Tag Archives: REMIC

THE REAL REASON THE REMIC WANTS YOUR HOUSE …

(OP – ED) — The author of this post will be your host for the upcoming Orlando workshop event, “Beyond Foreclosure” and brings you the latest update on the foreclosure world so you can get a better understanding as to WHY you need the new information we’re going to be sharing at the upcoming workshop:

BEYOND FORECLOSURE ORLANDO

THE BIGGER LIE …

I wonder if you can actually put a figure to what you’ve been paying attorney(s) to defend your foreclosure, thinking the REMIC is just going to roll over and play dead and you’re going to get a free house.  I’ve got some startling news for you … news that has never been posted online by me before.

REMICs will not agree to a short sale!

It’s one thing if your property has seriously negative equity.  It’s quite another (these days) when it doesn’t matter what the foreclosure sale nets.  Why?

The REMICs want the foreclosure (and this comes straight from the REMIC’s attorneys mouths) is … wait for it …

If they accept a short sale, the Trustee (Administrator) of the REMIC has to pay the difference between what the property sells for and its face value (the value of the note).  If the Trustee forecloses, and the property sells for whatever, the investors who actually funded the REMIC “take it in the shorts”!   Thus … by foreclosing, the REMIC will not have to pay out any sums (or any of its profits) for losses incurred upon foreclosure.

Now you know why the REMICs want your home!  Now you know why it doesn’t matter what the securitization audit says or what claim you might have to the relationship between the REMIC and the Investors who funded it (and actually funded your loan).

We’re back to the dirty land record paper however … and this is why you need this workshop!   Not only do you need to learn HOW TO overcome the paper trail … and if you should even bother … you also need to know how to recover from foreclosure, because 9 times out of 10, the REMIC is going to win.  The REMIC will not let you do a short sale.  It has no incentive!

So what excuse are you going to give me for spending all that money getting that securitization audit done?  All of those little fancy boxes on the page are nothing more than …

Boilerplate Bullshit!

We can discover the same thing analyzing the chain of title.  The bottom line is … if the document contains false and misrepresentative information, there’s a right way and a wrong way to go about attacking it.  The bottom line is maximizing time and cash flow and homeowners who are being foreclosed on seem to think they have both when in fact (1) their days are numbered; and (2) they’ve been using the wrong mindset to overcome foreclosure.

This is why I spent the time putting together the materials for the upcoming workshop.  All of this is brand new … in a 3-ring bound notebook!

Yes, I did take a picture of the famous Dunluce Castle, which was used as the setting of House Greyjoy in the HBO Series Game of Thrones!  Yes, I took that picture when I recently visited Northern Ireland.  It made perfect sense to use this as the workbook cover because it reveres the old saying, “A man’s home is his castle!”

My visit to Ireland was two-fold.  One … I had not had a true vacation in years … and two … it gave me a chance to clear my head so I could be open to “receive” more inspiration.

STOP WASTING MONEY!

We’re going to teach you steps to help you rise above this problem.  I’m talking about cash flow.  Let’s face it.  If you had positive cash flow, you wouldn’t be in foreclosure now, would you?  So, rather than scold you about what you failed to do because of the lack of financial education, I decided that we should collectively pair you with an investor who has been making oodles of cash flow for over 40 years and will never have to work a day in his life again if he doesn’t want to.  In fact, he has set about making your life more exciting, by teaching you the secrets of investing and creating cash flow with little to none of your own money!

Don’t say I didn’t warn you … you will have to change your mindset if you want to overcome foreclosure.

Based on what I just told you about WHY the REMIC wants your house, you should be wholly incentivized to sign up and attend NOW!

Click on this link to reserve your seat:  I WANT TO WIN! 

Or … click on this link:  I WANT TO CREATE CASH FLOW!

Or … click on this link: I WANT TO SCREW THE BANKS!

Or … click on this link: I WANT SOMEONE ELSE TO PAY MY MORTGAGE!

Whatever your reasons for coming … it is your opportunity to network with money people and people who make a difference!

Seats are filling up fast!  Call the host hotel NOW and make your sleeping room arrangements!

Free Hot Breakfast and Free Airport Shuttle!

