Consumer Litigation Law Center Wins Judgment for Deceived Homeowner to Quiet Title Against False Title Claim

By Jeffrey Ogorek, Attorney - July 24, 2018

During the foreclosure crisis from about 2008 through 2016, many homeowners were approached by “scam artists” who promised guaranteed techniques to stop foreclosure on the owner’s home. Homeowners who fell victim to these scams would then find out years later that these so-called foreclosure prevention companies transferred title to the homeowners’ property to completely unknown persons and entities like trusts.

As we moved out of the Great Recession, property values and interest rates began to rise and homeowners who were once in foreclosure were now secure in their home, but wanted to re-finance quickly before a sharp rise in interest rates. However, homeowners found that they could not re-finance because the foreclosure prevention scams from years ago created a cloud on title that prevented the homeowner from refinancing their mortgage later. With unknown, recorded documents on title, these homeowners cannot re-finance or obtain a title insurance policy without first restoring title into their own name.

The process of “cleaning up” title to reflect only those true and correct interests in the title to property is accomplished through a lawsuit known as a “quiet title action”.

Consumer Litigation Law Center (“CLLC”) recently represented homeowners who were victimized by a company that promised to save the home by transferring title to a living trust with a number of unknown persons as trustees of this trust. While trying to refinance, the homeowners quickly learned that no lender, title insurance company, or escrow company would work with them until the homeowner obtained an order quieting title from a Court. Left with no other option than a lawsuit, the homeowners contacted CLLC to clear up these “clouds” on title.

CLLC ultimately took the case to trial and prevailed on behalf of the homeowners to restore title and ownership to the property back to the homeowners’ names so that they could refinance the property into a favorable interest rate.

If you are aware of or suspect that there are false claims or “clouds” on the title to your real property preventing you from re-financing, selling, obtaining a second mortgage or home equity line of credit, or taking other action in regard to your property, CLLC can assist you with a quiet title lawsuit to restore title to your name.