Victims of illegal foreclosures seeking compensation
Published: August 10, 2011
Real estate attorney Robert Nix says the task awaiting the Michigan Supreme Court is twofold. One is the underlying matter: whether MERS had standing to bring foreclosure by advertisement. In that regard, he says, the appellate court gave a careful reading to the law and produced a clear analysis.
They other question facing the state's high court, if it agrees that MERS didn't have standing, will be how to remedy a situation where people have been wrongly foreclosed, and that others have unwittingly bought those homes, which could have a "clouded” title as a result.
Dailey and Grove say they have already identified "thousands” of former homeowners who were foreclosed on by MERS, and that — depending on the amount of time they are allowed to go back, which could be anywhere from three to five years — that number could grow into the tens of thousands.
Wayne State law professor Mogk summed the whole complicated legal entanglement up with just four words:
"It's a real mess.”
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