held that the Mortgage Electronic Registration System (MERS) had the statutes of a lender or mortgage note holder in Oregon. Today Judge Simon wrote: “Because MERS is neither a lender nor a lender’s successor, it is not a beneficiary within the meaning of the Oregon statute…”
The attorney for the homeowners, Terry Scannell, is a Project REconomy (formerly Good Grief America) attorney network lawyer and a member of the Project REconomy board of directors. Attorney Scannell on the ruling:
“The decision of Judge Simon should be seen as reaffirming Oregon is a place where the rule of law matters. My clients do not seek a free house they only wish to deal with the party who actually owns their loan, try to negotiate a sustainable loan modification with the party who actually owns the note.”
The decision will have the effect of further eroding the legal status of MERS in the State of Oregon. The ruling makes clear that court supervised or “judicial foreclosures” can and will continue. The difference is that lenders like Bank of America will now have to show who the owner of the loan is and not hide or obscure who is actually owed the money.
The decision also reinforces earlier rulings against MERS, US Bank and others such as Hooker v. N.W. Trustee Services and In re: McCoy who was represented by Good Grief America attorney network lawyers.
Copy of the ruling below…