$2.6 Million NJ "Cat House" Foreclosure Sale Voided; "Duped" Buyer To Get Back Deposit

(revised 9-14-07)
The Bergen Record reports:

• "The restaurateur who bought a Saddle River [New Jersey] home just days before 150 cats were found to be living there in filth will be allowed to back out of the sale, a Superior Court judge ruled Friday. Michael Acciardi, 47, agreed to pay $2.6 million for the 20-room house on Burning Hollow Road at a sheriff's sale on Aug. 10. Four days later, authorities acting on a tip from a DHL courier rescued the first of the cats -- and six dogs -- that were found roaming the interior of the house, which was strewn with pet food and animal feces. [...] Presiding Chancery Court Judge Peter E. Doyne ... cit[ed] a report from a Union City claims adjuster that estimated the total repair bill at $2.25 million. Doyne approved Acciardi's petition to be relieved from his obligation to buy the house. Acciardi said the bank wanted to keep his security money of $420,000 for the $2.6 million sale. Instead, he said, it has to give him his money back within five days."

The quote of the day, from Michael Acciardi, "I'm pretty well versed at buying and selling homes ... but this was a case of total surprise and shock. It's somewhat of a lesson. Hopefully people can learn from the mistake that I've made."

(The lesson I think Mr. Acciardi is referring to here is very simple - and is something I intimated at in my August 26 post: If you have the right money, and you have the right attorney, and you get the right judge, anything is possible in court. Congratulations to Michael Acciardi.)

No word on whether the mortgage lender will appeal the decision. For more, see Cat squalor voids sale of house.

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See also, Case of Pet-Ridden House Nudges Law on Setting Aside Foreclosure Sales.

Go here for other posts and links relating to the Saddle River Cat House.
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Editorial Note:

If there is anybody out there who has a digitized copy of the judge's ruling in this case, and wishes to share it with the world, I'll gladly make it available online. It is something that I'm sure that many of the readers of this blog might find interesting. I can be reached at HomeEquityTheft@yahoo.com.

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In conclusion, I will point out that this case, even if it's not considered binding precedent under New Jersey law for others seeking to void a real estate transaction, should be of considerable interest to attorneys representing financially strapped New Jersey homeowners who find themselves caught up in foreclosure rescue scams and go to court seeking to void a transaction based on equitable grounds, which was done here.

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After all, if someone with the apparent business and financial sophistication of Michael Acciardi, who by his own admission, "is pretty well versed at buying and selling homes," can get a real estate transaction like this one voided based on equitable grounds, a financially strapped homeowner with little or no business or financial sophistication and who is in the process of getting his/her home equity ripped off in a foreclosure rescue scam should, at least in theory, find it equally as easy to void the foreclosure rescue transaction.