ROL_2014-12-12_16k_Hr1-2.timecode
[00:00.000 --> 00:08.040] This is the Liberty Beat, your daily source for Liberty News and activist updates online
[00:08.040 --> 00:09.880] at thelibertybeat.com.
[00:09.880 --> 00:14.440] I'm Brian Hagan with your Liberty Beat for Friday, December 12, 2014.
[00:14.440 --> 00:21.160] Gold opened today at $1,222 down $4.00, silver opened at $17.05 down $3.00 and Bitcoin is
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[00:48.240 --> 00:52.960] In the news, after years of ignoring the sovereignty of indigenous Americans, the federal government
[00:52.960 --> 00:57.880] has now stated they will give tribes permission to grow and sell cannabis on their land.
[00:57.880 --> 01:01.760] State Department of Justice announced the move Thursday, stating that the new rule would
[01:01.760 --> 01:06.640] be implemented on a case-by-case basis.
[01:06.640 --> 01:11.040] A new report from the World Wide Web Foundation found that surveillance of the Internet and
[01:11.040 --> 01:13.360] censorship are both increasing.
[01:13.360 --> 01:17.440] Tim Berners-Lee, the inventor of the World Wide Web, is head of the foundation.
[01:17.440 --> 01:20.360] He is called for the Internet to be made a basic human right.
[01:20.360 --> 01:25.200] The research showed that 83% of the 86 countries listed in the index had privacy safeguards
[01:25.200 --> 01:27.000] that were weak to non-existent.
[01:27.000 --> 01:30.960] They also found that web and social media had a large effect on citizen action, and
[01:30.960 --> 01:35.120] only a quarter of nations have clear rules against political discrimination in Internet
[01:35.120 --> 01:38.960] traffic management, and only a quarter of nations have clear rules against political
[01:38.960 --> 01:44.760] discrimination in Internet traffic management.
[01:44.760 --> 01:48.600] Several advocacy groups from around the globe have joined together to demand the release
[01:48.600 --> 01:51.600] of the tax of the controversial Trans-Pacific Partnership.
[01:51.600 --> 01:56.280] Today, a representative with Open Media International will present a letter from the coalition to
[01:56.280 --> 02:01.120] TPP delegates at the TPP negotiations in Washington, D.C.
[02:01.120 --> 02:05.200] The letter calls for open debate and transparency for the trade deal, which critics say will
[02:05.200 --> 02:09.440] threaten national sovereignty and increase restrictive intellectual property laws.
[02:09.440 --> 02:13.160] Previous versions of the secret text have been leaked by WikiLeaks.
[02:13.160 --> 02:17.600] The coalition includes the Electronic Frontier Foundation, Fight for the Future, Food and
[02:17.600 --> 02:20.680] Water Watch, and the Government Accountability Project.
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[02:53.000 --> 02:57.080] It is the Liberty Beat for Friday, December 12, 2014.
[02:57.080 --> 03:26.080] Check out the website at thelibertybeat.com.
[03:27.080 --> 03:57.040] It is the Liberty Beat for Friday, December 12, 2014.
[03:57.040 --> 04:27.000] Okay, this is Randall from Keep On Live, our radio and
[04:27.000 --> 04:31.960] we're going to start with a little bit of an issue, and I think we're up and on there.
[04:31.960 --> 04:40.040] I couldn't hear my producer, so I'm not really certain, but I'm going to ask this if we are.
[04:40.040 --> 04:44.320] So if you can't hear me, it probably doesn't make any difference anyway, and if you do hear
[04:44.320 --> 04:48.440] me, you'll probably fall asleep about halfway through the show.
[04:48.440 --> 04:56.760] So what I'm going to start with, if I can get Steve up, Steve's internet's down, and
[04:56.760 --> 05:00.080] he's going to try to call in on the cell, get on our guest bridge.
[05:00.080 --> 05:05.960] He had a real interesting case on quiet title.
[05:05.960 --> 05:13.960] He has a ruling, and he wanted to go through that ruling so that, because it kind of goes
[05:13.960 --> 05:27.080] through all of the steps that you have to go through, in order to hold on to Steve's
[05:27.080 --> 05:33.840] call and have him have the phone bridge turned off, I'm not sure, and I don't multitask
[05:33.840 --> 05:34.840] well.
[05:34.840 --> 05:45.840] Okay, he's trying to call in, and then we're having an issue with the bridge, but he has
[05:45.840 --> 05:53.880] a case he wanted to go over, but until we can get him on, I have an interesting case
[05:53.880 --> 06:04.200] that was sent to me by Ms. Leslie, and while I was looking through this stuff, I have some
[06:04.200 --> 06:12.200] folders for people who send me documentation pretty often, and looking for this case, for
[06:12.200 --> 06:19.400] this document, I found one of the criminal complaints she had filed, and when I get done
[06:19.400 --> 06:21.640] with this, I want to read that on the air.
[06:21.640 --> 06:29.800] As a matter of fact, I think I'll read that one first, and the other one is a decision
[06:29.800 --> 06:38.840] about, I think I shut it off, I had it up, and when you get old like me, you don't multitask
[06:38.840 --> 06:39.840] well.
[06:39.840 --> 06:42.840] Ah, there we go.
[06:42.840 --> 06:46.440] Okay, have it up.
[06:46.440 --> 06:59.360] This was a bankruptcy case, and this is, I think it's Wells Fargo or Bank of America.
[06:59.360 --> 07:12.920] It was claiming to be the holder of the note, and the lawyer, they did a title search and
[07:12.920 --> 07:19.960] found that Bank of America wasn't the holder of the note.
[07:19.960 --> 07:23.680] I'm sorry, not Bank of America, Wells Fargo.
[07:23.680 --> 07:26.960] If you listen to this show a lot, this is something we get all the time.
[07:26.960 --> 07:35.760] This is probably the primary issue, is who the heck are you?
[07:35.760 --> 07:43.120] What standing do you have to come before the court?
[07:43.120 --> 07:47.040] And the courts have just been ignoring the issue.
[07:47.040 --> 07:52.600] They've just essentially been saying, anybody, if you're a national bank and you come down
[07:52.600 --> 07:56.920] here and you claim you're the holder of a note, we'll let you foreclose on and sell the
[07:56.920 --> 07:59.560] property and keep the money.
[07:59.560 --> 08:04.760] It's essentially what they've been doing, and we've got this case that Ms. Leslie sent
[08:04.760 --> 08:12.840] me a while back, where the judge is just, he seems irate that he has to give someone
[08:12.840 --> 08:20.120] their property because the other side can't prove up their position.
[08:20.120 --> 08:27.320] And you know, in listening to that, he starts out, no one gets a free house.
[08:27.320 --> 08:33.040] He said, well, you need to get your behind down off that bench.
[08:33.040 --> 08:38.440] If you already have some personal notion that you bring to the bench that doesn't have anything
[08:38.440 --> 08:46.360] to do with the facts and the law, you need to get off that bench and cause yourself to
[08:46.360 --> 08:51.240] be replaced by the fair and honest jurist, we all have a right to in the first instance.
[08:51.240 --> 08:59.960] So, in this case, this was one where they couldn't prove up their position.
[08:59.960 --> 09:11.480] This is Washington, Gordon A. Washington, Chapter 13 debtor, and I think the holder
[09:11.480 --> 09:15.000] in this one was also Wells Fargo.
[09:15.000 --> 09:19.520] But in this one, they gave the person the property.
[09:19.520 --> 09:32.880] There's one out of Florida, the Dina case, where McEnholfield lenders proved never to
[09:32.880 --> 09:40.280] have actually been incorporated in New York the way they claimed to have.
[09:40.280 --> 09:45.640] So they claimed that they couldn't do business in Florida and they forced them to give back
[09:45.640 --> 09:48.720] all the money they had collected.
[09:48.720 --> 10:00.400] The one I have here now is one where they also, this was a bankruptcy case.
[10:00.400 --> 10:06.200] And you know, we've been telling people, when you find, you know, the way we get most of
[10:06.200 --> 10:11.360] our wins is we file for bankruptcy, you have the person filed for bankruptcy and doesn't
[10:11.360 --> 10:21.240] matter of Chapter 13 or Chapter 7, but you have no duty to stipulate, to hold or status
[10:21.240 --> 10:24.280] of any claimant.
[10:24.280 --> 10:33.200] If you file for bankruptcy and someone comes to the bankruptcy court and states a claim,
[10:33.200 --> 10:38.720] you have no duty to stipulate to their claim.
[10:38.720 --> 10:47.040] So in this case, especially with all of the machinations by the bank and the failure of
[10:47.040 --> 10:58.200] the banks to properly document their holdings, then it's appropriate for someone to refuse
[10:58.200 --> 11:07.640] to stipulate that the particular hold claimant who alleges to be the holder of the note,
[11:07.640 --> 11:10.600] you have no reason to stipulate to that.
[11:10.600 --> 11:14.560] You can demand that they prove it up and that's what happened here.
[11:14.560 --> 11:27.720] They did a title search outside of the court proceedings and found evidence that the claimant
[11:27.720 --> 11:33.920] was not a proper holder and they came back to the court and probably, I wanted to read
[11:33.920 --> 11:41.720] the whole, essentially just kind of skim through the whole case so you get a good idea of how
[11:41.720 --> 11:52.320] this shakes out and how the courts may come to the conclusions that they do.
[11:52.320 --> 12:02.000] So in this one, I'm going to go through this and I did want to reference one other that
[12:02.000 --> 12:16.920] this letter sent me and it was one where the bank had called this person repeatedly and
[12:16.920 --> 12:24.600] because they, this is the one I'm looking at, because they were so obnoxious and harassing
[12:24.600 --> 12:36.200] with the phone that they find the bank over a million dollars, 1,500 per phone call.
[12:36.200 --> 12:45.960] And that was especially interesting because we've had people on talking about FDIC, I
[12:45.960 --> 12:56.000] mean FDCPA, and how that has been strengthened, how the amount, Jeff Cedric was one, they
[12:56.000 --> 13:03.800] raised the amount of the penalty for each violation from 1,000 to 1,500.
[13:03.800 --> 13:06.960] And he said that the courts will actually grant you this, well here's the case where
[13:06.960 --> 13:08.680] they did.
[13:08.680 --> 13:16.560] They called them repeatedly, they raised the issue in court, and the court granted them
[13:16.560 --> 13:23.400] a million dollars, apparently through the phone logs they could document this.
[13:23.400 --> 13:36.440] If you are in a credit situation, be it foreclosure or just credit cards or any credit, and you're
[13:36.440 --> 13:45.680] getting these constant phone calls from these automated robo-callers, what I suggest you
[13:45.680 --> 13:55.640] do is get a log to put it by your phone and always answer the phone.
[13:55.640 --> 14:00.920] You don't have to talk to them, you don't have to even listen to them, but answer the
[14:00.920 --> 14:06.720] phone as soon as you hear who it is, then hang back up again, or just lay the phone down
[14:06.720 --> 14:10.440] and let them talk until they hang up.
[14:10.440 --> 14:17.640] That way when you pull the phone logs, the phone logs will show that they called and
[14:17.640 --> 14:20.800] how long they talked.
[14:20.800 --> 14:24.200] And if you just pick up the phone and lay it down on the table and they'll talk until
[14:24.200 --> 14:28.200] they realize you're not there, then they'll hang up.
[14:28.200 --> 14:36.120] That will, or if it's a machine, the machine will interrupt itself if you hang up.
[14:36.120 --> 14:44.760] But if you don't, it'll just keep jabbering away at you and show more time.
[14:44.760 --> 14:50.200] I know this sounds kind of backwards, but we've had a couple of people calling Yun who
[14:50.200 --> 14:58.960] took on credit card companies and got the credit card companies to pay them to go away
[14:58.960 --> 15:03.720] and leave the poor mistreated debt collector alone.
[15:03.720 --> 15:07.840] And this is primarily how they did that.
[15:07.840 --> 15:14.480] So instead of feeling harassed when you get one of these calls, you just mark 1500 bucks
[15:14.480 --> 15:22.240] on your ledger, that'll make it a lot easier to put up these calls for a while.
[15:22.240 --> 15:29.920] It looks like we have Steve up on the line, hello, Steve.
[15:29.920 --> 15:35.480] Okay, there I got you some.
[15:35.480 --> 15:39.240] Oh, you got a person mute button, dude.
[15:39.240 --> 15:47.200] Well, if somehow you were on mute, oh, you unmuted yourself, and I'm old, it takes a
[15:47.200 --> 15:56.600] while for the, the mildly sheath around the ganglia is reduced so it slows down the, the
[15:56.600 --> 15:57.600] transmission.
[15:57.600 --> 16:05.560] Give me a break, I'm an old guy, anyway, we'll get back to this later.
[16:05.560 --> 16:13.640] You had, we were talking about this case where they just find a bank of them in Wells Fargo,
[16:13.640 --> 16:23.880] a million dollars for harassing phone calls, 1500 bucks a pop, but you had, you had a case
[16:23.880 --> 16:32.640] that talked about quiet title, title issues and how to make them and I've very much wanted
[16:32.640 --> 16:36.840] to hear that case.
[16:36.840 --> 16:43.480] Okay, do you hear the music?
[16:43.480 --> 16:49.160] I do not hear the music, but I see the numbers, folks, we're going to break.
[16:49.160 --> 16:53.000] That's why it was your fault last night for not being here, that's why I run off the cliff.
[16:53.000 --> 17:00.720] This is Randy Kelton, Steve, Skidmore, RuralBallRadio, we'll be right back.
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[19:17.080 --> 19:32.360] Okay, we are back.
[19:32.360 --> 19:42.080] I found the case I was looking for and this case is shown, this was Bank of America and
[19:42.080 --> 19:47.560] it wasn't from Ms. Leslie, it was from someone else who seems to be stuff on a regular basis.
