The Busets get Abused by Florida’s Third District Court

By J. Guggenheim

See: HSBC v Buset

On February 7, 2018, Florida’s Third District Court of Appeal rejected multiple arguments routinely advanced by borrowers’ counsel in defense and delay of foreclosure litigation, reversed the trial court’s order dismissing the case, and remanded with instructions to enter a judgment of foreclosure. HSBC Bank USA, N.A. v. Joseph T. Buset, et al. Case No. 3D16-1382. The opinion offers lenders and servicers who litigate foreclosures in Florida and fabricate documents to create the appearance of standing a strong an unconstitutional weapon to overcome legitimate defenses namely standing issues.

The court in Buset demolished plaintiff’s challenges to standing to maintain a foreclosure action or to even require that a bank has standing to proceed at all. The court stated that typically promissory notes are negotiable under the Florida analog of the Uniform Commercial Code, rejecting the argument that the note’s reference to the mortgage, and the note’s definition of “Note Holder” destroyed negotiability. Buset, slip op., pp. 7–9. The court also held that the plaintiff had standing to foreclose by virtue of holding a copy of a likely fabricated note endorsed in blank, most likely with a forged signature from a robosigner, and stated that the plaintiff need not show ownership of the loan through a chain of endorsements. Id., pp. 9–13.

The Borrower’s argued that HSBC lacked standing because of alleged violations of the Pooling and Servicing Agreement, affirming that Florida borrowers lack standing to assert such violations because they are not a party to the Pooling and Servicing agreeement Id., pp. 13–14.   The court rejected the attacks on the mortgage assignment that appeared to be created for the purposes of litigation, because the assignment was in a “proper form and because the formal mortgage assignment was superfluous; the mortgage followed the note and the note holder thus automatically had standing to enforce the mortgage. Id., pp. 14–15.”  Therefore, as long as you fabricate and robosign assignments you better make sure they have the appearance of legitimacy.  The court also made the erroneous presumption that through securitization that the mortgage still follows the note.  In that case, the mortgage followed the note right into a shredder.

The court also made two erroneous evidentiary rulings. First, Buset held the trial court erred by admitting the testimony of a so-called “expert” on loan securitization and negotiability, and ruled that such witnesses are precluded from testifying as to legal conclusions. The court is methodically eroding every resource and tool a homeowner has and interfering with due process.  In a murder trial would an expert on blood splatter patterns be barred?   Because of the complexity of securitization, only an expert can explain a process so convoluted and illogical by design that only someone who has studied the fact patterns for decades could even begin to explain the process and where the system went off the rails to cause the foreclosure crisis.

Buset is a Godsend to servicers because it eradicates every protection a homeowner has to ensure they aren’t preyed upon by a faux-creditor.   On the admissibility of prior servicing records that should be struck as hearsay, the court opinion states that “creating” a loan payment history at or near the time of payment is “industry practice” (Id., p. 16), therefore, servicers with no way to validate prior servicing records will be allowed to admit defective or fabricated records even when the new servicer does not have personal knowledge of the prior servicer’s record-entry and record-keeping practices. The court is encouraging servicers to fabricate loan histories out of thin air that may be grossly inaccurate but a homeowner will have no way to contest.

In the foreclosure “universe” the court encourages servicers to fabricate evidence, and hearsay is embraced as fact. Forgery, fabrication and what would be deemed Fraud on the Court in any other type of litigation- are utilized by the courts to foam the runway for a stranger to the transaction to steal a home.

Buset ruled that the new servicer’s loan-boarding process was sufficient to allow it to admit and rely on the prior servicer’s records even though that loan-boarding process did not include “an audit.” Id. This indicates that a new servicer need not bother with the burdensome duty to verify the accuracy of each transaction conducted by the prior servicer and they can rely on the old servicer’s records even if they are incomplete, inaccurate or don’t even exist.

Finally, Buset confirmed that a new servicer can incorporate a prior servicer’s records into its own so long as there is “a business relationship or contractual obligation between the parties that ensures a substantial incentive for accuracy.” Id., pp. 16–17. Thus, “contractual warranties” manufactured on site will be permitted to stand as prima facie evidence the servicer engaged in accurate record keeping should servicers admit prior defective servicing records into evidence.  In addition to fabricating notes and assignments, a new industry is born allowing servicing records to be manufactured on demand.  The court is basically telling loan servicers to perfect their crime before they file to foreclose and the court will facilitate their crime spree.

16 Responses

  1. On a specials exception summary judgement, the judge would not listen, shut up and sit down, told me I could not file against him or the atty and the defendants did not have to prove standing. Judge threatened me with contempt 5 times with his lapdog with hand on his gun and standing over me. Brutal. I do not accept any of this and no mr. liar judge, and your minons, I do not ‘under-stand’ mr. liar. stay out of the courts. correct your status to the private and then go after all of them with criminal charges. not thru your ‘state’ officials, they are all in the pocket of the banks, go to the US AG in DC and ask to be assigned an AG in your state with balls to go after these snakes, all of them. Bias lurks amongst us and all around, question the authority of everyone you speak to. Do not take a short cut and ‘call’ make appointments and get in their face, your rights are being stolen and seems the courts are all in on it. all. they send you into an appeal=$$$, they send you into more and more of their BS system and it is all a lie. Neil will not chime in, he’s one of them and from past articles and recordings has admitted the ‘low hanging fruitful’ opportunity this is for attorneys, for the last 20 years, attorneys battling for and against GAIN. they even split the settlements we are getting and NOT revealing this to the homeowner. ITS ALL LIES. Do not move out of your home, study study study. Keatings has the tax angle, listen to SPITFIRE above, he is absolutely correct. Shrout can be found on youtube goldfish report…for last 2 months, hes been teaching various topics. WE MUST understand this. THERE IS NOT one piece of paper or simple process to undue the sham! First you will experience the shock of it all and then you will need to get past that and do what needs to be done. WE CAN AND ARE BEATING THESE jerks (edit) who are pure liars and the little bar (float) they came in on. busted and over turned, criminal charge them.

