US Bank Withdraws Foreclosure Case Amid Constitutional Battle: Aurora Woman Continues Fight

US Bank has reversed its decision to foreclose on an Aurora woman, Lisa Kay Brumfiel, who has been fighting against the constitutionality of Colorado’s foreclosure laws in federal court. The bank’s lawyers had previously claimed that they possessed all the necessary original documents to legally proceed with the foreclosure. However, shortly after U.S. District Judge William J. Martínez demanded the production of these documents, the bank withdrew its foreclosure action altogether.

Despite this sudden turn of events, Brumfiel remains determined to continue her fight. She refuses to stand idly by while others are subjected to what she perceives as a corrupt process. Brumfiel, a 43-year-old part-time saleswoman, has been representing herself in court throughout the ordeal.

Unfortunately, the final outcome may no longer be within Brumfiel’s control. US Bank has instructed the Arapahoe County public trustee to withdraw the foreclosure case, which was initially filed in September 2011. Additionally, the bank has petitioned Arapahoe County District Court Judge J. Mark Hannen to dismiss the order he previously issued to sell Brumfiel’s house in December of last year.

The developments in this case indicate a significant development for Brumfiel, as US Bank has chosen to withdraw its foreclosure efforts. However, the ultimate resolution remains uncertain as the legal process continues to unfold.

US Bank on Friday backed down from its efforts to foreclose on an Aurora woman whose federal court battle against it has taken on the constitutionality of Colorado’s foreclosure laws.

Just days after lawyers for the bank told a federal judge they’ve always had the original documents necessary to foreclose on Lisa Kay Brumfiel’s tri-level house legally — and U.S. District Judge William J. Martínez said to produce them — the bank rescinded the whole thing.

Despite the move to make a nearly two-year nightmare to save her house go away, Brumfiel on Friday insisted she’s pressing on.

“I would rather risk losing my house again than to selfishly watch this corrupt process continue for others,” said Brumfiel, a 43-year-old part-time saleswoman who took on the court battles without a lawyer. “I know too much, and I don’t want the blood of it on my hands.”

But the ultimate decision might now be out of her hands.

US Bank on Friday told the Arapahoe County public trustee to withdraw the foreclosure case it filed in September 2011, then filed a request with Arapahoe County District Court Judge J. Mark Hannen to dismiss the order he signed last December to sell Brumfiel’s house.

The process of securitizing mortgage loans and potential legal issues are key elements in FRAUD STOPPERS Chain of Title Analysis (COTA) surrounding the transfer of mortgage loan instruments from tangible to intangible forms.

After a mortgage loan is originated, only two documents are required to proceed with the securitization process: the tangible promissory note and the tangible security instrument (mortgage, deed of trust, or security deed). These two documents are considered one tangible instrument.

The mortgage loan originator can offer the mortgage loan for securitization by selling the payment stream interest to an account debtor (sponsor/seller). This transfer of the payment stream is considered a “true sale.” However, the article argues that the tangible obligation and the security instrument securing it were also offered for sale in the secondary market as an intangible note, creating an additional, non-UCC Article 3 instrument. The existence of this intangible instrument is dependent on the existence of the tangible instrument.

For a UCC Article 8 intangible obligee (trust) to have a continuous alternate method to collect value via an alternate tangible, such as a true sale of real property, the intangible obligee would need to be assigned rights to the tangible security instrument in compliance with state and federal laws. However, it claims that in many cases, the transfer and assignment of rights to the tangible security instrument were not properly executed, leading to potential legal issues.

The conversion of a tangible mortgage loan instrument into an intangible “eNote” form is a common practice in electronic securitization. It describes how the electronic versions of the promissory note and security instrument are created and filed in public records. It also discusses the involvement of Mortgage Electronic Registration Systems (MERS) in the registration and control of electronic mortgage loan packages.

FRAUD STOPPERS Chain of Title Analysis (COTA) exposes the legality of these transactions that do not comply with applicable laws, including the Uniform Commercial Code (UCC) and the Electronic Signatures in Global and National Commerce Act (ESIGN Act). It suggests that the transfer and negotiation of intangible obligations cannot be done electronically under UCC Article 8, and the security interest in the tangible note and security instrument cannot be sold as an electronic transferable record.

FRAUD STOPPERS Chain of Title Analysis (COTA) reveals potential discrepancies between the chain of negotiation of the paper promissory note shown by endorsements and the chain of perfection of lien rights in public records. It claims that filings of “Notice of Assignment” may be fraudulent, and that the security instrument may become null and void if not properly perfected.

The legality and compliance of securitization practices in the mortgage industry, particularly regarding the transfer of tangible mortgage loan instruments into intangible forms are highlighted in a Chain of Title Analysis (COTA) offered by FRAUD STOPPERS, which can help identify potential legal issues in the securitization process and potentially provide borrowers with leverage in dealing with their mortgage loans.

Now You Can Unlock the Power of Justice and the Rule of Law with FRAUD STOPPERS

Are you tired of being a victim of financial fraud, seeking the justice and legal remedy you deserve? Look no further – FRAUD STOPPERS is here to empower you with the comprehensive tools and support necessary for success. With a wide range of services tailored to your needs, we are your ultimate ally in the fight against fraud.

FRAUD STOPPERS Arsenal of Solutions includes but is not limited to:

Audits & Investigations: Our team of skilled professionals will meticulously analyze your case, leaving no stone unturned in uncovering the truth. We employ cutting-edge techniques and resources to expose the fraud and gather irrefutable evidence. We are the only organization (to our knowledge) that can provide you with a Full Level 4 Bloomberg Securitization Audit and all the loan level data and trust information for all Government Sponsored Loans (GSE’s) and loan placed in private trust (shipped off shores) that do not report to the Securities and Exchange Commission (SEC).

