California Bar Throws Baby Out with Bathwater


What’s the Next Step? Consult with Neil Garfield

For assistance with presenting a case for wrongful foreclosure, please call 520-405-1688, customer service, who will put you in touch with an attorney in the states of Florida, California, Ohio, and Nevada. (NOTE: Chapter 11 may be easier than you think).

Hat tip to Darrel Blomberg who brought Mandelman’s article (below) to my attention.

Editor’s Analysis: In case you you ever wondered where that expression came from, it is pretty simple. It was once the practice to allow the man to bathe first, then the wife then the children in order of their age — all in the same tub without changing the water. By the end of this process the water was so murky that it was actually possible to throw the baby out with the bathwater.

The banks are attempting every maneuver to keep the mortgage and foreclosure process as murky as possible with considerable success, especially when it comes to modification where they are required to “consider” modifications although they are not required to accept a modification proposal.

The truth is they don’t consider it, they intentionally “lose” the paper work a half dozen times before they realize that the person is likely to escalate to litigation, and then they send a notice of rejection.

This rejection, few people realize, is subject to challenge if your allegation is that they rejected it without considering it. If your allegations contain proper pleading about the details you submitted with your modification proposal, including the proceeds to investor under your plan versus foreclosure, and it is an obvious no-brainer, I have evidence that such suits are settled very quickly usually along the same terms as those proposed in the original modification proposal from the borrower.

Now it is true that hundreds of companies have started claiming to do modifications without being able to spell it, and without any license that provides any evidence that they know anything about property rights, mortgages, notes,  lending, HARP, HAMP, TARP, TILA or RESPA and it is equally true that these bogus companies have compounded predatory lending with predatory services (fraud). So the states have enacted various laws that ignore the real problem and did what the banks want — prevent access to those who are licensed and who can effectively advocate for their client, before, during or after modification attempts, foreclosure or eviction.

The basic thrust of most such laws is to prevent any such company from collecting fees until the end of their services which means that such companies would need to invest in a mortgage deal, the benefits of which go solely to their client.

The proper way of handling this is through the existing web of lawyers, HUD counselors, realtors etc. who are all properly regulated and if they charge fees that are too high or fail to do the work, their license if disciplined with fines, suspension and even revocation. There are hundreds of thousands of such professionals around that would gladly assist homeowners, but who have no interest in loaning the expenses of representation to clients whom they barely know.

California has now extended this idiotic approach to lawyers as well, which means if the retainer smells like there is a modification possible, they are not allowed to charge any fees until the end. This obviously denies the homeowner from access to counsel, access to the courts, due process and equal protection under the law. Hopefully that rule, passed around November 12, 2012 will be brought before the California Supreme Court will be treated summarily. It’s bad for homeowners, lawyers, and all other licensed professionals who could provide valuable services in litigation, settlements, modifications, short-sales and wrongful foreclosure suits.

So right now, in California, the banks and pretender lenders can all use attorneys, realtors and others and pay then up front, salary, or anything else but the people against whom they are pressing illegal foreclosures are not allowed to hire such professionals because it could end up in a modification, which everyone agrees is the proper end to this mess.

PRACTICE HINT: Any lawyer or group of lawyers may file a rule challenge which MUST go to administrative  hearing and then (after exhaustion of administrative remedies) can go to court for contest or confirmation. Hearing officers are not ordinarily allowed to rule on constitutional issues, so you’ll end up in court pretty quick.

31 Responses

  1. I had a bank attorney tell me the allonge is the legal assignment. Thanks to this site & matt weidner I was able to tell him the allonge conveys nothing.

  2. I like it DC…sounds like real progress.

  3. arguments.

    Carroll, 43, a former Las Vegas police officer, was previously convicted of 17 counts of filing false court documents and one count of obtaining money under false pretenses in the 2010 scheme.

    At the request of prosecutors, District Judge Elissa Cadish ordered Carroll remanded into custody while he awaits his Jan. 16 sentencing on all 35 felony charges.

    “I think it’s finally caught up with him,” Chief Deputy District Attorney Mike Staudaher said afterward.

    The charges focus on phony court affidavits Carroll was accused of putting together in civil cases involving one of his clients, debt collector Richland Holdings.

    Carroll was accused of failing to serve documents in 17 Richland Holdings cases in May and June 2010, though he certified them as served in Justice Court affidavits.

    As a consequence, people named in the affidavits were not notified they were being sued by Richland Holdings.

