Short and sweet today, as I’m pretending I’m an employee enjoying the three day weekend like everyone else.
A court in Utah has now ordered any record of loans previously recorded on a few homes to be eliminated. Put more plainly, the order left the home owners with their homes magically made debt free. Why on earth would a judge even consider such an act?
Simple, the use of MERS, (you can Google it) the lazy, convenient vehicle lenders and Wall Street used to keep investors from knowing what garbage was being sold to them, has come back to haunt them. I predicted this more than a year ago — to laughter and much rolling of eyes.
This isn’t like my last piece, which merely addressed the issue of ‘standing in court’. These rulings have leapfrogged a couple steps. By issuing court orders resulting in the removal of the home owners’ debt, they’ve pretty much told the entire system to put up or shut up.
These rulings are no less than monumental in scope and potential economic and financial effect. Granting home owners a literal Get Outa Jail Free card will surely generate all sorts of predictable and unintentional consequences.
Next stop — the appeals. We’ll see if we’re a nation of laws or not.