Has anyone here been involved with property that has been handled by this operation (MERS)?
I'd assume almost everyone has by now. It's a real PITA!
How they get away with this is beyond me. I just go a local title company when I need to find out. He sees nothing wrong with it, but....
> Has anyone here been involved with property that has been handled by this operation (MERS)?
I haven't been in the private sector for years. However, anyone that is has likely worked on such properties and may have not known. There is a bank or mortgage company involved at the initial closing "origination" and transfers through MERS (off the public record) to other companies with MERS "nominating" a servicing company to represent MERS and/or the loan originator. MERS does not own the mortgage, only acts as a representative of the owners, hiring or assigning the collection and foreclosure to other MERS members.
Surveyors need to have a basic understanding of what is happening here. MERS and its members have been deeply involved in foreclosures that have been deemed fraudulent by local and federal courts.
Then we have federal cases that may conflict.
MERS losses: MERS Mortgages Can't Be Foreclosed - Federal Judge Rules
Federal court ruling against MERS foreclosure in Oregon
Loss noted on the DIRT forum 2/14/2011.
From: Randolph, Patrick [RandolphP@umkc.edu]
At least according to the Court here, MERS appears to have brought its "A game" and still suffered a loss. The important ruling is at the end, which, in fact, is dicta in the case, but designed to establish precedent for a number of other cases before the court. The court holds that the appointment of MERS as nominee for the lender and its successors, which appointment is contained in the mortgage instruments, is insufficient to make MERS an agent for purposes of assignment of the mortgage. The court further holds that the operative documents between MERS and the secondary market makers who have joined MERS does not expressly appoint MERS as an agent. It rules further that, at least in this court, to have standing to obtain relief from a stay in bankruptcy, both the mortgage and note must be held by the party seeking relief. A big loss for MERS.
>> The case, In re Ferrel L. Agard, can be found here:
>>
>>
MERS wins, MERS Prevails in Two Federal Appeals Cases
The biggest money loser is the county recording office. These documents should be filed there just like every other property transaction and a fee paid. The money people have saved many millions of dollars by trying to work around the established system. Meanwhile, the local taxpayers have to cough up more tax money to pay to keep the offices funded that traditionally have been funded largely through recording fees.
I'm just getting introduced to it, but it appears to me that they have circumvented the entire land registration system! This is going to be a HUGE problem in the future!
Over the past few years several cases were cited on DIRT forum of MERS assignments being poorly documented in their own system. These resulted in foreclosures by companies that could not prove any interest in the loan. Also cited were instances of multiple assignments of the same mortgage leading to attempted foreclosure by one company while another company was collecting regular payments.
Make sure it has Linda Green's signature..:'( 
DDSM:beer:
To big to fail has turned into TO BIG TO JAIL!
I have to place the mortgage holder on certain plats before the plat is accepted by the county because the mortgage holder needs to sign off.
Researching the documents at the courthouse will not lead you to who holds the mortgage because it has (maybe) been sold to another lender and that sale isn't of record. So to find out you need to research the MERS system. Because I need a certificate of title before the plat will be accepted I just have the title company do that research.
The idea that these transactions don't end up in the courthouse is wrong IMO, but, I've been told that it's just perfectly fine.
"but it appears to me that they have circumvented the entire land registration system! This is going to be a HUGE problem in the future!"
There is a big lawsuit going behind the scenes. The Attorneys-General of about 40 states have joined together suing MERS. At issue is their sidestepping of recording laws and fees. If you securitize a mortgage into a bundle with 100 others and it changes hands with every microsecond trade, how much is that state losing in recording fees? A lot.
Half,
As far as I know Beau Biden was the only AG to file suit. Counties, individually,
and collectively have filed suit, got rolled up into one case and summarily dismissed, because when that black box (MERS) gets opened, there will be that great recession we've
heard of.
Not to mention all the Notary Publics that committed fraud!