[19:47.560 --> 19:52.640] Bank of America is being forced to hand over over a million dollars to a Florida couple
[19:52.640 --> 19:58.480] after the bank flooded them with hundreds of loan collection calls for years.
[19:58.480 --> 20:05.040] The latest example of alleged behavior that has cost the bank tens of millions.
[20:05.040 --> 20:13.200] In a complaint filed in July, attorneys Nelson and Joyce Coniglio said that the couple had
[20:13.200 --> 20:21.480] been on the receiving end of patterns of outrageous, abusive and harassing conduct by a subsidiary
[20:21.480 --> 20:27.600] of Bank of America that included 700 calls in four years after the bank said the couple
[20:27.600 --> 20:31.600] fell behind on mortgage loan payments in 2009.
[20:31.600 --> 20:38.320] The Coniglios also received threatening collection letters asserting false and misleading information,
[20:38.320 --> 20:40.320] the complaint said.
[20:40.320 --> 20:45.720] The couple sent multiple letters from legal representation asking the bank to stop but
[20:45.720 --> 20:49.400] the call sometime up to five a day continued.
[20:49.400 --> 20:56.000] The complaint describes automated calls leaving repeated pre-recorded messages.
[20:56.000 --> 21:04.600] If I did what Bank of America did, I'd probably be behind bars, Joyce Coniglio said in a news
[21:04.600 --> 21:06.000] interview.
[21:06.000 --> 21:15.600] In the end, the Florida judge awarded the couples $1,051,000 approximately $1,500 for
[21:15.600 --> 21:20.040] every call in addition to court costs and attorney fees.
[21:20.040 --> 21:24.320] This judgment against Bank of America is an epic win for consumers across the country.
[21:24.320 --> 21:31.400] Billy Howard, an attorney for the Coniglios, told ABC News, it's time to fight back against
[21:31.400 --> 21:41.320] these robo-bullies and they're all using these automatic systems now, saves them a lot of
[21:41.320 --> 21:49.720] money because they don't have to have a life human being, they're harassing you, problem.
[21:49.720 --> 21:58.080] They're able to call very often so they have it called very often and that machine can't
[21:58.080 --> 22:01.320] make critical decisions.
[22:01.320 --> 22:09.000] It can't decide that maybe these guys are setting us up so they can sue us and if you
[22:09.000 --> 22:21.200] have a debt collector calling you the way this one person calling you two or three times
[22:21.200 --> 22:28.880] a day and making threatening comments, then you might want to consider turning the tables
[22:28.880 --> 22:39.080] on them and setting them up so that you can file an FDCPA suit and when all of this back,
[22:39.080 --> 22:53.680] Steve is back on the line, hello Mr. Steve, hello Mr. Steve, are you there?
[22:53.680 --> 23:03.480] There we go, somebody muted my mic, Octoliva, I have the same problem, I've got these little
[23:03.480 --> 23:10.640] gremlin thingies that sneak in when I'm not looking, yes, I think I just met one, might
[23:10.640 --> 23:20.520] be the same one or a distant cousin, okay, pick up on this quiet title action or a challenge
[23:20.520 --> 23:26.360] to titles, a case that kind of outlines how it was supposed to handle this.
[23:26.360 --> 23:30.400] The Wells v.B.A.C. case?
[23:30.400 --> 23:31.400] Exactly.
[23:31.400 --> 23:43.640] Okay, funny thing about this case, the document I'm looking at came from Westlaw, I believe
[23:43.640 --> 23:49.640] Westlaw is a Thomas Reuters product, but everybody should be familiar with it, everybody listens
[23:49.640 --> 23:56.360] to this radio station should be familiar with Westlaw.
[23:56.360 --> 24:03.240] This case is what I'm looking at is a three-page order, now what's odd about this case is when
[24:03.240 --> 24:09.560] I look for it online, I look for it on Google Scholar and just a general search, I find
[24:09.560 --> 24:15.800] all kinds of cases that refer to this case but I don't find this case itself.
[24:15.800 --> 24:27.480] So, I find that kind of odd, but at any rate, this is Hue S Wells, that's H-U-G-H, middle
[24:27.480 --> 24:40.400] initial S Wells, W-E-L-L-S, et al plaintiff, versus B.A.C., home loan servicing LP, formerly
[24:40.400 --> 24:51.360] known as country-wide home loan servicing LP, et al defendants, this was heard in the United
[24:51.360 --> 24:56.120] States District Court, Western District of Texas, Waco Division, this is a federal case
[24:56.120 --> 25:02.640] and touches all 50, so or in the federal venue anyway.
[25:02.640 --> 25:09.800] What I'm reading here is an order, now it's going to be, I don't need to set this up,
[25:09.800 --> 25:15.960] I don't believe, but because it kind of sets itself up first couple of pages in, first
[25:15.960 --> 25:25.240] couple of paragraphs in, but Walter S Smith, Jr. was the district judge who opined Bustly,
[25:25.240 --> 25:33.840] one, before the court is a motion to dismiss, or in the alternative, motion for more definite
[25:33.840 --> 25:37.000] statement, end quote.
[25:37.000 --> 25:45.880] And by the defendant, B.A.C., home loan services, LLP, hereafter, B.A.C., having considered
[25:45.880 --> 25:53.760] the motion, the pleadings, and the applicable legal theory, the court finds that the motion
[25:53.760 --> 25:58.400] has merit and should be granted.
[25:58.400 --> 26:09.080] One statement of facts, that's Roman numeral one, in January 2003, Hugh and Sharia, Wells,
[26:09.080 --> 26:17.280] collectively Wells, bought a home located at, there's the address, in Temple, Texas,
[26:17.280 --> 26:24.160] to finance the purchase, Wells assigned a promissory note secured by D.D.Trust on the
[26:24.160 --> 26:35.520] property, B.A.C., claimed that Wells defaulted and, I'm sorry, and initiated, lost my place,
[26:35.520 --> 26:38.680] and initiated foreclosure proceedings.
[26:38.680 --> 26:44.120] Wells sought, well sought, now this is, I think there's a typo in here, I'm gonna read
[26:44.120 --> 26:52.080] it as it's stated, as it's written, Wells sought, verify that B.A.C. had, I think they
[26:52.080 --> 26:59.440] meant Wells sought to verify that B.A.C. had the authority to foreclose, so he requested
[26:59.440 --> 27:06.600] that B.A.C. produce the original promissory note and any documents showing the transfer
[27:06.600 --> 27:15.160] or assignments of either the note or the D.D. of trust, B.A.C. refused.
[27:15.160 --> 27:25.240] On October 29, 2010, Wells sent B.A.C. in Texas sued B.A.C. in Texas State Court alleging
[27:25.240 --> 27:30.360] violations of the Texas Property Code, the Texas Business and Commerce Code, the Texas
[27:30.360 --> 27:40.680] Debt Collection Act, and the Texas Debt Collection Act, Wells also sought declaratory relief
[27:40.680 --> 27:48.120] into quiet the title in his favor, B.A.C. timely removed the case and moved to dismiss
[27:48.120 --> 27:56.360] for, guess what, failure to stay claim upon which relief could be granted, see Rules Civil
[27:56.360 --> 28:09.400] Procedure 12B6, Wells did not respond, pause, fatal flaw, right there, Wells did not respond
[28:09.400 --> 28:24.440] folks, when you get something filed into court, respond, okay, Section 2, Rule 12B6, standard,
[28:24.440 --> 28:31.080] the motion to dismiss for failure to stay to claim tests the sufficiency of the complaint
[28:31.080 --> 28:41.640] under Federal Rules of Civil Procedure 8, Rule 8 requires, quote, short and plain statement
[28:41.640 --> 28:54.320] of the claim showing that the pleader is entitled to relief, period, end, quote, C.R.C.P. 8A2.
[28:54.320 --> 29:03.240] To satisfy this rule, the complaint must contain sufficient facts, which, if true, would, quote,
[29:03.240 --> 29:11.680] stay to claim for relief that is plausible on its face, see Ashcroft B.I.K.
[29:11.680 --> 29:24.640] example, facially, plausibility, facial plausibility requires that the plaintiff to allege facts
[29:24.640 --> 29:34.600] supporting recovery under a viable legal theory, although highlight, and I hear the music in
[29:34.600 --> 29:39.280] the background folks, I'm going to start this paragraph over because this is giving us the
[29:39.280 --> 29:48.040] dos and don'ts to fight an MSJ, it's also giving us the standards by which the court
[29:48.040 --> 30:03.520] judges a Rule 12B6, we'll be right back, stay tuned.
[30:03.520 --> 30:08.400] In the run up to the World Cup in the Olympics, Brazil is rolling out national biometric ID
[30:08.400 --> 30:14.680] cards with RFID spy chips that can be scanned and hacked remotely, and Dr. Catherine Albrecht
[30:14.680 --> 30:17.400] back with details in a moment.
[30:17.400 --> 30:19.120] Privacy is under attack.
[30:19.120 --> 30:23.520] When you give up data about yourself, you'll never get it back again, and once your privacy
[30:23.520 --> 30:27.720] is gone, you'll find your freedoms will start to vanish too.
[30:27.720 --> 30:33.120] So protect your rights, say no to surveillance and keep your information to yourself.
[30:33.120 --> 30:35.480] Privacy, it's worth hanging on to.
[30:35.480 --> 30:41.080] This message is brought to you by StartPage.com, the private search engine alternative to Google,
[30:41.080 --> 30:42.800] Yahoo, and Bing.
[30:42.800 --> 30:46.680] Start over with StartPage.
[30:46.680 --> 30:51.120] Brazil will host the 2016 Summer Olympics, but the government there is doing something
[30:51.120 --> 30:53.400] that deserves a black medal.
[30:53.400 --> 30:59.040] Embedding national ID cards with radio frequencies spy chips, chock full of biometric data.
[30:59.040 --> 31:04.760] A chip in each ID card will contain fingerprints and mug shots, plus their contact lips, meaning
[31:04.760 --> 31:08.320] they can be read from a distance without people knowing.
[31:08.320 --> 31:12.760] The government there is already mandated tracking spy chips in vehicles and student
[31:12.760 --> 31:13.760] ID cards.
[31:13.760 --> 31:17.720] By the time the Olympics roll around, I'd say the Brazilians will be approaching the
[31:17.720 --> 31:21.160] finish line, the finish line of personal liberty that is.
[31:21.160 --> 31:31.240] I'm Dr. Catherine Albrecht for StartPage.com, the world's most private search engine.
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[32:02.760 --> 32:05.560] Rule of law radio is proud to offer the rule of law traffic seminar.
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[33:04.360 --> 33:32.360] We are listening to the Logos Radio Network at LogosRadioNetwork.com.
[33:32.360 --> 33:39.360] We are listening to the Logos Radio Network at Logos Radio Network at Logos Radio Network
[34:02.360 --> 34:31.360] at Logos Radio Network at Logos Radio Network
[34:31.360 --> 35:00.360] at Logos Radio Network at Logos Radio Network
[35:00.360 --> 35:29.360] at Logos Radio Network at Logos Radio Network
[35:29.360 --> 35:58.360] at Logos Radio Network at Logos Radio Network
[35:58.360 --> 36:27.360] at Logos Radio Network
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[36:58.360 --> 37:27.360] at Logos Radio Network
[37:27.360 --> 37:56.360] at Logos Radio Network
[37:56.360 --> 38:25.360] at Logos Radio Network
[38:25.360 --> 38:34.360] in a two-part inquiry, first distinguishing between factual allegations and legal conclusions.
[38:34.360 --> 38:41.360] Now, I'd like to come back to legal conclusions that I think that needs some further defining,
[38:41.360 --> 38:51.360] because the latter are not entitled to a compensation of, I'm sorry, presumption of the truth.
[38:51.360 --> 38:56.360] Say that again because I butchered it, because the latter, that is legal conclusions,
[38:56.360 --> 39:03.360] the latter are not entitled to the presumption of truth.
[39:03.360 --> 39:09.360] Second, the court determines whether the alleged facts,
[39:09.360 --> 39:21.360] plausible, plausibly give rise to an entitlement to relief and, quote, again see equal.
[39:21.360 --> 39:33.360] It will assume that the facts are true, construe them in the light most favorable to the plaintiff
[39:33.360 --> 39:39.360] and draw all reasonable inferences in his favor.
[39:39.360 --> 39:50.360] Those facts must allow the court using its experience in common sense to draw reasonable inference
[39:50.360 --> 39:59.360] that the defendant is liable for the misconduct alleged.
[39:59.360 --> 40:04.360] Number two, judge, this is two under that subsection.
[40:04.360 --> 40:13.360] Judge, judged by this standard, Wells claims are not plausible on their face.
[40:13.360 --> 40:22.360] His factual allegations are inadequate and, more importantly, his legal theories are unattainable.
[40:22.360 --> 40:29.360] Section A, show me the note claims, quote, show me the note.
[40:29.360 --> 40:32.360] Okay, we've all heard of that one.
[40:32.360 --> 40:47.360] The vast majority of Wells claims rely on the same premise BAC must prove that it possesses
[40:47.360 --> 40:54.360] the original promissory note before foreclosing. In support, Wells invokes Article 3 of the
[40:54.360 --> 41:01.360] Uniform Commercial Code, which regulates promissory notes and other negotiable instruments.
[41:01.360 --> 41:11.360] C, Texas Business Commerce Code, Section 3.102A, pause.
[41:11.360 --> 41:15.360] Had he gone under a different section, he may have stood a chance.
[41:15.360 --> 41:18.360] Section 3.201A ain't going to get him anywhere.
[41:18.360 --> 41:29.360] Article 3 provides that only holders and non-holders in possession can enforce a note.
[41:29.360 --> 41:37.360] A holder is a, quote, person in possession of a negotiable instrument that is payable
[41:37.360 --> 41:45.360] either to bearer or an identified party that is the person in possession.
[41:45.360 --> 41:48.360] Let me pause right there.
