Matt Weidner – Fighting For The American People

Posts Tagged ‘florida legislature’

Our courts are already under serious attack….and now the Florida Legislature is in session…a wild, wild session.

Saint Petersburg Times

The Florida SUPREME Court passed a rule.  A very simple rule really.  It said, “Foreclosure mills and banks, please, pretty please, tell the truth.”  That’s all the rule is.  And despite how simple and basic this rule is, the banks and foreclosure mills have gone nuts.  First then just ignored this rule all across the state.  To this day, some of the foreclosure mills continue to ignore the rule or play games with it.  Far too often they get away with it.  Letting them get away with it is a dramatic example of the breakdown in our entire system of government because judges were the last line of defense against corporations gone wild.  When judges refuse to enforce laws designed to protect the common man, the corporation’s Rule of Law becomes institutionalized.

And now the Florida Legislature wants in on the action.  The legislature is bought and paid for by the banks and foreclosure mills.  The legislature is incensed that judges might a) pass rules to require truth and integrity and b) pass rules that impede the foreclosure mills from grinding along with their misdeeds.  Never mind that this is the Florida SUPREME Court we’re talking about here.  After all, what do they know?  And so the response of the Florida Legislature is to introduce a proposed amendment to the Florida Constitution that would gut the Florida Supreme Court and the third branch of government.

“No court shall have the power, express or implied, to adopt rules for practice and procedure in any court. Court rules of practice and procedure may be recommended by the Supreme Court to be adopted, amended or rejected by the legislature in a manner prescribed by general law. If there is a conflict between general law and a court rule, the general law supersedes the court rule.”

Scary really, and hopefully the Florida Senate will realize just how obscene this amendment is.  But it is a dramatic example of just how powerful the foreclosure mills and the banks are in the state.  They’re angry because Florida’s courts are attempting to do just what our founding forefathers intended that they do….protect us all from overreaching corporations and their supreme influence.

Florida Bar News

So just how big is the foreclosure problem?  That’s a question economists, policy makers and everyone in the known world is struggling with.  Whatever the actual number of cases filed, I argue that the foreclosure war is among the most significant issues our country will ever face.  It is already affecting not just those in foreclosure, but our entire country.  According to some estimates, there will be 13 million foreclosures filed before this crisis is over. (NEWS FLASH- IF UNEMPLOYMENT IS NOT ADDRESSED, THE NUMBER WILL ONLY GROW)

Foreclosure Rocket Dockets- The Wrong Answer to The Problem

The voids exposed in the midst of this war have sucked our entire judicial branch in to a dangerous abyss as entire court systems across this country have thrown long-established rules of procedure and new rules intended to deal with the problems unique to foreclosure completely out the window.  Florida’s response to the crisis, establishing Foreclosure Rocket Dockets, has only magnified and intensified the staggering problems and systemic breakdown these cases represent.  Like turning a crack addict on to methamphetamine, our Florida Legislature has failed to grasp that pushing foreclosure garbage through will not solve any problems. (Back to the fundamental question, given record high unemployment, who will buy the 559,945 homes expected to be in foreclosure by 2011?)

What is the point of the Rocket Docket?  Why did our Federal Government, Florida Legislature and Supreme  Court all conspire to create a system that systematically deprives both individual defendants and the entire system of Due Process rights and protections?  Why are judges, even today, all across this state still signing off on Summary Judgments of Foreclosure and setting sales to throw their neighbors out into the street on behalf of lenders and servicers who are the targets of investigations by Attorneys General in all 50 states?  In this state, the foreclosure mills that are responsible for the vast majority of this putrid foreclosure stew are under specific investigation by our own attorney general.  Those facts alone should cause any reasonable judge to at the very least look carefully at each file and in my mind, all these problems should be enough for a responsible judge to find that significant questions of fact exist such that no summary judgment should ever be entered.