    Earlier in the weeklong trial, Staudaher told the jury many of the people Carroll swore he had served weren’t even home at the time. Some were at work, one couple was in England, and one address didn’t exist, Staudaher said.

    Chief Deputy Public Defender Will Ewing maintained there was no deliberate scheme to falsify the affidavits. Ewing suggested the affidavits were prepared from “dead files” and weren’t meant to be submitted in court. Carroll used the dead files, cases involving people his company was unable to serve, to help train new employees, Ewing said.

    But on Wednesday, Carroll’s former office manager testified Carroll regularly instructed her to sign affidavits falsely swearing she had served defendants.

    Vilisia Coleman, 47, who worked for Carroll’s process serving company between 2007 and 2010, told a jury that Carroll sometimes handed her stacks of 20 to 30 affidavits to sign unlawfully.

    Coleman pleaded guilty last year to perjury and filing false court documents and agreed to cooperate with prosecutors.

    Justice Court officials think Carroll’s company, which no longer is serving documents, might have harmed the court system over a period of years.

    The company, which operated without a license for nearly seven years, was involved in some 25,000 civil cases in Las Vegas Justice Court, officials have said.

    Carroll also had been standing trial on perjury charges this week in the affidavits scheme, but Cadish instructed the jury that it could only convict him of perjury or forgery.

    Contact Jeff German at or 702-380-8135.


    Yesterday in Ohio one attorney told me that at least one magistrate was searching through her files and vacating foreclosure judgments due to the concurrence of recent events of legal significance. 1st on 10/30/12. Ohio Supreme Court in a landmark unanimous SCHWARTZWALD decision held that there must be jurisdiction by ownership of note and mortgage at the time of filing the complaint. This was followed on November 20, 2012 by DOJ announcement [judicial notice folks] of plea agreement by lo brown docx—-Then came Ohio Supremes in WALLACE on 12/05/12 reiterated VOID MEANS VOID on a default judgment motion to vacate after a year inaction———————————————————–magistrates and courts in ohio at least should be vacating sua sponte as they are in northern ohio –this is big—in my little rural county and surrounds 600 houses seized this year with 90% sitting vacant

    -see also AHMSI vLPS for more admissions by AHMSI including letter of Cheryl Newman Exhibit.—-Brown admitted that all 1 million docx docs 2003-eoy 2009 were forgeries/ plea announcement by DOJ says servicers are unknowing —however that statement is contradicted at least in one instance by AHMSI pleadings that assert they gave a Board Resolution in 2008 legally authorizing certain docx employees as signers “to make assignments of mortgage dots AND INDORSEMENTS AND ALLONGES.

    Those of you who are astute might wonder : How can AHMSI board authorize people at DOCX to make post-dated indorsements on other parties ownd notes? Well thats a good question? It tends if acted upon to drag AHMSI into Browns orbit pretty tightly.

    The point being that ALL DOCX DOCS are voidable—-and judgments and orders flowing therefrom are voidable—and a lot of reo is recoverable

    Process server Michael Root says that he knows how angry foreclosure notices can make homeowners — because one property owner almost killed him and members of his family.
    That alleged attack — which resulted in criminal charges against the homeowner — is the kind of mayhem that process servers say they commonly confront as the messengers in our legal system. Although violence toward process servers has always been a problem, because they so often bring gloom to people’s doorsteps, those in the industry claim that the risks of their profession have only gotten worse as the housing crisis has pushed 4 million mortgage-holders out of their homes.

    well—–isnt it somewhat like defense of property when you have reason to believe these guys are assisting to steal your properry–is it less defensible if its real than say–your TV—?

    if these servers and police who get caught in the middle want to collect–they should sue the theives that put them in harms way—not the victim of the theft?

    in fact—if i were a prosecutor out to make a name–id order indictments for involuntary manslaughter to any outfit who orders some server to deliver false docs

  5. DeMarco knows they are all full of it. He knows the FEDS debt is a quadrillion dollars & can’t be written down. This is all about the robbery of the American people. I don’t blame DeMarco.

  6. December 7, 2012:

    “As it now stands, DeMarco said, “The secondary mortgage market
    infrastructure that served this country for many years is broken.”

    December 10, 2012:

    “Edward DeMarco’s days directing the Federal Housing Finance Agency (FHFA) may be numbered, according to a report from The Wall Street Journal. People familiar with the discussions told The Wall Street Journal the White House is preparing to nominate a new director.”


