Letter to Foreclosure Lawyers

June 16, 2011

Dear Counsel

How are you? By now, I had hoped to copyright what I know [LOL] It is no less frustrating, when knowing everything implicit for argument and necessary in foreclosure defense can’t seem to make it into pleadings. What should be included as compelling subject matter with the current legal community is left on shelf. These things I make reference of are assets accounting and transfer policies, unpublished procedures and even secrets concerning insider shortcomings.

Seriously, the things that I would have wanted argued in every case to date is long overdue. The opposition or sectors SOP is flawed in recovery and vulnerable. Therein is where they violate the federal and state law. Origination is the lowest hanging fruit in arguments of a breach and subject to claims for which lenders merely circumvent constructs of the law. It’s upon having to execute in reverse order upon foreclosing on ones title where I see the “parties” violations of law taking place. Knowledge is gained over time, in ones career and affords them the role of insider. As compelling as the inside track may be I have found it’s never a lock to assume it will be openly embraced by friendlier judicious allies. And here I sit watching others guess and promote one off decision after another that WILL come back and be later decided against. It’s because the courts decisions I see are erred and made in misunderstanding of what is not seen and not that which is portrayed.
A deed for example is not removed or separated from the note. Bifurcation is not what is portrayed in pleadings. Diversity and jurisdiction are problems. Declaratory relief and other injunctive remedies are constantly confused with claims fallen unto a private right of action. Its guess work that I see going on from my perspective. Brilliant people are humbled here while the technical insider crowd on WS remains tight lipped.
What’s really hard is to watch title holders needlessly lose or fall victim to one juridical elixir after another. It’s seeing folks lose their homes with substance for arguments being left on the table.
There is only one quickest path between to pints of reference.

I was part of one of the first securitizations offered through Continental Grain. We spent three years trying to make the platform work for us. I was surrounded by brilliant people alongside of me while working under top tax attorneys who were the TRS managing a REIT CAIT I & II.

I am outspoken about title defenses by those owning six homes that generate cash flow going on to years… and while not making a payment. It’s no more or less moot for what does not compute on one claim to title cannot on 100 statutory business trust claims to fee simple title.

If my vernacular is overbearing or thinking seems to leap from A to Z I believe it’s in tune with following the balance sheet versus the law. But I will be straightforward in telling you we are woefully wrong to discount the structure of the subject matter versus the weaker opposition your meeting in court. Your opposition is the economic and financial brains backed by institutional Ivy League academia and tax attorneys. Over my career, nearly everything we did was hyper focused on GAAP. That includes trading bulk pools of assets, managing delivery, warehousing, IT reconciliations and subservicing. You live by GAAP and adherence to IRS code. (While FASB codified pronouncements were a joke for compliance…ask the IASB)

Your strategy should consider the street that still looks to one and only one thing for maintaining compliance. That is SEC “Accredited” Regs. Tax Code and GAAP. Everything we did on yonder was to preserve the tax shelter of the trust and guard peripheral features like operating a TRS, compounding retained earnings, anything related to transferring an NOL, managing phantom income liabilities and creating the necessary WAC/WAM and CPR balanced against market conditions (what the consumer would accept). When the public cries out they do not understand what is said here – then you know the trust mechanism is working. It was set up to reap various economic features as mentioned herein and above. Yet the one feature that reins over all others are the most endeared and protected. . . That is the ability to overcome the overcome the law.


. . . What Counsel should know and does not seem to get.

Haircut, RESPA & HUD I
Curtailments & GAAP
Nominee and Code Violations
Structured fiancé and robust proposition
Satisfaction and a window
Credit Bid and ledger
Liens as security Vs. Security liens
Accrual accounting for Basis in assets
The GSE and Private Label Conversion
Bailment and Nominee
Government Long term Goal
US Transition from Deed to UCC
Qualifying the Core asset



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