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THE C&E, ASSIGNMENTS … AND YOUR RIGHT TO CHALLENGE THEM (PART 1) …

(OP-ED) — The author of this post is a consultant to attorneys on quiet title and cancellation and expungement actions and thus, not an attorney who can give legal advice.  This overview, with its suggestive commentary, is for your educational entertainment only. 

Scenario … “The Set-Up”

You want to buy a home.  You don’t have much money, but credit is plentiful, as long as you can “fog up a mirror”.  You’re the “party of the first part” because you’re willing to take a gamble that if you can get a loan, you’ll be able to pay it back, with interest.

However, you’re not “Party A” (the party of the second part).  Party A” is a corresponding lender. That means it’s highly likely your loan is going to be securitized, which means it’s going to be put into the MERS® System, which is now owned by the same company that owns the New York Stock Exchange.

But of course, you’re ignorant of all of the shenanigans going on behind the scenes because you just want the keys to the house.

Meet “Party B” … not Cardi B; Cardi B has lots of money and she can probably pay cash for a house).

Party B is more than likely the sponsor-seller (the interim funding lender in the deal).  Party B figured out how to make a puttload of money doing securitization, so Party B hooked up with some attorneys who all engaged in “pure intellectual masturbation” together to create a “sales pitch”, known to investors as a 424(b)(5) Prospectus.  This document was drafted and signed under penalty of perjury under the Sarbanes-Oxley Act.  But that wouldn’t really matter to you, because you just wanted the keys to the house, right?

Meet “Party C” … the Depositor.  This entity is never a “member”, “user” or “subscriber” of the MERS® System; however, the Depositor plays an important role in securitization because it has to accumulate all of the documents (mortgages and notes funded by the REMIC) together by the specified “Cut-Off Date”, which is shown in the Prospectus (the sales pitch), which has to be done by a date certain (not 5 or 7 years down the road) or else the transfer of the loan into the REMIC would be void.  Party C is one of those parties that is a necessary party to securitization, so without it being named in the chain of transfers from Party A to Party B to Party C to “Party D” (the Trustee for the REMIC trust), as specified in the Prospectus, by the specified date, then it creates all sorts of legal challenges down the road, for both borrowers and investors alike.

To make even more money on the deal, Party B goes out and makes applications all over town for default insurance, while placing side bets (credit default swaps) on the performance of the certificates issued to the investors who have no idea what’s coming.

Now that all the side bets are in place and the loans have all been funded, the loan you got through Party A (the corresponding lender who only put up 5% of the deal) just closed and Party A got reimbursed by Party B, who actually funded the loan!

Later you find out the truth … but wait … if Party B was actually footing the bill with investor money it got through securitization, shouldn’t Party B be named the lender on the mortgage or deed of trust?  You’d think so.  But nope!  That puts Party B too close to the action on the assignment that’s supposed to be recorded in the land records where your house is … but somehow … Party B and its corresponding lenders are having too much fun giving loans to people they knew couldn’t repay them … so they forget about recording the required assignments altogether.

Ha! Ha! Ha!  Not!

The sponsor-seller knows what’s coming, because it’s holding all the Aces and it knows that over time … the house of cards will fall because all the loans in the pool are set to “reset” themselves within a certain period of time, causing the entire REMICs value to collapse.  I call it “Day 91”.  That’s the day the sponsor-seller gets to cash in on all of the insurance policies and credit default swaps.  The sponsor-seller can take a $500,000 loan and make $7.5-million off of the deal!

And here you are, swimming in debt, trying to figure out how to pay that mortgage that just reset itself through that adjustable rate BS you obligated yourself for.  But there’s more month at the end of the money.  You stop paying.  Party B is counting on it!  Party B set the whole thing up (using the MERS® System) to obfuscate the chain of title so it can create assignments of mortgage and deeds of trust to record in the land records vis a vis the mortgage loan servicer, who is tasked with taking your payment every month.

At least that’s what the mortgage loan servicer wants you to think when it sends you the default notice!  But alas … another lie.

The mortgage loan servicer is required to pay your principal and interest payments on your mortgage loan to the investors whether you pay them or not!   It’s called an “Advance”.  That too, is in the Prospectus … (not in the PSA)!   Simply put … are you really in default when the alleged REMIC moves to foreclose on you?   If someone is paying the investors every month, then how can they claim you’re in default.  Because they have a contract with you?   The originating lender (Party A) was paid off at closing by Party B (who used investor money to fund the loan) … this is what we call “table-funded lending”.

