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New approach to foreclosure prevention successful

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Courts around the state have experienced more success with a new approach to settlement conferences utilizing facilitators – who interact directly with borrowers and lenders – than past attempts to find alternatives to foreclosures.

The Mortgage Foreclosure Trial Court Assistance Project was first started in Allen County in February. Marion, St. Joseph, and Monroe counties followed suit with similar programs in April. Lake County started its program in July, and the latest to start a program, Madison County, began using a facilitator in August. Two more counties – Clark and Vanderburgh – are also set to start using facilitators in the next two months.

All of the participating counties use court-appointed facilitators who are paid through a portion of the $50 filing fee required for all foreclosure cases in Indiana starting July 1, 2009.

During the initial call, the facilitator and borrower discuss what the borrower needs to bring to a settlement conference, what they might be able to achieve in terms of a workout – whether it’s a short sale, a loan modification to stay in the home, or another option. Ultimately the facilitator helps schedule the settlement conference between the borrower and lender.

Ayers-Cynthia-mug Ayers

While it’s too early to tell if the borrowers who have had initial success will have long-term success due to the length of the foreclosure process, which can take up to six months, the numbers are promising, said Megan Graves, a spokeswoman for the Indiana Housing and Community Development Authority.

Between March 1 and Sept. 1 in Allen, Marion, St. Joseph, and Monroe counties, of the 447 telephone conferences that were scheduled, 266 conferences were held and the remaining 181 borrowers failed to appear. During the 266 telephone conferences that took place, 222 settlement conferences were requested, of which 156 were held; of those, 94 conferences resulted in workouts, 34 resulted in no workout and the lender proceeded with foreclosure, and the remaining conferences were being followed up by the facilitators, according to statistics provided by Elizabeth Daulton, project manager of the Mortgage Foreclosure Trial Court Assistance Project for the Indiana Supreme Court, Division of State Court Administration.

The majority of the phone and settlement conferences took place in Marion and Allen counties because they started earlier than the other counties.

In Allen County, of the 210 telephone conferences scheduled, 110 were held. Of those, 87 settlement conferences were requested, and 71 were held. Of those, 38 resulted in a workout and 15 resulted in foreclosure.

In Marion County, 174 telephone conferences had been scheduled, and 91 took place. Of those, 73 requested a settlement conference, and 62 took place with 44 resulting in a workout and 15 resulting in foreclosure.

In Monroe County, 49 telephone conferences had been scheduled, and 14 were held. Of those, 11 requested settlement conferences, and eight took place. Four resulted in a workout, and one resulted in foreclosure.

In St. Joseph County, 51 telephone conferences were held and all requested settlement conferences. Since then, 15 have taken place, with eight resulting in a workout and three in foreclosure.

“It has been estimated that each averted foreclosure saves local communities and stakeholders at least $40,000,” according to a fact sheet Daulton provided to Indiana Lawyer. “... from March to September 2010, the MFTCAP has saved Indiana residents more than $3.75 million.”

Since the two facilitators started working in Marion County, things have been “remarkably better,” said Marion Superior Judge Cynthia Ayers, who oversees one of the courts in her county to have the program. She has also been involved with foreclosure prevention efforts through the Mortgage Foreclosure Task Force of the Indianapolis Bar Association.

“Now there is someone to help collect the appropriate documents from the borrower to have when the conference takes place,” she said. “… When the borrowers come to the settlement conference it’s much more likely they’ll be successful.”

She said there were still some issues with document exchange where a borrower would send their documents to the bank that holds the mortgage, but then the servicer – the lawyer who comes to court – would not receive them in time for the conference.

To get around that issue, she said, the court has discussed having an online document repository where the court could save documents from the borrowers, which the court could then e-mail to the servicer ahead of the settlement conference.

Judge Ayers has also met with state legislators to discuss her concerns, including a possible change to the statute that would change the program to an opt-out program.

She also suggested to legislators that there would be a stay in the foreclosure proceedings until all negotiations are concluded.

“Now, if there’s no agreement in seven days, the lender can move ahead with a foreclosure. We want there to be a stay because miscommunication is a huge problem,” she said.

Another effort to work with borrowers was a Sept. 1 event sponsored by the Indiana Foreclosure Prevention Network that took place at National Guard armories in Indianapolis, Hammond, South Bend, Fort Wayne, Columbus, Evansville, Terre Haute, and Richmond.

Participants at each location sat through a 30-minute orientation session, met with foreclosure prevention counselors to discuss what they would need to provide to their lenders, and what options they might have, Graves said.

The counselors helped borrowers compile packets for their lenders, including copies. Following the event, counselors have been going through about 300 submitted packets from around the state, and they have followed up with participants for missing information. Completed packets will then be given to lenders at an event in Indianapolis Sept. 16 that will include 20 lenders.

