First Circuit To Seek SJC Help On Bankruptcy Trustee ‘Loophole’ To Avoid Mortgages
In connection with the subprime mortgage crisis, it was inescapable that borrowers would mount a litany of legal challenges to not only halt the foreclosures of their homes, but to also attack the validity of the underlying mortgages. If all else failed, borrowers could file for bankruptcy protection, which will automatically “stay” the foreclosure sale, and avail themselves of the bankruptcy court’s debtor-friendly protections.
