Legal Question in Real Estate Law in California

Are there sanctions for filing a notice of sale without a valid notice of default? The NOD (in August) declared that SB1137 did not apply, pursuant to California Civil Code 2923.5 (b). In fact, they have violated SB1137 which DOES apply because none of the exceptions are applicable. Trustee says they have scheduled the sale, but notice of sale has not yet been recorded. What should I do if they do record it?


Asked on 1/28/11, 2:48 pm

1 Answer from Attorneys

David Gibbs The Gibbs Law Firm, APC

Your only option is to file a lawsuit in State or Federal Court, obtain an injunction stopping the sale, and go litigate the issue. There are no specific remedies outlined in the law for violation, and some courts have even asked the question whether or not the homeowner has standing to file suit for a violation of the law, but at a bare minimum, if the facts as you indicate are true, I would imagine a Court would be willing to stop the sale and force them to start over again. There is no other means of stopping them from going ahead and foreclosing the property even if they did violate the law. It happens all day, every day.

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Answered on 1/28/11, 2:54 pm


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