I’m trying to tell a story here, because this is the part where the rubber meets the road! 

Until you default (when the servicer declares you aren’t making your payments anymore) … you’ll never see an assignment recorded in the land records (99% of the time).  You have no contract with the servicer (Party E, for Empty Pockets).  Servicers have been known to “rob Peter’s account to pay Paul’s account” all the time, like Ocwen, which is why servicers are sloppy with handling money and shitty record-keeping.  But the servicer has another angle … it uses its employees to create assignments of mortgage and deeds of trust using MERS to cover up the missing links in the chain of title and conveys the title from Party A to Party D, without any recollection or mention of Parties B or C!   So who is it really coming into court to foreclose?

If you said Party E, you’re right!   These days, servicers are being even more brash, claiming they have a power of attorney from Party D (the Trustee for the REMIC) to foreclose on behalf of Certificateholders of some REMIC “series number”, claiming the certificate holders have been “harmed”, when in fact, the servicer is just trying to reimburse itself for all the defaulted payments it kept making on your behalf.   Now it’s using phony documentation to claim the note and mortgage were transferred to Party D, many years later.  The REMICs only stay open a year, so none of that makes any sense.  So the mortgage loan servicer retains the law firm to foreclose on your house … let the lying, cheating and stealing begin!   All on behalf of Party F (the investors).  I use Party “F” because in this scenario, the investors get “F**ked” in the end because the money made by stealing your house using phony assignments created by the mortgage loan servicer and its employees goes into their pockets and not those of the investors.

The attorneys continue the lie by claiming you’re not a third-party beneficiary to the assignment!   

And the judges buy into that crap hook, line and sinker!  It shows their ignorance! 

There are a lot of problems with these foreclosure mill lawyers using that falsehood.  In fact, the very pleadings or responses they file in lawsuits brought by the homeowner in deed of trust states to stop the foreclosure, or in the pleadings they put into the court record in mortgage states, contain misstatements in of themselves … and even more so when they have to rely on the recorded documents that the mortgage loan servicers put into the land records, in violation of statutes and penal codes, that contain false and misrepresentative information.

And the borrower and the attorney for the borrower run into court and wave the assignment around, telling the judge it’s a fraudulent document.  The judge of course (after hearing the attorney say you can’t challenge the assignment because you’re not a third-party beneficiary to the assignment) goes along with the bank’s argument … just because it seems to make sense.  However, there is a problem with that scenario.

Check back for PART 2 … where we discuss the bank’s flawed argument … and what homeowners are countering that flawed argument with!

HINT: Are the investors really third-party beneficiaries?  (think about it seriously, really).

Why should that affect you?

Look at your assignment!

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MIAMI-DADE JUDGE BITCH SLAPS US BANK!

(BREAKING NEWS — OP-ED) — 

It’s not every day a judge gets vile with a plaintiff REMIC trying to foreclose on some unsuspecting homeowner … however; in this case, Judge Beatrice Butchko (of the infamous Buset case, you know, the one she said where HSBC came into court with unclean hands?) did a smack down on U.S. Bank’s attorneys with a show cause order:

Signed-Order-to-Show-Cause

If the infamous Buset case wasn’t enough for you, this case has some serious robosigning underpinnings, thanks to your wonderful friends at Bank of America, N.A.:

ZAYAS ASSIGNMENT OF MORTGAGE

And for those of you C&E fans out there … you’ll be glad to see what’s in the assignment of mortgage that Bank of America contract workers in Simi Valley, California (B of A’s document mill) cranked out, all those famous names, the names you know … Dominique Johnson, Mary Ann Hierman and Srbui Muradyan … and lest we forget L.A. Llanos, who signed the document under penalty of perjury under California law!  Sadly, a Miami-Dade law firm was involved in the manufacture of the assignment.  Can you see the name of the attorney in the upper, left-hand corner of the recorded Instrument?

They even backdated the assignment to March 6, 2010.  But no matter … the REMIC trust was closed on March 30, 2006, so backdating the assignment to March 6, 2010 means nothing. The REMIC’s cut-off date was March 1, 2006.  And let’s talk about the ADVANCES section, shall we?

