Servicers and their ilk are hoping this blows over quick, from HW:
Lender Processing Services said varying signature styles from its subsidiary, Docx, resulted from a Docx practice that has been discontinued and only affected two lenders/servicers.
LPS went on the offensive Monday noting in a press statement that it has not executed affidavits with substantive information on behalf of its clients since 2008.
“The varying signature styles (at Docx) resulted from a decision made by the manager of Docx to allow an employee to sign an authorized employee’s name with his or her express written consent. LPS was unaware of this practice. As previously reported, upon learning of it, LPS immediately took remedial actions to correct all assignments of mortgage signed in this manner and provided these corrected assignments of mortgage to the two lender/servicer clients or their attorneys. LPS continues to believe this will not have a material adverse impact on its business or results of operations.”
Docx represents less than 1% of LPS’ annual revenue, the company said.
LPS has not executed affidavits containing substantive borrower information on behalf of its clients since September 2008, the company said Monday. “When LPS performed this service, affidavits were prepared and provided by the lenders’ or servicers’ attorneys. These affidavits were then executed by LPS consistent with industry practice, under corporate resolution,” the Jacksonville, Fla.-based firm said. “LPS had processes in place to ensure the information in the affidavits was validated and that the affidavits were signed properly.”
The “robo-signer” controversy has quickly spread throughout the industry with stories about problems with questionable notarizations to even possible forgeries of names on foreclosure documents.
Last week, Florida Congressman Alan Grayson (D-Fla.), who represents Central Florida, lit into LPS in a video calling it a document mill that can “magically make a vice president of whoever you need and send you backdated, signed documents saying you have the right to foreclose.”
LPS said Monday that it has been mischaracterized.
This is not a polital site, but take anything Alan Grayson says like a grain of salt. Look what some of his constituents think at
http://www.mycongressmanisnuts.com/
LOL
Don’t trust FoxNews to tell the truth.
Wonder why Fannie Mae or GMAC felt that they needed a ‘gag’ order in the Maine case:
http://market-ticker.org/akcs-www?post=168143
Well I hope you didn’t have LPS stock. It’s been destroyed in the past 3 days. I have no idea what’s going to happen but there are some parallels between today and 2007. Remember when it was just New Century or some other subprime mortgage shop.
So some folks involved in business with LPS made a business decision to let other people forge their names on legal documents?? I’m all for getting deals done but who says “oh just let some of your lackeys sign my name on a bunch of documents.” Who in blazes does that? LPS better prove that it was only 1 percent of their business practicing in this way and that they shut them down forcefully.