[41:48.360 --> 41:54.360] There's two very important words right there, bearer and identified.
[41:54.360 --> 42:04.360] Okay, a bearer instrument will either say pay to bearer or pay to the order of bearer,
[42:04.360 --> 42:12.360] A-R-E-R, or even catch if you say pay to the order of catch.
[42:12.360 --> 42:16.360] That means whoever holds that instrument is entitled to cash money.
[42:16.360 --> 42:26.360] Okay, most often we see these stamp endorsements incomplete because nobody's bothered to put
[42:26.360 --> 42:30.360] bearer or cash or anything like that on there.
[42:30.360 --> 42:37.360] So, the second thing is, or to an identified person.
[42:37.360 --> 42:47.360] Now, what have we been preaching for the last, oh, I don't know, year or more?
[42:47.360 --> 42:50.360] There's got to be an identified party.
[42:50.360 --> 42:53.360] Let me set this scenario.
[42:53.360 --> 43:01.360] Pay to the order of what appears to be a blank line underneath that without recourse and
[43:01.360 --> 43:03.360] then somebody signed it.
[43:03.360 --> 43:09.360] How can somebody whoever signed it claim to be that they're the one on that line where
[43:09.360 --> 43:14.360] there's no identified, they are not identified, are they?
[43:14.360 --> 43:19.360] You're not going to ask you to check at the bank each Friday if your name is not on the
[43:19.360 --> 43:23.360] check and then you flip it over and put the same name on the back.
[43:23.360 --> 43:26.360] Anyway, move on.
[43:26.360 --> 43:35.360] Okay, accordingly, Wells alleged that before foreclosing, BAC must, I hear the music back
[43:35.360 --> 43:42.360] there, BAC must prove that it is a holder by producing the original promissory note.
[43:42.360 --> 43:47.360] Folks, that's going to lead us to the next paragraph and we'll pause right there.
[43:47.360 --> 43:49.360] Let's see how much time we've got.
[43:49.360 --> 43:53.360] Five, one, two, six, four, six, 1984 is the call in number.
[43:53.360 --> 43:55.360] We'll open the phones here in a little bit.
[43:55.360 --> 43:57.360] Until then, sit tight.
[43:57.360 --> 44:02.360] We'll be right back.
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[45:01.360 --> 45:04.360] Are you the plaintiff or defendant in a lawsuit?
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[46:23.360 --> 46:30.360] Yeah, always I must be careful what I'm wishing for.
[46:30.360 --> 46:35.360] When I'm hungry, I like to know just what I'm wishing for.
[46:35.360 --> 46:41.360] I ain't asking for much, I ain't trying to be no glutton.
[46:41.360 --> 46:47.360] I'm just here making my living, pushing buttons.
[46:47.360 --> 46:53.360] I get my message, I do anyone in the shot and distance.
[46:53.360 --> 46:58.360] Hope for bravery and against slavery, showing resistance.
[46:58.360 --> 47:03.360] First I'm crawling, then I'm walking, then I start strutting.
[47:03.360 --> 47:11.360] I'm just so glad to make my living, pushing buttons.
[47:11.360 --> 47:19.360] Oh, Oh, Oh, Oh, Oh, Oh, Oh, Oh, Oh, Oh, Oh, Oh, Oh, Oh, Oh, Oh, Oh, Oh, Oh, Oh, Oh, Oh, Oh, Oh, Oh, Oh, Oh, Oh, Oh, Oh, Oh, Oh, Oh, Oh, Oh, Oh, Oh, Oh,
[47:19.360 --> 47:31.360] Yeah, if that sounds a plague monopoly, we are wanting to get down to this beautiful Friday night here in Austin, Texas.
[47:31.360 --> 47:38.360] Well, I am Randee's up in the Northern territory somewhere around Dallas.
[47:38.360 --> 47:44.240] Anyway, I'm going to repeat, I don't know if I got grounded out on that close of that
[47:44.240 --> 47:48.080] last paragraph, so I'm going to go over the last sentence one more time.
[47:48.080 --> 47:55.640] And just as a reminder, coming back into the break, I am reading the Federal Court order
[47:55.640 --> 48:06.120] from Hugh S. Wells versus BAC Home Loan Servicing, you check the archive for the full citation
[48:06.120 --> 48:07.520] or short side.
[48:07.520 --> 48:16.640] Anyway, to repeat that last sentence of the previous paragraph under the heading of Show
[48:16.640 --> 48:25.480] Me the Note claims, it states, A, accordingly, Wells alleged that before foreclosing BAC must
[48:25.480 --> 48:33.440] prove that it is a holder by producing the original promissory note.
[48:33.440 --> 48:39.320] This claim, colloquial called the Show Me the Note theory, began circulating in courts
[48:39.320 --> 48:48.960] across the country in 2009, C, Stein versus Chase, Chase home finance.
[48:48.960 --> 48:56.320] Advocates of this theory believe that, quote, only the holder of the original wet ink signature
[48:56.320 --> 49:10.960] note has the lawful power to initiate a non-judicial foreclosure in, quote, C, Sundell, Bart, Burd,
[49:10.960 --> 49:24.040] B-A-H-R-D versus Tiffany and Busco, P-A. The courts, however, have roundly rejected
[49:24.040 --> 49:31.600] this theory and dismissed the claims because foreclosures, because foreclosure statutes
[49:31.600 --> 49:40.160] simply do not require possession of or production of the original note.
[49:40.160 --> 49:49.560] Texas law differentiates between enforcement of the promissory note and foreclosure, foreclosure,
[49:49.560 --> 49:54.360] and this would probably, let me pause right there, this would probably be the same in
[49:54.360 --> 50:03.120] any non-judicial foreclosure state, also known as, well, you can tell the difference because
[50:03.120 --> 50:09.880] you'll either have a deed of trust or a security instrument titled mortgage.
[50:09.880 --> 50:16.560] Both of them are security instruments, but in, if you have a deed of trust, it's your
[50:16.560 --> 50:22.520] chance that you're in a non-judicial, which means they don't have to sue you to foreclose,
[50:22.520 --> 50:25.280] they don't have to initiate a court case.
[50:25.280 --> 50:38.480] But I would venture to guess that this premise would be blanketed across all non-judical foreclosure
[50:38.480 --> 50:39.480] states.
[50:39.480 --> 50:45.880] Anyway, to continue, let me restate that because I'm straight so far off the track, Texas law
[50:45.880 --> 50:52.120] differentiates between enforcement of the promissory note and foreclosure.
[50:52.120 --> 51:04.760] Foreclosure enforces the deed of trust, not the underlying note, see Slaughter v. Qualls.
[51:04.760 --> 51:14.880] It is an independent action against the collateral pause right there, that's an in-rem action.
[51:14.880 --> 51:19.160] You can sue someone or something, if you sue someone, it's a civil action.
[51:19.160 --> 51:26.000] If you sue something, that is an in-rem action.
[51:26.000 --> 51:35.480] It is an independent action against the collateral and may be conducted without judicial supervision.
[51:35.480 --> 51:41.800] Enforcement of the promissory note, on the other hand, is a personal action against the
[51:41.800 --> 51:46.240] signatory and requires a judicial proceeding.
[51:46.240 --> 51:55.960] Furthermore, Texas courts have refused to conflate foreclosure with the enforcement of
[51:55.960 --> 51:56.960] promissory notes.
[51:56.960 --> 52:02.400] If you don't know what conflate means, that means to bring together, to blend, to mix,
[52:02.400 --> 52:04.680] to take two and make one out of it.
[52:04.680 --> 52:06.920] They won't do it.
[52:06.920 --> 52:16.160] They have stated, quote, where there is a debt secured by a note, and I would, that's
[52:16.160 --> 52:21.640] another rabbit hole for another time, I think, but what it says is where there is a debt
[52:21.640 --> 52:32.680] secured by a note which is in turn secured by a lien, the lien and the note constitute
[52:32.680 --> 52:37.200] separate obligations.
[52:37.200 --> 52:49.480] Furthermore, while suits on the promissory note typically require possession, foreclosures
[52:49.480 --> 52:51.720] do not.
[52:51.720 --> 52:58.160] Under Texas law, a mortgage servicer can foreclose under a deed of trust regardless whether it
[52:58.160 --> 53:00.760] is a holder.
[53:00.760 --> 53:07.680] A mortgage servicer is, quote, the last person to whom the mortgage or has been instructed
[53:07.680 --> 53:16.520] by the current mortgagee to send payments for the debt secured by the security instrument.
[53:16.520 --> 53:30.640] See Texas property code 51.001 subsection 3, a mortgage can be its own, a mortgagee can
[53:30.640 --> 53:33.000] be its own mortgage servicer.
[53:33.000 --> 53:42.360] Moreover, to administer a foreclosure process, the mortgage servicer need only receive written
[53:42.360 --> 53:51.240] off the deed and disclose that the fact to the mortgage or, and disclose that fact to
[53:51.240 --> 54:00.880] the mortgage or, sorry, indeed the Texas property code contemplates that the mortgage servicer
[54:00.880 --> 54:12.120] will often represent the mortgagee who may or may not possess the note itself.
[54:12.120 --> 54:19.560] See property code, okay, let's just go to the next paragraph, it just cites the code.
[54:19.560 --> 54:27.480] Well, let me read that, I didn't highlight that, stating that a mortgagee may be the
[54:27.480 --> 54:35.720] quote holder of a security instrument, end quote, or a quote book entry system, end quote,
[54:35.720 --> 54:38.960] hello murders.
[54:38.960 --> 54:45.920] In addition, the statutory procedure for the, for a deed of trust foreclosure does not
[54:45.920 --> 54:52.160] require mortgage servicers to produce the original promissory note.
[54:52.160 --> 54:58.960] This property code provides that, provides a minimum level of protection for mortgagees
[54:58.960 --> 55:04.040] by requiring constructed notice of foreclosure.
[55:04.040 --> 55:11.520] The mortgagee, the mortgage servicer need only provide notice of default with a, with
[55:11.520 --> 55:17.880] an opportunity to cure and notice of an actual foreclosure sale.
[55:17.880 --> 55:33.280] Go to the next page, it is, wait a minute, okay, yeah, maybe I need to pick back up there,
[55:33.280 --> 55:35.680] skip the piece.
[55:35.680 --> 55:42.160] The mortgage servicer need only provide notice of default with the opportunity to cure and
[55:42.160 --> 55:54.480] notice of the foreclosure sale, see Texas property codes 51.002B, B and D, production
[55:54.480 --> 55:59.840] of the original promissory note is not necessary.
[55:59.840 --> 56:04.960] In this case, Wells claims under the Texas property code, the Texas business commerce
[56:04.960 --> 56:12.760] code and the Texas debt collection act, as well as a request for declaratory relief rests
[56:12.760 --> 56:20.160] on the invalid show me the note theory, accordingly.
[56:20.160 --> 56:27.400] Those allegations fail to quote, they claim for relief, for relief on, that is plausible
[56:27.400 --> 56:34.040] on its face, end quote and must be dismissed.
[56:34.040 --> 56:39.480] So you see how far the show me the note thing is going to get you in federal court, didn't
[56:39.480 --> 56:44.560] get, didn't get Wells very far.
[56:44.560 --> 56:47.560] Go ahead Randy.
[56:47.560 --> 57:00.960] Okay, and it's always the, it's clear what the problem is, show me the note only, only
[57:00.960 --> 57:12.040] goes to 3-501 UCC, where the, if a debt, a creditor sends a presentment to the debtor,
[57:12.040 --> 57:19.080] my presentment being a demand for payment, and the debtor demands production of the original
[57:19.080 --> 57:26.240] security instrument, the creditor is required to make the original security instrument available
[57:26.240 --> 57:28.240] for inspection.
[57:28.240 --> 57:32.320] Now none of that was cited in this case.
[57:32.320 --> 57:35.760] So the court didn't have to consider any of that.
[57:35.760 --> 57:39.840] And the case is saying, you can't foreclose unless you show me the note.
[57:39.840 --> 57:42.680] No, that's not what it says.
[57:42.680 --> 57:45.580] You can foreclose without showing me the note.
[57:45.580 --> 57:54.760] But if I request that you make the note available for my inspection under UCC 3-501, then you
[57:54.760 --> 58:01.000] are statutorily stopped from any further collection until you show me the note.
[58:01.000 --> 58:08.760] It appears as though they're not making the argument in the right order or in the right
[58:08.760 --> 58:14.840] place, but even that is not the real issue.
[58:14.840 --> 58:25.440] The real issue is you claim that you have been instructed by the proper holder of the
[58:25.440 --> 58:30.560] instrument to take this action.
[58:30.560 --> 58:40.280] If you don't claim to be the actual holder, and if you are the actual holder, then I can
[58:40.280 --> 58:45.280] go public with you.
[58:45.280 --> 58:50.520] Out of time, hang on, we'll be right back.
[58:50.520 --> 58:54.640] Would you like to make more definite progress in your walk with God?
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[59:49.560 --> 01:00:08.160] This is the Liberty Beat, your daily source for Liberty News and activist updates online
[01:00:08.160 --> 01:00:09.160] at thelibertybeat.com.
[01:00:09.160 --> 01:00:14.520] I'm Brian Hagen with your Liberty Beat for Friday, December 12, 2014.
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[01:00:48.320 --> 01:00:53.040] In the news, after years of ignoring the sovereignty of indigenous Americans, the federal government
[01:00:53.040 --> 01:00:57.960] has now stated they will give tribes permission to grow and sell cannabis on their land.
[01:00:57.960 --> 01:01:01.840] The Department of Justice announced the move Thursday, stating that the new rule would
[01:01:01.840 --> 01:01:06.720] be implemented on a case-by-case basis.
[01:01:06.720 --> 01:01:11.120] A new report from the World Wide Web Foundation found that surveillance of the Internet and
[01:01:11.120 --> 01:01:13.400] censorship are both increasing.