Borrowers who didn’t attend the Sept. 1 event can still participate Sept. 16, but Graves said organizers wanted to have a statewide event so those who couldn’t make it to Indianapolis Sept. 16 could still get their information in front of their lenders.

At the Sept. 1 event, borrowers who had legal questions could speak with attorney volunteers. There will also be attorney volunteers available at the Sept. 16 event.

Christopher Purnell, an attorney at Neighborhood Christian Legal Clinic in Indianapolis who works with that agency’s foreclosure prevention counselors and another NCLC attorney on foreclosure issues, hosted a one-hour webinar training on foreclosure for the volunteer attorneys. He also volunteered Sept. 1, and planned to attend the Sept. 16 event.

While foreclosure prevention counselors were able to answer most of the questions participants had about loss mitigation, he said, some did ask volunteer attorneys about how bankruptcy might affect a workout. Others asked about how benefits from Social Security, disability, Medicare, or unemployment might affect their chances for a workout, and some asked how to appeal if they had been denied those benefits.

Graves said the Sept. 1 statewide event to prepare borrowers for the Sept. 16 event is the first of its kind in the country. She added they hoped to have closer to 1,000 households participate, but organizers were happy with 300 for the first event like this.

Daulton added there has been a great amount of interest from attorneys to volunteer for events like these, and ICLEF will have a training Oct. 28 as an update to the trainings that took place last year.

Purnell credited the volunteer attorneys for their efforts, and said borrowers seemed positive about the experience Sept. 1.

“Overall, the feeling was positive,” he said. “It’s like driving into a bad neighborhood. Even though they know it’s bad, at least they know where they are heading.”•

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  1. This guy sounds like the classic molester/manipulator.

  2. Louis D. Brandeis was born in 1856. At 9 years of age it would have been 1865. The Brandeis family did not own slaves. My source Louis D. Brandeis: A Life, by Melvin L. Urofsky.

