Archive for the ‘Florida Supreme Court’ Category

Happy New Year for Homeowners! No More Cutting Corners for Banks!

Thursday, January 5th, 2012
Banks will need to clean up their circus “act” in 2012 when it comes to Florida foreclosure cases thanks to a series of stinging decisions handed down by the 4th District Court of Appeals that could be the gift that keeps on giving for Florida homeowners.
The court finally realized the banks must have the proper authority before they proceed in the foreclosure process. For years I have been saying the banks have systematically been cutting corners in the foreclosure defense process by not having the requisite power to bring their cases.
In this most recent case, Robert McLean vs. JPMorgan Chase, Chase, which was seeking to foreclosure on McLean’s Broward County home, claimed the note from the borrower was “lost, stolen or destroyed.” I call shenanigans on that claim. The truth is banks were in such a rush to move forward that they just never bothered to check their own paperwork.
McLean sought to squash the foreclosure because he said that Chase ultimately could not prove they were the owner of the note. In fact the assignment of mortgage, which is a document which indicates that a mortgage has been transferred from the original lender, which Chase produced to the court was signed three days AFTER the first foreclosure complaint was filed by the bank.
The 4th DCA, in our eyes, had no choice but to reverse a lower court’s decision and side with the homeowner.  As the saying goes, possession is nine tenths of the law, and in this case, Chase was left holding an empty bag. The court noted that if there was “substantial doubt about the note” that the bank should dismiss and refile the case, and it was clear from Chase’s lack of concrete proof that they had no legal standing in this case.

The 4th DCA’s ruling also guarantees homeowners have a right to an evidentiary hearing, rather than just a summary judgement.

The decision is a monumental leap forward in the way courts handle foreclosure cases and the role that the mortgage assignments play in the foreclosure process.  What the courts have been doing was effectively denying the due process rights of those who were in foreclosure by not forcing the banks to prove ownership of these mortgages.

Gerald Richman, a lawyer for the foreclosure firm Shapiro and Fishman tried to downplay the importance of this ruling in the Palm Beach Post, saying it didn’t mean the foreclosure had no merit. Oh Gerry, you’re missing the point, by a mile. If you’re going to make people cross every “i” and dot every “t”  before they get the keys to the kingdom, how can we not demand banks do the same before they take them back!!

The truth is the process the banks engaged in was unfair and unconstitutional, and the courts have now come to the conclusion that we did long ago.

Thank you, 4th District Court of Appeals, and may the New Year bring you many more moments of clarity like this one.

Can You Believe This One? Florida Chief Judge Scolds Judiciary to ‘Behave and Follow the Rules’

Wednesday, December 1st, 2010

It just keeps getting better and better…in a recent letter sent to the chief judges of all 20 Florida judicial circuit courts, Chief Justice Charles Canady of the Florida Supreme Court was compelled by horror stories from the foreclosure courts to remind judges they should be following the law when deciding foreclosure cases. The Rolling Stone article by Matt Taibbi: Courts Helping Banks Screw Over Homeowners from last week appears to be the straw that broke the camel’s back and finally shed some light on this crisis.

Chief Justice Canady’s letter was spurred by complaints the Judge received from several heavy hitters in the civil rights movement, including the Florida Press Association, the ACLU, the ACLU of Florida, the First Amendment Foundation, the Florida Association of Broadcasters, the Florida Society of Newspaper Editors, and the Florida Times-Union.

The problem:  judges are barring public access to foreclosure cases. Florida has long been known as a state with free access to the courts.  However, some judges and judicial staff are using the excuse that many foreclosure cases are now being heard in judge’s chambers rather than in courtrooms due to space constraints to tell people, including the press and pro se litigants that foreclosure proceedings are closed to the public.

In his letter, Justice Canady offers a scathing rebuke to the judges regarding this behavior.  But let me share a little secret with you . . . it is a disgrace that he should have to tell judges that courtrooms are public forums, and he certainly shouldn’t have to remind judges that they should be following that law.  How ridiculous is that?

