On Saturday Oct. 9, 2010 the WSJ published an editorial decrying the fact that the banks are getting tossed out of Courts all over the country because their Court forms are not signed by the correct people. Here is a short quote from that editorial. “The affidavit was supposed to be signed by the nameless, faceless employee in the back office who reviewed the file, not the other nameless, faceless employee who sits in the front.”
The Banks have a responsibility to follow the law. If the law says that the actual person who reviewed the documents must sign the form, then that is what they must do. The banks brought this problem onto themselves. The borrowers all signed Notes and Mortgages. Those documents set forth the duties of the parties and what happens when the borrower fails to pay. The Banks drew up the terms and conditions. The Banks knew of the State Laws and what they mandated. The Banks loaned too much money to too many people. Now they have to foreclose. The solution for the banks is to hire the necessary personnel so that they can actually review the documents. If the Banks employed enough people to cleanup their mess, they wouldn’t be in this situation. If they moved quicker and did fair short sales, they wouldn’t be in this position.
I don’t feel sorry for Banks having to follow the law. There are plenty of situations when a person or corporation loses in court when they are in the right because of “technical violations” including the failure to have a correct affidavit. This happens everyday in our Courts. The Banks shouldn’t get special rules or dispensation just because they messed up more than anyone else.
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