[01:01:13.400 --> 01:01:17.480] Tim Berners-Lay, the inventor of the World Wide Web, is head of the foundation.
[01:01:17.480 --> 01:01:20.400] He is called for the Internet to be made a basic human right.
[01:01:20.400 --> 01:01:25.240] The research showed that 83% of the 86 countries listed in the index had privacy safeguards
[01:01:25.240 --> 01:01:27.040] that were weak to nonexistent.
[01:01:27.040 --> 01:01:31.000] They also found that web and social media had a large effect on citizen action, and
[01:01:31.000 --> 01:01:35.160] only a quarter of nations have clear rules against political discrimination in Internet
[01:01:35.160 --> 01:01:39.000] traffic management, and only a quarter of nations have clear rules against political
[01:01:39.000 --> 01:01:44.840] discrimination in Internet traffic management.
[01:01:44.840 --> 01:01:48.680] Several advocacy groups from around the globe have joined together to demand the release
[01:01:48.680 --> 01:01:51.480] of the tax-to-the-controversial CRAN-specific partnership.
[01:01:51.480 --> 01:01:56.360] Today, a representative with Open Media International will present a letter from the coalition to
[01:01:56.360 --> 01:02:01.200] TPP delegates at the TPP negotiations in Washington, D.C.
[01:02:01.200 --> 01:02:05.280] The letter calls for open debate and transparency for the trade deal, which critics say will
[01:02:05.280 --> 01:02:09.520] threaten national sovereignty and increase restrictive intellectual property laws.
[01:02:09.520 --> 01:02:13.240] Previous versions of the secret text have been leaked by WikiLeaks.
[01:02:13.240 --> 01:02:17.720] The coalition includes the Electronic Frontier Foundation, Fight for the Future, Food and
[01:02:17.720 --> 01:02:20.800] Water Watch, and the Government Accountability Project.
[01:02:20.800 --> 01:02:25.160] This broadcast of the Liberty Bee is made possible by Central Texas Gun Works, your
[01:02:25.160 --> 01:02:29.000] online source for firearms, firearm accessories, and ammunition.
[01:02:29.000 --> 01:02:36.000] You may take major credit cards, and now, except Bitcoin, visit them online at Shop.CentralTexasGunWorks.com.
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[01:02:53.080 --> 01:02:57.320] This is the Liberty Bee for Friday, December 12, 2014.
[01:02:57.320 --> 01:02:59.320] Check out the website at TheLibertyBeat.com.
[01:02:59.320 --> 01:03:04.320] It's all according to the will of the Almighty.
[01:03:04.320 --> 01:03:20.320] I read His book, and it says, the cares come toward the other side, and these warmongers
[01:03:20.320 --> 01:03:26.320] come by that term right there.
[01:03:26.320 --> 01:03:28.320] Welcome back to Rule All Radio, folks.
[01:03:28.320 --> 01:03:31.320] I'm Steve Skidmore, and Randy is muted out.
[01:03:31.320 --> 01:03:43.320] I've just got a little bit left with this Wells VVAC case to go, and the reason I wanted
[01:03:43.320 --> 01:03:52.320] to bring this to the air and read this decision online is because when I read it, I saw several
[01:03:52.320 --> 01:03:55.320] fatal flaws made by the plaintiff.
[01:03:55.320 --> 01:04:04.320] He starts off in the right direction, but then he takes a direct, hard 90-degree left turn,
[01:04:04.320 --> 01:04:06.320] right turn, turn down.
[01:04:06.320 --> 01:04:10.320] He's straight off the beaten path, or straight.
[01:04:10.320 --> 01:04:13.320] It's not really a beaten path, but he's straight off the proper path.
[01:04:13.320 --> 01:04:21.320] But this case really points out a lot of common mistakes that litigants make when they're trying
[01:04:21.320 --> 01:04:29.320] to keep a roof over their head and hold those responsible for who have defrauded them.
[01:04:29.320 --> 01:04:32.320] Anyway, let's get back into this.
[01:04:32.320 --> 01:04:40.320] This is under subsection B, Notice of Acceleration.
[01:04:40.320 --> 01:04:47.320] In addition to his Show Me the Note claims, Wells alleges failure to provide proper notice
[01:04:47.320 --> 01:04:51.320] of acceleration of his debt.
[01:04:51.320 --> 01:04:58.320] He claims that the property code requires BAC to record all transfers of the lien prior
[01:04:58.320 --> 01:05:05.320] to any acceleration or collection action on the note.
[01:05:05.320 --> 01:05:13.320] Folks, that's 100% wrong as the court is going to point out in short order here.
[01:05:13.320 --> 01:05:17.320] However, mistakes the law again.
[01:05:17.320 --> 01:05:24.320] First, the current version of the property code does not contain any provision requiring
[01:05:24.320 --> 01:05:34.320] Notice of Acceleration, much less one mandating that all assignments or transfers be recorded.
[01:05:34.320 --> 01:05:39.320] See Thomas B. Compass Bank.
[01:05:39.320 --> 01:05:48.320] Second, although Texas courts have held that equity requires the creditor to send the debtor
[01:05:48.320 --> 01:05:57.320] two notices of acceleration, neither notice mandates, neither notice mandates recording
[01:05:57.320 --> 01:06:00.320] assignments of the deed of trust.
[01:06:00.320 --> 01:06:06.320] See Ogden v. Gibraltar Savings Association.
[01:06:06.320 --> 01:06:14.320] First notice must identify the default, give an opportunity to cure, and warn that the
[01:06:14.320 --> 01:06:20.320] failure to do so will result in acceleration.
[01:06:20.320 --> 01:06:28.320] The second notice must state that the creditor has accelerated the debt and that the entire
[01:06:28.320 --> 01:06:33.320] amount is due and payable.
[01:06:33.320 --> 01:06:39.320] Therefore, because Texas law does not require recording assignments of the deed of trust
[01:06:39.320 --> 01:06:51.320] before acceleration viewpoint, Wells claims is unavailing and must be dismissed.
[01:06:51.320 --> 01:06:58.320] Subsection C, which is the final subsection, suit to quiet title.
[01:06:58.320 --> 01:07:05.320] However, Wells seeks to quiet title to the property in his favor.
[01:07:05.320 --> 01:07:19.320] He alleges any party claiming an adverse interest either failed to record its interest or what
[01:07:19.320 --> 01:07:30.320] tendered a defective instrument, consequently Wells asserts that any adverse interest is
[01:07:30.320 --> 01:07:35.320] quote invalid and void, end quote.
[01:07:35.320 --> 01:07:42.320] A suit to quiet title is an equity, let me get my page situated here.
[01:07:42.320 --> 01:07:48.320] A suit to quiet title is an equitable action in which the plaintiff seeks to recover property
[01:07:48.320 --> 01:07:51.320] wrongfully with help.
[01:07:51.320 --> 01:08:00.320] The suit quote enables a holder to start that over again.
[01:08:00.320 --> 01:08:10.320] The suit enables a holder of feeblest equity to remove from his way to legal title any
[01:08:10.320 --> 01:08:18.320] unlawful hindrance having the appearance of a better right.
[01:08:18.320 --> 01:08:25.320] To quiet title in his favor, the plaintiff must allege right title and ownership in himself
[01:08:25.320 --> 01:08:37.320] or herself with sufficient contrary to, with sufficient contrary to enable, oh, that's
[01:08:37.320 --> 01:08:40.320] not contrary, let me back up.
[01:08:40.320 --> 01:08:47.320] To quiet title in his favor, the plaintiff must allege right title or ownership in himself
[01:08:47.320 --> 01:08:56.320] or herself with sufficient certainty, thank you, to enable the court to see, to see he
[01:08:56.320 --> 01:09:02.320] or she has the right of ownership that will warrant judicial interference.
[01:09:02.320 --> 01:09:09.320] In other words, the plaintiff must recover on the strength of his or her title, not the
[01:09:09.320 --> 01:09:12.320] weakness of his adversaries.
[01:09:12.320 --> 01:09:17.320] See Frick's F-R-I-C-K-S.
[01:09:17.320 --> 01:09:23.320] In this case, Wells has failed to plead a viable claim to quiet title.
[01:09:23.320 --> 01:09:31.320] The complaint contains no factual allegations whatsoever regarding the strength of Wells'
[01:09:31.320 --> 01:09:33.320] title to the property.
[01:09:33.320 --> 01:09:36.320] Keep that in mind.
[01:09:36.320 --> 01:09:44.320] It focuses entirely on the weakness of any adverse adversaries title.
[01:09:44.320 --> 01:09:57.320] Or because the Darth of factual, factual allegations, that is the lack thereof, Wells has failed
[01:09:57.320 --> 01:10:00.320] to state a claim to quiet title.
[01:10:00.320 --> 01:10:09.320] Because cites a case here, a case here accord the Santi versus mortgage electronic registration
[01:10:09.320 --> 01:10:16.320] system, because the plaintiff has failed to allege that he owns superior title to the
[01:10:16.320 --> 01:10:20.320] property, his claim to quiet title should be dismissed.
[01:10:20.320 --> 01:10:23.320] Conclusion.
[01:10:23.320 --> 01:10:33.320] Last paragraph, Federal Rules of Civil Procedure 8 set out liberal pleading standards.
[01:10:33.320 --> 01:10:40.320] The plaintiff need only allege facts that, if true, would support recovery under a valid
[01:10:40.320 --> 01:10:43.320] legal theory.
[01:10:43.320 --> 01:10:52.320] Wells' complaint, however, fails to cross this low threshold because his legal theories
[01:10:52.320 --> 01:10:59.320] are unavailing and his factual allegations are inadequate.
[01:10:59.320 --> 01:11:06.320] Accordingly, it is ordered that the motion to be dismissed be granted and that this action
[01:11:06.320 --> 01:11:10.320] is dismissed without prejudice.
[01:11:10.320 --> 01:11:12.320] That's nice.
[01:11:12.320 --> 01:11:22.320] It is further ordered that any pending motions not previously ruled upon by the court are
[01:11:22.320 --> 01:11:23.320] denied.
[01:11:23.320 --> 01:11:28.320] That's the sad end of that one.
[01:11:28.320 --> 01:11:38.320] And all he would have had to do was, in his statement of facts, state that on this day,
[01:11:38.320 --> 01:11:45.920] at this time, there was filed in the public record, or in the county recorder's office,
[01:11:45.920 --> 01:11:58.680] a warranty deed naming plaintiff or defendant, whoever Wells was, as the true holder in due
[01:11:58.680 --> 01:12:10.600] course of the property, said warranty deed, resides in the court record, undisputed.
[01:12:10.600 --> 01:12:25.200] That establishes the strength of his title, Undisputed Warranty Deed, and he'd do that.
[01:12:25.200 --> 01:12:27.400] Did you ask why didn't he do that?
[01:12:27.400 --> 01:12:29.360] Yeah, why would he not do that?
[01:12:29.360 --> 01:12:32.560] That's really simple.
[01:12:32.560 --> 01:12:40.560] I have the warranty deed, I own the property, my warranty deed is undisputed, and that
[01:12:40.560 --> 01:12:47.480] now you're coming along making these claims, and I thought when I was listening to that,
[01:12:47.480 --> 01:12:56.800] the federal judge was misconstruing quiet title for trespass to try title, or he was
[01:12:56.800 --> 01:13:01.920] talking about was trespass to try title.
[01:13:01.920 --> 01:13:03.920] The judge was?
[01:13:03.920 --> 01:13:04.920] The judge was.
[01:13:04.920 --> 01:13:05.920] The judge who was?
[01:13:05.920 --> 01:13:06.920] Okay.
[01:13:06.920 --> 01:13:12.840] The judge, he was talking about trespass to try title, and trespass to try title is only
[01:13:12.840 --> 01:13:20.880] in Texas, and he's misconstruing quiet title as it applies in other states.
[01:13:20.880 --> 01:13:30.400] In Texas, you have quiet title, that's to remove a cloud on the title, but once a document
[01:13:30.400 --> 01:13:37.360] has been filed in the record that purports to transfer the title to someone else, now
[01:13:37.360 --> 01:13:46.040] you come in and say, this guy claims to hold the property, I claim to hold the property,
[01:13:46.040 --> 01:13:52.120] my claim is stronger than his claim.
[01:13:52.120 --> 01:14:01.640] As we have two, if say someone has filed a claim against the property, like an assignment
[01:14:01.640 --> 01:14:12.800] of the security instrument, it notices the public that this person here has standing
[01:14:12.800 --> 01:14:18.160] and to enforce the security instrument.
[01:14:18.160 --> 01:14:24.720] Now then try to take the property away from me, so claiming that my claim to the property
[01:14:24.720 --> 01:14:29.960] is stronger than his claim to the property would be nonsense, because he's not putting
[01:14:29.960 --> 01:14:36.920] in a claim that he holds the property, he's just clouded my title.
[01:14:36.920 --> 01:14:44.960] And I can come in with quiet title and say, this claim against the title is improper for
[01:14:44.960 --> 01:14:52.640] these reasons, and I don't have to prove that my claim is stronger than his claim.
[01:14:52.640 --> 01:14:57.760] But once there's a foreclosure and there's a substitute trustees deed, now I use trespass
[01:14:57.760 --> 01:15:03.880] to try a title to challenge the strength of the trustees deed against the strength of
[01:15:03.880 --> 01:15:04.880] my warranty deed.
[01:15:04.880 --> 01:15:05.880] Does that make sense, Steve?
[01:15:05.880 --> 01:15:10.680] Or does that fit with how you know the law to be?
[01:15:10.680 --> 01:15:14.680] To a great degree, yeah.
[01:15:14.680 --> 01:15:19.840] Now I was listening to it, you know, in other states they don't have trespass to try a title,
[01:15:19.840 --> 01:15:25.760] they just have quiet title, and quiet title encompasses both of those.
