Judge grants temporary restraining order against St. Louis County foreclosure mediation law
This article first appeared in the St. Louis Beacon, Sept. 27, 2012 – A St. Louis County judge issued a temporary restraining order against St. Louis County’s foreclosure mediation program, effectively freezing the implementation of the initiative signed into law earlier this month.
The initiative, which the St. Louis County Council passed in August, was supposed to go into effect on Friday. It allows a homeowner facing foreclosure to enter mediation with the lender and servicer of a loan. Mediation involves a homeowner, lender and servicer meeting with a third party such as U.S. Arbitration and Mediation. The ordinance, which makes lenders and servicers pay for the mediation, would impose penalties if lenders don’t participate.
Proponents, including St. Louis County Executive Charlie Dooley, say that by slowing down the process, mediation could catch mistakes before someone is foreclosed upon. In general, foreclosures take longer in “judicial” states such as Illinois, which require court action to foreclose on a home. Non-judicial states, such as Missouri, require documentation to be filed through the appropriate channels showing that a homeowner isn’t living up to his or her financial obligation.
But the program has drawn fierce opposition from bankers and lenders. And the Missouri Banking Association and Jonesburg Bank sued earlier this week in an attempt to throw the law out. After a hearing Thursday morning, St. Louis County Associate Circuit Judge Brenda Stith Loftin granted a temporary restraining order preventing Dooley from carrying out implimentation of the program.
“The Court finds Plaintiffs will suffer immediate and irreparable financial and property damage if the Defendants are allowed to implement or enforce the Ordinance prior to a determination on the merits,” Loftin wrote.
Missouri Bankers Association executive director Max Cook told the Beacon in a telephone interview on Wednesday that “from day one of this proposal and enacted ordinance, we believed that it violated multiple statutory and constitutional provisions in the state of Missouri.”
Cook added: “The long and short of it is, while it violates those statutory and constitutional provisions, the practical side of it is it elongates the foreclosure process and actually will bring harm and unintended consequences to the entire process. [That includes] in our opinion, ultimately harming the marketplace for real estate for the county.”
Among other things, the lawsuit claims that the law is in conflict with various state statutes, Missouri’s constitution and St. Louis County’s charter. In a memo explaining the need for a temporary restraining order, Stinson Morrison Hecker attorney Jane Dueker wrote: “While the County Council likely had the best interests of the taxpayers of St. Louis County in mind when attempting to address the undisputed foreclosure crisis facing this country, their attempt fails to mitigate the problem. The ordinance is both bad policy and bad law.
“Creating an environment in which it is more difficult to transfer property or obtain a mortgage will only hurt the very people the ordinance seeks to help,” wrote Dueker. “Because the ordinance in its entirety conflicts with numerous provisions of the Missouri Constitution, Missouri statutes and even the county’s own charter, it should be declared void.” Read more
If you are facing a foreclosure sale and you need a Temporary Restraining Order to stop your foreclosure FRAUD STOPPERS PMA turnkey lawsuit package has what you need to stop the foreclosure sale and sue the bank for fraud and quiet title to your property.
For information on foreclosure defense call us at 800-459-1215. We offer litigation support, admissible evidence, expert witness testimony, education, training, and support in all 50 states to attorneys and pro se homeowners.
If you or anyone you know is facing foreclosure, or has already lost a property to foreclosure, and want to sue for mortgage fraud, foreclosure fraud, wrongful foreclosure, or quiet title to your home FRAUD STOPPERS PMA can help you save time and money and increase your odds of success getting the legal remedy that you deserve. If you have received a Notice of Default (NOD) or a Foreclosure Notice (Foreclosure Complaint) and you want to know how to respond to the Notice of Default (NOD) or a Foreclosure Notice (Foreclosure Complaint) join FRAUD STOPPERS PMA today because FRAUD STOPPERS has a proven system to help you fight to save your home from foreclosure and sue for mortgage fraud. FRAUD STOPPERS turnkey Quiet Title Lawsuit package or Wrongful Foreclosure Lawsuit package includes a court ready complaint (petition for damages), Bloomberg Securitization Audit, Expert Witness Affidavit, Application for Temporary Restraining Order (to stop a foreclosure sale or stop an eviction), Lis Pendens (to cloud the marketability of the title to the real property), and Pro Se legal education material that can show you how to win a Quiet Title Lawsuit or win a Wrongful Foreclosure Lawsuit. This entire court ready Quiet Title Lawsuit Package or Wrongful Foreclosure Lawsuit Package can help you save money in legal fees and help you increase your odds of success. Join FRAUD STOPPERS PMA today and get mortgage fraud analysis and the facts and evidence you need to get the legal remedy you deserve at www.fraudstopper.org/pma
FRAUD STOPPERS PMA
Feel free to connect with us . . .
Address: Birch Tree MO 65438
DISCLOSURE: NOTICE OF Copyright © 2019 FRAUD STOPPERS, FRAUD STOPPERS PMA. Disclaimer: Any information or answers are provided for informational purposes only, does not constitute legal advice, and does not create PMA-Member relationship. THIS SITE IS NOT INTENDED TO BE MISCONSTRUED AS LEGAL ADVICE. Legal Information is NOT Legal Advice: This site provides “information” that is only designed to help users safely cope with their own general legal needs. Legal information is NOT the same as legal advice — the application of law to an individual’s specific circumstances. FRAUD STOPPERS is a National Private Members Association (PMA). PLEASE TAKE NOTICE OF THE FOLLOWING MARS Disclosure[s] 12 C.F.R. 1015.: (1) FRAUD STOPPERS PMA is NOT Affiliated with any Government Agency or Any Bank Lender; (2) Even if YOU Accept any of FRAUD STOPPERS PMA Products or Services Your Lender May Choose to NOT Change Your Loan. FRAUD STOPPERS products and services are only available to Active Members of the FRAUD STOPPERS PRIVATE MEMBERS ASSOCIATION. To join FRAUD STOPPERS PMA click here: https://fraudstoppers.org/members-only/