$9.6 Million Dollars in Flush Money

It’s completely transparent and easy to understand why the Florida Legislature went along–campaign cash from banking and mortgage interests.  These same interests at the federal level wrote the checks to grease the wheels and set this whole wild and out of control Whirling Dervish of judicial system.  But why the intense federal intervention in this state problem? Why the millions of dollars in flush money from our friends in Washington, DC?  Well, keep in mind that Fannie and Freddie apparently own more than half of the mortgages being foreclosed on.  If we were being honest, the plaintiff in these foreclosure cases would be , The United States of Amerika.  The plaintiff names as indicated are merely straw parties who have only incidental interests in the outcome of the litigation.  At the end of the day there are much darker and more sinister forces at play in this foreclosure war.  It’s time we all started asking hard questions about why we’re in this foreclosure war, who is benefiting from the foreclosure war and what the end result of this foreclosure war is going to be.  If I were a judge I would not grant a single other foreclosure until I knew the answers to these questions.  And while I can 100% understand why the Florida Legislature went ahead with this absurd plan, and while I have some ideas about the interests of the federal government players, I cannot for the life of me understand what in the world our circuit court judges are thinking.  Why have they just bought right into this lunacy?  What do they gain by being pressured and cajoled to push all these foreclosures through?  When the AGs, the world press and other reasonable and authoritative sources are all saying, “this is a broken down, corrupt and abusive war”, why are our local judges elected and senior ignoring all of this and moving right along as if nothing were happening?

We will be flushing out the putrid mess that is now our property ownership records and court dockets for years to come.  We’ll be revisiting many of these bad judgments and flawed procedures for decades to come.  Maybe then some of these questions will be answered.

The citizens of the State of Florida– and Americans across this country– are sick and tired of watching the banks and institutions receive billions of dollars in aid and preferential treatments while they struggle to keep their jobs and try to save their homes.

Florida House Bill 1523, the absurdly titled Homeowner Relief & Housing Recovery Act is the latest example of the banks and institutions potentially receiving grossly unfair benefits while those who fund these benefits—your constituents and taxpayers, are victimized.  This bill offers no relief for homeowners and it will not contribute to recovery of the housing market.  Accordingly, I must respectfully suggest that any legislator considering this bill—and any other anti-consumer rights bill—vote against such harmful and improper legislation.

I am an attorney who has dedicated my practice to:

1)       Helping homeowner’s save their homes;

2)      Defend consumer’s fundamental rights;

3)      Restoring the dignity and respect for judges, our courts and the rule of law; and

4)      Opposing the gross abuses and systemic fraud being perpetrated on this country by unrestrained, unregulated and unaccountable lenders and the agents who perpetuate their fraud practices in courts—the foreclosure mills.

I currently represent hundreds of homeowners across the State of Florida who find themselves in foreclosure.  I see first-hand, every single day the profound effects the foreclosure crisis is having on consumers, institutions and our communities.

While the lenders and foreclosure mills are correct that there is a major problem with foreclosures in this State and indeed the country, I urge the members considering any anti-consumer foreclosure legislation to remember that the problems faced by the lenders are problems they created. Furthermore, the problems related to foreclosure have only worsened because the players who created this crisis are engaging in improper practices in foreclosure courts and failing to implement pre-foreclosure diversion programs that could resolve many foreclosures before they are  even filed.

I. The Banks And Foreclosure Mills Are Not Entitled to Any Legislative Relief Until They First Implement Programs And Procedures That Will More Effectively Address The Crisis Through Private Initiatives.

In comments published by the Florida Supreme Court’s Residential Foreclosure Task Force, the banks and lenders admitted that they have not organized the physical infrastructure  or procedures to effectively communicate with property owners before or after they file for foreclose.  As an attorney who meets with homeowners every day I can confirm that one of the biggest problems faced by homeowners is they simply cannot get their lender on the phone and if they do get them on the phone they cannot get them to confirm receipt of information they have received time and time again.  Even after a foreclosure is filed, the lender’s own attorneys frequently have no better means to communicate with their own clients than faceless operators on phones in some foreign land.  Until such time as the lenders devote sufficient resources to address the institutional and logistical problems they face, this legislature should not try to solve their problems for them.The Foreclosure Mills Could Process Their Foreclosures Much More Quickly if They Did Their Job Properly.