[01:15:25.760 --> 01:15:34.200] But even if he was considering other states, he's completely ignoring the fact that you
[01:15:34.200 --> 01:15:44.000] can go in and make a claim that any filing in the record that affects title is improperly
[01:15:44.000 --> 01:15:45.000] filed.
[01:15:45.000 --> 01:15:53.440] It doesn't mean it's taking your property away from you, like when the Housing Association
[01:15:53.440 --> 01:16:00.960] files a lien against your property, it doesn't take it away from you, they just put a cloud
[01:16:00.960 --> 01:16:01.960] on it.
[01:16:01.960 --> 01:16:05.320] They can make a claim against it, and you can go in there and claim that it's crap without
[01:16:05.320 --> 01:16:10.240] having to show that because they're not actually taking your property.
[01:16:10.240 --> 01:16:12.520] Okay, I think I'm rambling at this point.
[01:16:12.520 --> 01:16:17.120] Have I beat this horse to death?
[01:16:17.120 --> 01:16:24.920] For the most part, I see we're coming up to a break here real quick, and I also see we've
[01:16:24.920 --> 01:16:30.840] got a couple of callers, we've got James in Texas, John in Texas, the music should start
[01:16:30.840 --> 01:16:31.840] now.
[01:16:31.840 --> 01:16:38.720] Yes, wait a minute, Carlos, you're still out there, will you call back in, we were on earlier,
[01:16:38.720 --> 01:16:43.720] and if you'll call back in, we'll put you on the top of the board.
[01:16:43.720 --> 01:16:51.520] Well, I was going to say, I know James is probably on point, so...
[01:16:51.520 --> 01:16:55.360] Okay, we'll put you second on the board.
[01:16:55.360 --> 01:17:01.000] We'll be right back, folks, stay tuned.
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[01:19:51.960 --> 01:20:16.960] I ain't gonna drop me with that same old sucker punch
[01:20:16.960 --> 01:20:20.960] I get it now, but then I must come in, now it's too late
[01:20:20.960 --> 01:20:24.960] Back then you had room to move, but now you're...
[01:20:24.960 --> 01:20:26.960] Welcome back to Rule on Radio, folks
[01:20:26.960 --> 01:20:28.960] I ain't gonna get me with that same old sucker punch
[01:20:28.960 --> 01:20:31.960] You get 4-6, 1984's number, you can dial to get in line
[01:20:31.960 --> 01:20:34.960] behind James in Texas and John in Texas
[01:20:34.960 --> 01:20:36.960] Let's go with James, I got a good feeling that
[01:20:36.960 --> 01:20:39.960] James is gonna be on point
[01:20:39.960 --> 01:20:43.960] This case probably made you mad, didn't it, James?
[01:20:43.960 --> 01:20:47.960] No, it did not make me mad, it just goes to the point
[01:20:47.960 --> 01:20:51.960] that hopefully I don't stutter like Steve Stutters
[01:20:51.960 --> 01:20:57.960] We're gonna go with a little deposition to Randy
[01:20:57.960 --> 01:20:59.960] and I'm gonna cut this short
[01:20:59.960 --> 01:21:02.960] and I'm gonna use it as a deposition method
[01:21:02.960 --> 01:21:06.960] Randy, on a security instrument
[01:21:06.960 --> 01:21:09.960] The security instrument has a coveted in there
[01:21:09.960 --> 01:21:11.960] that says they will comply with all law
[01:21:11.960 --> 01:21:14.960] Would that be correct?
[01:21:14.960 --> 01:21:17.960] Covenant 16
[01:21:17.960 --> 01:21:23.960] Okay, yep, we out, but is that a yes or no?
[01:21:23.960 --> 01:21:26.960] That is an absolute yes
[01:21:26.960 --> 01:21:30.960] Okay, so we know that when the security instrument
[01:21:30.960 --> 01:21:35.960] is filed a record, most likely the mortgage brokers
[01:21:35.960 --> 01:21:37.960] and all of them complied with the law
[01:21:37.960 --> 01:21:41.960] and it was put into the record lawfully
[01:21:41.960 --> 01:21:44.960] Would you agree with that?
[01:21:44.960 --> 01:21:50.960] Did you say it was put into the record lawfully or unlawfully?
[01:21:50.960 --> 01:21:55.960] Most of the time it's put into the record lawfully
[01:21:55.960 --> 01:21:58.960] Yes, I think so
[01:21:58.960 --> 01:22:00.960] I'd say yes also
[01:22:00.960 --> 01:22:03.960] Okay, now, we're gonna look at private
[01:22:03.960 --> 01:22:05.960] We're gonna look at it at a private trust
[01:22:05.960 --> 01:22:07.960] because it's easier to explain that way
[01:22:07.960 --> 01:22:12.960] and it lets me take a shorter time to explain
[01:22:12.960 --> 01:22:17.960] When they sit there and take that mortgage loan
[01:22:17.960 --> 01:22:20.960] they sell it to an aggregator
[01:22:20.960 --> 01:22:22.960] and that aggregator sit there
[01:22:22.960 --> 01:22:25.960] and starts pulling all these things together
[01:22:25.960 --> 01:22:30.960] Now that aggregator, after he sells it to the depositor
[01:22:30.960 --> 01:22:34.960] routinely that aggregator disappears from the record
[01:22:34.960 --> 01:22:36.960] He goes away, he disappears
[01:22:36.960 --> 01:22:38.960] He's no longer a functioning company
[01:22:38.960 --> 01:22:42.960] So, can you sue somebody for breach of contract
[01:22:42.960 --> 01:22:47.960] that no longer exists?
[01:22:47.960 --> 01:22:52.960] Okay, but make sure I understand the question
[01:22:52.960 --> 01:22:55.960] Can you sue someone for breach of contract
[01:22:55.960 --> 01:22:58.960] if they no longer exist?
[01:22:58.960 --> 01:23:00.960] Correct
[01:23:00.960 --> 01:23:05.960] No with a caveat
[01:23:05.960 --> 01:23:08.960] Okay, I'm gonna say no
[01:23:08.960 --> 01:23:12.960] Okay, now we're gonna look at the aggregator
[01:23:12.960 --> 01:23:14.960] has breached the contract
[01:23:14.960 --> 01:23:17.960] but he no longer exists and he's no longer sueable
[01:23:17.960 --> 01:23:19.960] so you can't sue for breach of contract
[01:23:19.960 --> 01:23:21.960] There's nobody to sue
[01:23:21.960 --> 01:23:25.960] Okay, hold on, hold on, that I don't agree with
[01:23:25.960 --> 01:23:29.960] Now we go back to the holder rule
[01:23:29.960 --> 01:23:33.960] No, no, no, we go to the principles of memo that
[01:23:33.960 --> 01:23:39.960] the aggregator can't sell a right
[01:23:39.960 --> 01:23:42.960] to something that he has not perfected himself
[01:23:42.960 --> 01:23:45.960] Now we get into jurisdiction and standing
[01:23:45.960 --> 01:23:49.960] Jurisdiction is usually a court
[01:23:49.960 --> 01:23:53.960] jurisdiction is usually granted by statutes
[01:23:53.960 --> 01:23:56.960] So, the court has jurisdiction
[01:23:56.960 --> 01:23:59.960] but standing, you can take any national bank
[01:23:59.960 --> 01:24:01.960] and under the National Banking Act
[01:24:01.960 --> 01:24:06.960] they pretty well have standing to sue in a court
[01:24:06.960 --> 01:24:08.960] but there's one thing that's missing
[01:24:08.960 --> 01:24:11.960] capacity, the rights to sue for the relief
[01:24:11.960 --> 01:24:14.960] that they want because it doesn't exist
[01:24:14.960 --> 01:24:16.960] because there's a breach of contract
[01:24:16.960 --> 01:24:19.960] that you've got nobody to sue for
[01:24:19.960 --> 01:24:22.960] Okay, good, now that was when you said
[01:24:22.960 --> 01:24:24.960] the court has standing
[01:24:24.960 --> 01:24:28.960] This is kind of a subtle issue I'd like to address
[01:24:28.960 --> 01:24:31.960] Yes, the court has, I'm sorry, I said standing
[01:24:31.960 --> 01:24:33.960] I meant subject matter jurisdiction
[01:24:33.960 --> 01:24:37.960] The court has subject matter jurisdiction
[01:24:37.960 --> 01:24:43.960] over this kind of a case in this jurisdiction
[01:24:43.960 --> 01:24:46.960] So the question becomes
[01:24:46.960 --> 01:24:53.960] does the plaintiff have the capacity
[01:24:53.960 --> 01:24:55.960] to invoke that subject matter jurisdiction
[01:24:55.960 --> 01:24:57.960] So you got there, so I'm glad
[01:24:57.960 --> 01:25:00.960] No, no, no, no, no, no, no, no, no, no, no, no
[01:25:00.960 --> 01:25:04.960] A national bank association as trustee
[01:25:04.960 --> 01:25:07.960] they have under the National Banking Rights
[01:25:07.960 --> 01:25:10.960] they have the standing
[01:25:10.960 --> 01:25:13.960] and the standing to invoke
[01:25:13.960 --> 01:25:16.960] a subject matter jurisdiction of a court
[01:25:16.960 --> 01:25:17.960] They have that right
[01:25:17.960 --> 01:25:19.960] Well, they may have standing
[01:25:19.960 --> 01:25:21.960] but do they have capacity?
[01:25:21.960 --> 01:25:25.960] They don't have the capacity and right
[01:25:25.960 --> 01:25:28.960] They don't have the capacity and the right
[01:25:28.960 --> 01:25:31.960] to sue for the release that they're asking for
[01:25:31.960 --> 01:25:34.960] That's what people don't get right
[01:25:34.960 --> 01:25:37.960] Yes, and that's exactly, yeah, and Steve
[01:25:37.960 --> 01:25:42.960] I was leading right to him saying exactly that
[01:25:42.960 --> 01:25:46.960] You can appear to be the right guy
[01:25:46.960 --> 01:25:51.960] You can appear to have agency and standing
[01:25:51.960 --> 01:25:54.960] but if you breach the contract
[01:25:54.960 --> 01:25:57.960] you don't have capacity
[01:25:57.960 --> 01:25:59.960] Is that where we're going?
[01:25:59.960 --> 01:26:02.960] Am I paraphrasing this right, James?
[01:26:02.960 --> 01:26:06.960] No, what James is saying is that
[01:26:06.960 --> 01:26:07.960] there's a breach of contract
[01:26:07.960 --> 01:26:09.960] but you can't sue him for it
[01:26:09.960 --> 01:26:12.960] because the party that you could sue
[01:26:12.960 --> 01:26:14.960] is no longer a party
[01:26:14.960 --> 01:26:17.960] No, of course you can
[01:26:17.960 --> 01:26:22.960] because in the matter of a consumer note
[01:26:22.960 --> 01:26:24.960] or a consumer obligation
[01:26:24.960 --> 01:26:27.960] No, no, no, we're not talking about the note
[01:26:27.960 --> 01:26:28.960] in the obligation
[01:26:28.960 --> 01:26:30.960] We're talking about the alternate means
[01:26:30.960 --> 01:26:32.960] of collecting for that
[01:26:32.960 --> 01:26:37.960] identifiable obligation that's evidenced by a note
[01:26:37.960 --> 01:26:41.960] But this all goes to the Holder Rule
[01:26:41.960 --> 01:26:43.960] That's the note
[01:26:43.960 --> 01:26:45.960] We're talking about the security instrument
[01:26:45.960 --> 01:26:49.960] That's a total different set of laws
[01:26:53.960 --> 01:26:55.960] Clarify
[01:26:55.960 --> 01:26:57.960] Yeah, make them access
[01:26:57.960 --> 01:27:00.960] The note is a...
