Back in August of 2010, Swarm the Banks questioned why Florida Mediation proposals appeared to have been ignored. Now it appears that that city of Boston is also beating the same foreclosure mediation drum as well. Swarm the Banks applauds the City of Boston for initiating foreclosure mediation legislation.
Swarm the Banks also applauds The Legal Aid Society of Southwest Ohio for filing a lawsuit in the U.S. District Court for the Southern District of Ohio on behalf of John Sinclair. Their contention is that foreclosure mediation was not offered before foreclosure was initiated.
The mediation issue is huge. Suing for the right to negotiate prior to a foreclosure could result in untold numbers of homeowners filing copycat lawsuits who were also not given the chance to negotiate prior to foreclosure.
Lack of mediation rights falls in line with my overall criticism of securitizations. So perhaps my take on the Government using HAMP to swindle homeowners out of their homes may be valid as well.