Brown v. Quicken Loans teaches all mortgagors a critical lesson about MORTGAGE ATTACK. A fifth grader should have no trouble grasping the idea. You can undo a mortgage AND a foreclosure, even if you breached the note. You need only ATTACK the lender and agents for injuring you, and prove in court that the mortgage lacks validity because of those injuries.
Brown v. Quicken Loans is a Wheeling, West Virginia case in which Quicken Loans created such a predatory loan for Lourie Jefferson (originally Brown) and her daughter Monique Brown that no investor would buy it or securitize it. The house was worth $46,000, but Quicken gave them a 40 year amortized $144,000 loan with a 30-year balloon of $107,000 balloon, charged outrageous origination fees, and, of course, lied about the value of the house in the appraisal.
Brown sued and won a $2+ million judgment. Quicken appealed and on remand, the trial court upped the judgment to nearl $5 million in compensatory and punitive damages and legal fees, and allowed Brown to sell the house when she pleases, with up to the loan amount going from the proceeds to Quicken. Quicken appealed that, and the case awaits the WV Supreme Court opinion. The parties have no dispute about whether Quicken injured Brown. Quicken simply disputes the amount of the judgment they must pay for that injury. Oh, and Brown received $700,000 in a settlement from the appraiser who lied about her house value.
I have uploaded all of the relevant docs from the WV Supreme Court web site, and a news article overviewing the status of a few months ago. The file is about 19MB in size, a combined PDF. Get it here:
I encourage all mortgagors, whether or not in foreclosure to download and read it ENTIRELY and LEARN from it. Why? Because it shows what a competent lawyer can do. Because of a prior relationship, and the extent of the provable injuries, the Lawyer took Brown's case on contingency for 40% of the winnings. Most mortgagors will have a hard time finding lawyers willing to take such cases on contingency because most don't have the money to fund the litigation. Brown, previously a Licensed Practical Nurse, certainly could not have afforded the litigation on her own. And she could not have managed or litigated the case on her own.
I also encourage all mortgagors to look carefully at the potential outcomes of fighting a foreclosure and attacking the mortgage like Brown's lawyer did. Nearly ALL foreclosure battles result in loss of the house because the Foreclosure Defense lawyers refuse to look at the inception of the mortgage for causes of action against the lender and lender's agents, and even if they find such causes, they merely engage in dilatory tactics to delay the inevitable foreclosure as long as possible.
If you don't believe this, ask Lisa Epstein whether she saved her house from through defending against the foreclosure, whether she knows ANYONE who has won anything more than a temporary dismissal with such a tactic, and whether her favorite law firm has ever won a damages and fees award because of attacking the mortgage as in Brown. Excuse me while I tell you the uncomfortable answer: NO - NO FORECLOSURE BATTLE EVER WINS ANYTHING except a delay - it just leads the mortgagor to ultimate loss of the house or an onerous loan mod that leaves them worse off than before financially.
I point out the above because issue with Lisa Epstein because for some reason she or one of her associates purged my previous article from this blog, EVEN THOUGH I DO NOT SELL ANY SERVICE OR PRODUCT AND DO NOT CHARGE ANY FEE. Her deleting my article constitutes a waste of her and my time and does a DISSERVICE to the http://foreclosurehamlet.org subscribers who NEED the data I provide FREE.
I can think of only one motive for her purging my blog articles: MONEY. Somehow, she must earn money from some foreclosure defense service, and she cannot tolerate my telling people the truth that foreclosure defense of a valid mortgage which the borrower breached CANNOT bear worthy fruit, and so people who hire lawyers for such defenses merely throw their money away on worthless legal services.
Don't worry. I shall post on my OWN blog THIS blog entry along with my previous blog entry which Lisa deleted. Sadly, maybe she'll delete this one too.
FYI, I have created a web site which explains the principles of MORTGAGE ATTACK and sells nothing but ideas. http://mortgageattack.com. Check it out. You might learn something valuable for free.
Call me if you need help with your mortgage, whether or not you face foreclosure, OR if you want to sue your foreclosure pretender defender lawyer for pretending to help you while he knowingly led you to lose your house and neglected to examine the mortgage for underlying causes of action.
Bob Hurt 727 669 5511