[01:27:00.960 --> 01:27:02.960] They come up with a note
[01:27:02.960 --> 01:27:05.960] It's being an article-free note
[01:27:05.960 --> 01:27:08.960] I mean, and they do it by negotiation
[01:27:08.960 --> 01:27:11.960] by endorsing it
[01:27:11.960 --> 01:27:14.960] We're not going to get into a payer-bearer in this
[01:27:14.960 --> 01:27:17.960] because that's a battle in itself
[01:27:17.960 --> 01:27:22.960] But the note is an instrument by itself
[01:27:22.960 --> 01:27:26.960] The security instrument is an instrument by itself
[01:27:26.960 --> 01:27:30.960] Okay, we're not going to just say
[01:27:30.960 --> 01:27:33.960] we don't owe somebody on the note
[01:27:33.960 --> 01:27:35.960] We're just going to say these people
[01:27:35.960 --> 01:27:38.960] don't have a right to ask for the relief
[01:27:38.960 --> 01:27:39.960] that they want
[01:27:39.960 --> 01:27:42.960] because there's a breach of that contract
[01:27:42.960 --> 01:27:46.960] that they bought from somebody
[01:27:46.960 --> 01:27:48.960] That's the principle of the Nemo debt
[01:27:48.960 --> 01:27:52.960] They bought a breach contract
[01:27:52.960 --> 01:27:58.960] Okay, that's where I was going with the Holder Rule
[01:27:58.960 --> 01:28:00.960] The Holder Rule
[01:28:00.960 --> 01:28:03.960] If you secure a contract
[01:28:03.960 --> 01:28:07.960] and someone else who previously held the contract
[01:28:07.960 --> 01:28:10.960] violated the covenant of the contract
[01:28:10.960 --> 01:28:15.960] then you are responsible
[01:28:15.960 --> 01:28:18.960] or equally liable for a claim
[01:28:18.960 --> 01:28:21.960] as the person who did the violation
[01:28:21.960 --> 01:28:26.960] This is a special statute that applies only to consumer notes
[01:28:26.960 --> 01:28:29.960] I'm not talking about the note
[01:28:29.960 --> 01:28:31.960] I'm talking about the security instrument
[01:28:31.960 --> 01:28:35.960] The security instrument only secures the note
[01:28:35.960 --> 01:28:38.960] If the note is void
[01:28:38.960 --> 01:28:41.960] the security instrument cannot be
[01:28:41.960 --> 01:28:45.960] No one can take a fraudulent note
[01:28:45.960 --> 01:28:52.960] and exercise the privileges granted
[01:28:52.960 --> 01:28:56.960] in a security instrument based on fraud
[01:28:56.960 --> 01:28:59.960] Okay, but I'm looking at good faith
[01:28:59.960 --> 01:29:01.960] Somebody may owe on a note
[01:29:01.960 --> 01:29:03.960] and that may be under good faith
[01:29:03.960 --> 01:29:05.960] that they owe on a note
[01:29:05.960 --> 01:29:08.960] but the people that have that note
[01:29:08.960 --> 01:29:11.960] no longer have an alternate right
[01:29:11.960 --> 01:29:13.960] to collect value for that note
[01:29:13.960 --> 01:29:15.960] by going to the property
[01:29:15.960 --> 01:29:17.960] I'm not going to fight for it
[01:29:17.960 --> 01:29:19.960] Okay, hold on James
[01:29:19.960 --> 01:29:23.960] Sometimes when we address these issues
[01:29:23.960 --> 01:29:27.960] we have a hard time separating out the different issues
[01:29:27.960 --> 01:29:29.960] and I think that's what we're having here
[01:29:29.960 --> 01:29:32.960] I'm going to back out for the moment
[01:29:32.960 --> 01:29:36.960] and I'll hold the rules for later
[01:29:36.960 --> 01:29:40.960] So go ahead, I'm going to shut up at the moment
[01:29:40.960 --> 01:29:42.960] Well, here we've got some music in the background
[01:29:42.960 --> 01:29:44.960] so we're taking a break, folks
[01:29:44.960 --> 01:29:48.960] 512-646-1984
[01:29:48.960 --> 01:29:49.960] Got all that number
[01:29:49.960 --> 01:29:51.960] You can get in behind James and John
[01:29:51.960 --> 01:29:53.960] We'll be right back after this break
[01:29:53.960 --> 01:29:54.960] Stay tuned
[01:29:54.960 --> 01:29:55.960] Stay there James
[01:29:55.960 --> 01:30:02.960] We'll be right back
[01:30:26.960 --> 01:30:28.960] So protect your rights
[01:30:28.960 --> 01:30:30.960] Say no to surveillance
[01:30:30.960 --> 01:30:32.960] and keep your information to yourself
[01:30:32.960 --> 01:30:34.960] Privacy, it's worth hanging on to
[01:30:34.960 --> 01:30:36.960] This public service announcement
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[01:30:45.960 --> 01:30:47.960] Historian Peter Kittson
[01:30:47.960 --> 01:30:49.960] studies antique census forms
[01:30:49.960 --> 01:30:50.960] and church registers
[01:30:50.960 --> 01:30:52.960] looking for occupational facts
[01:30:52.960 --> 01:30:54.960] that date back centuries
[01:30:54.960 --> 01:30:55.960] He's a boring job
[01:30:55.960 --> 01:30:57.960] but when he found a parchment from 1819
[01:30:57.960 --> 01:31:01.960] by the very reverent Dr. Peter Scrimshire Wood
[01:31:01.960 --> 01:31:03.960] he actually laughed out loud
[01:31:03.960 --> 01:31:05.960] The reverent had enlightened his boring job
[01:31:05.960 --> 01:31:07.960] with some very creative job titles
[01:31:07.960 --> 01:31:10.960] including Night of the Needle for a tailor
[01:31:10.960 --> 01:31:12.960] Beggar Maker for a government official
[01:31:12.960 --> 01:31:15.960] and Master of the Burnt Crust for a baker
[01:31:15.960 --> 01:31:18.960] He even wrote Mantrap for a woman of questionable morals
[01:31:18.960 --> 01:31:20.960] It's a 200-year-old joke
[01:31:20.960 --> 01:31:22.960] that gets a laugh even today
[01:31:22.960 --> 01:31:23.960] I'm Dr. Catherine Albrecht
[01:31:23.960 --> 01:31:27.960] More news and information at CatherineAlbrecht.com
[01:31:53.960 --> 01:31:55.960] I'm the father who lost his son
[01:31:55.960 --> 01:31:56.960] We are Americans
[01:31:56.960 --> 01:31:58.960] and we deserve the true go-to
[01:31:58.960 --> 01:32:01.960] RememberBuilding7.org today
[01:32:01.960 --> 01:32:03.960] After work, I'm so tired
[01:32:03.960 --> 01:32:05.960] that I want to be left alone to sleep
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[01:32:06.960 --> 01:32:07.960] Who are you?
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[01:32:09.960 --> 01:32:10.960] when you felt healthy and young
[01:32:10.960 --> 01:32:12.960] and everything worked on your body
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[01:32:39.960 --> 01:32:41.960] You can be your own doctor
[01:32:41.960 --> 01:32:43.960] I want to keep you out of the hospital
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[01:32:45.960 --> 01:32:46.960] Why are you so nice to me?
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[01:32:47.960 --> 01:32:48.960] You're out of shape
[01:32:48.960 --> 01:32:50.960] and I need a better looking future
[01:32:50.960 --> 01:32:53.960] Call 888-910-4367
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[01:33:03.960 --> 01:33:05.960] Looking for some truth?
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[01:33:06.960 --> 01:33:18.960] on LogosRadioNetwork.com
[01:33:37.960 --> 01:33:42.960] The wicked dumb with temptation
[01:33:42.960 --> 01:33:48.960] They're trying to buy the whole place
[01:33:48.960 --> 01:33:53.960] They want to poison the nation
[01:33:53.960 --> 01:33:59.960] Because they're falling from grace
[01:33:59.960 --> 01:34:05.960] I will not bring you back to life
[01:34:05.960 --> 01:34:10.960] You can't act that way
[01:34:10.960 --> 01:34:14.960] They got this problem they're dreaming of
[01:34:14.960 --> 01:34:17.960] I'm confusing everything
[01:34:17.960 --> 01:34:20.960] James
[01:34:20.960 --> 01:34:23.960] I didn't mean to be pedantic
[01:34:23.960 --> 01:34:27.960] You know I sit here and I try to listen to
[01:34:27.960 --> 01:34:30.960] what questions I'm listening to going to have
[01:34:30.960 --> 01:34:32.960] I know this subject pretty well
[01:34:32.960 --> 01:34:34.960] and Steve knows it well
[01:34:34.960 --> 01:34:38.960] The most difficult thing for us
[01:34:38.960 --> 01:34:41.960] is what not to tell
[01:34:41.960 --> 01:34:44.960] to give enough information so it makes sense
[01:34:44.960 --> 01:34:47.960] and make sure that when we create a question
[01:34:47.960 --> 01:34:49.960] in the mind of our listener
[01:34:49.960 --> 01:34:50.960] that we answer that right away
[01:34:50.960 --> 01:34:52.960] otherwise we lose the listener
[01:34:52.960 --> 01:34:54.960] and that's why I jumped in earlier
[01:34:54.960 --> 01:34:57.960] and I think all I did was confusing
[01:34:57.960 --> 01:34:59.960] so I'm going to back out of here
[01:34:59.960 --> 01:35:03.960] and let you finish without interrupting you any further
[01:35:03.960 --> 01:35:05.960] Randy, you're just fine
[01:35:05.960 --> 01:35:08.960] You didn't bother me at all
[01:35:08.960 --> 01:35:11.960] I'm trying not to confuse everyone
[01:35:11.960 --> 01:35:13.960] My concern with the whole rule is
[01:35:13.960 --> 01:35:16.960] when those guys do all kind of crappy stuff
[01:35:16.960 --> 01:35:18.960] on the front end
[01:35:18.960 --> 01:35:21.960] because of the whole rule in this special circumstance
[01:35:21.960 --> 01:35:22.960] where it's consumer note
[01:35:22.960 --> 01:35:24.960] you can drag that down with you
[01:35:24.960 --> 01:35:26.960] and you're trying to talk to something
[01:35:26.960 --> 01:35:29.960] more specific and less general
[01:35:29.960 --> 01:35:30.960] than I'm talking to
[01:35:30.960 --> 01:35:31.960] and I think I'm confusing
[01:35:31.960 --> 01:35:35.960] so I'm going to shut up and let you proceed
[01:35:35.960 --> 01:35:37.960] Okay, I'm going to try to
[01:35:37.960 --> 01:35:38.960] during the break
[01:35:38.960 --> 01:35:41.960] I've tried to come up with an analogy for this
[01:35:41.960 --> 01:35:44.960] and the best way I can do it is a bowl of beans
[01:35:44.960 --> 01:35:48.960] You sit there and you cooked up this bowl of beans
[01:35:48.960 --> 01:35:53.960] and you gave the bowl of beans to the aggregator
[01:35:53.960 --> 01:35:54.960] They breached the contract
[01:35:54.960 --> 01:35:55.960] They broke the bowl
[01:35:55.960 --> 01:35:58.960] All they had to do was sell the beans
[01:35:58.960 --> 01:36:01.960] The bowl, they broke
[01:36:01.960 --> 01:36:02.960] But they're dead
[01:36:02.960 --> 01:36:04.960] They can't sell you for a broken bowl
[01:36:04.960 --> 01:36:07.960] or a false bowl like you can't sell them
[01:36:07.960 --> 01:36:10.960] But somebody's got those beans
[01:36:10.960 --> 01:36:12.960] but those beans are the note
[01:36:12.960 --> 01:36:15.960] and the bowl is the security instrument
[01:36:15.960 --> 01:36:18.960] that was breached and broken
[01:36:18.960 --> 01:36:21.960] and that's where they don't have the capacity
[01:36:21.960 --> 01:36:24.960] and rights to come after the bowl
[01:36:24.960 --> 01:36:27.960] They may be able to prove up the note
[01:36:27.960 --> 01:36:30.960] to come after the beans
[01:36:30.960 --> 01:36:32.960] but the bowl is gone
[01:36:32.960 --> 01:36:33.960] It's destroyed
[01:36:33.960 --> 01:36:36.960] Okay, now I got it
[01:36:36.960 --> 01:36:40.960] When I created the security instrument
[01:36:40.960 --> 01:36:44.960] granted you certain privileges
[01:36:44.960 --> 01:36:48.960] on the condition that you abide by these restrictions
[01:36:48.960 --> 01:36:51.960] You breached one of those restrictions
[01:36:51.960 --> 01:36:56.960] Now you're coming along trying to claim the privileges
[01:36:56.960 --> 01:37:00.960] Right!
[01:37:00.960 --> 01:37:04.960] Okay, now I'll shut up
[01:37:04.960 --> 01:37:07.960] I'll go away and let the rest of your covers call in
[01:37:07.960 --> 01:37:09.960] and we'll just see where this goes
[01:37:09.960 --> 01:37:16.960] like your 11 USC 524 went last week
[01:37:16.960 --> 01:37:20.960] Yes, and James, I wanted to give you that
[01:37:20.960 --> 01:37:21.960] Thank you
[01:37:21.960 --> 01:37:25.960] And just for the record, Steve and I on the break
[01:37:25.960 --> 01:37:27.960] we're talking about this
[01:37:27.960 --> 01:37:32.960] and we need to get you on as a guest
[01:37:32.960 --> 01:37:34.960] where you have more time
[01:37:34.960 --> 01:37:37.960] and where you can give us a good overview
[01:37:37.960 --> 01:37:42.960] of this subject from your learning perspective
[01:37:42.960 --> 01:37:44.960] Steve knows what I'm doing
[01:37:44.960 --> 01:37:49.960] so let's look at it after a few more days
[01:37:49.960 --> 01:37:51.960] Okay, thank you
[01:37:51.960 --> 01:37:56.960] We'll try to plan on scheduling you as a guest
[01:37:56.960 --> 01:37:59.960] sometime in the near future
[01:37:59.960 --> 01:38:00.960] Good enough to me
[01:38:00.960 --> 01:38:03.960] and I'm going to let y'all go and get on to your other callers
[01:38:03.960 --> 01:38:05.960] Thank you, James
[01:38:05.960 --> 01:38:09.960] Thank you for calling in by James
[01:38:09.960 --> 01:38:14.960] Now let's go to John in Texas
[01:38:14.960 --> 01:38:17.960] John, starting to keep you on waiting so long
[01:38:17.960 --> 01:38:19.960] What do you got for us tonight?
[01:38:19.960 --> 01:38:23.960] Well, I talked to Randy last Friday
[01:38:23.960 --> 01:38:29.960] I'm sorry, let me extend my condolences to you now
[01:38:29.960 --> 01:38:33.960] Okay
[01:38:33.960 --> 01:38:35.960] John, you there?
[01:38:35.960 --> 01:38:36.960] Yeah
[01:38:36.960 --> 01:38:38.960] Okay, go ahead
[01:38:38.960 --> 01:38:40.960] Okay, here's really the skinny of it
[01:38:40.960 --> 01:38:46.960] I filed for bankruptcy the 31st of January of this year
[01:38:46.960 --> 01:38:51.960] to stop the foreclosure that's on February the 4th
[01:38:51.960 --> 01:38:54.960] Let me pause you right there, John
[01:38:54.960 --> 01:38:57.960] John, let me pause you right there
[01:38:57.960 --> 01:39:00.960] Did you file bankruptcy prior to the foreclosure
[01:39:00.960 --> 01:39:02.960] or post foreclosure?
