The LOGS Network proudly announced the promotion of Christopher Phillips, Esq., to Managing Partner, effective immediately. In this newly created executive leadership role, Christopher will contribute to the strategic direction and governance of our law firms. It is with great pleasure that I am announcing the addition of Christopher Phillips to the LOGS Network executive team. As our industry navigates this unprecedented pandemic disruption, we intend to emerge a stronger and more agile organization. Having talented team members with the right skills, motivation, professionalism, and commitment to lead is key to our long-term viability and success. Christopher is a respected leader and proven professional and this promotion reflects the strong confidence we have in his abilities.”
Prepared by Kristine Brown, Managing Attorney
The United States Bankruptcy Court for the Northern District of Mississippi found that for purposes of interpreting 11 USC 1322(c)(1), the debtor’s right to cure a default terminates at the conclusion of the foreclosure auction and not delivery or recordation of a trustee’s deed. The Court found that this is because the mortgagor is divested of legal title upon default and the equity of redemption upon the conclusion of the public auction. In the absence of a legal or equitable interest at the commencement of a bankruptcy case filed subsequent to the completion of the auction, the property is not property of the estate. The firm received this positive ruling in a matter of first impression with respect to the finality of the foreclosure sale under Mississippi law. The Court found that a valid foreclosure auction constitutes a foreclosure sale and divests a debtor of both legal and equitable title to real property so that the automatic stay of 11 USC 362(a) will not come into effect to invalidate a foreclosure sale even though a deed has not been delivered or recorded. In a well reasoned memorandum, Judge Woodard affirmed the arguments put forth by Shapiro & Brown, LLC to find that the debtor’s interest terminates when the auction concludes and does not require a trustee’s deed to be delivered or recorded. In this case, the auction began at 11:05 A.M. concluded at 11:28 A.M. and the bankruptcy case was filed at 11:28 A.M. The trustee’s deed was signed and delivered on February 5th 2020 and subsequently recorded on February 12th 2020. Prepared by Kristine Brown, Managing Attorney
For the mortgage industry, meeting the challenge of assisting borrowers during this difficult time is paramount. And, where practical solutions can be found, loss mitigation is key. As the industry evolves, there is also the inevitable litigation that must be addressed. Favorable caselaw from Virginia seems to provide light at the end of the tunnel and a spread of common sense rulings that favor a harm standard crossing the Potomac. Years ago, Shapiro & Brown obtained the ruling in Shepherd v. Burson establishing that a failure to disclose every secured party in the Notice of Intent to Foreclose is not a basis for dismissing a foreclosure action. The Court followed traditional Maryland law which required a party to allege not only an error but also actual harm or prejudice before setting aside or dismissing a foreclosure case. This logic has finally crossed over into Virginia. Prepared by Sviatlana Liashchyna, Legal and Regulatory Compliance Attorney for LOGS Legal Network
The national health emergency order and subsequent state emergency and “stay at home” orders have forced businesses to implement remote work strategies. In response, federal and state governments have implemented laws to allow for various electronic processes, including remote notarizations. Before the COVID19 pandemic, only 23 states allowed remote notarizations. Since the Pandemic emerged, most states have adopted emergency laws or issued executive orders allowing or expanding existing laws to allow remote notarizations. This article provides an overview of the legal framework related to remote online notarization and highlights several business and risk considerations when using remotely notarized documents. |
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