Mortgage Servicing Fraud
occurs post loan origination when mortgage servicers use false statements and book-keeping entries, fabricated assignments, forged signatures and utter counterfeit intangible Notes to take a homeowner's property and equity.
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A contract that affects real estate must be in writing. A mortgage is a contract. Why is only the borrower's signature required on the mortgage? Would this be a contract of adhesion?

Should borrowers be defending against adhesion contracts? The following online definitions seem to fit the FNMA boilerplate contract for mortgages:

Adhesion Contracts

n. a term used in contract law adhesion contract is a contract between two unequal bargaining partners and does not allow for negotiation. It can be thought of as take it or leave it kind of contract where one party is tied down to accept whatever terms of conditions are put forth by the other powerful party. For example, suppose an individual has a contract thrust into his/her hands by the salesperson of a MNC. Now the consumer is in no position to negotiate the standard terms of such contracts and the company's representative often does not have the authority to do so. It is also called standard form contract or boilerplate contract.

adhesion contract (contract of adhesion) n. a contract (often a signed form) so imbalanced in favor of one party over the other that there is a strong implication it was not freely bargained. Example: a rich landlord dealing with a poor tenant who has no choice and must accept all terms of a lease, no matter how restrictive or burdensome, since the tenant cannot afford to move. An adhesion contract can give the little guy the opportunity to claim in court that the contract with the big shot is invalid. This doctrine should be used and applied more often, but the same big guy-little guy inequity may apply in the ability to afford a trial or find and pay a resourceful lawyer.
The pressure at the closing table is extremely upsetting. I sat in fear through the entire process that I was signing something I shouldn't have agreed to. But I was being rushed because of the next appointment the closing agent made known. Sure, I could have walked away, but I had a sales contract binding me and deposits and down payment, and moving expenses already spent.

It surely is a problem when the banks can set aside millions of dollars for legal representation, and many homeowners simply cannot last long enough financially to fight the big guy! I am having second thoughts about spending ANY money at all to try to defend against foreclosure. It seems to be a fruitless act.

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You may want to read Reforming the Law of Adhesion Contracts: A Judicial Response to the Subprime Mortgage Crisis by Shelley Smith, published by Marquette University 2009.

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Alina, thank you for posting this link to the document. It could very well be one of my strongest support documents for building a "threshold issue" defense in my case.

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