Texas Homeowner Survives Motion to Dismiss Against Bank of America

Texas Homeowner Survives Motion to Dismiss Against Bank of America

By Daniel Edstrom
DTC Systems, Inc.

Thanks to Deontos for this ruling.  Homeowners in Texas survive motion to dismiss in Swim vs. Bank of America et. al.

Excerpt 1:

Defendants represented to Plaintiffs that they would not foreclose during the loan modification process—but they did. Therefore, since Defendants foreclosed during the loan modification process without contacting Plaintiffs to inform them that their trial modification had been rejected, Plaintiffs state a claim for breach of contract.

Excerpt 2: 

Section 392.304(a)(19) prohibits a debt collector, in debt collection or obtaining information concerning a consumer, from using a fraudulent, deceptive, or misleading representation or deceptive means to collect a debt or obtain information concerning a consumer. Plaintiffs allege BOA representatives informed Plaintiffs they had provided the required documents and that it would not foreclose during the loan modification process, that BOA and/or BAC repeatedly required documents Plaintiffs already provided, and that BAC foreclosed on the Property during the loan modification process, despite representations that it would not, because Plaintiffs allegedly did not provide documents Plaintiffs claim they provided. The Court finds that such facts state a claim under TDCPA § 392.304(a)(19), and Defendants’ Motion to Dismiss this claim under that section of the TDCPA is thus DENIED. Continue reading “Texas Homeowner Survives Motion to Dismiss Against Bank of America”

Title Crisis

Title Crisis

By Daniel Edstrom
DTC Systems, Inc.

If you thought this was a foreclosure crisis brought about by the Mortgage Meltdown, you would be wrong.  If this were a foreclosure crisis only those in foreclosure would be the ones having problems.  And only those loans in foreclosure would be the ones having title issues and “robo-signer” issues.  I cannot say this loud enough: FORECLOSURE IS NOT THE PROBLEM.  Homeowners not making payments is not the problem.  “Freeing up” credit to stimulate lending is not the problem.  If you didn’t get a subprime loan, and yours is a 30 year fixed, you are at risk of a clouded title almost as much as anyone in foreclosure.  In fact, if you have refinanced or purchased your house from 2000 or later, you could easily have a defect in title.  Since I am not a lawyer and can only give myself legal advice, I will only discuss my own case.  And of course these are only my opinions based on my knowledge, education, training and research.  Apparently my title company thinks my title is good.  I know because somebody asked them and they said it was good.  At the end of the article I will explain why they would say that.  What they meant to say was “Everything is great because we, as a title company, are not at risk at all based on our review of your title”. Continue reading “Title Crisis”

Hundreds of Years of Title Destroyed in a Decade and a Half

Hundreds of Years of Title Destroyed in a Decade and a Half

By Daniel Edstrom
DTC Systems, Inc.

Neil F. Garfield, Esq. just posted the following article:

TITLE CRISIS: EVEN IF YOU PAID CASH FOR YOUR HOME, TITLE STILL IN DOUBT — and you could be “underwater”

Posted on June 18, 2011 by Neil Garfield

What nearly everyone is missing is that any property that was mortgaged at any point in the last 15 years may have serious title defects.  Here is the scenario:

  1. A house is purchased or refinanced with a mortgage
  2. At some point in the future the house is refinanced again or sold
  3. A title company sends a payoff amount to “an entity”
  4. “An entity” issues either a substitution of trustee and full reconveyance or a full reconveyance (or other type of document used to release the loan)
  5. Repeat ad nauseum (or this only happened one time) Continue reading “Hundreds of Years of Title Destroyed in a Decade and a Half”

Georgia Supreme Court – Aurora vs. Veatch

Georgia Supreme Court – Aurora vs. Veatch

By Daniel Edstrom
DTC Systems, Inc.

Title does not pass with a forged deed, even to a bona fide purchaser for value without notice of the forgery .  Affirmed unanimously.

View the ruling: http://dtc-systems.net/wp-content/uploads/2011/06/Aurora-v-Veatch-forged-deed-and-bona-fide-purchaser.pdf

View Video of Appellant Aurora Loan Services: http://multimedia.dailyreportonline.com/wp-content/uploads/2010/10/Weber_Kimberly_101810.mp4

View Video of Appellee John Macelray Veatch: http://multimedia.dailyreportonline.com/wp-content/uploads/2010/10/Robinson_John_101810.mp4