Anyone researching into MortgageIt knows this entity was fully acquired by Deutsche Bank Structured Products on January 3, 2007, nearly 3 years after MortgageIt went public.  The two would later settle fraud charges under the federal False Claims Act for repeated false certifications to HUD.  In January of 2018, MortgageIT ceased its wholesale lending practices.

Under the ADVANCES section, do you notice that this section is all about the Servicer and NOT the REMIC?  From the looks of these two paragraphs, this REMIC was subprime shit!

And for those of you who think CoreLogic is your friend, think again.  And exactly what happened to the Simi Valley, California document mill, in which a majority of the assignments involved or named CoreLogic within the document?   All of a sudden, it ceased to exist, after reportedly retaining over 40 contract robosigners to affix their signatures to assignments like the one shown in this post, supervised by at least 3 Bank of America employees.  The majority of the Simi Valley garbage was produced between 2012 and 2015.  Anything you see involving the law firm handling the processing of the foreclosure, CoreLogic and Bank of America should be considered suspect and flagged for investigation.

Where’s the Note?

Good question.  There’s no mention of it in the assignment of mortgage.  There are (to date) 181 docket listings for this case, leading up to the judge’s Show Cause Order.

The Note was never assigned.  And we all know that notes are “negotiated” right?   So … we went looking for the October 21, 2005 note in the Court file and voila:

Notice the indorsement-in-blank is undated?  There is no effective date of transfer, nor does it evidence 3 true sales as stated within the REMIC’s own sales pitch (below), needed to occur.  And exactly HOW MANY payments of principal and interest did the servicer make to the certificate holders before it demanded to be reimbursed.  How many credit default swaps were executed as part of the deal that paid out?   How much default insurance was cashed in on?   Certainly the title was screwed up?   How much did the sponsor-seller make off of claiming that the securities were equitable instruments when they were, in fact, nothing but evidence of debt.  This is the problem with Wall Street … fooling investors and the government into believing that this subprime shit actually had value when the trusts were probably empty promises to begin with!

SEC Info – Merrill Lynch Mortgage Investors Inc – ‘424B5’ on 3:29:06 re: Specialty Underwriting & Re

A lot of “proof” has to go into the pudding, so let’s take a look at the recent Certo case and see if we can glean any juicy details as far as the note is concerned:

Certo v BONY Mellon, 1D17-4421 (Apr 3, 2019)

I know.  It’s information overload.  But it’s current … and in the Certo case, the 1st DCA reversed the circuit court’s ruling of foreclosure.

And how is it that MERS alone was being relied on by people who had little to no idea was MERS was (in the assignment)?  At least one contract worker who said he worked at the BofA document mill said he signed over 225 documents a day as a Vice President of MERS and had no idea who MERS was!  If that’s not f**ked up, I don’t know what is!  But hey, when you put your faith in the American Banking System, you get F**KED!

The author of this post is the authored of Clouded Titles, available at CloudedTitles.com!  The commentary expressed herein is the opinion of the authors and does not constitute legal advice.  If you want legal advice, get an attorney that knows how to properly draft and file a cancellation and expungement action on a recorded assignment,  In Florida, we like F.C.C. § 817.535, which has a civil component to it.

To all of the C&E students who recently attended the Las Vegas workshop … see if you can spot the targets in the Assignment of Mortgage in this article!  How many in-state and out-0f-state defendants and/or deponents can you identify?   Put that show cause order date on your calendar.  I’ll be interested to see what Judge Butchko does to these morons.

It’s funny that they can come into court and assert stuff.  Then, when asked to prove it up through discovery, they refuse to give us the goods that we can use to eviscerate them.  Lest we also forget … what about this piece?: U_S_BANK_Brochure_Borrower-is-a-party_9-13

All of this stuff leaves us with a lot of questions, right?    But it appears Judge Butchko isn’t leaving a lot to chance.  She appears to have closed a lot of loopholes versus the outcome in the Buset case, where she determined HSBC came to court with unclean hands.  It won’t be the first time.

If Deutsche Bank subsumed MortgageIT in 2007, how did this REMIC, with US Bank as its Trustee, end up with the Note and Mortgage in 2010, long after the REMIC closed?

