Update (July 27, 2010): Oral argument is scheduled for October 7, 2010.
Good news for those eagerly following the controversial U.S. Bank v. Ibanez case, which invalidated thousands of foreclosures across the state. On March 22, the Massachusetts Supreme Judicial Court (the highest appellate court in the state) agreed to take the case on direct appellate review (as I originally predicted). This sets the stage for one of the most important real estate decisions in recent years.
The SJC’s acceptance of the case now expedites what will be the final word in this case, good news for everyone affected by this ruling. A final decision, however, is still many months away. Both sides still have to file briefs, and the case will be scheduled for oral argument probably within 4-5 months, with a decision coming several months later. (Appeals take time).
Click here and here for my prior posts on this case. Here is Globe reporter Jenifer McKim’s story on the development.
Update (3/24/10): SJC Accepts Ibanez Case
For those of you following the controversial U.S. Bank v. Ibanez case, which invalidated potentially thousands of foreclosures across the state, both sides last week asked the Massachusetts Supreme Judicial Court to take the case — as I originally predicted. The SJC’s acceptance of the case would cut months to years off the normal appellate process. This would be great news for everyone eagerly awaiting a final decision.
Click here for Ibanez’s petition to the SJC. Click here for my post on the first ruling and here for my post on the second ruling in the Ibanez case.
The SJC should decide whether to take the case within 30 days or so, and I predict they will take it on. However, I still think the SJC will ultimately affirm Judge Long’s ruling against foreclosing lenders, a bad decision from a title and conveyancing standpoint in my view.
Meanwhile, in the aftermath of Ibanez, some lenders are re-doing foreclosures and some are just waiting it out. Most title insurance companies are unwilling to touch an Ibanez afflicted property with a ten foot pole.
I recently assisted a buyer of a foreclosed property who was initially rejected by two title insurers. We fortunately convinced one title company to insure over an Ibanez issue, so the client could close. But I have another client who is stuck, and we’re trying to track down the original owner of the property to obtain a deed. It’s a tough situation all around.
