CLE Seminars

Foreclosure Defense Seminar II

“Mortgage Securitization & Quiet Title”

Attorney Continuing Education DVD

Being Offered because of popular demand to those unable to travel/attend this weekend's widely successful event entitled:

"Mortgage Securitization in Litigation PART II"

Price Discount is $400.00 off price of regular admission to this event:

DVD ONLY $395.00

PURCHASE ONLINE AT LINK BELOW:

TESTIMONIALS FROM THE SEMINAR

"I would highly recommend; with the evolution of the law in this area. It is highly important to get continued updates and to be part of a group to bounce ideas with for the good of the whole process."
Ken Rodman

"CFLA is one of the only business entities offering a one-stop shop where an attorney can get education, pleadings, research and practice support in the field of foreclosure defense. The attorney networking opportunities provided by CFLA are very valuable."
Charles Christmas

"Class was very informative; instructors were great! Information is greatly needed if you are facing foreclosure. CFLA was opened the doors for litigating these cases."
Rhonda Arellano

"Patricia is very knowledgable and experienced. A must class for someone working on helping homeowners stay in their home."
Hermie Bacus

ABOUT THE SEMINAR

Seminar Speaker:
Patricia Rodriguez, Esq.
Law Offices of Patricia Rodriguez

Member of the State Bar of California
Admitted in Central, Northern and Eastern Federal District Courts of California
Temple University Law School - J.D.
Temple University Law School - Law Program in Japan
University of Southern California (USC) - B.S. in Business 
Member of Beverly Hills Bar Association
Member of Mexican American Bar Association

Ms. Rodriguez obtained her Juris Doctor from Temple University.  While there, she participated in their National Trial Team and received exceptional advocacy training from one of the best law school programs in the country. Ms. Rodriguez previously worked for the Camden Public Defenders Office, the Philadelphia Public Defenders Office, the Los Angeles District Attorney’s Office and the Los Angeles Public Defenders Office. She currently runs her own boutique law firm in Los Angeles County specializing in Criminal Defense, Foreclosure Defense, and Bankruptcy Law.

TABLE OF CONTENTS

1. Pre-Litigation
1. Securitization Audit Experts
2. Litigation
1. Securitization
2. Lack of Standing
3. Current Law
4. Bloomberg Level Three Audit – See Redacted Bloomberg Audit
5. Defendants
3. Quiet Title
1. Significance of Quiet Title Action
2. Cloud on title
3. Conveyance, Representations, and Warranties
4. Credit Default Swaps
5. Short Sales
4. UCC
1. Accounting for transfers, servicing of financial assets, extinguishment & liabilities
2. UCC 3-308 proof of signatures and status as holder in due course
3. UCC 3-604 discharge by cancellation or renunciation
4.  UCC 3 and UCC 9 Possession of note not required BUT chain must be proven
5. Fraud
1. Violations of Business & Professions Code §17200 Unfair and Deceptive Acts and Practices (UDAP) [Fraudulently Procured Documents];
1. Robosigners
2. Substitution of Trustees, Corporate Assignments, and Assignments are red flags for transfer problems
2. Violation of UDAP [Fairness Doctrine]
6. Waiver/Promissory Estoppel
7. Intentional Infliction of Emotional Distress
8. Non-Judicial Foreclosure (CA)
1. Notice of Default
2. Notice of Trustee Sale
1. Trustee Sale Delays
3. Trustee Sale Date
4. California Civil Procedure 2932.5
9. Litigation – Ownership/Title – CA
10. Litigation – Possession/Unlawful Detainer – CA
11. Protecting Tenants At Foreclosure Act
12. Ethics
13. Fee Agreement