See IRC § 860(g) and New York Estates Powers & Trusts § 7-2.4.

Bruce Jacobs certainly has his hands full again, right?

To be continued.

 

 

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STARING AT DOUBLE D’S ???

(OP-ED) — The author of this post issues the following warning:  Make sure that you vet whoever it is you’re going to associate with in life, especially in the pursuit of fighting corrupt banks and those who may claim they have a “silver bullet”.   There are lots of naysayers and gainsayers occupying the Internet these days.  Thus, surfing the Internet looking for answers to foreclosure dilemmas and jumping at the first thing that sounds plausible to you is risky!

The Internet is a dangerous place … full of information and disinformation!

It has come to my attention that certain entities out there have taken somewhat of a liking to the cancellation and expungement actions discussed in the recent Las Vegas workshop, covered by this author and Al West, Esq.  The reason Al West teaches this stuff is because he’s done it before.  He has eliminated both deeds of trust and assignments from land records in California.  Since then, there has been an evolution of the cancellation and expungement action, one that has certainly been overlooked by attorneys elsewhere, because they can’t make a big return off of doing “sniper approach” tactics.  Nope.  They want to file 20-count lawsuits because that racks up tens of thousands of dollars in fees for them.  This is part of the reason why the justice system has failed America … use of the “shotgun approach”.

So they take to the Internet, take an approach to the C&E and “embellish” it to their own tastes, whether it comports with what we taught (or not).  There’s nothing worse than filing a C&E and not sticking to the point and letting the other side’s servicer or lender come in and ruin things by changing the judge’s mind, even though the law says otherwise.

Damn every judge that won’t follow the law!   I hope they all rot in hell! 

As Al West explained in the C&E Workshop, judges are all worried about their pensions which are invested in these REMIC trusts.  Thus, any time something that looks “legitimately suspect” comes before them, they look into the end result and what it might mean for them before they issue a ruling against the party filing the C&E. If you bring up the note, you deserve to lose, because the note has nothing to do with the false statements made on the assignments and other title documents, including releases of lien and even notices of lis pendens!

Discussing the implications of foul play in an assignment is one thing.  Telling a judge the note has something to do with the false statements in an assignment is quite another.

Anyone who wants to make securitization the focal point of their argument in a C&E is putting their cases at risk as well.  This document does not talk about who has what endorsement on what note.  The documents filed in the land records serve as constructive notice, no matter how long they’ve been there!  Notes are only used as SUPPORTING EVIDENCE!

Thank you Patriots! 

And I’m not talking about the football team either ….  I’m talking about those well-meaning individuals out there that want to pro se, pro per, sui juris, su-eeee, su-eeee (how you call a pig) whatever that screwed up the land records filing false liens against judges, county officials and people with whom they have an axe to grind.  THOSE are the folks that caused the “two-edged sword” legislation to come into fruition because they filed documents into the land records that were clearly criminal, causing every state legislature to pass laws prohibiting the recording of such documents (that contain false information).  What’s good for the goose, then, is good for the gander. Those who got in trouble for it went to jail, unless they were a mortgage loan servicer or its employees.  Then, they just flat out used falsely-stated information in an assignment to simply “steal the house”!  They’re proud of it too!

THE COTA

Unless you understand how your title documents come into play in the land record (which I why I started out doing Chain Of Title Assessments), you won’t have a clue WHY your chain of title is screwed up.  The interrelation of the land records has everything to do with the outcome of the C&E and a judge has to be educated well enough in the process to understand that there are issues with a document that cannot be ignored, which is why we have expert witness attorneys who will testify on behalf of the claimant, in an effort to sustain the integrity of the court, to save the judge from being tossed into prison under state statute, for aiding and abetting felony perjury!

Do you feel as if you’re in the middle of a freaking carnival?

There’s a dog and pony show jumping on our bandwagon at every turn … and we don’t even have a bandwagon!  So why do lawyers say that homeowners love the simplicity of a C&E?  Because lawyers can’t make any money doing them.  Or so they think.  Had they come to the workshop, like some lawyers did, they would have learned that in certain instances, there are methods for securing additional funds to bolster the war chest that are out there and available to attorneys (ripe for the picking).  In the alternative, case law has taught us a few ways to take an individual’s confession and turn it into gold.

