Failure To Dismiss 100s Of Faulty Foreclosures Involving Robosigners Will Lead To Huge Problem w/ Crappy Home Titles, Says MD Non-Profit In Lawsuits

In Maryland, The Baltimore Sun reports:

• Attorneys for Maryland homeowners are asking the courts to dismiss hundreds of foreclosure cases that depended on paperwork submitted by so-called robo-signers on behalf of mortgage servicers.

• Civil Justice, a Baltimore nonprofit that specializes in foreclosure issues, made the request in motions filed last week in two cases. One motion asks that all Maryland foreclosure cases with documents signed by Jeffrey Stephan of GMAC Mortgage — including the Baltimore case in question — be tossed out. The other asks for the same treatment of all Maryland cases with documents signed by Xee Moua of Wells Fargo.

***

• Phillip Robinson, an attorney and executive director of Civil Justice, believes the two employees from GMAC and Wells Fargo are each responsible for documents in hundreds of pending foreclosure cases in Maryland.

• If the courts allowed the mortgage servicers to repossess these homes and resell them, true ownership of the properties would be thrown into question because the cases were filed with "defective" paperwork, he said.

• The motions contend that failing to dismiss the cases "would further harm our housing recovery by allowing years and years of litigation concerning the title to properties." "We have a huge title problem that needs to be solved," Robinson said. "The only way to clear title is to dismiss cases and make [mortgage servicers] do it the right way."

For the story, see Attorneys ask courts to toss out foreclosure cases (Motions focus on 'robo-signers' with GMAC, Wells Fargo).