The Commission on Homeowner Representation Moves Ahead

I’m proud to say that the Crisis Commission on Homeowner Representation, which now consists of more than thirty of the top law firms in California that offer to represent homeowners seeking loan modifications, has emerged from its beginnings, and is purposely and confidently moving forward, regardless the adversity.

The Commission’s readings of the proposed SB 94 have led to an acceptable operating model and a strategy has been developed to turn to the courts should the legislation pass.  SB 94 is a bill that would prohibit lawyers from accepting a retainer up front, thereby making them unsecured creditors of clients struggling financially.  Essentially, it is a bill that will block a homeowner from obtaining legal representation when at risk of losing a home to foreclosure.

The thinking of proponents is, of course, the unknown number of loan modification scams that exist throughout the state and the number of complaints that have been received by the State Bar.  But neither is reason to prevent reputable and legitimate attorneys from operating as they do in every other instance.

Enforcement of current laws will eliminate scammers, as what they’re doing is already illegal.  And just because there are allegations against some number of attorneys, to-date the Bar and AG’s office have taken action against seven, is no reason to pass a law that will deprive homeowners from legal representation.

Regardless, the Commission has determined that there is an acceptable way to work under SB 94, AT LEAST UNTIL THE LAW CAN BE CHALLENGED IN THE COURTS.  And the thirty-some firms will soon be forty-some and then fifty-some.

Soon, it will have supporters in multiple states, as we open membership to Arizona and Nevada firms over the next few months.  And one day… it will be a national organization capable of taking on the banks in the interests of consumers and homeowners, and demanding the attention of the media who will finally see what’s really happening on the residential streets of California.

Like I said, I’m quite proud of the members of the Commission.  They’re a tough group of professionals determined to help protect the rights of homeowners.  They fight the banks and servicers who fail to comply with so many laws and rules of HAMP, it’s impossible to count.  And they’ve had to fight the government as it stumbles around the loan modification world misinformed and misguided.

However, we’re talking about a group of lawyers who have refused to surrender and that’s a good thing to see up close.  It makes you feel proud to believe in my country.  A country of laws.  Forged by lawyers.  Lawyers who won’t back down when they’re right, because to do so would destroy our rights as Americans.

I’m proud.  Seriously proud.  I’m honored to have been involved in your beginnings, and I hope to support your efforts until the day homeowners have a fair chance for a fair outcome when negotiating to keep their homes.

The Crisis Commission on Homeowner Representation

Because Homeowners Need Help

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For more information, Email mandelman@mac.com.