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Extensive Flaws in Foreclosures

A recent investigation, released earlier this month, done by officials with the city of San Francisco uncovered something that bankruptcy attorneys have suspected for awhile – foreclosures often involve legal violations or suspicious documentation. For instance, the improprieties included frequent failures to warn borrowers that they were in default as well as improper assignments of the right to even conduct the foreclosure. The study concluded that about 84 percent of the files contained what seemed to be clear violations of the law. Although the investigation focused on California foreclosures, the foreclosures procedures and requirements in California are very similar to those mandated in Nevada. So the question is begged… could as many as 84 percent of foreclosures in Nevada be improper?

I will simply say that the two most recent foreclosures I’ve reviewed seemed to clearly give insufficient notice in terms of time (failing to provide 20 days notice) and in terms of the recipients who must receive the notices of sale (tenants should receive notices, but none did).



  1. Colleen Allen, February 24, 2012
    My short sell buyer wrote & closed on another house while still in escrow with me. I was not notified of this until 2 weeks after the fact during the holidays. My house was put on the auction block 4 days later because G MAC (my mortgage company) told my agent that since short sale contract had been canceled and there was no time to find other buyers it was to late to take off of auction schedule. My $300,000 house was sold to 3rd bidder at auction for $135,000. Therefore, my house went thru foreclosure rather than a successful short sale. What recourse do I have if any?