SYLLABUS

1. Pre-Litigation
   1. Securitization Audit Experts
      1. See Redacted Hybrid Audit
2. Litigation
   1. Securitization
      1. Mortgage Backed Bonds – bonds are not created equal
      2. Table Funding – illegal for a bank to NOT use its own money
      3. PSA
         1. Originator – bank that originated the loan
         2. Sponsor/Seller – middle bank bought note from originator and sold it to depositor to package in the trust – most missed the closing date
         3. Depositor – bank that sold the Note to the investor
         4. Issuing Entity – the Trust
            1. Closing date -  Domarad v. Fisher & Burke Inc. (assignment of mortgage v. assignment of debt)
   2. Lack of Standing
      1. Injury – each time the note was illegal sold the equity in the home significantly decreased
      2. MERS – Mortgage Electronic Registry
         1. Every mortgage is supposed to registered on this system
         2. Intended during the 1990s to cut  recording costs/fees for the banking industry; also helped hide chain of title from the public
         3. Approximately 65 million mortgages MERS is beneficiary or nominee
      3. Each time the NOTE was transferred by law there was supposed to be a duly signed assignment (from Originator to Sponsor/Seller to Depositor); this did not occur in most cases.
   3. Current Law
      1. Ibanez – Massachusetts (View Oral Arguments)
      2. Phyllis – AL – Summary Judgment – Breach of Contract 3rd Party Beneficiary
      3. In re Doble (2011) WL 1465559 (Bkrtcy.S.D.Cal.)
      4. Bank of New York v. Silverberg, 2011 NY Slip Op 5002, 6.
      5. In Re Jessie M. Arizmendi, 09-19263-PB13, United States Bankruptcy Court, Southern District of California, 2011
      6. Aguilar v, III v. Bear Sterans Resid. MTG., et. al.,
      7. Kanno v. First Liberty Mortgage, Superior Court of California, County of Riverside, Case Number 539556, 2010
      8. O’Dell v. Washington Mutual Bank FA et. al., United States Central District Court of California, CV 10-09195 GAF (PLAx), 2011
      9. Javaheri v. JP Morgan Chase Bank, N.A., et. al. , United States Central District Court of California, CV 10-09195 GAF (PLAx), 2011
      10. SB1259 – AZ statute requiring log of assignments – Passed House/Not Senate
      11. Nevada & Hawaii Statutes requiring assignment logs
      12. Gomes v. Countrywide – MERS’ authority to foreclose
      13. Herrera v. Deutsche Bank – judicial notice
      14. Consent Orders
   4. Bloomberg Level Three Audit – See Redacted Bloomberg Audit
      1. Shows exactly how many times the note has been sold and into which trust (classes); in some instances the note has been sold multiple times as if it was the first time the Note was sold – CLEAR SECURITIES FRAUD
      2. Shows the note has been paid off – answer to tender rule
   5. Defendants – Originator, Servicer, Trustee of Securitized Trust; Foreclosure Trustee (if applicable) and MERS (if applicable)
3. Quiet Title
   1. Significance of Quiet Title Action
      1. Hurdles to closing on a foreclosed property
      2. Title insurance on REOs
   2. Cloud on title
      1. Chain of title illustration – identify broken chain – why is this important
      2. Putting up a bond
   3. Conveyance, Representations, and Warranties
      1. UCC § 1-203 Obligation of Good Faith
      2. Asset transfer or True Sale
      3. Special purpose vehicle and the trust
      4. Underwriter and flexibility of the originator
   4. Credit Default Swaps
   5. Short Sales
4. UCC
   1. Accounting for transfers, servicing of financial assets, extinguishment & liabilities
   2. UCC 3-308 proof of signatures and status as holder in due course
   3. UCC 3-604 discharge by cancellation or renunciation
   4. UCC 3 and UCC 9 Possession of note not required BUT chain must be proven
5. Fraud
   1. Violations of Business & Professions Code §17200 Unfair and Deceptive Acts and Practices (UDAP) [Fraudulently Procured Documents];
      1. Robosigners – individuals who signed on behalf of companies they don’t work for, never had any agency relationship, nor were they attorney-in-fact; many of these individuals have admitted publicly in deposition or otherwise that he/she signed 1000s of documents without knowing what the document was, who they were signing on behalf, etc.
      2. Substitution of Trustees, Corporate Assignments, and Assignments are red flags for transfer problems
   2. Violation of UDAP [Fairness Doctrine]