Yet, the carnies are out there!   You know, those carnival barkers!  Yelling at everyone to come and see the greatest show on earth???  It’s like going to the circus and you’re the main attraction.   And you look up at the trapeze artist … all in glitter … and wonder … will she fall?   Do you ever feel like you’re swinging in the wind like her?

The C&E workshop video set is almost complete!  We’ll have it available on the Clouded Titles website soon!  Get educated, then get ugly!

Oh …

And those Double D’s you were staring at?

They stand for DUE DILIGENCE!

 

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Filed under OP-ED, Securitization Issues, workshop

DEFEATING DIVERSITY IN FORECLOSURE ACTIONS

(BREAKING NEWS — OP-ED) — The author of this post is the author of Clouded Titles, The Quiet Title War Manual, The C & E on Steroids!, The FDCPA, Debt Collection & Foreclosures, The Credit Restoration Primer, End Game Strategies, Beyond End Game Strategies and host of The Krieger Files.  The opinions expressed herein are that of the author and should not be construed as legal advice.  For legal advice, seek competent counsel that clearly understands what constitutes diversity jurisdiction.

Even in its most liberal stature, the U.S. 9th Circuit Court of Appeals has again, redefined and re-explained that REMIC trusts can end up costing you lots of money in litigation, fighting a losing battle in federal court by re-constituting an opinion of what constitutes diversity jurisdiction.  See the link below to the 17-page ruling:

Demarest v HSBC Bank USA NA, 9th App Cir No 17-56432 (Apr 8, 2019)

You’ll readily notice in the caption on Page 1 that HSBC and MERS were “incorrectly sued”, which would indicate to me they were sued in the wrong name, as indicated in the caption.

Part of the problem here is that the trustee was also sued (Western Progressive, LLC) and the trustee was also out-of-state as to its “headquarters”, which put all of the Defendants, coupled with the $75,000 required for complete diversity jurisdiction, squarely in federal court.

Again, Hawaii Attorney Gary Victor Dubin, who is again in the crosshairs of the Hawaii Bar (thanks to the banks and their attorneys who don’t like lawyers who beat them in court), likens being in federal court to suicide, which he has succinctly stated that it (suicide) is better than being in federal court.  Yet, a lot of people end up becoming victims within the federal system because of improper and incomplete pleadings.   Couple that with WHO you sue and the numbers of removed cases rise exponentially.

Why sue MERS?

This entity is the “bastard child” of MERSCORP Holdings, Inc., which is now owned by Intercontinental Exchange, Inc. (which also owns the New York Stock Exchange).  This newly-acquired entity has the backing of Wall Street.  The ownership of MERS may have changed, but the stupidity of the courts in relying on every tenet of MERS’s flawed business model incorporated within the “MERS® System”, has caused nothing but utter conflict among the state courts and federal circuit courts.

Like MERS says or intimates in its pleadings (among some of the third-person, schizophrenic quotations from its collective counsel and others), “We didn’t do anything wrong!”  “We want to be all things to all people!”  “We are the God of Securitization!”  (sic)  “We are everyone’s beneficiary that names us in their mortgages and deeds of trust!”  “We can be a nominee (agent) and beneficiary at the same time!”  “We can do anything we want, because we’re MERS!”  “We can remove you to federal court because we know your pleadings lack sufficiency and we can get them dismissed!”  “We can be in multiple states at any given moment and the federal judges will do what we say because we own them!” (that’s what they think, seriously).

Knowing you’re dealing with such a filthy, stinking rich entity that kowtows to Wall Street, why in bloody hell would you name them in anything?  Do you seriously have deep pockets?

You’re dealing with a multi-billion-dollar-a-year company here.   Here are some facts you should face:

  1. You signed the mortgage (or deed of trust).  No one held a gun to your head.  You could have walked away from the closing, but you didn’t.
  2. You could have read the entire agreement, asked questions; and when you didn’t get sufficient answers, you could have put off the closing until you got clarification, but you didn’t.
  3. You had no idea that the closing agent and the entity that agent represented knew (or should have known) WHERE the funds were coming from; how the funds were getting to the escrow account that was wiring your funds to the closing agent; and all of the details regarding the validity of the “lender” and “mortgagee of record”.
  4. You had no idea what the acronym “MIN” meant … nor had you any idea of the 18-digit number following that acronym.
  5. You had no idea your loan was being securitized through a Real Estate Mortgage Investment Conduit (REMIC) on Wall Street.
  6. You had no idea that your home loan was being funded by investors unknown to you.

