Legal Question in Real Estate Law in California

You really need to consult with an attorney in your area. It is really difficult to fully understand your post, but it sounds as if you have been renting a home from someone who does not own the property. That is referred to as rent skimming. Yes, a lender who has an "Assignment of Rents" in their Deed of Trust (loan security document) CAN collect the rents from you, instead of the property owner collecting the rents. But, again, from the facts you have provided it is impossible to advise you how to proceed. You do, however, need to act very quickly.

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There is a legal remedy for this kind of situation - where someone is being subjected to collection efforts for the same debt by two or more parties claiming to be the proper payee. The remedy is a special kind of lawsuit called a "Complaint in Interpleader."

In an interpleader, the tenant or other debtor sues all the supposed creditor-claimants, making them defendants. The debtor-plaintiff then deposits the money in question, i.e., the rent, with the clerk of the court. Then, the debtor-plaintiff makes a motion to be excused from further participation in the lawsuit. In effect, the debtor is telling the supposed creditors, "I know I have to pay one of you, but I don't know which one, so I'm asking you guys to duke it out in court; I'll sit on the sidelines and be governed by the judge's decision."

Your legal fees and court costs can be reimbursed to you at the expense of the prevailing defendant out of the money you deposit with the court clerk.

The amount of money in question here may or may not be sufficient to warrant hiring a lawyer to do an interpleader.

I disagree with Mr. Gibbs, in that there is a preliminary step before the lender can just collect the rents. The lender does not have the right to collect the rents and profits unless the borrower under a deed of trust has defaulted and the lender has asked the court to appoint, and the court has appointed, a receiver. (Assuming that the deed of trust included an assignment of rents.) I suggest finding out who is on record title, and whether the lender has foreclosed, or filed an action to foreclose or appoint a receiver.