[01:39:02.960 --> 01:39:06.960] Okay, hold on Steve, a word of warning
[01:39:06.960 --> 01:39:09.960] We're talking to a sleeper here
[01:39:09.960 --> 01:39:10.960] Okay
[01:39:10.960 --> 01:39:15.960] I think he knows more about this subject than we do
[01:39:15.960 --> 01:39:17.960] It's fine, I'm just curious
[01:39:17.960 --> 01:39:23.960] Yes Steve, John has really done his homework
[01:39:23.960 --> 01:39:25.960] Okay
[01:39:25.960 --> 01:39:28.960] I'll come with John
[01:39:28.960 --> 01:39:34.960] Okay, the foreclosure was scheduled for the 4th of February
[01:39:34.960 --> 01:39:36.960] and I filed it three or four days before
[01:39:36.960 --> 01:39:38.960] and I stopped it
[01:39:38.960 --> 01:39:42.960] I filed chapter 13
[01:39:42.960 --> 01:39:45.960] about a month later
[01:39:45.960 --> 01:39:52.960] I filed a conversion from a 13 to a 7
[01:39:52.960 --> 01:39:55.960] Well, okay
[01:39:55.960 --> 01:39:59.960] When I converted to a 7
[01:39:59.960 --> 01:40:07.960] I did not put any lien holders on the scheduled health
[01:40:07.960 --> 01:40:11.960] but I also took it a step further
[01:40:11.960 --> 01:40:19.960] and I put the property with the exempt on the scheduled seat
[01:40:19.960 --> 01:40:22.960] Now then, the reason I did that
[01:40:22.960 --> 01:40:27.960] I signed a promissory note before
[01:40:27.960 --> 01:40:33.960] it got to be a federal and the state investment security
[01:40:33.960 --> 01:40:38.960] It was $82,900
[01:40:38.960 --> 01:40:44.960] Okay, the trustee before the scheduled foreclosure
[01:40:44.960 --> 01:40:50.960] he lowered the price to $32,500
[01:40:50.960 --> 01:40:55.960] and he advertised that nationally and to all the world
[01:40:55.960 --> 01:41:05.960] Well, I paid them $51,888.43
[01:41:05.960 --> 01:41:08.960] Well, things rocked along and it went real smooth
[01:41:08.960 --> 01:41:10.960] Nobody showed up
[01:41:10.960 --> 01:41:14.960] Nobody filed a proof of claim
[01:41:14.960 --> 01:41:19.960] and it was discharged the 23rd of June
[01:41:19.960 --> 01:41:23.960] Wait a minute, 23rd of July
[01:41:23.960 --> 01:41:27.960] Well, here comes this attorney firm out of Dallas
[01:41:27.960 --> 01:41:30.960] named Barnett Dassey-Flapper and Turner and Engler
[01:41:30.960 --> 01:41:32.960] whatever it is
[01:41:32.960 --> 01:41:36.960] Yeah, Brian Engler lives here in Austin
[01:41:36.960 --> 01:41:38.960] He's the guy that we meet for it now
[01:41:38.960 --> 01:41:44.960] Barrett Dassey-Flapper and Kiss My Behind
[01:41:44.960 --> 01:41:46.960] Barrett Dassey-Flapper and Turner and Engler
[01:41:46.960 --> 01:41:49.960] or Barnett Friggin-Turkin and Engler
[01:41:49.960 --> 01:41:51.960] Sorry, I just had to do that
[01:41:51.960 --> 01:41:53.960] I'm sorry, John, go ahead
[01:41:53.960 --> 01:41:55.960] Okay
[01:41:55.960 --> 01:41:58.960] What pretend I didn't say that?
[01:41:58.960 --> 01:42:02.960] They gave me a notice that they were going to foreclose
[01:42:02.960 --> 01:42:06.960] and it was going to be December the 2nd last week
[01:42:06.960 --> 01:42:09.960] or whatever it was
[01:42:09.960 --> 01:42:13.960] Well, I went down and I filed before that
[01:42:13.960 --> 01:42:17.960] what's called a reopen a closed bankruptcy
[01:42:17.960 --> 01:42:23.960] and the second stage of it is to reinstate the automatic stay
[01:42:23.960 --> 01:42:26.960] It was ex-part-time
[01:42:26.960 --> 01:42:30.960] Well, I do that, but for some reason
[01:42:30.960 --> 01:42:33.960] the court clerk, not the clerk now
[01:42:33.960 --> 01:42:38.960] the little girl that's a court coordinator
[01:42:38.960 --> 01:42:43.960] she calls me and says that it'd be best that she give them notice
[01:42:43.960 --> 01:42:45.960] on the other side
[01:42:45.960 --> 01:42:47.960] I said, okay, I will
[01:42:47.960 --> 01:42:50.960] So I sent them notice and I have a hearing set for this Tuesday
[01:42:50.960 --> 01:42:53.960] the 16th at 1.30
[01:42:53.960 --> 01:42:57.960] Well, I filed that notice of reopening
[01:42:57.960 --> 01:43:00.960] and the deed records on the 25th
[01:43:00.960 --> 01:43:02.960] and then when I filed it in the deed records
[01:43:02.960 --> 01:43:06.960] I turned around and I told the clerk there
[01:43:06.960 --> 01:43:11.960] give me a certified copy of what I just gave you
[01:43:11.960 --> 01:43:13.960] and he did
[01:43:13.960 --> 01:43:15.960] This is on the 26th
[01:43:15.960 --> 01:43:19.960] and I filed the reopening on the 25th
[01:43:19.960 --> 01:43:22.960] Well, things rocked along
[01:43:22.960 --> 01:43:25.960] and I talked to Bank of America
[01:43:25.960 --> 01:43:27.960] the second
[01:43:27.960 --> 01:43:29.960] that was the full closure day
[01:43:29.960 --> 01:43:31.960] and I told the lady
[01:43:31.960 --> 01:43:33.960] they got the facts up there
[01:43:33.960 --> 01:43:34.960] and I sent them copies
[01:43:34.960 --> 01:43:37.960] and I sent the barnette back
[01:43:37.960 --> 01:43:39.960] and I need to stop
[01:43:39.960 --> 01:43:43.960] Yeah, hang on, I hear the music
[01:43:43.960 --> 01:43:47.960] Yeah, John will be right back to you
[01:43:47.960 --> 01:43:50.960] So those are 512-646-1984
[01:43:50.960 --> 01:43:52.960] and you can get in behind John
[01:43:52.960 --> 01:43:54.960] and I'll see Danny in Tennessee
[01:43:54.960 --> 01:43:57.960] We'll be right back to you
[01:43:59.960 --> 01:44:02.960] You feel tired when talking about important topics
[01:44:02.960 --> 01:44:04.960] like money and politics?
[01:44:04.960 --> 01:44:06.960] Are you confused by words like the Constitution
[01:44:06.960 --> 01:44:07.960] or the Federal Reserve?
[01:44:07.960 --> 01:44:08.960] What?
[01:44:08.960 --> 01:44:10.960] If so, you may be diagnosed with the deadliest disease
[01:44:10.960 --> 01:44:12.960] known today, stupidity
[01:44:12.960 --> 01:44:14.960] Hi, my name is Steve Holt
[01:44:14.960 --> 01:44:16.960] and like millions of other Americans
[01:44:16.960 --> 01:44:19.960] I was diagnosed with stupidity at an early age
[01:44:19.960 --> 01:44:21.960] and I have no idea that the number one cause of the disease
[01:44:21.960 --> 01:44:23.960] is found in almost every home in America
[01:44:23.960 --> 01:44:24.960] the television
[01:44:24.960 --> 01:44:26.960] Unfortunately, that puts most Americans
[01:44:26.960 --> 01:44:28.960] at risk of catching stupidity
[01:44:28.960 --> 01:44:29.960] but there is hope
[01:44:29.960 --> 01:44:31.960] The staff at Brave New Books have helped me
[01:44:31.960 --> 01:44:33.960] and thousands of other foxaholics
[01:44:33.960 --> 01:44:35.960] suffering from sport-zombieism recover
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[01:44:38.960 --> 01:44:40.960] and watching educational documentaries
[01:44:40.960 --> 01:44:42.960] without feeling tired or uninterested
[01:44:42.960 --> 01:44:44.960] So if you or anybody you know
[01:44:44.960 --> 01:44:45.960] suffers from stupidity
[01:44:45.960 --> 01:44:48.960] then you need to call 512-480-2508
[01:44:48.960 --> 01:44:51.960] or visit them at 1904 Guadalupe
[01:44:51.960 --> 01:44:53.960] or bravenewbookstore.com
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[01:44:59.960 --> 01:45:02.960] Are you the plaintiff or defendant in a lawsuit?
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[01:46:18.960 --> 01:46:31.960] Welcome back to rule of law radio folks
[01:46:31.960 --> 01:46:34.960] It's Friday night, we're talking to John in Texas
[01:46:34.960 --> 01:46:38.960] and John in Texas, before we go back on
[01:46:38.960 --> 01:46:41.960] I would like to ask you a question, sir
[01:46:41.960 --> 01:46:44.960] I hear that you're knowledgeable
[01:46:44.960 --> 01:46:45.960] I know that you're knowledgeable
[01:46:45.960 --> 01:46:47.960] This is not the first time you've called in
[01:46:47.960 --> 01:46:50.960] and we appreciate you calling back
[01:46:50.960 --> 01:46:52.960] But how familiar are you, sir
[01:46:52.960 --> 01:46:57.960] with 11 USC section 524
[01:46:57.960 --> 01:47:01.960] effective discharge?
[01:47:01.960 --> 01:47:03.960] I'm pretty familiar with it
[01:47:03.960 --> 01:47:08.960] Steve, when I called you about that last week
[01:47:08.960 --> 01:47:11.960] it was John I was talking to
[01:47:11.960 --> 01:47:13.960] Okay
[01:47:13.960 --> 01:47:16.960] Okay
[01:47:16.960 --> 01:47:17.960] That answers my question
[01:47:17.960 --> 01:47:20.960] So John, pick up where you left off there
[01:47:20.960 --> 01:47:22.960] Well, who was this?
[01:47:22.960 --> 01:47:26.960] You're dealing with Barrett David
[01:47:26.960 --> 01:47:28.960] Yes
[01:47:28.960 --> 01:47:29.960] Okay
[01:47:29.960 --> 01:47:31.960] Barrett and David sent me a notice
[01:47:31.960 --> 01:47:32.960] that they was going to full close
[01:47:32.960 --> 01:47:34.960] and then they full closed
[01:47:34.960 --> 01:47:36.960] and for some reason
[01:47:36.960 --> 01:47:38.960] there's another attorney firm that
[01:47:38.960 --> 01:47:41.960] Blank and Rome out of Pennsylvania
[01:47:41.960 --> 01:47:44.960] they sent me a letter also
[01:47:44.960 --> 01:47:46.960] not just full closing on that
[01:47:46.960 --> 01:47:48.960] they had all this documentation
[01:47:48.960 --> 01:47:50.960] the promise that you know
[01:47:50.960 --> 01:47:53.960] the deed of trust that I owe that
[01:47:53.960 --> 01:47:57.960] so I brought in a second attorney firm
[01:47:57.960 --> 01:48:00.960] but anyway, getting back to Tuesday morning
[01:48:00.960 --> 01:48:03.960] and I faxed so many people notices
[01:48:03.960 --> 01:48:05.960] there's a copy of that certified
[01:48:05.960 --> 01:48:07.960] that I put in the deed records
[01:48:07.960 --> 01:48:09.960] anyway, the lady at Bank America
[01:48:09.960 --> 01:48:11.960] she said you probably need to go down there
[01:48:11.960 --> 01:48:14.960] and give that notice to that trustee
[01:48:14.960 --> 01:48:16.960] that was the morning of the second
[01:48:16.960 --> 01:48:17.960] first Tuesday
[01:48:17.960 --> 01:48:19.960] so I went down there
[01:48:19.960 --> 01:48:20.960] and I gave him a notice
[01:48:20.960 --> 01:48:22.960] he said I will pull that
[01:48:22.960 --> 01:48:25.960] so they won't sell it
[01:48:25.960 --> 01:48:28.960] well, the next day this little girl
[01:48:28.960 --> 01:48:29.960] called me
[01:48:29.960 --> 01:48:33.960] she said I need to find out if there's anybody in the house
[01:48:33.960 --> 01:48:39.960] so they went ahead and full closed on me
[01:48:39.960 --> 01:48:43.960] well, the judge has not found the order yet
[01:48:43.960 --> 01:48:47.960] that's going to find out Tuesday
[01:48:47.960 --> 01:48:50.960] but there's some problems
[01:48:50.960 --> 01:48:54.960] with this loan that was made
[01:48:54.960 --> 01:48:56.960] now first of all you have to clear your mind
[01:48:56.960 --> 01:49:00.960] this is not a promissory note
[01:49:00.960 --> 01:49:02.960] it's an investment security
[01:49:02.960 --> 01:49:04.960] federal and state
[01:49:04.960 --> 01:49:09.960] okay
[01:49:09.960 --> 01:49:14.960] this loan was put into a countywide
[01:49:14.960 --> 01:49:19.960] CWABS 205-3
[01:49:19.960 --> 01:49:21.960] now then
[01:49:21.960 --> 01:49:24.960] when incidentally
[01:49:24.960 --> 01:49:28.960] this bond was never put in
[01:49:28.960 --> 01:49:33.960] to the asset backed
[01:49:33.960 --> 01:49:34.960] never put in
[01:49:34.960 --> 01:49:35.960] wait a minute
[01:49:35.960 --> 01:49:38.960] this bond
[01:49:38.960 --> 01:49:42.960] yeah, the bond, my investment security
[01:49:42.960 --> 01:49:46.960] which you call promissory note
[01:49:46.960 --> 01:49:51.960] that's the intangible
[01:49:51.960 --> 01:49:54.960] no, physically
[01:49:54.960 --> 01:49:56.960] no, okay
[01:49:56.960 --> 01:49:58.960] the difference between a tangible instrument
[01:49:58.960 --> 01:50:01.960] and an intangible instrument
[01:50:01.960 --> 01:50:03.960] you signed or let's say
[01:50:03.960 --> 01:50:06.960] that you signed a tangible instrument
[01:50:06.960 --> 01:50:10.960] that tangible instrument was photocopied
[01:50:10.960 --> 01:50:12.960] and sold
[01:50:12.960 --> 01:50:14.960] that is the intangible
[01:50:14.960 --> 01:50:16.960] okay, hold on
[01:50:16.960 --> 01:50:19.960] I've got a way to make this make sense
[01:50:19.960 --> 01:50:22.960] factoring
[01:50:22.960 --> 01:50:25.960] somebody holds the note
[01:50:25.960 --> 01:50:28.960] but the right to be paid on the note
[01:50:28.960 --> 01:50:31.960] was factored out to somebody else
[01:50:31.960 --> 01:50:33.960] I had my own business
[01:50:33.960 --> 01:50:36.960] I got a big stack of accounts receivable
[01:50:36.960 --> 01:50:39.960] but I don't have any money
[01:50:39.960 --> 01:50:41.960] so I go to the bank and say
[01:50:41.960 --> 01:50:42.960] I don't need the accounts receivable
[01:50:42.960 --> 01:50:43.960] but I don't have any money
[01:50:43.960 --> 01:50:46.960] will you buy the accounts receivable from me
[01:50:46.960 --> 01:50:47.960] and they say sure
[01:50:47.960 --> 01:50:51.960] I'll give you 80% on the dollar
[01:50:51.960 --> 01:50:53.960] I keep the accounts receivable
[01:50:53.960 --> 01:50:56.960] I keep the bills and stuff
[01:50:56.960 --> 01:50:59.960] but they get the right to be paid
[01:50:59.960 --> 01:51:02.960] because they've already paid me
[01:51:02.960 --> 01:51:04.960] at a discount and when they get paid
[01:51:04.960 --> 01:51:06.960] they collect the extra
[01:51:06.960 --> 01:51:08.960] so that's what this
[01:51:08.960 --> 01:51:11.960] all this stuff about securitizing the note
[01:51:11.960 --> 01:51:13.960] that's what's really going on
[01:51:13.960 --> 01:51:17.960] they're only selling the right to be paid
[01:51:17.960 --> 01:51:19.960] not the note itself
[01:51:19.960 --> 01:51:22.960] does that jive with your
[01:51:22.960 --> 01:51:25.960] thinking on how this works John?