  7. Can’t wait until WE THE PEOPLE….all of the U.S. PATRIOTS vote ourselves in. We will have a giant bonfire for all of their oppressive laws right on the steps of all of the State Capitals. Freedom will ring. We will erect a new monument in place of the one that’s in D.C. now. We need a more fitting tribute to freedom..


    You are correct. Jail time starts with 42 treasonous senators who removed Glass Stiegel. Add one President who initiated the program , another who promoted the program for the banksters and the 3rd who is currently in office and continues the cover up. Just remeber these dirty inbreed bastards who sit on their fat ass in this government think you are sub-human. NEVER AGAIN !

  9. Contract theories or Contract law cannot be applied to contracts that do not exist. MS said there has to be performance on both sides of the contract. The performance that would have made the contracts legal never happened. We believed the fairy tale that this crap credit these banks sold us were legitimate financial transactions. Well, they were far from it. All the banks did was collect payments on money they never lent and pocketed those payments. Their investors used many disguises to screw us out of our labor, pensions, wealth, and property. All payments need to be returned & they all really belong in prison for terrorizing the American people who worked their asses off to pay for everything. These bankster crooks set every one of us up just so they and their investors could steal it.

  10. Maher please send me the links/ info you have re HSBC
    Where was it announced I need this
    And don’t laugh at me ok
    I might get a chance to reference that info soon

  11. compliance with Mers Corp equals anti-money laundering Sanctions

    Its got to stop. Mers Value is offset by an open door to corruption. HSBC Holdings PLC announced that it has reached agreement with United States authorities in relation to investigations regarding inadequate compliance with anti-money laundering and sanctions laws. This includes a Deferred Prosecution Agreement (DPA) with the US Department of Justice. HSBC has also reached agreement to achieve a global resolution with all other US government agencies that have investigated HSBC’s past conduct related to these issues and anticipates finalising an undertaking with the United Kingdom Financial Services Authority shortly. Under these agreements, HSBC will make payments totaling USD1.921 billion, continue to cooperate fully with regulatory and law enforcement authorities, and take further action to strengthen compliance policies and procedures. Over the five-year term of the agreement with the Department of Justice, an independent monitor will evaluate HSBC’s progress in fully implementing these and other measures it recommends, and will produce regular assessments of the effectiveness of HSBC’s compliance function.

  12. Executory Contract

    The U.S. Supreme Court defined the executory contract term as a contract in which “”performance is due to some extent on both sides” N.L.R.B. v. Bildisco & Bildisco, 465 U.S. 513 (1984). In the Ninth Circuit, a contract is executory if the obligations of both parties “are so far unperformed that the failure of either party to complete performance would constitute a material breach excusing the performance of the other” In Re Frontier Properties, Inc., 979 F.2d 1358 (9th Cir. 1992).

    Consider where Real property and equipment leases are common forms of executory contract. The lessor has an imposed duty to provide future possession of the property and the debtor/lessee has a duty to make the future payments. Other examples might include an insurance policy, an escrow for the sale of land, a license agreement or a joint venture.

    Contracts that appear to be executory, such as an installment sales contract, may already be so fully performed by the non-debtor that they are no longer executory.

    These contracts are often treated as unsecured claims or “disguised” security agreements subject to the applicable lien perfection rules.

  13. The way I understand it is, the financiers structured the mortgages as 10 year bonds. They had to crash the market because the ponzi scheme could no longer be sustained because the Baa bonds matured and were worth more than the dollar. The value of the Baa structured bonds was maxed out. The Fed collected all payments as usury and never paid off the original loans they borrowed in our names before they swapped credit slips and oversold investments in what was believed to be credit that was not actually credit but these investments were actually gambles they sold investors in uncertificated stocks & bonds. The investors in the FED & the banks bought back their stocks & bonds when they matured for a mere pittance from the Issuers but, they were all insured on their losses…extorted the bailouts because of the unconditional guarantee by the U.S. GOVT. in good as gold agency paper…when in fact, the issuers & their investors destroyed the value of the agency paper. AIG insured $600 trillion in credit that never existed. Then of course the real money was yet to come in repurchase agreements of debt that could never be repaid they would all invest in the nation of RENTERS they created. The fraudclosures would incentivize the theft of our property for the judges and the attorneys on both sides.

