Federal Judge Gives BofA & Affiliates The Go-Ahead On Foreclosures Throughout Utah; Issues Order Dissolving State Court Directive Halting Sales

In Salt Lake City, Utah, The Salt Lake Tribune reports:

• A federal judge on Friday dissolved a court order that had stopped one of the country's largest banks from selling foreclosed homes in Utah. U.S. District Court Judge Clark Waddoups, after hearing legal arguments Thursday, has granted a Bank of America request a to cancel the preliminary injunction against its trustee sales in the state.

• Waddoups' decision wipes out the injunction issued May 22 by 5th District Court Judge James L. Shumate. That order had halted hundreds of Utah foreclosure sales by Bank of America and its subsidiary ReconTrust.

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• Judge Waddoups also turned down a motion by Cox's attorney, J. Christian Barlow of St. George, to have the case transferred back to state courts. The issue of state vs. federal jurisdiction was a major issue of contention Thursday. Bank lawyers argued they were governed by the federal National Bank Act and not state law. [...] In his order, rendered early Friday afternoon, Waddoups said he would file a memorandum shortly explaining his legal reasoning.

For the story, see BofA can resume Utah foreclosure sales (Reversal » Federal court judge dissolves an order issued last month in a 5th District ruling).

See also, KCSG-TV Channels 14, 16: Bank of America Foreclosure Injunction Dissolved by Federal Judge.