6. Waiver/Promissory Estoppel
   1. Contractual issue – bank has told HO to stop making payments to be considered for a modification; thus, the bank has waived any right to enforcement of the terms of the contract under the note; it gave that right up to enforce the contract by telling the home owner to stop making payments; homeowner relied on that waiver, stopped making payments for a modification, is denied modification, - bank cannot then come back and state it is entitled to enforce the payments
7. Intentional Infliction of Emotional Distress
   1. Outrageous Behavior
   2. Injury
8. Non-Judicial Foreclosure (CA)
   1. Notice of Default – Bank is giving the Homeowner notice that according to the Bank HO owes the bank and hasn’t paid
   2. Notice of Trustee Sale – This is notice to the HO the bank is electing to sale the property under the allege authority of the Deed of Trust
      1. Trustee Sale Delays
   3. Trustee Sale Date – date the bank sales the house
   4. California Civil Procedure 2932.5
      1. Power of sale by encumbrancer
      2. Assignment must be duly acknowledged and recorded
      3. Calvo case - mortgage v. deed of trust
9. Litigation – Ownership/Title – CA
   1. Issue Spotting Checklist
   2. Complaint – See Redacted Markham Complaint
      1. Upon belief - Plaintiffs allege
      2. Summons; Civil Case Cover Sheet; Attachments; Complaint; Complaint Signature Page; Exhibits 
      3. Filing/Serving Defendants – Jurisdiction Specific
   3. Temporary Restraining Orders/Preliminary Injunctions
      1. Bonds
   4. Lis Pendens - two page document which attaches the lawsuit over title to the property; thus when its sold at a trustee sale date no one but the bank will buy the lawsuit – bank must buy it back
      1. Motion for Expungement
   5. Answer
      1. Defendant has 30 days to Answer – unless Trustee files objection to non-monetary status – if Plaintiff objects – Defendant is given 30 days from proof of service of objection to non-monetary status 
      2. Three choices: Admit, Deny, Demur (motion to dismiss in federal court)
   6. Demur Hearing
   7. Case Management Conference – CMC
      1. Case Management Conference Statement
   8. Trial Set – 6 months out from 
   9. Discovery
      1. Form Interrogatories
      2. Special Interrogatories
      3. Request for Documents
      4. Depositions
   10. Trial – 4 to 5 Days
   11. Tender Rule - applies to “any cause of action for irregularity in the sale procedure” Abdallah v. United Sav. Bank
       1. “Irregularity in the sale procedure” is by definition procedural
       2. Foreclosure Sale is VOID, not voidable
          1. Dimock v. Emerald Properties
          2. Bloomberg Audit
10. Litigation – Possession/Unlawful Detainer – CA
    1. Temporary Restraining Order – temporary stop to the sell of the house
    2. Preliminary Injunction – permanent restraint from selling the house the entire duration of the litigation
    3. Unlawful detainer action
       1. Complaint
          1. Three elements: proper notice; still in possession; plaintiff has right to possess
       2. Answer – 5 days for homeowner; 10 days for renter
       3. Motion to consolidate with matter involving Title
       4. If judgment entered – motion to stay judgment until after Title matter decided – irreparable harm (for actually homeowner residing on premises)
       5. Not granted – must appeal BC by law MUST be granted
11. Protecting Tenants At Foreclosure Act
    1. Include Act
    2. Research Synopsis – Date Last Updated
       1. Plain Language
       2. Legislature’s Intent
       3. Pending Litigation
          1. THIS FIRMS CASES – Answers based on PTFA – in pleadings
       4. Ethics
          1. Conflict of Interest – Representation of Homeowner/Renter
    3. Fwd Email from Norberto – Emergency Statute
    4. Lease can be purchased through third party company
    5. Federal Emergency Statute – Federal Question – Federal Jurisdiction
12. Ethics
    1. Federal Trade Commission For Consumers 
       1. Mortgage Assistance Relief Scams: Another Potential Stress for Homeowners in Distress
    2. Spring 2009 California State Bar Association Ethics Hotline
    3. CA Senate Bill 94 – Foreclosure Consultants
    4. No Fee Splitting; No Unauthorized Practice of Law – Non-lawyers; Client Communications
13. Fee Agreement
    1. Monthly Flat-Fee; Contingency; Reasonable/Conscionable; Disclosure: No Guarantee