“Guilford County [North Carolina] Register of Deeds Jeff Thigpen wants an investigation into a service used by major mortgage companies who may have made false statements to avoid fees that cost the county $1.3 million in lost revenue.
He wants to sue for the money At first blush, the legal theory seems to make sense. When you or I convey an interest in real property, it is not valid unless properly recorded, with fees paid. Banks, being laws unto themselves, apparently thought they could avoid all that. A class action approach on behalf of all the towns would appear to make sense. They could certainly use the money, and what better source could be found?
I am, by the way, one of the few lawyers out there who has gotten a judgment against MERS. It’s a long story, but I successfully defended a foreclosure and got the judge to order MERS to pay my fees. It’s a shadowy company, actually. It took us forever to figure out where they were incorporated, etc., so that we could collect. I’ve never been good about going after money, but at the time we had an associate who took such things as a personal challenge. She collected every dime.