Sweet Justice for Main Street: Homeowner Forecloses on Bank of America

Michael Santo's picture

Bank of America, one of the "too big to fail" financial institutions, has failed, and in several ways, in this story that seems sweet justice to those who blame Wall Street for the Great Recession: the bank was essentially foreclosed upon.

It all began five months ago when Bank of America filed foreclosure papers on the home of a couple, Maurenn Nyergers and her husband. Z, who didn't owe a penny on their home. They never had a mortgage on the home, as they paid cash for the house.

Eventually, the case wound up in court. The Nyergers proved they didn't owe Bank of America any money, and a Collier County, FL judge ordered Bank of America to pay the legal fees of the Nyergers. Failure one was that Bank of America attempted to foreclose on a home that never had a mortgage on it.

Failure two was that Bank of America neglected to pay the legal fees that they had been ordered to pay. More than five months after the judge's order, the North Carolina based megabank still hadn't produced the legal fees. Given the bank's behavior, which included ignoring calls and letters, Todd Allen, the homeowners' attorney, did exactly what Bank of America tried to do to the Nyergers: he seized the bank's assets.

Naturally, one can see this as a hyperbolic response, but it certainly got the bank's attention. It was also quite legal. Following the same sort of "rules" that a bank might take with regards to a homeowner, sheriff's deputies, movers, and Allen went to the bank and foreclosed on it. Allen gave instructions to the movers to to remove desks, computers, copiers, filing cabinets and anything else, including any cash in the drawers of the tellers.

The bank manager eventually handed Allen a check for the legal fees. Allen said, "As a foreclosure defense attorney this is sweet justice."

As noted in national media such as MSNBC, CNN, CBS, and more, this isn't an uncommon event, banks foreclosing on homes simply because they do not investigate the actual foreclosure itself. If that happens, it becomes a battle the homeowner must take upon himself, and is usually long and expensive a process.

You can watch a video report on the story below.

Image Source: Wikimedia Commons

Comments

Submitted by Melanie (not verified) on
I live in Utah, We are 4th in the nation for foreclosure's. I have started a rally to help ALL the people facing this HUGE crisis. On June 14,2011 at 1:30pm in front of the Federal Court Building located at 350south main street. The attorney General sent the President of Bank Of America a letter on May 19,2011 and told them to STOP foreclosing on our homes here in Utah or else.. I cant believe these banks think they can actually get away with this. Bank Of America foreclosed on us on May10,2011 While we were in a modification, We have a lawyer and now just waiting to go to court. EVERYONE need's to stand up and fight or else the banks win. I have posted the rally info. on facebook under RECONTRUST CLASS ACTION RALLY.

Add new comment