Massachusetts Court Sends Huge Warning to Banks Voiding Robo-Foreclosures

In 2007, US Bank Corp and Wells Fargo, ceased two of their borrowers property and ultimately evicted the borrowers and foreclosed on the home. The borrowers sued and the highest court in Massachusetts ruled that neither institution could prove that it had the legal right to evict the borrowers. They couldn’t prove that it had a proper change of title in part because of problems with robo-signing.

The Supreme Court voided the foreclosures and returned the ownership of the properties to the borrowers.

Foreclosure do over’s may also become a reality in Florida with the pending a ruling by the Florida Supreme Court on a similar issue.

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