  14. […] Filed under: bubble, CDO, CORRUPTION, currency, Eviction, foreclosure, GTC | Honor, Investor, Mortgage, securities fraud Tagged: ACCESS TO COUNSEL, ACCESS TO COURTS, CALIFORNIA, CALIFORNIA BAR ASSOCIATION, due process, EQUAL PROTECTION, modifications Livinglies’s Weblog […]

  15. question: do the amts of payments sold to the various tranches exceed
    the p & i on the notes?

  16. They certainly want to clean up their mess big time now after they got caught & people want to string the crooks up from the lamposts. Now that they literally destroyed millions of lives they are unleashing some attorneys to “help.” Well, I don’t want their “help,” I want all of my stolen mortgage payments back plus compensatory damages & other equitable relief because these crooks & their fraud destroyed our small business & permanently harmed me & my family.

  17. another hottie

  18. Garfield – There are hundreds of thousands of such professionals around that would gladly assist homeowners, but who have no interest in loaning the expenses of representation to clients whom they barely know.

    Comments – This is very important to know. Experts testify and limit there services to affidavits and testimony . I for one make it clear that modifications as they are intended cannot exist . They do not exist and I said this from the start. If you have not testified in court or worked under an attorney to testify then stay clear of the audits and services offered as a consumer lender reconciliation service.

    Why ? Its not about what you can do its what the State knows that you do not (more than meets the eye) See. CA CC 2924.5 that was a sham from start to end . *** Inducement*** In testimony I assert that Modifications are a liquidation tool that I am committed to leave alone or be sealed. They are not legit and intended for one purpose and that is a claim of laches [held to an executory contract ]. The breech is for nonperformance by others as parties and counter parties to unrelated matters brought to court that impact your agreement .

    Not an attorney and not intended for legal advice – Call your state Bar for more information about lawyers in your area.


    if you arent an angel then you have one on your shoulder—thanks this is the same parties making me shadow box against a forged document–and one in question–an indorsement of Danielle Sterling’s initial “mark”———

  20. Ha! Tennessee picking up on things. Are you still handling foreclosures, tnharry?


    December 10, 2012

    Today, a Special Master appointed by a Tennessee state court Judge ordered discovery, including securitization discovery, to proceed, denying a Motion which had been filed by Bank of New York (as “trustee” of a CWALT securutized mortgage loan trust) to stay discovery pending a ruling on BONY’s Motion to Dismiss. The discovery was ordered to proceed before any ruling on the Motion to Dismiss, in accordance with a prior pronouncement of the Judge at a prior hearing. The Special Master also denied BONY’s Motion to Dissolve a restraining order which had been entered by the Judge staying all foreclosure activity, which order was entered without the necessity of the posting of a bond. The Special Master found that “the Judge thinks that this is serious enough to warrant injunctive relief.”

    The securitization issues presented to the Special Master are believed to be the first of their kind raised in Tennessee, which has no appellate law on MERS or securitization. The case is fraught with issues including a toxic, post-trust closing assignment by MERS over 5 years after the trust closed; conflicting documents filed by MERS and ReconTrust as to who the alleged assigning party is; and whether BONY has any interest in either the Note or the DOT whatsoever.

    Jeff Barnes, Esq. represents the homeowners together with local counsel Andrew Farmer, Esq. Mr. Barnes prepared the briefs and personally argued the matters in court in Sevierville, Tennessee today.

    Jeff Barnes, Esq.,

  21. They literally wrote 2k & 8k on my docs. They literally showed me how they divided up the loan file. Its an outrage.

  22. Here is a link to some good information regarding what should have been filed with the SEC by these corps.

  23. Forget EDGAR ……the only trusts these crroks set up were to racketeer & money launder their fraud to their criminal counterparts in the U.S. & around the globe and they closed out these trusts and destroyed the evidence before they Insider traded the stock market into free fall in 08.

  24. @ DCB ,

    Could you give a link to the AHMSI destruction of files info .. I had O-One with (old) AHMSI ,, My wife used to be the local O-One branch managers boss in another line of work and she tells us that it was O-One policy to never retain originals , just scan and send file … this fits perfectly with the closing agents instructions to only allow black ink for signatures.


  25. @DONNA
    You said: “That’s why the documents were destroyed – the PSA requires it.”

