Defects In Assignments of Mortgages and Endorsement Of Notes to Securitized Trusts May Prevent Foreclosure Actions

An Alabama Judge has ruled that defects in the transfer of a borrower’s note to a securitized trust robs that trust of the standing to sue for foreclosure.  Housing Wire reports that failure of a trust comprised of mortgage loans to comply with its own pooling and servicing agreement robs that trust of standing to foreclose. From the order:

“The court is surprised to the point of astonishment that the defendant trust (LaSalle Bank National Association) did not comply with the terms of its own pooling and servicing agreement and further did not comply with New York law in attempting to obtain assignment of plaintiff Horace’s note and mortgage,” the judge’s order, signed March 25 and filed with the court Wednesday, said. “Horace is a third-party beneficiary of the pooling and servicing agreement … without such … plaintiff Horace and other mortgagors similarly situated would never have been able to obtain financing.”

We have seen dozens of cases here in Ohio where the terms of the pooling and servicing agreements could not possibly have been met.

Yet another reason to consult an attorney immediately if a foreclosure complaint is filed against you.

For more information:


Law Office of Marc Dann Co. LPA

Or call 216-373-0539

Posted in Uncategorized

Leave a Reply

Fill in your details below or click an icon to log in: Logo

You are commenting using your account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s


Get every new post delivered to your Inbox.

Join 8,159 other followers

%d bloggers like this: