rrent. I never got anything from the mortgage company saying that they were foreclosing because it was included in the bankruptcy. I recently found out that the attorney for the mortgage company did not record the deed at the court house until 18 months after the discharge which of course I knew nothing about until now. My question is do I have any means of legal action against this kind of foot dragging on recording a deed 18 months after the fact. I am trying to get a home loan and have waited the required two years after a BK for a VA loan only to be told now because the attorney for the mortgage company took so long to record it at the court house I have to wait another 18 months on top of the two years. It doesn't seem fair nor legal. Any help would be appreciated
Fair? No. Legal? Yes. I am not aware of any legal remedy available to you. There is no law requiring mortgage companies to promptly foreclose and the problem you describe is fairly common.
DISCLAIMER: This message is intended as a general discussion of legal issues and not as a statement of fact, legal advice or a legal opinion. No attorney-client relationship is created by this message. Do not act or rely upon law-related information in this communication without seeking the advice of an attorney licensed to practice in the relevant area. I am a Federally Designated Debt Relief Agency under the United States Bankruptcy Code. I proudly help people in financial need file bankruptcy cases. IRS CIRCULAR 230 NOTICE: To ensure compliance with requirements imposed by the IRS, we inform you that any U.S. tax advice contained in this communication (or in any attachment) is not intended or written to be used, and cannot be used, for the purpose of (i) avoiding penalties under the Internal Revenue Code or (ii) promoting, marketing or recommending to another party any transaction or matter addressed in this communication (or in any attachment).
The real problem is that the attorney does not have a duty to you to record the deed. The attorney has a duty to his client and his client could sue for any damages due to his slow recording.
As for your situation, I don't know of a remedy unless you had an agreement and this was a breach of the agreement. (To be clear, I have never seen such an agreement that would allow you to sue under this kind of theory - but it could exist).
If you live in Arizona, please contact me for actual advice; this is just speculation. It certainly is not legal advice. I don't have enough information to give actual legal advice. I can only take the limited information presented and provide a idea of what you might do and how it may turn out.
I don't know of a legal cause of action that can be brought in your situation. However, I wonder what the date on the deed itself is. If the deed is dated approximately 18 months ago, perhaps the underwriters for your new loan will understand the facts better and still approve you. The deed should have a date on it when it was signed and that date is sometimes different than the recording date.