  3. My name is Matthew Lucas Major, I recently went through a jury trial in Bloomington , In. It was the week of Feb 19-21. Although I have been incarcerated since August 5, 2014. The reason I 'am writing to you sir is on the 21 of February the jury came in with a very excessive and wrongful verdict of guilty on 6 child molesting charges against my daughter who was 9 at the time I was accused. I also had 2 other Felonies one of Intimidation and 1 of Sexual Vicarious Gratification. Judge Marc Kellam on the second day of trial gave me a not guilty on those 2 felonies. The jury was sent out during that time and when brought back Judge Kellam told them to not concern themselves with the 2 Felonies that he ruled on them. They were told to not let evidence they had already heard influence there verdicts. I never in my life touched any child sexually and definitely not with my own daughter. When I was arrested Detective Shawn Karr told me I would be convicted guilty just on my daughters word even without evidence. That's just what happened. my public defender did me so wrong he never once proved to the court and jury all the lies the child told, and Jeremy Noel my public defender could of proven the lies easily. The stories in Serenity's depositions and Forensic interview changed and were not consistent as Prosecutor Darcie Fawcett claimed they were. Yet my attorney never mentioned that. The facts that the child accused me of full penetration in her vagina and rectum was proven lies. Doctor Roberta Hibbard of Riley hospital in Indianapolis confirmed Serenity's hymen intact, no scars, no tearing, no signs of rape to her. Yet my attorney didn't use that knowledge . the DNA was all in my favor. I tell you I will spend my entire life in prison going through rape and beatings etc. even Judge Kellam abused his authority by telling the jurors to listen and believe what the prosecutors side in evidence like my daughters testimony. In one interview with the detectives my daughter got flustered with her mom and said on camera " I'm saying what you told me to mom"!! Yet Mr. Noel said nor did anything to even resemble a defense attorney. Judge Kellam allowed edited version of a taped conversation between the child and her mother. Also Judge Kellam allowed the Prosecutor too bring in to my case a knife found under my seat, the knife wasn't part of my case. She was allowed by my attorney and the judge to put a huge picture of it on the screen and huge picture of my naked privates in a full courtroom and open court. Ms. Fawcett says to jury see how easy Mr. Major could reach the knife and cut his Childs throat. Even though I had no weapons charge against these cases. This gave the jurors prejudice thought against me thinking I threatened her with that knife and how scared she would of been knowing i could get it and kill her. On my sentencing court March 19, 2014 my public defender told Judge Kellam he wish to resign from being my attorney and wished for the court to give me outside council to file a error to trial or appeal. We were denied. Now after openly knowing my public defender don't want to represent me he has to. Well when as parents we make our kids clean a room when they really don't wish to, well the child will but don't mean she will do a good job, that's where I'm at with Mr. Noel. please dont ignore mine and my families pleas for your help . we have all the legal proof you could need to prove Im innocent. Please dont make my spend years in prison innocent when you can fix this wrong. Im not saying Im a perfect man or that I was a perfect dad to my 2 children none of us are. Ive made some bad choices in life and I paid for them. But I didnt ever touch or rape my daughter . I love my children with all my heart. And now through needing attention and a ex-wife who told my granny several times she wish she could put me in prison to get me out of their lives. Well my ex finally accomplished her goal. Sad part is she is destroying our daughter with all this horrific lies and things she taught my daughter to say. My daughter will need therapist to ever hope for a chance of a normal life after what she had done to her by her mom and their side of the family. My daughter told everyone even on stand she had a dream months before i supposedly molested her in this dream I was molesting her and when I finally did it matched her dream perfectly. She admitted to watching movies about little girls being molested and watching U-Tube videos about child molesting all before it happened supposedly to her. Doesn't that sound very unusual that a non molested 9 yr old would need to know so much about being molested? The only reason I could think a 9 year old would need so much information is to be prepared to know what to say and be able to say how it felt what took place etc.. So when questioned by authorities she would be prepared. And there again sir if a parent is pre grooming a 9 year old child she would need intimate details . Like telling her daughter about a couple moles on my private area. The child admitted to sneaking my cell and looking many many times at nudes of me and my girlfriend even one where my penis was entering my girlfriends vagina. In that picture my moles are obvious. Yet when prosecutor showed everyone in court my privates and pictures of the moles she said the only way the child would know about them is if she saw them for herself. My attorney once again said nothing about the pictures my child saw. Or could a ex-wife be able to describe my moles to help her case against getting rid of me? I beg you help me. This is my very existence. Ive lost everything , a good job, a wonderful girlfriend, my freedom, but worse thing Ive lost is my children. They were my reason to get up every morning and strive to be better. The wonderful bond I had with my Serenity is gone. After this I would be afraid to even hug her for fear of what next can they do to me. I'm not afraid to tell you I sit here in this cell and try to hold back my tears. Everyone knows you cant show weakness in prison. My life has already been threatened here at Wabash Valley Prison. After only 3 days of arrival. I was tricked into signing a waiver now Im in G Block General Population with 6 child molesting felony charges. Mrs. Hart as a 18 year old I almost died hooked to machines in hospital almost 1 month and now I know that fear was childish compared to this . I cant help but put emotions in this, after all Mrs. Hart Im human and God help Me I never been more afraid in my life. I didnt hurt my little girl I didnt touch her sexually. As much as it shreds me and fills my mind what Im facing I worry more about my mom and granny because of their great love for me mam they are suffering so deeply. I aint done this things but my loved ones suffering right along beside me and If you take my case you will be in essence freeing them also. I sent momma this letter and asked her to email it to you. I'm scared I have been done so unjustly by our legal system and I need you to fix this and give me freedom. I ask you please don't just ignore my pleas. Here in America its nice to be able to trust our legal justice system, well they destroyed my and my loved ones trust in our justice system . And I'm trusting in You !!! My entire family is suffering this nightmare with me. My 77 year old granny had a stroke and isn't doing so well. My single mother that raised 3 kids alone is dying from Lupus and since my arrest has stayed so sick and weary. Our lives torn to peices by a government I was taught I could trust in. my momma has tried so many innocent project and wrongfully accused and cant get anywhere. please please help me. A quote from the late Nelson Mandela: To be free is not merely to cast off ones chains, But to live in a way that respects and enhances The Freedom Of Others. I have Faith in you and your clinic to cast my chains off and give me freedom I do deserve as a wrongfully accused Man, son, brother, father, friend. Matthew Major DOC# 246179 Cause # : 53c02-1308-FA-000779 God Bless you. Please contact me with your decision so I know you made a life changing decision for me , just please at least write me so I know you care enough about your citizens to respond to cries for your help. You can speak openly with my mother Charlotte Spain (828) 476-0406: 71 Lakeview Dr. Canton, NC 28716 Thank You Matthew Major I know yall get thousands of request and inmates claiming innocence, and each person who are innocent deserve to have organizations like yours willing to fight for them and I give yall so much Thanks and I thank God everyday yall are out there caring enough to help free the innocents. Since discovering firsthand how easily lives and families can be destroyed by Poor Defense attorneys not doing their job . And Prosecutors allowed to do as they please in court

  4. Frankly, it is tragic that you are even considering going to an expensive, unaccredited "law school." It is extremely difficult to get a job with a degree from a real school. If you are going to make the investment of time, money, and tears into law school, it should not be to a place that won't actually enable you to practice law when you graduate.

  5. As a lawyer who grew up in Fort Wayne (but went to a real law school), it is not that hard to find a mentor in the legal community without your school's assistance. One does not need to pay tens of thousands of dollars to go to an unaccredited legal diploma mill to get a mentor. Having a mentor means precisely nothing if you cannot get a job upon graduation, and considering that the legal job market is utterly terrible, these students from Indiana Tech are going to be adrift after graduation.

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