| Local and federal judges have started to side with | | | | crash did not require proof of ownership due to |
| homeowners during foreclosure proceedings. | | | | the amount of times a mortgage changes hands. |
| Recent decisions have included, completely wiping | | | | It is this type of "nit picking" that has some |
| out the balance due on a mortgage, invalidating | | | | mortgage holders suggesting that judges are |
| foreclosures due to improper paperwork, and | | | | showing empathy towards down and out |
| even canceling some foreclosures totally. | | | | borrowers. |
| States like Massachusetts, New York, and Texas | | | | In Florida a state appeals court judge admonished |
| have become ground zero for the judicial battle | | | | a lower court judge for routinely delaying |
| that is beginning to make its way through this | | | | foreclosure proceedings by as much as 7 months. |
| country's courts systems. Questions are beginning | | | | A high profile case in New York found that the |
| to be raised about the role, and possible biased | | | | judge canceled a $292,000 in mortgage debt |
| rulings that judge's are handing out in what is | | | | because he believed that the borrower's |
| traditionally a straight forward proceeding. | | | | mortgage company Indy Mac Bank mistreated |
| We have already seen the efforts of two of the | | | | them. |
| three branches of government try to stabilize the | | | | These cases have judicial watchdogs' wondering if |
| housing market. There are questions about what | | | | some judges are beginning to take sides. The legal |
| role the judicial branch should play in this march | | | | issues that some of these so call "activist judges" |
| towards recovery. In a review of the past 18 | | | | are using to stall some foreclosures appear to be |
| months, judges have begun to hold mortgage | | | | valid. The real question of these legal maneuvers |
| lenders to the letter of the law on issues | | | | has to be the true intent of the judge. If the |
| previously allowed. It is decisions like these that | | | | sudden rush to cross every legal "T", and dot |
| have mortgage lenders screaming foul play. | | | | every legal "I" is due to the recent spotlight on |
| One reoccurring complaint within the courtroom | | | | foreclosures and the immense nature of the |
| by these judges in question is the listing of the | | | | ruling, then judges should stick to the letter of the |
| actual owner of the property. Lenders are being | | | | law. If however, these rulings are an emotional |
| required to re-file their foreclosure complaints | | | | attempt by certain judges to prevent some |
| after they obtain an affidavit of ownership from | | | | borrowers from falling under the foreclosure knife, |
| the county where the foreclosed property is | | | | then they should be admonished for stepping |
| located. Many judges prior to the housing market | | | | beyond their judicial boundaries. |