Advice for best way to handle soon to be SOJL with WF

[grate8888]

Hi all - I really appreciate the valuable advice and support that goes on in this forum.

My situation -

Calif primary residence -

first 465,000 non recourse
second WF 150 recourse
House valued at $400,000

I am currently in the beginning stages of foreclosure on the first, but will be out of the house before it finalizes as we are relocating to Canada.

WF had just charged off the heloc and has been silent for the few weeks since.

I know Tom's advice is to ignore and the odds of a lawsuit are slim, (especially being out of the country or so I suppose) and that is the plan for now.

Although, If I could settle for 10% or so I would just to have peace of mind, but their last offer was 40% before charge off.

If I am sued, I read about answering the suit. Under these circumstances what kind of defense would I mount. Besides WF lowering my limit without reason a few years ago, I can't think of any other breach.

Any thoughts or input is greatly appreciated. Very stressful time and it's good to surround yourself with a supportive community.

[Cat Damiano]

grate8888,


Everything you would need to know about SOJLs and what other members who are going through this are doing can be found in the following thread;

Sold Out Junior Loans

[grate8888]

Thanks Cat - I have been following that thread for some time - a couple of things, I didn't post there because I am not a SOJL yet as the foreclosure is still in it's infancy. (I didn't want to get scolded)

Also, I will be out of the property before the foreclosure is finished.

I could not find specifics on how to answer a lawsuit and what defenses to mount if it comes to that, I guess that is mostly what I am interested in learning about and would like to be pointed in the right direction.

Thank you

grate8888,


Everything you would need to know about SOJLs and what other members who are going through this are doing can be found in the following thread;

Sold Out Junior Loans

t

[TomEason]

grate8888 Thanks for your post. Although a recourse SOJL is not legally barred from suing you for breach of contract, cases to date have been very rare in any state. If you are sued, it would behoove you to consult with a lawyer in your state on how to answer the complaint and what your defenses might be.