Monday, February 28, 2011

Judges accused of ‘predetermining’ foreclosure cases

A lawyer accuses District Judge Donald Mosley and other judges of “predetermining” the outcome in foreclosure disputes in favor of the lenders, according to an appeal filed with the Nevada Supreme Court.

In the process, they have made a “mockery” of a program designed to rescue distressed homeowners, attorney Jacob Hafter says in court papers filed Wednesday.

A 2009 state law gives judges the authority to modify loans if lenders fail to abide by Nevada Foreclosure Mediation Program guidelines.

Hafter said Mosley — and by implication the high court — had previously discussed how Nevada courts would rule in these disputes. During a foreclosure hearing for Hafter client Carl Piazza, Mosley said he would never sanction a lender for bad faith by modifying a loan from the bench.

“That’s something we resolved for, basically, since this program began, that the judges, and the Supreme Court was part of this discussion, are not going to, in this forum, start modifying loans; just would not do (it),” Mosley said during the October hearing.

“That would lead to a nightmare. I’d be here until midnight every night restructuring loans.”

Check out the rest here…

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