Plaintiff Is A Bank..and Defendant A Bank???

Hi!
A Newbie question. I have been researching the "Legal Notices" in the paper, and I get majorily confused when the Plaintiff is a Bank ( that's understandable) but a Bank or Banks are sometimes listed among the Defendants. Are these possibly second mortgages or what??
Thanks for all the help!!

Comments(6)

  • commercialking10th April, 2004

    Another possibility is that the defendant bank is a land trust.

  • goodbuddy11th April, 2004

    Hi Larry!
    Sorry I didn't mention. I've seen this in the Notice of Foreclosure, Notice of Sale and so on in the Legal Notices in the newspapers. Thanks

  • rickomarsh11th April, 2004

    Plaintiff will join and serve, any one that comes up in the title search that has an interest that is inferior and include them as party defendants.

  • rehabber_pa13th April, 2004

    Per Rickomarsh's reply...
    The bank listd as the 'defendant' probably
    holds a 2nd mortgage or other lien on the
    property. They are listed on the NOD so
    they can go to the auction and protect their
    interest, if they so choose to.
    Also, it is not uncommon to see the
    "United States of America" as a defendant.
    That usually means the IRS has a tax lien
    against the property and the foreclosing bank
    is notifying them. Be careful of these sales,
    as the IRS can redeem the property up
    to 6 months after the sale and only have to
    pay the selling price. - ie. Place sells for
    $100,000 - you bid and win, then you put
    $30,000 in it to rehab it. IRS comes along
    and can force you to sell it to them for
    the $100,000 that you paid. Any rehab money
    you put in? - tough luck.

  • compwhiz13th April, 2004

    Wrong info about IRS liens - they only have 120 days from the auction date to redeem the property, and they have to pay 6% interest and reasonable upkeep costs(of course, $30k in rehab is not reasonable upkeep costs).

  • rehabber_pa13th April, 2004

    compwhiz-

    thanks for clarification on IRS redemption
    period. So it's only 4 months? That's
    even better.

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