This case presents an interesting foreclosure fact pattern. This case is illustrative of the type of machinations being carried out by the mortgage industry.
To begin, Bank of America filed a foreclosure action against the initial owners of the property, the Everetts. After filing for foreclosure, Bank of America previously approved a short sale in May 2013. Based on the approval of the short sale, the Everetts sold the property to William J. Bymel in June 2013. After the closing, the settlement agent wired the monies to Bank of America. However, Bank of America rejects the monies and plows through with the foreclosure. There is no reason why the monies were rejected.
Bymel then motions the court to intervene asserting he’s the present owner of the property. The trial court rejects the motion to intervene based on case law that states that when a “property is purchased during a foreclosure in which a lis pendens is filed, the purchaser generally is not entitled to intervene in the pending foreclosure action.” Bymel appeals.
The Third District Court of Appeals reversed the trial court stating that this case is “factually and materially distinguishable” from prior case law. The court further states that Bymel was not a stranger to Bank of America as Bank of America was actively involved with Bymel’s purchase of the property as Bank of America had approved the short sale.