Legal Questions Regarding Mortgage Shortfalls

[Nightmare4banks]

Hi all!

 

 

The scenario is as follows:

 

Say that a mortgage company sold a repossessed property at a price below the market value.The person who is being chased for the shortfall conterclaims for negligence and the judge is reasonably satisfied that there possibly maybe a claim for negligence so this judge orders that both parties hire the services of a joint expert - in this particular case, a valuer in order to determine the price of the property at the same time the repossessed property was sold.

 

The questions are:

 

1.Can the person who had his/her property repossessed sue the estate agent or surveyor seperately assuming that there is adequate evidence that shows misleading information?

 

2.Or must the litigation be continued against the lender only

and leave would need to be obtained from the court prior to suing?

 

3.Also,what is the position regarding suing the buyer? Whether the property was sold again for a profit or not.At the end of the day it is the buyer who has benefited from buying the property at the below market value price and also considering the fact that this buyer is giving the estate agent and surveyor cash in return for obtaining the property at this below market price.

 

 

 

Many thanks in advance.

Edited August 25, 2008 by Nightmare4banks

[Bona]

You sue the mortgage company firts they employed the other people if they think they are to blame they would have to join them or you would have to ask the court to join them The buyer has done nothing wrong unless it can be proved it was a fraud then I think it is a criminal offence

 

When the estate agent sold our house he and the buyer contrived to comit a tax fraud we are reporting them to the approriate authorities

[Nightmare4banks]

Hi all!

 

Bona,many thanks for your post.

 

Please note:

 

1.I am full aware that you would have to sue the lender but again is it not possible to sue the estate agent because the agent's fees have been deducted from the sale proceeds amount? which is no different to selling a non-repossessed property i.e. the selling agents fees are paid once the property is sold.

 

2.Also,on a seperate note,I do know for a fact that the Estate Agents Ombudsman would take on a complaint against a member company provided that the person who complains can show that whatever act(s) that have been committed by the estate agent have had an impact on him/her/them regardless whether the person who complains has instructed the estate agent directly or not.

 

3.Personally,I think they are all committing fraud but the worst fraud is when a company that should be acting in your interests i.e. an Estate Agent does the total opposite.Plus with this type of fraud it is much easier to sue/get redress becaus the breach of trust/confidence/Data Protection Act etc.

 

Anyway,this is just my view.

 

 

Bona,if you do not mind me asking you - How did you manage to work out that the buyer and the estate agent were committing tax fraud?

 

Anyway,many thanks for your interesting post.