42 CASES WITH SUDDENLY APPEARING ENDORSEMENTS
“The Court is concerned, as a result, that OneWest does not hold the Endorsed Note. But, perhaps more significantly, the Court is concerned that OneWest has determined that business expediency and cost containment are more important than complete candor with the courts.”
– In Re Jessie M. Arizmendi (At the time of this California foreclosure decision in 2011, the homeowner/debtor, Ms. Arizmendi, was a frail 86-year-old with hearing loss and difficulty walking.)
This article discusses 42 cases with suddenly appearing (often called “ta-da”) endorsements. In each case, a bank-trustee tried to foreclose on behalf of a mortgage-backed trust. Most of these cases began with the filing of an unendorsed note that was described in the bank’s pleadings as a true and correct copy of the original note. Several of the Florida cases began with a Lost Note claim, alleging that the bank at one point had the note in its custody and control, but somehow lost the note. Later in the litigation, these lost notes were invariably and inexplicably found.
In a few cases, the judges expressed their disbelief and frustration with the documents presented by the banks and the claims made. These cases are the exception, however, not the norm. Very few cases address the issue of whether the endorsements or found notes were illegally fabricated or forged.