MORTGAGE FORECLOSURE DEFENSE

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FORECLOSURE DEFENSE

The best defense is sometimes a really good offense. That is our philosophy. Turning the tables and suing your lender or Loan Servicer in a mortgage foreclosure case can have a dramatic and powerful impact when it comes to negotiating.   When a homeowner falls behind on his or her mortgage payments, inevitably a foreclosure case will be filed if the payments are not brought current in a short period of time. In most cases involving residential property, a mortgage foreclosure case will usually be filed after the homeowner is at least 120 days delinquent on his or her mortgage. Time is critical. Options to resolve the default, such as Chapter 13 Bankruptcy, can become difficult if a client falls too far behind.   However, the Illinois Mortgage Foreclosure Law (“IMFL”) provides that a lender must foreclose its mortgage in a judicial proceeding (i.e. a Court case). A homeowner has very few defenses to a foreclosure case and these defenses can become difficult to raise if the homeowner tries to do it alone without the help and guidance of a skilled lawyer.    Arthur C. Czaja is widely recognized as a pioneer in this area of law. He has successfully defended many mortgage foreclosure cases in both the trial court and in the Illinois Appellate Court. He has counseled thousands of homeowners in these very difficult and emotional situations.   Although the odds may be stacked against you, some defenses to mortgage foreclosure cases include the following: 

1) Lack of Standing. 

2) Failure to comply with certain notice provisions found in the mortgage contract or in the IMFL. 

3) Failure to join a necessary party to the lawsuit. 

4) Failure to attach all of the required documents to the foreclosure complaint when the case is filed. 

5) Failure of the lender to have an appropriate license with the State of Illinois. 

6) Failure to obtain the appropriate signatures from all of those with an interest in the real estate.   

Although your defenses may be limited, your offensive arsenal is not. We will attempt to litigate any claims you have against your lender or your Loan Servicer in the mortgage foreclosure case.    

The types of claims we have litigated range from breach of contract to violation of federal laws such as the Fair Debt Collection Practices Act (“FDCPA”) and virtually everything in between. There are literally thousands of different claims that an individual may have against his or her lender or Loan Servicer. Some of these claims are time sensitive, so it is extremely important that you do not wait to contact an attorney because time frames to bring your lawsuit may be very short. The FDCPA, for example, has only a 1-year statute of limitations.   Some examples of claims we have litigated include the following: 

1) Breach of contract. 

2) Breach of fiduciary duty. 

3) Breach of the covenants of good faith and fair dealing. 

4) FDCPA. 

5) Illinois Consumer Fraud and Deceptive Business Practices Act (“ICFA”). 

6) Truth in Lending Act (“TILA”). 

7) Real Estate Settlement and Procedures Act (“RESPA”) 

8) Racketeer Influenced and Corrupt Organizations Act (“RICO”). 

9) Unjust Enrichment.   

We have also successfully defended clients accused of fraudulently transferring assets in the context of mortgage loans.   Our experience is second to none. Arthur C. Czaja is a highly respected member of the foreclosure defense bar and his reputation for excellence will ensure that you receive the best possible defense to any foreclosure case brought against you.