Legal Question in Real Estate Law in New Mexico

I live in a house in New Mexico that has been foreclosed on and gone to a sheriffs sale. When I moved into the house I signed a lease and gave a property manager rent and deposit. It turns out he was scamming me. I had to turn on all the utilities in my name on a duplex with him living next door. It ended badly, but I stayed and he went. The owner showed up with a new lease and demand for a deposit. I signed with him and he started moving new people into the duplex and I paid all the utilities.He asked me to clean the place, do all the landscaping, so I quit paying rent until we negotiated a new lease. I have found out that he's been fighting foreclosure since 2009. He basically lied to me and now is demanding a bunch of money from me.He still hasn't told me that this place has not only gone into foreclosure, but has actually gone to auction. Do I have a case for fraud? I ask these questions because I'm studying to be a paralegal and all the research I've done isn't helping me. Oh, did I mention that there is a $29,000 tax lien on this place? Thank You


Asked on 9/26/12, 7:25 pm

1 Answer from Attorneys
Kevin Connolly Kevin J. Connolly

One important lesson that many lawyers don't get until it is too late. Don't bring fraud claims unless you have something viable to go with them. To prevail in fraud, you have to prove scienter. And it's extra-hard to plead. While NM has relaxed the rules in Securities Fraud cases, the general rule is stay away from fraud unless you are adding to other claims: breach of warranty of title, breach of the covenant of quiet enjoyment, and intentional misrepresentation. Stop paying him anything. Speak to the county sheriff's office about which office handles removals in foreclosure so that you can find out if paperwork for eviction has been filed.

Have you actually checked the Land Records in the County Seat? Since you have been lied to already, I suggest you do so. Ask nicely for help. Be respectful to the clerks and they will help you if they can. Knowing how to check a real estate title is a good skill for a paralegal: I used to be one and the ability to check titles on 15 minutes notice kept me very busy.

You can sue for damages, but mainly you need to find a new place to live.

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Answered on 9/27/12, 5:38 am


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