  2. In winning they lose.
    If US MBS have to be propped up by ignorant judges to accommodate incompetent lenders and servicers then the entire US MBS industry is dying or already dead. This ‘win’ confirms it.

    Expect global US MBS investors to wake up to this and start dumping.

    A homeowner might be keeping their house just because no more money can be made from it.

  3. The only hope now is to go to Supreme Court for such egregious errors. L

  4. @ ALL

    Further theory explained there:

  5. @ Spitfire

    If I give you me email, will you assist me in where to acquire this information? I have no issue doing the legwork, not a “sissy”…although I do need to weigh the outcome. This “creditor” thing I have challenged before and there are legs on it. What you say rings very true to me. Am unwilling to stay swimming in the same pond. Going nowhere! Thanks

  6. @ Spitfire ,, In Orange County Florida it’s “Simplifile LC” that is used to submit the fraudulent deeds and assignments not “SECURE” although they are used in Calif. … Simplifile needs to be sued as they are supposed to be for the use of Settlement agents and lenders ONLY… I have docs submitted through that system from servicers that have no interest in the property… someone somewhere needs to be held accountable.

    You are correct about Neil ,, I was waiting for his take on this fiasco (Buset) as he claimed he would comment on Friday… I don’t think it’s going to happen.

  7. 2 Chronicles 19:6

    And said to the judges, Take heed what ye do: for ye judge not for man, but for the Lord , who is with you in judgement.

    Deut 1:16

    And I charged your judges at that time, saying, Hear the causes between your brethren, and judge righteously between every man and his brother,and the stranger that is with him.

  8. @ Spitfire & ALL

    An interesting read on the scheme that is securitization accounting. Coincidentally, it references a name in Spitfire’s post.

    Of great import therein is the BAILMENT of one’s PERSONALTY, i.e., a NOTE, and the subsequent CONVERSION of the PERSONALTY by a BAILEE, along with the accounting chicanery.

  9. Re Buset: Awful opinion. Time for motion for reahearing — EN BANC this time — the same way the 3DCA did with Beavais, and then reversed itself!

  10. Two things I would like to stress here. Number 1 ~ Stop waiting for Neil Garfield to chime in. He rarely ever does or and I have never even heard of him responding to emails or calls.

    Number 2 ~ The courts are not what everyone seems to think they are. They are NOT Courts of “Justice” they are courts of “Just Us” and they are ruled over by CLERKS not Judges. They are simply Courts of Commerce overseen by Clerks in Black Robes pretending to be Judges. This country has been usurped by hidden and unseen forces that have operated in the backrooms and background and is currently holding the American people hostage as a DeFacto Government.

    PLEASE stop trying to get justice in these “Civil Courts”. They are only there to rob, steal and yes, even kill. The entire process kills your soul, your spirit and definitely your bank account.

    Hold your County Property Clerks feet to the fire and tell them you KNOW that they are using a system called SECURE to record all these fraudulent documents and that you are filing claims against ALL THEIR BONDS. This is not a game and its not for sissies. You will have to do the homework and the legwork and you will have to come to understand that YOU ARE THE CREDITORS. NOT THESE PRETENDER LENDERS.

    Stop moving out of your homes because they handed you a piece of paper. STOP accepting Certified Notices and mailings. File CEASE & DESIST ORDERS against ALL of them through the FDCPA. Demand a CRIMINAL Investigation into ALL the parties responsible for the mess your chain of title has become. DOCUMENT EVERYTHING.

    Stop trusting these BAR Attorneys. Look up what “BAR” even MEANS.

    These people do not care one whit about fairness or justice. And the sooner you “get” that, the sooner you will start looking for the REAL answers. Study Winston Shrout and Jean Keating. Once you remember who YOU ARE, then half the battle is won. The rest of it rests on you reminding THEM.

    I rarely ever post on here anymore because I KNOW that ALL ATTORNEYS know that they are operating under Color Of Law and not ACTUAL Constitutional Law and they are ALL guilty of treasonous acts against the American Republic and its People. They will soon feel the backlash coming for them though and I would HATE to be in their shoes.

  11. Very depressing that court like to watch innocent investors suffering!
    The survivor BSI whom Wells Fargo gave my mortgage away too , when I called them BSI they said the system not loaded yet when I called WFB they said “we have nothing to do w yr loan” by the time the system loaded there was nothing I could do as I was told by BSI

  12. All of these judges require “bonds” can we go after that? Neil, chime in here…if you would.

  13. Can someone post a sample motion stating to Show ( not to produce with signature forging robats) to the court original promissory note with endorsement? I googled but they are very simple ones.

  14. This is so disheartening. Evidence that evil roams freely amongst us without the slightest shred of conscience or remorse. And really no wonder why we have people that have been tread upon whom are completely willing to go out in a blaze of glory.

  15. Criminals. The system is a LIE.

  16. So if “I” am holding the note in my hand I can “state a claim for relief-for my loss”? Simple as that, the court says. Great news, let me start copying them and presenting them as “mine”! Rubbish all of it.

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