Foreclosure crisis clogs up court system

Miami /
Oct.October 22, 2010 08:30 AM

The national court system is being inundated by record numbers of foreclosures, as clerks struggle to keep pace with fast-changing dockets where banks have canceled hundreds of hearings and judges are deciding if they should dismiss cases that rely on affidavits prepared by robo-signers, the Wall Street Journal reported. Even if the outcome of most cases is unlikely to change, the added scrutiny is causing massive delays, specifically in New York, where the chief judge of the state’s courts is requiring lawyers handling nearly 78,000 foreclosure actions to verify that their clients followed proper procedures. The shoddy foreclosure procedures, and the subsequent suspensions, have also frozen cases in court. The moratorium “means these cases will be sitting there in la la land,” said retired judge Robert Deehl. According to RealtyTrac, more than 1,000 U.S. homes were seized by banks in September, and 23 states require foreclosures to go through the courts.  [WSJ]

 

Related Articles

arrow_forward_ios
Lexington Realty Trust's Wilson Eglin and 5600 Broken Sound Boulevard, Boca Raton (Google Maps)

HSBC to take over Boca Raton office building following foreclosure auction

HSBC to take over Boca Raton office building following foreclosure auction
Victor Ballestas and 6060 Indian Creek Drive, Miami Beach (Credit: Google Maps)

Embattled Sixty Sixty condo-hotel’s units in Miami Beach sell for $15M

Embattled Sixty Sixty condo-hotel’s units in Miami Beach sell for $15M
Lord Balfour Hotel

Mezz lender forecloses on Ocean Drive hotel in South Beach

Mezz lender forecloses on Ocean Drive hotel in South Beach
Josh Zegen of Madison Realty Capital and 777 North Ocean Drive, Hollywood (Google Maps)

Madison Realty closes on Costa Hollywood Beach condos for $43M

Madison Realty closes on Costa Hollywood Beach condos for $43M
3601 North Miami Avenue with Francisco Arocha

Midtown Miami development site in foreclosure hits the market

Midtown Miami development site in foreclosure hits the market
Florida Gov. Ron DeSantis (Credit: Joe Raedle/Getty Images)

Florida allows eviction moratorium to expire

Florida allows eviction moratorium to expire
Kelly Beam, Ricky Trinidad , and 3265 Bird Avenue (Credit: Google Maps)

Miami developer Metronomic files for bankruptcy

Miami developer Metronomic files for bankruptcy
Susan Gale and Variety Miami Beach

Miami Beach hotel facing foreclosure hits market for $37M

Miami Beach hotel facing foreclosure hits market for $37M
arrow_forward_ios

The Deal's newsletters give you the latest scoops, fresh headlines, marketing data, and things to know within the industry.

Loading...