Virginia on invalidating foreclosure sale

A., alleging that the foreclosure sale was invalid under the Servicemembers Civil Relief Act (“SCRA”), which requires a lender to obtain a court order before foreclosing on or selling property owned by a current or recent servicemember where the mortgage obligation “originated before the period of the servicemember's military service.” 50 U. But, a month later, before the foreclosure sale, Sibert enlisted in the Army. As such, the 1942 law protected mortgage obligations “owned by a person in military service at the commencement of the period of the military service and still so owned by him which obligations originated prior to such person's period of military service.” H. Additional military service does not retroactively erase the servicemember's and lender's knowledge of the risks attending an obligation incurred during service or alter the substance of the risks for which the SCRA provides protection.

During those proceedings, however, and before any foreclosure sale was held, Sibert enlisted in the U. Sibert commenced this action against Wells Fargo Bank, N. In March 2009, Wells Fargo notified Sibert that it had begun steps to foreclose on his house. But allowing a subsequent period of service to trigger statutory protection for an obligation incurred during military service defies the distinction between protected and unprotected obligations that is embodied in the SCRA.

Because foreclosure of the loan on your property was imminent, you were arranging financing through the Rural Development program of the U. Department of Agriculture, and so informed your bank.

A relative of yours would be either the primary or secondary obligor on the proposed loan, so you had a deed prepared and recorded that conveyed your interest in the property to your relative.

are found in West Virginia Code, Chapter 38, Article 1 (Vendor and Trust Deed Liens) inclusive of §38-1 through §38-16-506. Public notice provisions are set forth in other areas of the West Virginia Code, Chapter 59 (References Class II, legal advertisements).

In Virginia, a lender holding a defaulted loan secured by a deed of trust has two primary means to enforce its remedies under that deed of trust: foreclosure by a trustee’s sale and conveyance by a deed in lieu of foreclosure. The most common procedure for foreclosure is the sale of the property by a trustee, a non-judicial action.

Upon a finding by the court, on real estate with an assessed value of 0,000 or less in any locality, that (i) any taxes on such real estate are delinquent on December 31 following the first anniversary of the date on which such taxes have become due or (ii) there is a lien on such real estate pursuant to § 15.2-900, 15.2-906, 15.2-907, 15.2-907.1, 15.2-908.1, or 36-49.1:1, which lien remains unpaid on December 31 following the first anniversary of the date on which such lien was recorded, the property shall be deemed subject to sale by public auction pursuant to proper notice under this subsection.

The officer charged with the duty of collecting taxes for the locality wherein the real property lies shall, at least 30 days prior to instituting any judicial proceeding pursuant to this section, send a notice to (i) the last known address of the property owner as such owner and address appear in the records of the treasurer, (ii) the property address if the property address is different from the owner's address and if the real estate is listed with the post office by a numbered and named street address and (iii) the last known address of any trustee under any deed of trust, mortgagee under any mortgage and any other lien creditor, if such trustee, mortgagee or lien creditor is not otherwise made a party defendant under § 58.1-3967, advising such property owner, trustee, mortgagee or other lien creditor of the delinquency and the officer's intention to take action.

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Upon learning of this deed, and realizing that your deed did not accomplish its objective of conveying the property to your relative, you requested a refund of the state and local recordation taxes that you paid upon recording the deed.of the Code of Virginia to sell the following parcels for payment of delinquent taxes:(description of properties) B. The owner of any property listed may redeem it at any time before the date of the sale by paying all accumulated taxes, penalties, reasonable attorneys' fees, interest and costs thereon, including the pro rata cost of publication hereunder. Foreclosure by a trustee’s sale can usually be completed within thirty (30) to forty-five (45) days after the expiration of any cure period provided by the loan documents for the default giving rise to the foreclosure, if the lender acts promptly. A trustee is a fiduciary for both the debtor and the creditor.The trustee must not place himself in a position where the trustee’s personal interests conflict with the interests of the parties to whom he owes a fiduciary duty.Mc Kenzie, KARSMAN, MCKENZIE & HART, Savannah, Georgia, for Appellant. The bankruptcy court granted Sibert and his wife a discharge on May 9, 2011. The trustee filed a motion to substitute herself as the real party-in-interest, and the district court granted the motion and lifted the stay, allowing this case to proceed. It replaced that requirement — one onerous to recent draftees and enlistees — with the requirement that the “obligations originated prior to such person's period of military service.” See Pub. We conclude that, because Sibert's mortgage obligation originated when he was in the Navy, it was not a protected obligation under § 3953(a), and his later enlistment in the Army did not change that status to afford protection retroactively.


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