Legal Question in Real Estate Law in Wisconsin

Your friend is badly in need of consultation with a bankruptcy lawyer. He is facing both loss of his properties and personal liability for any excess money which will still be left owing after the foreclosure (known as a "deficiency judgment). At worst, he could usually be rid of the deficiency judgment in chapter 7; at least walking away without the worry of his wages being garnisheed in the future in addition to losing the properties. At best, however, he may be able to reorganize his business enterprise and save it, if it is worth saving, in a chapter 11 or reinstate mortgages in chapter 13 (although that chapter has a $750K limit on secured debt). There, he may also be able to control the sale of the properties himself rather than face a foreclosure sale where the bank will likely be the only bidder. Bankruptcy courts have the ability to order sale of real estate free and clear of all liens, with liens reverting in the sale proceeds, so if he can put together a new business entity to purchase the property from the old one, he might be able to salvage something. In terms of the bank's ability to sue in more than one county, I know of no such restriction. However, your friend has the ability to contest any of the foreclosures in court if the bank were doing anything illegal. Unless he does that, the judge will assume that everything is legal, because he is not objecting, and give the bank what it wants by default. Unless lawsuits are contested, these true in nearly all cases; very little serious review of uncontested matters takes place in any sort of case which is not contested. One's rights are only as good as one's determination and ability to fight for them in court; if you don't fight for them, you will lose them. My comments here are not legal advice, nor do they create an attorney client relationship between us; rather they are only for public educational purposes on this website. You are, however, always welcome to contact my office in Racine to discuss any additional questions which you may have or to set up a free consultation.