    Iv read a couple of those sets of documents backwards and forwards—if seen detailed descriptions of custodial handling of documents. Its a recital of duties on the Custodial Trustee Bank–admittedly appraenlty sub-contracted right back out to the servicer. But nowhere have I seen a thing about destruction of documents except in the case of bankruptcy of the servicer–eg old AHM group warehouse in Melville NY. The debtor in possession-still very much alive–wanted to destroy all of the documents in its possession to cut warehouse costs. If they followed the SA/PSA the warehouse shouldv been loaded down with original files including fully indorsed –ie to the trusts–original promissory notes.

    Most trust trustees complained and the court told em to show proof of ownership and they got em–only BNY could not meet the burden . afterwards the old AHM bankrupt but still employing hangers on—destoyed the files–per court records. So i dont know about a lot –and my experience is very limited–i do not purport to describe the matters widely and generally–but i sure would like to see an example of what you describe–could you cite to an edgar link?

  26. Great job Michigan….! The truth is clear, the FED & BANK INVESTORS are hiding behind the scenes of this and they already got paid gazillions. They are just greedy bastards.

  27. The Virtual Loan Mod Pot of Gold for Foreclosure Defenders and Mortgagors

    Dear Neil Garfield:

    I write in response to your Blog Entry:

    You have stumbled upon a serious gaff in the foreclosure defense industry for which you hustle business day and night through your LivingLies WordPress blog.

    Foreclosure Defender (FD) attorneys essentially commit malpractice by doing battle against the foreclosure instead of the mortgage. They gouge their clients for a $1500+ retainer (gift) plus $500+ a month for as long as the FD can keep the feckless, desperate client in the house.

    And inevitably the court/trustee disposes of the house at auction. So the client SHOULD have SAVED all that money, then done a keys for cash deal, and walked from the house with $30K in the pocket, enough to BUY A HOUSE AT AUCTION for CASH.

    On top of that the FD almost NEVER examines the mortgage for tortious conduct, contract breaches, and other legal errors, OR mounts an attack against the lender for associated causes of action. In this failure to attack the lender for contract breaches, etc IN THE FACE OF THE LENDER’S ACCUSATION of borrower BREACH of contract, the FD attorney commits blatant MALPRACTICE.

    Plus, FD attorneys never suggest that even feckless borrowers don’t need an attorney to do a loan modification for them. I consider such dereliction unconscionable and scurrilous.

    So now Congress and Legislatures have made it crystal clear that attorneys and other FD “malpractitioners” can no longer gouge their hapless foreclosure victim clients UP FRONT for the scurrilous practice of doing loan mods which the victims can do themselves. Now Government requires that FD loan mod attorneys do the service first and collect payment AFTER the loan mod dust settles. I say HOORAY FOR THE GOVERNMENT. It’s about time somebody stanched the blood-sucking that FD vampire attorneys have done for years on their clueless foreclosure victim prey.

    Lest you think that I write unfairly about the FD mobsters, please allow me to throw all of them a bone (and you along with them). I have the perfect mechanism whereby they can do the equivalent of a loan modification for those foreclosure victims (or 90% of the other mortgagors), AND collect the fees UP-FRONT. I should charge all of you fifty bucks and force you to watch a tedious half-hour video that simply repeats all of the above. But instead, I shall BLURT IT OUT. Ready? Okay, here goes.

    1. FIRST- CALL ME. Before I get going too vigorously, I’ll let you know that YOU CAN CALL ME CALL ME at

    727 669 5511 –
    or write to bob at bobhurt dot com

    and I’ll patiently explain all the details of this method to any FD malpractitioner, mortgagor, foreclosure victim, or referral agent who truly desires to know. And no, I won’t charge you a penny for this valuable information.

    2. SECOND – EXAMINATION. I have already explained this to you in the past, but it bears repeating. FD attorneys should procure the services of a competent, fastidious MORTGAGE EXAMINER to review ALL of the mortgage related documents (including correspondence, case filings and rulings, and closing documents) to discover causes of action like contract breaches, tortious conduct, or legal errors by the mortgagee, lender, or agents. This service will probably cost you $3000 or less and I know only one company truly competent enough to perform it. CALL ME FOR DETAILS. I CHARGE NOTHING FOR THIS SERVICE, but the examiners have to eat.