Expert Witness Affidavits & Testimony: Our network of esteemed experts will provide compelling affidavits and testify on your behalf, lending credibility and authority to your case. Their specialized knowledge and experience will strengthen your position in the legal battle.

Turnkey Litigation Packages: We understand that navigating the complex legal landscape can be overwhelming. That's why we offer comprehensive litigation packages, equipped with all the necessary documents and strategies to mount a strong defense against fraudsters.

Professional Paralegal Support: Our dedicated paralegals are committed to assisting you every step of the way. They will guide you through the process, offer invaluable insights, and provide crucial administrative support to ensure your case is well-prepared.

Nationwide Attorney Networks: We have established a vast network of highly skilled attorneys across the country who specialize in fraud cases. Rest assured, you will be connected with a trusted legal expert who is passionate about seeking justice on your behalf.

Legal Education and Training: At FRAUD STOPPERS, we believe that knowledge is power. That's why we provide comprehensive legal education and training resources, empowering you to understand your rights, navigate the legal system, and make informed decisions throughout your case.

Debt Settlement Negotiations: Our experienced negotiators will engage with creditors on your behalf, striving to reach favorable debt settlement agreements. We will advocate for your interests, aiming to alleviate the financial burden caused by fraud.

Private Lending: If you require financial assistance to support your legal battle, our private lending options can provide the necessary funding. Our trusted lending partners offer competitive rates and flexible terms, ensuring you have the resources to fight for justice.

And much more! Save Time, Money, and Increase Your Odds of Success with FRAUD STOPPERS' Proven Products and Programs

If you're serious about getting the legal remedy you deserve, FRAUD STOPPERS has everything you need to succeed while saving time, money, and increasing your odds of success. Our comprehensive range of proven products and programs is designed to streamline the process, maximize efficiency, and deliver results.

Time is of the essence when it comes to combating fraud, and we understand the importance of expediting your case. With our expertise and resources, we can minimize delays and ensure efficient progress. By leveraging our extensive experience in fraud investigations and legal strategies, you can navigate the complexities of the legal system with confidence, saving valuable time in the process.

We also recognize the financial burden that fraud can impose, and we are committed to providing cost-effective solutions. Our competitive rates for services, private lending options, and expert negotiation skills can help you save money while maximizing the value you receive. Rest assured that we strive to optimize your resources, enabling you to fight fraud without breaking the bank.

Partnering with FRAUD STOPPERS significantly increases your odds of success. Our proven track record and extensive network of experienced professionals ensure that you have the best possible resources at your disposal. From expert witness testimonies to strategic litigation packages and effective debt settlement negotiations, our carefully curated products and programs have a track record of achieving favorable outcomes. With FRAUD STOPPERS by your side, you can maximize your chances of holding fraudsters accountable and obtaining the justice you deserve.

By choosing FRAUD STOPPERS, you can save time, save money, and increase your odds of success. Our proven products and programs, combined with our commitment to your cause, empower you to reclaim your future. Take the first step towards justice by completing the form below.

Remember, with FRAUD STOPPERS, you have a trusted partner dedicated to saving you time, money, and increasing your chances of success. Let us fight by your side and help you put an end to fraud once and for all.

Our commitment to your success knows no bounds. We are constantly expanding our services and partnerships to provide you with the most effective tools in the fight against fraud.

Ready to get started?

Simply complete the form below to begin your journey towards justice. Once submitted, check your email inbox or email spam folder for detailed instructions on how to move your file forward.

Remember, you don't have to face fraud alone – FRAUD STOPPERS is here to champion your cause and bring you the justice you deserve.

Join us in the battle against fraud today!

Complete the form below and then after submission, check your email inbox or spam folder for detailed instructions on how to move your file forward to get the legal remedy you seek and deserve.

LIST OF FORECLOSURE LAWS BY STATE

THIS SITE IS NOT INTENDED TO BE MISCONSTRUED AS LEGAL ADVICE. FRAUD STOPPERS is a Private Members Association PMA. FRAUD STOPPERS PMA is NOT a law firm, non-profit organization, or government agency. FRAUD STOPPERS PMA does not operate in the public sector. Although this website is visible to the public FRAUD STOPPERS PMA does not intend for any information contained in this website to be considered as legal advise.

The information about Foreclosure law and other legal information provided on this website does not, and is not intended to, constitute legal advice; instead, all information, content, and materials available on this site are for general informational purposes only. Information on this website may not constitute the most up-to-date legal or other information. This website contains links to other third-party websites. Such links are only for the convenience of the reader, user or browser; FRAUD STOPPERS and its members do not recommend or endorse the contents of the third-party sites.

Readers of this website should contact their attorney to obtain advice with respect to any particular legal matter. No reader, user, or browser of this site should act or refrain from acting on the basis of information on this site without first seeking legal advice from counsel in the relevant jurisdiction. Only your individual attorney can provide assurances that the information contained herein – and your interpretation of it – is applicable or appropriate to your particular situation. Use of, and access to, this website or any of the links or resources contained within the site do not create an attorney-client relationship between the reader, user, or browser and website authors, contributors, contributing law firms, or committee members and their respective employers. This site provides “information” about the law and is only designed to help users safely cope with their own legal needs. But legal information is not the same as legal advice — the application of law to an individual’s specific circumstances.

The views expressed at, or through, this site are those of the individual authors writing in their individual capacities only – not those of their respective employers, FRAUD STOPPERS, or committee/task force as a whole. All liability with respect to actions taken or not taken based on the contents of this site are hereby expressly disclaimed. The content on this posting is provided “as is;” no representations are made that the content is error-free.