Perhaps this effort to exclude the public and the press from the courtrooms is because the judges know in their heart of hearts that they are not following the rules.  Public access to the courts has been one of the many ways of monitoring the court, of having a public watchdog to make sure that judges are following procedure, and following law.  In fact, in court the other day in my opening statement to a judge I reminded him that when I practice law, I like to follow things like the Rules of Civil Procedure.  Closing the courts to the public is just one more way for judges to meet their quota on the rocket docket without public outcry over the fact that individual property and due process rights are being trampled in the process.

Perhaps Justice Canady’s closing line in his letter says it best when it comes to dealing with the avalanche of foreclosures in Florida.

“I am confident that with the cooperation of all judges and court staff…the Florida courts will be able to meet this challenge in a manner that protects and preserves the rights of all parties as well as interested observers,” Canady stated.

Well, that would be nice, but it certainly hasn’t been the case so far.  Who knows, maybe this will be the inspiration needed to have judges on the rocket docket actually follow the law as well.  I mean, we can all hope . . .

From the trenches

Roy Oppenheim

Foreclosure Decreases and Mediations Story in Miami Herald, Roy Oppenheim Interviewed

Thursday, July 1st, 2010

The Miami Herald is reporting the flood of South Florida foreclosures is receding in the first five months of 2010 as foreclosure filings have fallen sharply and efforts to ease the courts’ backlogs are kicking in. But Oppenheim Law isn’t so sure the decreases are going to last and believes the next big wave of filings will come soon.

Foreclosure defense attorney and legal blogger Roy Oppenheim shared his thoughts on the Florida Supreme Court’s mandated mediation process with Miami Herald writer Harris Meyer in an article published on Sunday about Florida foreclosures.

“I enjoy mediations and find them very effective,” Oppenheim said. “But I won’t mediate unless the bank has done its homework.”

Oppenheim went on to explain mediation can be successful for homeowners and the banks only if the mediator is skilled, the lender has read the documentation and also knows the value of the property and the holding costs.

Oppenheim’s comments follow the news that foreclosure filings in Broward have fallen from 51,670 in 2009 to 17,565 in the first five months of 2010. However, as Oppenheim Law explained on the South Florida Law Blog in May, this decrease in Florida foreclosure filings can probably be attributed to the new rules promulgated by the Florida Supreme Court requiring every residential mortgage foreclosure complaint must be verified and prove that the plaintiff is the actual owner and holder of the promissory note.

Oppenheim Law wrote, “Until now, banks have been abusing a Florida statute allowing them to file a foreclosure based on a “lost note.” The problem: the notes aren’t lost; the banks are just too lazy to look for them. This new rule is halting foreclosure filings in their tracks, as banks scramble to find the notes so they can foreclose.”

Also less encouraging is the fact that commercial foreclosures are increasing, and concerns of increased residential foreclosures due to the re-setting of rates under adjustable-rate mortgages may accelerate, according to the Herald.

Want to learn more about mediation and foreclosure? Join Oppenheim Law for our free monthly foreclosure defense workshop next Wednesday, July 7 @ 6 pm and check out the entire Miami Herald foreclosure story in the Oppenheim Law Newsroom.

Today’s Sun-Sentinel Florida Foreclosure Report , Roy Oppenheim Contributes to Story

Wednesday, June 16th, 2010

A Foreclosure Tsunami is overwhelming South Florida courts, writes Fort Lauderdale Sun-Sentinel reporter Harriet Johnson Brackey.

Florida real estate attorney and legal blogger Roy Oppenheim contributed to the report, which explains how a tenfold increase in foreclosure cases over the past five years is crippling the South Florida court system.

fl-foreclosure-court-060810b

According to Oppenheim Law, South Florida courts have turned to mediation, a process prior to foreclosure proceedings that gives homeowners and banks an opportunity to avoid a battle in court if an agreement on the future of the property and debt can be reached. The problem, though, is most homeowners are not aware they now have a right to mediation.

“Mediation makes all the difference in the world,” Oppenheim says. “There are so many opportunities to resolve matters in mediation, a lot of creative ways.”

Check out the entire Foreclosure Tsunami article in Oppenheim Law’s Newsroom to find out the state’s plan to eliminate half of the foreclosure backlog by the end of the year.


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