Legal Question in Real Estate Law in California

Lost my home to Non-judicial foreclosure and was evicted. I noticed 12 months later that the substitution of trustee was recorded out of order. IE: "Recontrust Company NA" filed the NOD, then "Recontrust Company" announced / posted the NTS only to have the substitution of trustee recorded after the NTS was recorded but the timeline for the sale never started over. One year after the sale, I noticed the error at the hall of records. What recourse do I have against Recontrust at this stage of the game? Anything against the new owners??


Asked on 3/15/10, 9:37 am

1 Answer from Attorneys

David Gibbs The Gibbs Law Firm, APC

You probably have no recourse. The threshold to upset a judicial foreclosure is extremely high, and has to rise way above mistake or inadvertence. Also, you can check with a title company, but my recollection is that the Substitution of Trustee does not have to be recorded prior to the document in which they are acting as Trustee. There is a provision that allows it to be after-recorded, just so long as it is prior to the foreclosure sale date. Cases on post-foreclosure remedies are not very favorable to homeowners who have lost their homes. Finally, if the buyer at the sale was a third party (i.e., not the bank), then they have virtually zero liability for any mistake made by the bank, unless they were colluding with the bank to defraud you. That's not very likely, and would be very hard to prove.

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Answered on 3/22/10, 9:53 am


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