I’m pleased to announce that I settled a post-foreclosure “Ibanez” case this week. I represented a former homeowner who had been improperly foreclosed due to the Supreme Judicial Court’s decision in U.S. Bank v. Ibanez, which invalidated thousands of foreclosures across Massachusetts. My client was a former homeowner, and the entity who foreclosed her home lacked a proper mortgage assignment at the time of foreclosure, making the foreclosure void. As I have written before, this has happened to thousands of homes across Massachusetts during the recent foreclosure crisis (a reason why the Massachusetts Legislature is presently considering a foreclosure title clearing bill).
My client had been included in a lawsuit brought by the current owner of the foreclosed home and the lender who had done the void foreclosure. After a lengthy court case, we reached a settlement with the lender agreeing to pay my client a cash settlement in exchange for her remaining interest in the home.
The settlement did not give my client a free home, nor did it make her rich. It did, however, provide her with compensation for the lender’s disregard of Massachusetts foreclosure law, something that has become all too common in recent years.
These “Ibanez” problems continue to exist today, and have no easy solution. If you find yourself in such a situation, contact me to see if I can be of help.