II. The Foreclosure Mills Could Process Their Foreclosures Much More Quickly if They Did Their Job Properly.

The lenders and their agents, the foreclosure mills, correctly assert that it takes many, many months to process a foreclosure case from start to finish.  The truth about this issue is that if the foreclosure mills would get their information and documentation together correctly before they file, their cases would move much faster through the system.  Instead, the lenders and their foreclosure mills fail to collect (or fail to fabricate before they file [see LPS allegations below]) the documents they need to support their alleged right to foreclose prior to filing the complaint.  Post-filing they collect or fabricate the documents they need to support their alleged right to foreclose and send these documents, in a shotgun approach, to courts across the state.  The piecemeal and inconsistent manner in which the lenders and their foreclosure mills—in addition to the questionable veracity of such evidence—is an important factor in their inability to proceed with cases in a more timely fashion.  As will be discussed in detail below, one of the main  reasons whey the lenders and their foreclosure mills cannot timely or ever produce such vital documentation is the simply do not possess the documents they need to proceed with their foreclosures and they may lack the legal capacity to proceed with them under any circumstances.  If the lenders and their foreclosure mills had a more solid legal basis to support their actions–and the documentation to support these rights–their cases would move forward in a much more timely fashion.  The fact that cases are not moving quickly is thus not necessarily an indication the system is broken, instead it is, in many cases, an indication that the cases themselves are flawed.

III. The Banks and Foreclosure Mills That Are Pushing For This Bill Are Engaging in Gross And Systemic Fraud In Courts Around The Country.

All members considering any anti-consumer foreclosure legislation should be aware of reports recently appearing in the Wall Street Journal which indicate that that Lender Processing Services (LPS), a major provider of services to the lending industry, is currently under criminal investigation by federal prosecutors.  Circuit courts and increasingly bankruptcy courts are uncovering and collecting mountains of evidence that suggest the fraudulent and improper practices engaged in by LPS and others is widespread across the industry.  LPS is just the first shoe to drop.  In the months and years to come many more examples of such improper practices will be established through civil and criminal investigations.  That being said, if the lenders and their attorney are so brazen that they are willing to engage in systematic fraud before judges in state and federal courts across the country, they certainly cannot be trusted to demonstrate integrity in a non-judicial forum.  Accordingly any legislation that moves foreclosure away from judicial oversight should be rejected.

IV. The Banks and Institutions That Are Pushing For Anti-Consumer Foreclosure Legislation Are Engaging in Grossly Abusive Practices That Threaten Consumers’ Most Basic and Fundamental Rights.

Under the guise of “property preservation” or “winterization” agents acting on behalf of lenders are kicking down doors, changing locks, destroying property and terrorizing homeowners. I have several cases from across the state where lenders have in fact done each of the things I describe above.  There are enough reports of these actions by other attorneys and consumer groups around the state to suggest this has become a pattern or practice routinely engaged in by lenders.  If they are willing engage in such in cases where there is judicial involvement and supervision, they will be further emboldened to engage in such actions if any form of non-judicial foreclosure legislation is passed.  For this reason, members should reject any anti-consumer foreclosure legislation.

V. The Banks and Institutions That Are Pushing for Anti-Consumer Foreclosure Legislation Are Failing To Work In Good Faith With Consumers To Resolve The Foreclosure Crisis.

The vast majority of my foreclosure cases would settle overnight if the lenders and their attorneys would engage in good faith, practical settlement negotiations.  The vast majority of my clients are ready, willing and able to continue making mortgage payments immediately.  They have worked diligently to come to settlement or modification terms that are very reasonable under the circumstances.   Other consumers are judgment proof, they may have already left the property and simply want to negotiate a settlement that concludes the litigation. Some have worked hard to present entirely reasonable short sale offers to lenders that would result in a net recovery to lenders that is far greater than what they could ever hope to recover.  Whatever the case, the lenders across the board are failing to enter into settlement talks that are objectively in their best interests.  I can only assume based on my experience that their are larger and hidden perverse financial incentives at play that are preventing such responsible settlements from occurring.  Until such time as we understand what these factors are that are preventing responsible settlement, members must reject any anti-consumer foreclosure legislation.