    3. THIRD – EVALUATE. IF the exam report does not reveal causes of action, you have nothing to negotiate and the foreclosure will inevitably happen. You will lose the house. Do not fight further. Find a graceful way to exit from the house and save your credit rating. The three best ways, all of which can leave you with the ability to get another government guaranteed loan of some kind in 2 years:

    a. Deed in lieu of foreclosure – ask the servicer for this. You won’t have a judgment lien against you, so it goes easy on your credit

    b. Short Sale – Get the house ready for sale and spiff it up the best you can, starting with the outside, and put it on the market with a competent realtor or FSBO if you know how. You might have more time than you think if the lender dawdles. The closer the foreclosure looms the more important that you sell it, but drop price only as a last resort. Most borrowers will have an underwater mortgage, so the house must sell short, for less than the loan balance. The lender will have to approve it. The borrower might need a lawyer to negotiate with the lender to take the deal. Hint: if the house has mortgage insurance on it, you might get the insurer to hammer the lender into approving the short sale.

    c. Keys for Cash – I prefer this. Ask the servicer for a cash stipend if you leave the house “broom clean.” If you (the victim) have saved money while failing to make mortgage payments, you might have enough in hand to buy an auction house after losing yours to foreclosure.

    4. FOURTH – NEGOTIATE. That’s right. I’ve explained this before, too. With the Mortgage and Appraisal Exam report in hand, you FD attorneys (and you victims of bad mortgages and of foreclosures) can sit down an write a stinging demand for settlement, and put it in the hands of the Lender/Mortgagee/Assignee/Holder’s attorney. This will start the negotiation process.

    a. You foreclosure victims DO NOT NEED AN ATTORNEY to do this, but I recommend hiring a COMPETENT attorney to negotiate the settlement. Otherwise your opponent’s attorney might give you short shrift or fail to take you seriously. Sorry for this. Fact of life. It shouldn’t cost you more than 3 hours of the attorney’s time to read the report, draft the offer demand, and negotiate the settlement. That’s about a thousand bucks or less.

    b. The foreclosure victim will not have to pay an attorney tens of thousands of dollars to do this negotiation. And this negotiation can achieve a result most FD attorneys can only dream of AFTER dragging out the foreclosure for months on end at big cost to the borrower. Remember that the interest and other costs mount up during the foreclosure process and only stop when a requesting loan mod or a fake bankruptcy.

    5. FIFTH – SETTLEMENT or LAWSUIT, possibly HOUSE FREE AND CLEAR. Yep, I’ve told you this before too. The negotiation will produce one of these results:

    a. FLAT NO – the lender refuses to settle and says “Sue Me.” If this happens the victim must decide whether to find an affordable attorney, wing it in court pro se, or walk. Most likely the victim won’t find a pro bono attorney to fight the battle, but the victim MIGHT find an attorney to take the case on contingency.

    b. SUE (possibly get the House Free and Clear, and/or Punitive damages) If you sue with a competent attorney, you will probably win, for one primary reason: the court exists to give redress to the injured. And YOU got injured by the lender. In other words, instead of having the role of the dogmeat as a foreclosure victim, you have the role of the DOG in a tort/breach claim against the lender who injured you. THIS CONSTITUTES THE PRIMARY VALUE OF THE MORTGAGE AND APPRAISAL EXAM. This powerful tool turns you into a DOBERMAN. It allows you to sue the lender and win both compensatory and punitive damages. LOOK at this example of both a settlement AND a lawsuit that let the borrower WIN A HUGE ARRAY OF AWARDS:

    This proof of concept shows precisely why YOU must (if you have any sense) get your professional mortgage exam done BEFORE approaching a FD attorney. It also shows why the FD attorney needs to get the exam done and ATTACK THE MORTGAGE, rather than engaging in malpractice by merely fighting the foreclosure.

    c. SETTLEMENT (similar to but better than LOAN MOD). Your negotiation will most likely result in a settlement offer, precisely the KIND of deal you wanted from the loan mod to begin with – an affordable, fair mortgage. I would typically consider equitable a deal to reduce the loan balance to the present value of the house minus the borrower’s paid-in equity, refinanced for 30 years at a fixed going rate with no balloons Most lenders would prefer that to a lawsuit that exposes their soft and rotten predatory lending underbelly.


    You seldom see such things for two reasons:

    1. Most lenders’ attorneys have more sense than to buck against a fair settlement because they know what damage a messy, expensive lawsuit will cause to their and the lenders’ reputations. When settling, they ALWAYS REQUIRE PLAINTIFFS TO EXECUTE NON-DISCLOSURE AGREEMENTS. You could look at the settlement as a form of “hush money.”

