Category: bankruptcy

Emergency Motions to Stop a Foreclosure Sale

July 16, 2026

A Homeowner’s Guide to Immediate Court Relief Few events create more fear than receiving notice that your home will soon be sold at foreclosure. For many homeowners, the first reaction is panic. Phone calls are made. Modification applications are rushed to the servicer. Internet searches begin late into the night looking for one simple answer: “How do I stop the foreclosure sale?” The answer depends on the facts of your case, but one thing is certain. The legal system provides several emergency procedures that may allow a court to stop or postpone a foreclosure sale while important legal issues are

How Long Will Chapter 13 Delay Foreclosure?

March 10, 2025

https://livinglies.me/wp-content/uploads/2025/03/IMG_0579.mov Understanding Chapter 13 Bankruptcy and Foreclosure While our primary focus here at Livinglies.me is not bankruptcy, it is an important option to homeowners seeking to save their home from foreclosure. Sometimes, when homeowners come to us late in the foreclosure process, an emergency Bankruptcy is the only option. Don’t wait until it’s too late to put up a strong defense or even a counterclaim to an illegal foreclosure action by a “pretend” lender. (Pretend lender is the foreclosing party that does not have any legal rights against your home) Submit a free Case Statement here for an opinion on

Bankruptcy as Foreclosure Defense Using Adversarial Actions

September 4, 2024

In the ongoing struggle to save homes from foreclosure, homeowners often find themselves backed into a corner, feeling as if they’re facing an unstoppable force. The clock is ticking, the auction date is looming, and desperation sets in. But, what many don’t realize is that there are powerful tools available to fight back, even in the eleventh hour. One such tool that can shift the balance of power is the adversarial action in bankruptcy court. What is an Adversarial Action? An adversarial action is not just another step in the bankruptcy process; it’s a full-blown lawsuit within your bankruptcy case.

Challenging the Validity of a Mortgage Loan in Bankruptcy: A Simplified Guide

August 28, 2023

When people talk about bankruptcy, they often feel overwhelmed and confused by the legal jargon. But it’s crucial to understand these laws, especially if you’re trying to protect your home. One way to do this is by filing what’s known as an “adversarial action.” An adversarial action in bankruptcy is like a separate lawsuit within the bankruptcy case. In simple terms, it’s a way for you to fight back against a creditor, such as the bank holding your mortgage, by arguing that the debt should not be treated the way they say it should. The Problem with some Mortgage Loans

The irrefutable logic at the foundation of all successful foreclosure defense narratives

February 2, 2023

The mortgage lien is designed to protect against financial loss — not to promote financial gain. If Wall Street wants to protect the financial gains it created from its crazy scheme using weapons of mass financial destruction, then the least it should do is share a little of that with homeowners, consumers, the government, and investors. * I continually get the same question, mostly because neither the homeowner nor the “investigators” understand anything about being a licensed, educated, experienced investment banker, lawyer, or accountant. If they were any of those, they would not ask the question. * The latest question

Western Progressive LLC is named as Trustee or even Attorney on many forms, notices and recorded documents in foreclosures. Who is this Luxembourg LLC and Why do all paths lead back to Ocwen?

February 7, 2022

why such a company would ever be seen as a qualified party to (a) serve as a trustee on a deed of trust (b) make any claims whatsoever and (c) allow its name to be used by FINTECH service providers operating under contract with Merrill Lynch and its “successor” Bank of America. This is especially true because there is no beneficiary who executes the Subsitution of Trustee and no beneficiary named that is qualifeid as a beneficairy — i.e., the one to whom the udnerlying obligation is owed. And all this goes back to what I said somewhere around my

From the Horse's Mouth: WAMU Originated "Loans" Are not Assets of Chase or Even Any trust If the Sale was to a "Depositor"

July 7, 2020

Many thanks to Bill Paatalo for bringing this to my attention. This article brings to the forefront a central issue that Wall Street cannot escape unless we let them: in the context of securitization, the paper transfers to the “depositor” is not a sale even if it is treated as a sale by the “Seller.” That means that the homeowner transactions that were falsely labeled as loans were never securitized. In other words, the whole thing is a lie. A LivingLie, which is why I named named this blog as such. == I would suggest that practitioners take note of

Coming this fall! A new wave of illegal foreclosure claims. Will we get it right this time?

July 1, 2020

Some have pointed to some articles indicating that the securitization ponzi scheme collapsed already. It might be more accurate to say that the scheme was reorganized rather than collapsed. But even if it collapsed the Wall Street banks will continue sending servicers and foreclosure mills into the field to file foreclosures. After, all, it’s free money if they win, and there is so far, a statistical certainty that in nearly all cases they will win simply because of the erroneous belief by homeowners that they have done something wrong and that they have a moral obligation to leave the house, once they stop

