[Dec 15 2019] Foreclosure Saga - http://civilinquiry.jud.ct.gov/CaseDetail/PublicCaseDetail.aspx?DocketNo=FBTCV196091825S

[AnOminous]

Default judgement on the foreclosure, which Phil wants. The only remaining question is whether MidFirst has any avenue to try and pursue the deficiency between the sale price of the condo and the remainder of the mortgage.

The question is whether they have to have done something they haven't done yet to go after the deficiency judgment. From what I've read, the cause of action on that remaining debt only accrues upon a sale that doesn't pay it off entirely. So after the short sale is when they would have to pursue the deficiency judgment.

The question is whether it's a preexisting debt that is discharged, or whether the action for a deficiency judgment, only ripening in this case after discharge, counts as a post-discharge debt they can pursue. There might be some relevant case that makes this completely clear but I have neither found it nor really even tried to find it. I figure if MidFirst thinks they can do it, they'll try.

Or whether or not they're entitled to it, they might say fuck it and try anyway since Phil doesn't have the resources to fight it from the other side of the country. So maybe they'll go for it hoping he defaults again and automatically loses without being able to present his defenses.

 

[actually]

Or whether or not they're entitled to it, they might say fuck it and try anyway since Phil doesn't have the resources to fight it from the other side of the country. So maybe they'll go for it hoping he defaults again and automatically loses without being able to present his defenses.

Really, really hoping to see this. Would be hysterical for them to hail mary this bad boy.

 

[MoonRocker]

Phil’s assets are public for everyone to see. And as far as MidFirst is concerned, they know Piggy has no assets, cash, or valuables to go after.

Would this impact their decision on pursuing the deficient judgment or no? From what we gathered on MidFirst, they buy toxic loan assets and go after people who can’t pay on their properties to bleed them slow.

If the process to extract $40,000 from the pig is cheap and efficient, I would see them do it. If it’d require significant man hours spent on getting this deficient judgment, I don’t see them pursuing given that Phil “technically” has no money.

 

[AnOminous]

If the process to extract $40,000 from the pig is cheap and efficient, I would see them do it. If it’d require significant man hours spent on getting this deficient judgment, I don’t see them pursuing given that Phil “technically” has no money.

All they have to do is put a lien on his property. And they'll eventually be paid.

 

[UncleTusky]

The Foreclosure Saga is slowly grinding on:

MidFirst has filed a motion for strict foreclosure and entitlement of possession and an appraisal of the property for $59,000 (about $1,000 less than the estimate in his filing). These should go through quickly since Phil is not appearing by choice but the actual sale may take some time-foreclosure sales are on hold for now and there will be some amount of backlog when they resume. are on hold but scheduled to resume in late July, and there may be a backlog to clear out before the court can schedule a sale date for his condo. (got this wrong at first my bad)

Before people get too excited, let's keep some important factors in mind. Phil has zero liability unless the date the bank sued him is the date they are considered to have foreclosed. If the date of foreclosure is when this all concludes, this is all moot and I am not sure what MidFirst is thinking. Then even if he is liable, MidFirst can't pursue him for the deficiency until the property is sold and will probably file a lien against his condo instead of suing for garnishment. A lien would trash his credit rating and entitle MidFirst to some of the profits when he sells the place, but frankly that's an empty threat when he's already gone bankrupt and plans to die there.

Fucking pigroach luck again.

 

[PutridElephant]

Here are the two docs...

 

[Iron Hamster]

The Foreclosure Saga is slowly grinding on:

MidFirst has filed a motion for strict foreclosure and entitlement of possession and an appraisal of the property for $59,000 (about $1,000 less than the estimate in his filing). These should go through quickly since Phil is not appearing by choice but the actual sale may take some time-foreclosure sales are on hold for now and there will be some amount of backlog when they resume. are on hold but scheduled to resume in late July, and there may be a backlog to clear out before the court can schedule a sale date for his condo. (got this wrong at first my bad)

Before people get too excited, let's keep some important factors in mind. Phil has zero liability unless the date the bank sued him is the date they are considered to have foreclosed. If the date of foreclosure is when this all concludes, this is all moot and I am not sure what MidFirst is thinking. Then even if he is liable, MidFirst can't pursue him for the deficiency until the property is sold and will probably file a lien against his condo instead of suing for garnishment. A lien would trash his credit rating and entitle MidFirst to some of the profits when he sells the place, but frankly that's an empty threat when he's already gone bankrupt and plans to die there.

Fucking pigroach luck again.

I would lol if they pulled a 'lien in' on Phail.

 

[hector85]

I would lol if they pulled a 'lien in' on Phail.

he'd just show up one morning with a sob story and 0/50,000 on his leaderboard then lol all the way to the bank a week later. lien? what lien?

 

[JTLEXL]

https://youtu.be/W_A41EyaNiU It turns out a "strict foreclosure" just means they take the place. Now, will he get out of what is left after being sold??

 

[actually]

https://youtu.be/W_A41EyaNiU It turns out a "strict foreclosure" just means they take the place. Now, will he get out of what is left after being sold??

That's the $50,000 question.

 

[AnOminous]

I wonder if there's a non-bogus argument for a deficiency judgment being a new debt and not being discharged in bankruptcy. I can't really think of one offhand but the fact they're even bothering going about this seems to indicate they might be thinking of trying something.

 

[GayestFurryTrash]

I wonder if there's a non-bogus argument for a deficiency judgment being a new debt and not being discharged in bankruptcy. I can't really think of one offhand but the fact they're even bothering going about this seems to indicate they might be thinking of trying something.