PLEASE WAIT TO CONSIDER ANY FAVORABLE VOTES ON ANTI-CONSUMER FORECLOSURE LITIGATION

Myself, along with other attorneys from around the state who have formed a coalition loosely called Lawyers Defending Homeowner’s Rights are coming to Tallahassee on Wednesday, April 21, 2010.  I would respectfully request that you not vote this bill forward until you hear first hand from the attorneys who are working on the front lines of this crisis.  I welcome the opportunity to come before you and present evidence of the issues I have presented in this correspondence.  I challenge their well-funded and experienced lobbyists and supporters to an open debate on this legislation and the topics I have raised herein.  If the members of this committee cannot wait until April 21, 2010, please advise of any date prior to that when a formal consideration and debate on the matter may be held.  I frankly think members of the Florida Legislature owe it to yourselves and to your constituents to  have a full, fair and open debate on these issues before you vote any anti-consumer foreclosure legislation through.

I will travel on a moment’s notice and appear whenever and wherever members request to provide evidence and answer any questions you have regarding the matters contained within this correspondence.  Please contact me directly at weidnerlaw@yahoo.com.  Otherwise, I look forward to meeting with you on Wednesday, April, 21, 2010 along with other

Lawyers Defending Homeowner’s Rights!

Judge Jennifer Bailey testified before the Florida House of Representatives regarding the Administrative Order issued by the Florida Supreme Court which mandated mediation for foreclosures in Florida.

Attached here is a link to a podcast of her testimony. The testimony regarding these issues starts about midway through the podcast.  What is most troubling about this podcast is the hostility toward the new Supreme Court Order faces before the legislature.  Of concern, the legislators were uniformly hostile to the authority of the Florida Supreme Court to issue the Order which mandated mediation.  After Judge Bailey testified, Staff appears to testify regarding their “concerns” about the Order.  There were several comments regarding potential legislative efforts to challenge the procedural mechanism the Supreme Court used to develop the program.

Next the Florida Bankers testify and develop their arguments against the bill along with representatives from the Florida Community Associations and testimony from a foreclosure mill.

Unfortunately no testimony from Foreclosure Defense or the Foreclosure Fraud Fighters.

foreclosurebillofrights

foreclosurerevenueestimates

Attached is also Senate Bill 1778 the Homeowner Bill of Rights sponsored by Senator Aronberg who is currently running for Florida Attorney General.

Key will be to make sure all elected officials know that non-judicial foreclosure legislation strips consumers of their access to courts is fundamentally anti-consumer and pro-fraud/pro-banker.

Foreclosure
Jennifer D. Bailey, Circuit Court Judge (State Employee) – Information Only
Florida Supreme Court Task Force on Residential Mortgage Foreclosures
73 W. Flagler Street, #1307
Miami Florida 33130
Phone: 305-349-7152

Supreme Court Administrative Order Re: Foreclosure Mandatory Mediations
Marc Ben-Ezra – Opponent
Ben-Ezra & Katz, P.A.
2901 Stirling Road, Suite 300
Ft. Lauderdale Florida 33312
Phone: 305-770-4100

The Fat Cat Bankers have chosen to title their anti-consumer bill the Florida Consumer Protection and Homeowner Credit Rehabilitation Act.

I woke up this morning just furious at that name.  The name suggests that somehow consumers will benefit from something in it or that their credit will somehow be, “rehabilitated”.  Make no mistake, there is nothing, I mean not one thing about this bill that will benefit any Floridian.  The full text of the proposed bill can be found here. I challenge any person to find one thing in this bill that will do anything good for any citizen…..there’s just nothing in the bill that does anything except trying to give the fat cat bankers an end run around judges and the court system which is not doing things their way.

Bottom line is the lies, fraud and deception that the banks and lenders perpetrated on citizens and consumers is coming back to haunt them.  Judges are increasingly skeptical of the bankers claims and they’re not just giving them a blank check.  Rather than try and fix the problems they’ve created, the banks are trying to opt out of the judicial system and just strip a homeowner’s rights–important constitutional rights. The very name of the bill is an insult.  It suggests that by merely calling something exactly the opposite of what it is, legislators and citizens will be fooled into believing the lie.  I’m betting our legislature and citizens are smarter than that!

I am hopeful that the Florida Legislature will see this bill for what it is and that they will be sensitive to the rising consumer sentiment against the fat cat bankers and lending institutions.  I predict a big kill for this bill!