Foreclosure Issue in US

Foreclosures on home loans in the US nearly doubled last year and are on track to double again, in part because of defaults on sub prime loans.

When a borrower cannot repay a loan and the lender seeks to sell the property. The legal process by which the mortgagor's equitable or statutory right to redeem mortgaged property is terminated is called Foreclosure.

The possible defenses available to the mortgagors in foreclosure proceedings are:

Ø Improper assignment of mortgage.

Ø Fraud committed by the Plaintiff.

Ø Lack of Standing of the party bringing initiating the proceeding.

Ø Separating lien from the mortgage.

Ø Procedural irregularities like lack of summons or proper notice.

Ø Defective Power of Attorney or lack of authority to sign the assignment.

Ø Irregularity in the filing of Notice of Pendency.

Ø The filing of any bankruptcy action under Chapter 7 or Chapter 13 automatically stays a foreclosure proceeding, regardless of type.

Ø Lender bank lending its credit, contrary to the US Code.

Ø Failure to comply with the legal requirement of "Recording" of the assignment.

Due to high legal cost in foreclosure defense proceedings, Defendants are appearing before the Courts Pro se ( appearing directly- not through a lawyer), or preparing the motions and other pleadings through more cost effective methods. Principal Partner of Biz & Legis, www.bizandlegis.com opened that they are getting numerous queries from litigants and small sized law firms to prepare foreclosure defense motions and related documents. I was surprised on his comment that they have formed a separate practice group to support the litigants and middle-sized law firms in the US, in their foreclosure proceedings

Contact Person :

Mr. Jolly John

Principal partner – Biz &Legis

Email: advjollyjohn@gmail.com

www.bizandlegis.com