There were a Fannie Mae and Freddie Mac foreclosure lawsuit recently in Miami-Dade County. The complaint was in response to the defendants refusing to turn over information regarding Fannie Mae and Freddie Mac foreclosures. You might say they did not want to be required to disclose the names of their foreclosure victims. Well, it would seem that this is exactly what the defendants were doing. They certainly did not want to have to turn over information that could have aided the attorneys who had been fighting these cases all across the country.
What has brought about the Miami lawsuit?
The plaintiffs’ attorney, Ramone Zilker, sued the defendants for failure to turn over information regarding Fannie Mae and Freddie Mac foreclosures. The defendants argue that the lawsuit is simply a publicity stunt. Well, I am here to tell you that this is far from the truth. If nothing else, it gives us something to work with in terms of legal strategy.
There are many things that can be done to make a court case stick.
We’ve seen this in action time and again in Palm Beach County, where we’ve seen lawsuits that have lasted months to years go down the drain because no one ever really stood a chance at winning. In this case, the plaintiffs had a very strong case, which rested on several grounds. The first basis for the lawsuit was violation of Fannie Mae and Freddie Mac laws.
The second basis for the lawsuit pertains to property abandonment.
The plaintiffs alleged that the defendants did not take reasonable steps to prevent the property from being abandoned. This is based on information which the plaintiffs say they have been able to get from inside the property. It appears that the defendants failed to keep any type of documentation of the property’s contents after it was foreclosed upon. The last basis for the lawsuit pertains to fraud.
At the time of filing the lawsuit, the plaintiffs were asking for approximately $300 million in damages.
Of course, this figure is actually quite large when you compare it to the value of the property that was foreclosed upon. Nevertheless, the judge has ordered both the government and the defendants to pay the plaintiffs over the amount that is appropriate. The judge has allowed the plaintiffs to ask for triple damages which would mean that they could get three times what they lost in the transaction. This may seem like an incredibly large sum but in the long run it will be a great victory for all concerned. No one who was a victim of this foreclosure has been given a fair shake by the courts and now the government must pay these victims instead of the other way around.
One would think that the case would move very quickly through the courts.
This couldn’t be further from the truth. The courts move so slowly in most cases because they want to make sure that their rights are not violated. The Freddie Mac and Fannie Mae foreclosure fraud case are currently one that is going to go to trial. You should certainly follow this case very closely because it will no doubt move very quickly towards a conclusion.