Legal Question in Real Estate Law in California

Re: foreclosure rules california

First, there are three parties to a deed of trust. They may be referred to by different names. The first party is the borrower, also referred to as the trustor, mortgagor, debtor, obligor, etc. The second party is the lender, but after the loan is made, the lender may often be called the beneficiary, the holder, creditor, mortgagee, etc.

Are you sure it was transferred to a different beneficiary? It is commonplace to have a substitution of trustee just before a foreclosure sale, to put the process in the hands of experts. However, it is also possible that the note was sold and that you now have a new beneficiary.

I don't think the identity of the beneficiary is of particular legal significance, and therefore a change of beneficiary by sale of the note does not affect the timetable for foreclosure or render the Notice of Default defective. The Notice of Default need not name anyone other than the original trustor or mortgagor. Rogers v. Evans (1934) 137 Cal.App. 538.

On the other hand, a change of trustee within the 20-day period between Notice of Sale and the actual sale will require giving a new Notice of Sale and restart the 20-day (minimum) notice period, per Civil Code section 2934a(e).

Re: foreclosure rules california

The question is not the deed of trust, but rather the note. Of the entity foreclosing did not own and possess the original note at the time of the NOD, it must begin again and you should contest the foreclosure process. You will have to file a lawsuit.