Attorneys for Maryland homeowners are asking the courts to dismiss hundreds of foreclosure cases that depended on paperwork submitted by so-called robo-signers on behalf of mortgage servicers.
Civil Justice, a Baltimore nonprofit that specializes in foreclosure issues, made the request in motions filed last week in two cases. One motion asks that all Maryland foreclosure cases with documents signed by Jeffrey Stephan of GMAC Mortgage — including the Baltimore case in question — be tossed out. The other asks for the same treatment of all Maryland cases with documents signed by Xee Moua of Wells Fargo.
Both Stephan and Moua acknowledged in depositions that they signed hundreds of affidavits a day — attesting to information being used to foreclose on U.S. homeowners — without the legally required "personal knowledge" of that information. Quickly dubbed "robo-signing," the practice has prompted investigations by regulators and foreclosure freezes by mortgage servicers.
"It's another example of an attack on the integrity of the courts," said Peter A. Holland, co-counsel on the case and head of the consumer protection clinic at the University of Maryland School of Law. "These affidavits are integral to the honest operating of the foreclosure process."
GMAC declined to comment. Vickee Adams, a spokeswoman for Wells Fargo, said the company anticipates that it will defend itself "vigorously."
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- Wells Fargo’s Homeownership Workshop
- Jones v. HSBC Bank USA, N.A., et al
- Maryland Homeowners Bring False Signatures to Light
- Maryland Court of Appeals Approves Foreclosure Audits