What if they try it and even if it's bullshit could Phil get stuck with it if he just keeps ignoring it and not showing up to make his case or throw some lawyer at it? I can see Phil being so stupid and lazy that he wouldn't care about a lien being on the WAHkando he plans to die in.

 

[AnOminous]

What if they try it and even if it's bullshit could Phil get stuck with it if he just keeps ignoring it and not showing up to make his case or throw some lawyer at it? I can see Phil being so stupid and lazy that he wouldn't care about a lien being on the WAHkando he plans to die in.

That's what they might hope for. After all if he doesn't show they win a default judgment. And generally the only thing that can challenge across the country in Washington is whether it's a valid judgment. A default judgment is a valid judgment and they won't look any further into it.

 

[GayestFurryTrash]

That's what they might hope for. After all if he doesn't show they win a default judgment. And generally the only thing that can challenge across the country in Washington is whether it's a valid judgment. A default judgment is a valid judgment and they won't look any further into it.

I kinda hope that this saga really does just end with him like three months after the default judgement opening a random letter and realizing he has a lien on his Wahkando now.

"Oh well, nothing I could do! Ack ack ack." -Phil

 

[actually]

That's what they might hope for. After all if he doesn't show they win a default judgment. And generally the only thing that can challenge across the country in Washington is whether it's a valid judgment. A default judgment is a valid judgment and they won't look any further into it.

Is there anything meaningful in the request for a "strict foreclosure" or is that just a term of art?

 

[AnOminous]

Is there anything meaningful in the request for a "strict foreclosure" or is that just a term of art?

I'd never heard the term before now and apparently it only exists in Connecticut and Vermont. It allows the holder of the note to foreclose directly on the property and immediately have full ownership of it, avoiding the foreclosure sale process. It also looks like it allows them to go after a deficiency judgment without even having a sale.

"Since there is no foreclosure sale in a strict foreclosure, the deficiency would be defined as any amount that you owe on the loan that exceeds the fair market value of the property."

That's actually fairly ominous sounding for Phil because that means they don't even have to bother trying to sell it in the current market. So they can seek a deficiency judgment on the property based on its value at the time, then hold onto it if they think it will appreciate in value. Nice racket.

I think I begin to see why they're doing it this way.

 

[actually]

That's actually fairly ominous sounding for Phil because that means they don't even have to bother trying to sell it in the current market. So they can seek a deficiency judgment on the property based on its value at the time, then hold onto it if they think it will appreciate in value. Nice racket.

I think I begin to see why they're doing it this way.

So if I understand you correctly, they'll take the appraised value of $59,000, compare it to the ~$110,000 (I know it's slightly but for easy math), and say "We want that $51,000 Mr. P. P. Burnell"?

If they're going to try and get that deficiency judgement, that is.

 

[UncleTusky]

So if I understand you correctly, they'll take the appraised value of $59,000, compare it to the ~$110,000 (I know it's slightly but for easy math), and say "We want that $51,000 Mr. P. P. Burnell"?

If they're going to try and get that deficiency judgement, that is.

Correct. There's a bit of risk here because Phil can't be pursued for anything extra if it sells for below market value, but this will allow them to resell quickly rather than waiting on the courts. I could be wrong but I believe the bank is the legal owner and therefore liable for taxes + maintenance while foreclosure sale is pending so they probably figured avoiding that was better than risking a low bid at the auction.

Since MidFirst bought the mortgage after it was underwater and have been pursuing this suit even after he decided to surrender the property in bankruptcy it seems very likely they'll sue for the deficiency. So no promises but it just seems like a lot of wasted time and effort if they let it go when the foreclosure trial concludes.

@AnOminous I have a follow up question for you: It's not 100% clear if the mortgage/deficiency is enforceable now that Phil has gotten his bankruptcy discharged. If MidFirst sues to put a lien on his condo and he does not attend the trial, can the judge grant it even if it was supposed to be protected by the discharge?

That's actually fairly ominous sounding for Phil because that means they don't even have to bother trying to sell it in the current market. So they can seek a deficiency judgment on the property based on its value at the time, then hold onto it if they think it will appreciate in value. Nice racket.

Another bit of juicy lore: Suing to remove a lien is difficult and expensive even if nobody shows up to defend its validity. This NPR story from 2013 discusses Sovereign Citizen nutbars who filed phony liens on police and judges; the state Secretary of State being interviewed estimates the cost in the low 4-high 5 figures for each counterclaim.

Between paying the mortgage for 5 years after leaving the Connectikhando and now potentially a lien or lawsuit, I am pretty sure he's wasted more on that place compared to just short selling it in 2014. Sometimes pigroach luck doesn't seem so real after all .

 

[AnOminous]

So if I understand you correctly, they'll take the appraised value of $59,000, compare it to the ~$110,000 (I know it's slightly but for easy math), and say "We want that $51,000 Mr. P. P. Burnell"?

Yes. And they don't have to risk a foreclosure sale for less than the appraised value, where they have to suck up half the loss.

 

[Freshtodeath]

I'd never heard the term before now and apparently it only exists in Connecticut and Vermont. It allows the holder of the note to foreclose directly on the property and immediately have full ownership of it, avoiding the foreclosure sale process. It also looks like it allows them to go after a deficiency judgment without even having a sale.

"Since there is no foreclosure sale in a strict foreclosure, the deficiency would be defined as any amount that you owe on the loan that exceeds the fair market value of the property."

That's actually fairly ominous sounding for Phil because that means they don't even have to bother trying to sell it in the current market. So they can seek a deficiency judgment on the property based on its value at the time, then hold onto it if they think it will appreciate in value. Nice racket.

I think I begin to see why they're doing it this way.

So in summary, DSP should have consulted a lawyer before foreclosing LOL. Sucks to live in CT.