    2. Statistically ALL (let me spell that: A-L-L) FD attorneys do not have the skill, will, and wallet to fight such a battle, AND they believe they earn more by bilking the frightened, feckless foreclosure victims out of an average $10,000 to $20,000 (in some cases up to $200,000) to play a malpractice delaying game that simply drags out the inevitable foreclosure and results in loss of the client’s house anyway.


    I say this because FD attorneys have a fiduciary responsibility to examine the contract and related documents when a client comes to them for help fighting a breach of contract accusation. To fail in this duty constitutes malpractice. And that becomes a tort if an injury and damage results to the client.

    FD Lawyers: a client comes to you complaining that a mortgagee sued him for breach of the note and demands foreclosure and sale of the house according to the mortgage. Because examination of hundreds of loan-related documents including the loan application, real estate purchase agreement, appraisal, and all the closing documents, you start fretting over irregularities in the loan assignment and the foreclosure process. Maybe you can get the court to dismiss the case on the basis of lack of plaintiff standing (wrong plaintiff), robo-signing, etc. But by such an exclusive focus you have missed seeing the elephant in the room in 90% of some states’ mortgages: appraisals that overvalue the property, and fraud by mortgage brokers who dummied income or expense figures in order to get some lender to make the loan.

    THAT dereliction of your fiduciary duty constitutes the tort of legal malpractice, according to the legal experts with whom I have discussed the matter.

    IF you fail to examine the documents related to the breach-of-contract and foreclosure action for contract breaches, torts, and legal errors, then you have failed in your fiduciary duty to the client. If the client then loses the house and/or a lot of money as a consequence, then the client will have a cause of action against you.


    Okay, so let me summarize the POT O’ GOLD for FD attorneys at the end of the LOAN MOD rainbow. You get two choices.

    1. INITIATE a Loan Mod and languish till consummation to receive your fee.

    2. Get your fee up front and hire a MORTGAGE AND APPRAISAL EXAM for ANY mortgagor clients (whether or not in foreclosure), then threaten a tort/breach/error lawsuit and reach a settlement that will probably include a deal far better than the typical loan mod (LOW FACE AMOUNT, NO BALLOON).


    And now I’ll summarize the POT O’GOLD for ANYBODY WITH A MORTGAGE DEBT (including foreclosure victims):

    1. Hire a MORTGAGE AND APPRAISAL EXAM, then get a lawyer to negotiate a settlement and if necessary a lawsuit as above.

    2. You typically will easily get a GOOD settlement, and you COULD get your house free and clear and/or a huge WAD OF MONEY for your trouble to cover all your costs and a vacation to some exotic land for a long long time. Plus attorney fees.

    Whether you are an ATTORNEY wanting to avoid malpractice and serve ALL mortgagors, or you are a mortgagor wanting a better deal on your mortgage, or your house free and clear…

    CALL ME at

    727 669 5511,

    and I’ll give you a detailed explanation and introduce you to the mortgage examination company himself, when you get ready to take action.

    NO, my service will not cost you a penny. I have helped people FREE since May 2006.

    YES you can subscribe to my Lawmen Group e-letter at You get that FREE too.

  28. Very good decision.

    BONY’s Summary Judgement Denied
    The Court’s review of Mr. Kerestes affidavit finds that he is an employee of Bank ofAmerica and not the plaintiff in this action. Additionally, the affidavit fails to address how or when either the plaintiff or Bank of America was assigned the note and mortgage and by whom said note and mortgage was assigned.

  29. Wex
    all pagesarticlesespañolInbox ProjectsearchFAQ.First Amendment
    .OverviewResourcesfirst amendment: an overview
    The First Amendment of the United States Constitution protects the right to freedom of religion and freedom of expression from government interference. See U.S. Const. amend. I. Freedom of expression consists of the rights to freedom of speech, press, assembly and to petition the government for a redress of grievances, and the implied rights of association and belief. The Supreme Court interprets the extent of the protection afforded to these rights. The First Amendment has been interpreted by the Court as applying to the entire federal government even though it is only expressly applicable to Congress. Furthermore, the Court has interpreted, the due process clause of the Fourteenth Amendment as protecting the rights in the First Amendment from interference by state governments. See U.S. Const. amend. XIV

    The right to petition the government for a redress of grievances guarantees people the right to ask the government to provide relief for a wrong through the courts (litigation) or other governmental action. It works with the right of assembly by allowing people to join together and seek change from the government.

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