The fact that the standard Fannie/Freddie Mortgage Promissory note is not negotiable isn’t really subject to much argument at this point in time. Oh sure, we’ve got courts…and even some appellate courts…failing to engage in any analysis and making a practical determination to prop up an industry that has ignored the law, ignored their own contracts and generally just bullied and obfuscated their way into an analysis that continues a fiction and delusion. Hat tip as always to the Obi One Kenobe of foreclosure defense Max Gardner on this.

Well, just to provide additional support for this argument, I include a letter from Fannie Mae that makes an explicit and crucial point. When Fannie and the bankers got together to draft their note and mortgage, they intended that the note and the mortgage be read together as an integrated document. As indicated in this post, read particularly the highlighted mortgage provided by Margery Golant…it makes the point very clearly. The provisions included between both the note and the mortgage are all bound together in one, integrated, unified document.

What fraudcloure teaches us is we’re all just tottering along, making excuses and accommodations for the banking and financial services industry that set their mess loose upon this world, with no regard for the laws and no foresight for the consequences when it all came crashing down. Our nation’s courts, rather than forcing them to take the hard medicine and learn from their failures, plays the role of an abused spouse, apologizing for the brutal beatings she continues to take every single time a trashed foreclosure case comes before her.

Read the Fannie Mae letter here…