The New Jersey Supreme Court recently decided the much anticipated mortgage-foreclosure case of U.S. Bank National Association v. Guillaume, __ N.J. __ (2012). On its face, the question presented in Guillaume was relatively benign whether the defendant borrowers Maryse and Emilio Guillaume satisfied the requirements for vacating a foreclosure judgment entered against them by default, after failing to file an answer to the foreclosure complaint. In light of the unprecedented residential lending crisis affecting New Jersey and most of the United States, however, the decision of the state’s highest court in Guillaume was believed by many to have more far-reaching implications as to the procedures governing residential foreclosures in New Jersey and the consequences of a lender’s failure to strictly comply with those procedures.
Like many borrowers looking to take advantage of the equity in their home during the height of the real estate market, the Guillaumes opted to refinance their home in East Orange, in September 2006, with a $210,000 loan from Credit Suisse, the originating lender. The Guillaumes used a portion of the loan proceeds to satisfy the prior mortgage on their home and took the roughly $61,000 remainder of the loan in cash. On Oct. 1, 2006, Credit Suisse assigned the mortgage to U.S. Bank National Association and, in November 2006, the Guillaumes were informed that America’s Servicing Company (ASC) would be the loan servicer for their mortgage.
This content has been archived. It is available through our partners, LexisNexis® and Bloomberg Law.
To view this content, please continue to their sites.
Not a Lexis Subscriber?
Subscribe Now
Not a Bloomberg Law Subscriber?
Subscribe Now
LexisNexis® and Bloomberg Law are third party online distributors of the broad collection of current and archived versions of ALM's legal news publications. LexisNexis® and Bloomberg Law customers are able to access and use ALM's content, including content from the National Law Journal, The American Lawyer, Legaltech News, The New York Law Journal, and Corporate Counsel, as well as other sources of legal information.
For questions call 1-877-256-2472 or contact us at [email protected]