How to Use the Real Deal On Securitization to Homeowner's Advantage

June 15, 2020

Like citizenship in this country litigation is not easy. We keep banging our heads against the same wall expecting a different result. We need a strategy that directly addresses the inescapable realities of every homeowner transaction and every securitization cycle. My substantive analysis of the transaction is that the homeowner was drafted into a securitization scheme which in my opinion clearly triggers quasi contract and quantum meruit — the only possibility for inquiring into the adequacy of consideration. Lawyers and litigants have shied away from this because of its complexity and because they don’t know how to approach it. * In simple

How to Stop the Court from Speculating About the Identity of Claimants in Foreclosure Cases

May 29, 2020

As long as you continually attack the sub silentio assumptions of the court, you will be weakening the case against you for foreclosure. Failure to do so means almost certain failure. Foreclosure is considered a draconian remedy equivalent to capital punishment. All US jurisdictions have adopted as a matter of law and public policy (Article 9 §203 UCC) that the remedy will only be granted to one who paid value for the underlying obligation. If you don’t challenge the sub silentio assumptions of the court, then the judge is free is assume that the granting of foreclosure is a remedy

Three Card Monty: Why is Pandemic Relief Going to Servicers? Why are they not claiming relief for REMIC Trusts? Will homeowner debts be reduced by Federal payments to “Servicers?”

April 27, 2020

https://www.nytimes.com/2020/04/21/business/mortgage-investors-coronavirus.html?referringSource=articleShare By failing to require a credit to homeowners when the Federal government makes payments on claimed obligations, the bailout is simply adding to profit of investment banks, servicers and foreclosure mills. They are eating their cake and having it too. Obligations are paid off but their claim against homeowners remains unchanged. Sign Petition to Change the rules to Protect Homeowners from Fraudclosure. Foreclosures are filed in the name of a named Trustee for a collection of words that is then treated as an entity. More specifically it is treated as a trust. Sometimes the foreclosure mill goes further and

"Lost notes" and the Sudden Appearance of "Original Notes."

March 27, 2019

Think of it this way: If someone wrote you a check for $100, which would you do? (1) make a digital copy of the check and then shred it or (2) take it to the bank? Starting with the era in which banks made what is abundantly clear as false claims of securitization the banks all chose option #1. And they collected incredible sums of money far exceeding the Madoff scam or anything like it. Back in 2008 Katie Porter was a law professor and is now a member of the US House of Representatives. For those of who don’t

Why Regulation is Failing the Mortgage Market

March 26, 2019

A new report from the Federal Reserve Board identifies the central issues confronting regulators — issues that regulators have avoided assiduously. The bottom line is that the FED knows that it lacks accurate information and knows that it is not confirming information given to it by banks who are now all in the background of lending. The real information should be coming from small thinly capitalized private entities that serve as sham conduits for loans. Neither the FED nor any other regulator gets any information on those loans which now account for more than 50% of all loans. This presents

Is that Mortgage or Deed of Trust Void or Just Unenforceable?

March 5, 2019

Proving that an instrument is unenforceable does not void the instrument unless it is unenforceable by anyone. Better to prove that it should never have been written. DONATE to LivingLies Let us help you plan for trial and draft your foreclosure defense strategy, discovery requests and defense narrative: 202-838-6345. Ask for a Consult or check us out on www.lendinglies.com. Order a PDR BASIC to have us review and comment on your notice of TILA Rescission or similar document. I provide advice and consultation to many people and lawyers so they can spot the key required elements of a scam — in and out of court.

TILA Rescission and Bankruptcy: What Happens When the Bankruptcy Court Gets it Wrong

March 1, 2019

When TILA rescission has occurred the encumbrance is eliminated and the debt converts from one arising from a promissory note to one arising from a statute — 15 USC §1635. The debt then becomes subject to the statute of limitations for claims under TILA because the debt now arises under TILA. If the statute has run the debt is barred. Thus when the court gets it wrong and ignores the TILA Rescission it is warping the value of the bankruptcy estate as well as allowing secured status to unsecured creditors. ============================== DONATE to LivingLies Let us help you plan for

If you don't challenge the smoke and mirrors the smoke becomes law and the mirrors become an inescapable nightmare.

January 25, 2019

Bottom Line: Failure to attack the facial validity of the documents is virtually hanging the homeowner letting him/her twist in the wind. Without such a relentless attack based upon scrutiny of the exact wording on documents revealing that nobody is actually identified as a real party in interest, you will be trapped by an endless cascade of legal presumptions against the homeowner. ============================== Let us help you plan for trial and draft your foreclosure defense strategy, discovery requests and defense narrative: 202-838-6345. Ask for a Consult or check us out on www.lendinglies.com. Order a PDR BASIC to have us review and comment on your notice

New Florida Law Sneaks Under the Radar

March 21, 2018

BE CAREFUL HOW AND WHEN YOU FILE BANKRUPTCY PETITIONS Governor Scott, admits 30 other bills signed SB 220 into law. You can barely find it using search engines. The law is confusing at best and probably unconstitutional but here it is. The new law makes BKR filings by Petitioner into presumptions in judicial foreclosures — but only the filings of the Petitioner (raising all sorts of constitutional issues). The filings by parties claiming to be creditors do not raise the same presumption unless other legal presumptions should be applied. So now foreclosing parties can use the filings of the