Yet, you got hoodwinked into signing your life away to a life of potential PTFD (Post-Traumatic Foreclosure Disorder), should you fail to make your monthly mortgage payments!

What constitutes diversity jurisdiction?

In order to be able to remove a lawsuit to federal court (which is a court of limited jurisdiction), two things have to occur:

  1. The Plaintiff is a resident of State “A”, while the Defendant(s) are known to be residents of State “B”.
  2. The amount in controversy must exceed $75,000.

Gee … I wonder what would happen if the homeowner showed the caption as:

Joan Demarest and the Registered Holders of Nomura Home Equity Loan, Inc., Asset-Backed Certificates, Series 2006-HE2 … as joint petitioners … with NO defendants listed … and asked for a declaratory judgment ruling on the merits of WHO got screwed in this deal?  Where’s the controversy then?  (you attorneys can chime in here)

In order to have justiciable controversy (the makings of a proper lawsuit that a court can claim jurisdiction to rule on), you have to have a Plaintiff and a Defendant(s).  If you have “joint petitioners” and NO defendants, how can there be a “controversy” if both joint petitioners agree on the same thing?  Despite the fact that the certificate holders are from all over the world, some of them (To Be Determined) may be in the state you’re residing in (State “A”).   If there’s no State “B”, then why list DOES 1-10, inclusive, like this case did?    I actually litigated a case (while out of state) through the mail, with a co-party, as joint petitioners, and got my ruling from a court in Missouri!  Does that surprise you?

Diversity FAILS if … 

  1. There is no amount in controversy (which is what you have in a declaratory relief case, like a cancellation and expungement action (C&E) over a bogus document in the land records; and
  2. You aren’t naming out-of-state defendants until the in-state defendants respond and lock the case up in state court.

Does this make any legal sense to you?

This is part of what we taught in the C&E Workshop in Las Vegas April 6th and 7th. 

America’s land records are a “crime scene”!

MERS’s flawed business model helped make it that way.  Over 80-million homeowners who unknowingly borrowed investor money through securitized mortgages did the rest of the damage.  It was “intentional” on MERS’s part.   It was ‘unintentional” on the homeowners’ part.

Despite the fact you can beat diversity, certain entities will remove the case to federal court anyway, just to F**K with you and your pocketbook!  MERS is one of those entities.

There is a right way and a wrong way to approach this scenario.  What Joan Demarest did in her case was the wrong way.

The “trustee” is a necessary party in Deed of Trust states!

You should know that if you name the trustee in your lawsuit, it’s likely that the trustee is “headquartered” out-of-state.   The trustee (in this case) was declared by the 9th Circuit panel to be a “real party to the controversy for purposes of diversity jurisdiction when he possess certain customary powers to hold, manage, and dispose of assets for the benefit of others”.

This case was filed in Los Angeles County Superior Court on May 27, 2016.  You would think that by then, anyone involved in this case could have figured out what the “end result” could be … but NO!  We have attorneys out there that like to use the “shotgun approach” instead of the “sniper approach”.  This is why California Attorney Al West and I put together “The C & E on Steroids!”   It’s a sniper approach to cleaning up the “crime scene”.   If you clean up the “crime scene”, then what evidence is there that a crime occurred?  What evidence is there that a party has standing to foreclose when the intended “consequence” of an assignment is declared void, cancelled and expunged from the land records?

This is why we found instructional appellate case law to support our research and methodology for doing these types of “sniper approach” end game strategies.  Everyone wants an “end game”.  Getting to that point is why people run into trouble having their dirty laundry removed to federal court where it’s likely to get dismissed on a 12(b)(6) motion.  And the foreclosure happens anyway, because “we’re too pissed to think straight!”

Watch the movie “American Sniper”.  Then, liken that mindset to your approach.  Knowing WHEN, WHERE, HOW and WHY you need to “take out” a target makes all the difference in the world.

Look for The C & E on Steroids!, along with the DVD training video kit, available in early May, only on CloudedTitles.com!

Sniper training at your fingertips!

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