(OP-ED) — The author of this post begs your consideration of the following foreclosure-related news item from the SE Texas Record (a journal published to highlight cases where the banks win and the homeowners lose, among other things) … for educational purposes only …
Notice the above Defendants?
It should be well-decided among the legal community that suing MERS is fruitless, but people still listen to these half-baled arguments that MERS knew or should have known that its so-called “members” (which really are user-subscribers to the MERS® System) freely use MERS’s name (an acronym for Mortgage Electronic Registration Systems, Inc.) to assign notes and mortgages to anyone the servicers’ employees are told to assign them to, regardless of whether MERS really has any authority to do so. Yet some attorneys are still smoking “legal crack” and are still naming MERS as a Defendant.
When will the legal community wake up to this grievous error? MERS is a database run by Wall Street’s Intercontinental Exchange Inc. and NOT an entity with money or answers to anything. An electronic database (nor its officers, of a shell corporation) are willing and able to give any plaintiff any discovery. The real issue here is what the chain of title would have revealed if carefully analyzed.
Read the appellate ruling from the 1st Division of the Texas Court of Appeals if you like, for educational purposes only about how to get cases removed to federal court, where the federal judges (who are appointed for life) bend you over, screw you with no lube and hand you back to the state court after you beg for mercy.
While not attempting to be so graphic, can you imagine the money these folks spent trying to stay in their home, to no avail?
Notice two of the Defendants … LSF8 Master Participation Trust and Caliber Home Loans, Inc.? These two are married in a third-world debt collection scheme to screw homeowners. LSF8 is no more of a trust than the LSF9 that this blog posted recently lost in a court battle in West Palm Beach, Florida at roughly the same time and space in the foreclosure world. This is why I call it the “LSF8 (or 9) Masterbatory Participation Trust” because these jerk-offs do nothing more than spin third-party debt sell-offs into a package they claim is a “trust” but is nothing more than junk, defaulted mortgage loan pools and then call them “equitable instruments” and using their phony documents (where they incorporate MERS into the equation) to steal people’s homes. U.S. Bank didn’t suffer any harm here because U.S. Bank as Trustee didn’t really pull the trigger. Caliber Home Loans did. I’ll bet if you looked at these folks’ assignments, Caliber Home Loan employees were using MERS to convey these toxic assets into these debt pools for the purposes of foreclosure … and they do it within the time frame that homeowners could challenge them anywhere. In Texas, the state’s Civil Practice and Remedies Code (§ 16.033) allows you to challenge a recording that is less than two years old … and I can tell you … Caliber is stupid enough to file stuff within that challenge timeframe because it wants to steal your home, by any means possible. They’re greedy, remember?
MERS, Robosigners and Perjury
Sadly, these attorneys don’t realize that anyone signing as an “Officer” of MERS has to have a $5,000,000 fidelity bond and an errors and omissions policy covering their signing activities. That requirement is mandated under MERS Rules of Membership for all robosigners. So why aren’t these robosigners being sued in a Cancellation and Expungement action and made to produce these documents to prove they’re a legitimate, bona fide, MERS “Certifying Officer”??? (which is a joke in of itself) because these people have no idea what they’re signing at any given moment.
In my world, we don’t sue assignees and we don’t sue MERS. We sue the robosigner and the notary (if the notary doesn’t have a bond) on the assignments, because the devil is in the details within the assignments, NOT THE NOTES! When you start arguing NOTES, you lose because judges won’t listen. Judges don’t care about assignments in foreclosure courts either. If the party bringing the foreclosure has the note (somewhere in their possession), that’s good enough for the judge. How they got the note doesn’t matter to the judge either. The judge just wants the case off their docket and YOU are nothing more than a statistic to them. They can go home and sleep at night, knowing they put you out on the street, because they were simply doing their jobs.
In any scenario (and I don’t care what foreclosure defense attorneys have to say about it), MERS should never be a defendant. The parties who sign the assignment have a different story to tell (other than the stories MERS vomits in court). These people are minimum wage employees (generally) that randomly sign hundreds of documents a day into these junk debt pools, because they can’t be foreclosed on and sold any other way. The chains of title are so screwed up that it would take an Einstein to figure out how to quiet them in a quiet title action. Sadly, they sell these junk debts to investors who buy them (like Fannie and Freddie’s crap) who attempt to peddle them or turn them into the nation’s rental pool.
Most people don’t recognize that if you hold the robosigner’s feet to the fire, you might find out that:
- The law firm doing the foreclosure had something to do with the manufacture of the assignment (subornation of perjury);
- The person signing the document as an officer of MERS didn’t have the required fidelity bond and E&O policy (lack of authority, perjury);
- The notary who acknowledged the document was part of the bigger picture in the scheme (notary fraud, false swearing); and
- The attorney bringing the case to court knew or should have known about the chicanery behind the scenes (especially if the law firm had the document returned to them after the dastardly deed was done).
All 50 states have laws against perjury on the land records … and they are all felonies. Some states have stronger laws that recommend that these false documents be turned over to prosecutors to have these robosigners “dealt with”. Yeah, right. This is America. No politician (dressed in district attorney or state’s attorney’s clothing) will risk their asses prosecuting someone connected to the scheme of things because they might find out the real truth … this stuff occurs on a grand scale all across America!
My take on this is doing a cancellation and expungement action on the phony document BEFORE the case gets to foreclosure. Ah, but wait! We all sit idly by and don’t bother checking the land records for clues, do we? Part of America’s complacency, I guess.
This is the sad state of America. This is why you should NOT deal with banks and other financial institutions who sell their paper into the MERS® System. Portfolio loans, owner finance on a clear title or nothing. Your choices are few. Make good choices.
Coming to the Clouded Titles website in February … ONLINE CHAIN OF TITLE ASSESSMENT CLASSES … stay tuned!