Arianna Huffington’s article about the Brennan Center for Justice report, points out things some people never consider such as: When a person lacks knowledge, particularly of Consumer Law, he or she is not likely to recognize an actionable claim concerning a mortgage debt or any other type of debt requiring judicial ruling. [ Huffington Post ]
Lack of financial means to pay for a lawyer obstructs access to justice. Also, because too often judges are biased against the financially unfortunate, they tend to rule in favor of the rich and powerful; or, a person can run out of money to pay his / her lawyer prior to resolution of the matter.
Owing a debt does not justify denial of Due Process, nor erroneous or fraudulent pleadings filed in courtrooms, nor any other Unconstitutional violation of people.
In a few States such as where I reside, Louisiana, there is such a thing as “Cognovit Clause” which most States have banned because it precludes people from timely raising objections to improper foreclosures.
However, mortgage loan debt is NOT the only type of debt whereby the lack of legal help stacks the deck against people. Sometimes foreclosure collection lawyers intentionally file falsified Civil and Bankruptcy foreclosure pleadings; and in some instances, through use of a false mortgage holder’s name, the collection lawyer actually is the disguised foreclosure plaintiff who winds up with ownership of the property.
The appalling and incredible reality is that the odds are against people who owe any kind of debt (sometimes to the degree of harm and extortions of horrific proportions). Some borrowers who become delinquent on payments are gold mines for unscrupulous law firms!
Too often rather than the agenda being repayment from the borrower, the goal is to rake in mega bucks from corporations that pay those legal tabs. And worse, if a debtor protests unfair collection tactics, blacklisting from employment and incredible invasion of privacy, are among the consequences.
A paradigm of appalling outcomes from facing a formidable lender opponent is exemplified by Wells Fargo. As it pertains to a mortgage loan involving Wells Fargo, it is very likely to encounter oppressive unscrupulous lawyers hired by this predator lender. (I hasten to add that smoke screen seasons of Wells Fargo good-will make this lender no less malignant than Bernie Madoff’s habits of benevolence.)
Personally, I know that asking questions or opposing Wells Fargo’s illegal lending practices results in horrific inflictions of reprisals merely for standing up for one’s rights. In some instances, damages done by various agents of Wells Fargo are irreversably devastating.
Here is more INFO on the subject of lender / borrower:
“IRS Tax Advocate Renews Criticism of Private Collectors” “Piling On: Borrowers Buried by Fees” by Gretchen Morgenson “DEBTOR’S HELL”, a 4-part investigation by the Boston Globe “Mortgage Mess, Foreclosure Fraud and Impediments to Justice” “Dubious Fees Hit Borrowers in Foreclosures” “Complaints Against Debt Collectors Skyrocket, Lack of Oversight to Blame” Public Citizen’s Consumer Law & Policy Blog “OPEN LETTER TO PRESIDENT OBAMA on Foreclosure Crisis”
Illustration of motives and abusive collections, can be seen from the lawsuit: “Super Future Equities Inc. v. Wells Fargo, et al.,”
Here are excerpts:
Paragraph 37 – “pattern of initiating litigation . . . designed to further its own interests …” Paragraph 38 – “expanded its business activities from … unscrupulous ‘litigation machine.'” Paragraph 64 – “After foreclosure, … ORIX makes “servicing advances,” which include legal fees spent by ORIX to pursue claims against the borrowers … At the time of foreclosure, ORIX receives additional foreclosure related fees, in addition to all the other fees collected from the Certificateholders. On information and belief, Wells Fargo benefits from these improper foreclosures by charging inflated and unexplained “expenses” to the Trust in connection with the foreclosures.””
Law & Grace, Inc