Judges Berate Bank Lawyers in Foreclosures

With judges looking ever more critically at home foreclosures, they are reaching beyond bankers to heap some of their most scorching criticism on the lawyers, the New York Times reported today. In numerous opinions, judges have accused lawyers of processing shoddy or even fabricated paperwork in foreclosure actions when representing the banks. New York judges are also trying to take the lead in fixing the mortgage mess by leaning on the lawyers. More broadly, the courts in New York state, along with Florida, have begun requiring that lawyers in foreclosure cases vouch for the accuracy of the documents they present, which prompted a protest from the New York bar. The requirement, which is being considered by courts in other states, could open lawyers to disciplinary actions that could harm or even end careers. Stephen Gillers, an expert in legal ethics at New York University, agreed that the involvement of lawyers in questionable transactions could damage the overall reputation of the legal profession, "which does not fare well in public opinion" throughout history. "When the consequence of a lawyer plying his trade is the loss of someone's home, and it turns out there are documents being given to the courts that have no basis in reality, the profession gets a very big black eye," Gillers said.


http://www.nytimes.com/2011/01/11/business/11lawyers.html?_r=2&ref=business