[01:51:25.960 --> 01:51:27.960] no
[01:51:27.960 --> 01:51:29.960] no
[01:51:29.960 --> 01:51:32.960] by all means correct me
[01:51:32.960 --> 01:51:37.960] and you'll get a stumped the chumps award
[01:51:37.960 --> 01:51:40.960] we need to have some bumper stickers
[01:51:40.960 --> 01:51:43.960] I stumped the chump
[01:51:43.960 --> 01:51:45.960] okay
[01:51:45.960 --> 01:51:47.960] there's a 90 day window
[01:51:47.960 --> 01:51:53.960] and the cutoff was the 30th of March of 2005
[01:51:53.960 --> 01:51:55.960] okay hold on the cutoff
[01:51:55.960 --> 01:51:57.960] you're not saying generally
[01:51:57.960 --> 01:52:00.960] that's the cutoff on your particular note
[01:52:00.960 --> 01:52:03.960] the cutoff on the group
[01:52:03.960 --> 01:52:08.960] there's 11,140 notes
[01:52:08.960 --> 01:52:12.960] oh okay you're talking about the PSA
[01:52:12.960 --> 01:52:19.960] are you talking about the closing date of the remit
[01:52:19.960 --> 01:52:21.960] yes
[01:52:21.960 --> 01:52:23.960] okay
[01:52:23.960 --> 01:52:28.960] it goes physically and that includes the assignment
[01:52:28.960 --> 01:52:32.960] and it also includes all the paperwork
[01:52:32.960 --> 01:52:34.960] for 80 or 90 or 100 pages
[01:52:34.960 --> 01:52:40.960] that's physically supposed to be in the remit
[01:52:40.960 --> 01:52:45.960] okay you said it includes the assignment
[01:52:45.960 --> 01:52:46.960] yes
[01:52:46.960 --> 01:52:50.960] it clarifies so I'm sure that when you say assignment
[01:52:50.960 --> 01:52:53.960] it means the same thing I hear in my mind
[01:52:53.960 --> 01:52:55.960] when you say assignment
[01:52:55.960 --> 01:52:59.960] the assignment has to be in the date of records
[01:52:59.960 --> 01:53:02.960] the physical blue ink, wet ink
[01:53:02.960 --> 01:53:07.960] is supposed to be given to the trustee of that remit
[01:53:07.960 --> 01:53:13.960] okay is that a requirement in the trust itself
[01:53:13.960 --> 01:53:16.960] it is an requirement
[01:53:16.960 --> 01:53:20.960] and it depends upon how big
[01:53:20.960 --> 01:53:23.960] but I've got one document it's 275 pages
[01:53:23.960 --> 01:53:26.960] and the other one is 378
[01:53:26.960 --> 01:53:27.960] it's the same thing
[01:53:27.960 --> 01:53:30.960] it depends upon what size the font is
[01:53:30.960 --> 01:53:37.960] okay 2.01 of the Pullingman service agreement
[01:53:37.960 --> 01:53:43.960] requires the payee specific name
[01:53:43.960 --> 01:53:44.960] yes
[01:53:44.960 --> 01:53:46.960] Bank of New York
[01:53:46.960 --> 01:53:47.960] Mellon
[01:53:47.960 --> 01:53:49.960] Mellon
[01:53:49.960 --> 01:53:53.960] they are required to have their name
[01:53:53.960 --> 01:53:58.960] it's an unendorsed stamp
[01:53:58.960 --> 01:54:01.960] okay hold on
[01:54:01.960 --> 01:54:03.960] I'm trying not to be pedantic
[01:54:03.960 --> 01:54:08.960] but it is required to be unendorsed
[01:54:08.960 --> 01:54:11.960] what specifically
[01:54:11.960 --> 01:54:13.960] now it's supposed to be endorsed
[01:54:13.960 --> 01:54:17.960] what is it referred to
[01:54:17.960 --> 01:54:19.960] the note
[01:54:19.960 --> 01:54:24.960] on page 3 of the promissory note
[01:54:24.960 --> 01:54:26.960] it's stamped
[01:54:26.960 --> 01:54:28.960] but it's left blank
[01:54:28.960 --> 01:54:29.960] yes
[01:54:29.960 --> 01:54:33.960] it's supposed to be specific payee to like New York Bank
[01:54:33.960 --> 01:54:35.960] that's who it's supposed to be
[01:54:35.960 --> 01:54:40.960] so there's no named bearer or payee
[01:54:40.960 --> 01:54:44.960] so it's an incomplete endorsement
[01:54:44.960 --> 01:54:45.960] okay
[01:54:45.960 --> 01:54:47.960] I didn't
[01:54:47.960 --> 01:54:49.960] I'm not being pedantic here
[01:54:49.960 --> 01:54:54.960] this is really an area where it's real complex
[01:54:54.960 --> 01:54:58.960] and I'm trying to make sure that all my assumptions
[01:54:58.960 --> 01:55:03.960] about what I'm hearing is the same as your assumptions
[01:55:03.960 --> 01:55:06.960] so that we're both in the same place
[01:55:06.960 --> 01:55:08.960] well we're on the same page
[01:55:08.960 --> 01:55:10.960] if you think like I do
[01:55:10.960 --> 01:55:13.960] because these people are getting foreclosed on
[01:55:13.960 --> 01:55:15.960] and they say well here's the note right here
[01:55:15.960 --> 01:55:18.960] you're not supposed to have that note out there foreclosing
[01:55:18.960 --> 01:55:21.960] the Bank of America is foreclosing on these homes
[01:55:21.960 --> 01:55:23.960] and they don't have the authority
[01:55:23.960 --> 01:55:26.960] these attorneys say well I've got Bank of America signed it
[01:55:26.960 --> 01:55:28.960] Bank of America
[01:55:28.960 --> 01:55:30.960] and the Bank of New York Bank of Maryland
[01:55:30.960 --> 01:55:32.960] they don't have the authority
[01:55:32.960 --> 01:55:34.960] to give the authority to anybody else
[01:55:34.960 --> 01:55:37.960] they're void, they're no good
[01:55:37.960 --> 01:55:39.960] people don't understand that
[01:55:39.960 --> 01:55:40.960] they're not even
[01:55:40.960 --> 01:55:46.960] so you're saying that these alleged holders
[01:55:46.960 --> 01:55:52.960] can't assign an agent to act in their stead
[01:55:52.960 --> 01:55:53.960] that's correct
[01:55:53.960 --> 01:55:58.960] they're foreclosed on, they don't have the authority
[01:55:58.960 --> 01:56:00.960] then who would have the authority
[01:56:00.960 --> 01:56:03.960] would anybody have the authority
[01:56:03.960 --> 01:56:05.960] no
[01:56:05.960 --> 01:56:12.960] I'm struggling here not to
[01:56:12.960 --> 01:56:15.960] act on an unstated presupposition
[01:56:15.960 --> 01:56:18.960] so I'm trying to
[01:56:18.960 --> 01:56:21.960] in a way I think John's kind of reaching back a little bit
[01:56:21.960 --> 01:56:25.960] to what James was saying earlier
[01:56:25.960 --> 01:56:27.960] not quite in the same vein
[01:56:27.960 --> 01:56:29.960] but in the same direction
[01:56:29.960 --> 01:56:31.960] that is that
[01:56:31.960 --> 01:56:33.960] there's been a breach
[01:56:33.960 --> 01:56:35.960] not a breach of the deed of trust
[01:56:35.960 --> 01:56:37.960] but in this case there's been a breach
[01:56:37.960 --> 01:56:40.960] of the covenants in the PSA
[01:56:40.960 --> 01:56:43.960] now that would make the PSA
[01:56:43.960 --> 01:56:45.960] liable for all the taxes
[01:56:45.960 --> 01:56:47.960] on all of the investments
[01:56:47.960 --> 01:56:49.960] because they've lost their pass-through tax status
[01:56:49.960 --> 01:56:51.960] by breaking their own covenants
[01:56:51.960 --> 01:56:53.960] and they've broken the law
[01:56:53.960 --> 01:56:55.960] which they can't do that
[01:56:55.960 --> 01:57:00.960] so at that point the Remic has fallen apart
[01:57:00.960 --> 01:57:04.960] now you've got good arguments
[01:57:04.960 --> 01:57:06.960] making a lot of good points
[01:57:06.960 --> 01:57:10.960] but I think that you're bringing up moot points
[01:57:10.960 --> 01:57:12.960] okay wait a minute Steve
[01:57:12.960 --> 01:57:18.960] Steve, I don't think we've let John walk
[01:57:18.960 --> 01:57:20.960] through his position
[01:57:20.960 --> 01:57:22.960] let's let him walk through
[01:57:22.960 --> 01:57:24.960] then let's go back and
[01:57:24.960 --> 01:57:26.960] I think we may be having some presumptions
[01:57:26.960 --> 01:57:28.960] that may or may not be accurate
[01:57:28.960 --> 01:57:30.960] okay go ahead John
[01:57:30.960 --> 01:57:32.960] that Remic
[01:57:32.960 --> 01:57:34.960] the Remic Trust is supposed to physically have
[01:57:34.960 --> 01:57:36.960] the wedding instruments
[01:57:36.960 --> 01:57:38.960] in their possession
[01:57:38.960 --> 01:57:40.960] and here's what you're supposed to do
[01:57:40.960 --> 01:57:42.960] no no no no
[01:57:42.960 --> 01:57:44.960] no no no
[01:57:44.960 --> 01:57:46.960] the Remic is never going to have the wedding
[01:57:46.960 --> 01:57:48.960] if the Remic has
[01:57:48.960 --> 01:57:50.960] if the trustee
[01:57:50.960 --> 01:57:52.960] of the
[01:57:52.960 --> 01:57:54.960] of the pass-through trust
[01:57:54.960 --> 01:57:56.960] is also
[01:57:56.960 --> 01:57:58.960] the custodian of the record
[01:57:58.960 --> 01:58:00.960] then under
[01:58:00.960 --> 01:58:02.960] Ginny May's requirements
[01:58:02.960 --> 01:58:04.960] the custodian
[01:58:04.960 --> 01:58:06.960] of the record
[01:58:06.960 --> 01:58:08.960] is the one that must have
[01:58:08.960 --> 01:58:10.960] those documents
[01:58:10.960 --> 01:58:12.960] the original documents
[01:58:12.960 --> 01:58:14.960] yes are you familiar with
[01:58:14.960 --> 01:58:16.960] then what is it that goes in
[01:58:16.960 --> 01:58:18.960] then what is it that goes into the Remic
[01:58:18.960 --> 01:58:20.960] it's not the original
[01:58:20.960 --> 01:58:22.960] no
[01:58:22.960 --> 01:58:24.960] well if the trustee
[01:58:24.960 --> 01:58:26.960] of the PSA
[01:58:26.960 --> 01:58:28.960] that
[01:58:28.960 --> 01:58:30.960] that filed their PSA
[01:58:30.960 --> 01:58:32.960] their pass-through trust into a Remic
[01:58:32.960 --> 01:58:34.960] if the trustee
[01:58:34.960 --> 01:58:36.960] the custodian of the record he will hold it
[01:58:36.960 --> 01:58:38.960] hang on we're back to the break
[01:58:38.960 --> 01:58:40.960] Randy Kelton, Steve Skidmore
[01:58:40.960 --> 01:58:44.960] we'll go to our radio, I'll call it number 512-646-1984
[01:58:44.960 --> 01:58:54.960] we'll be right back
[01:59:14.960 --> 01:59:24.960] we'll be right back
[01:59:44.960 --> 01:59:54.960] you are listening to the Logos Radio Network