MERS is being sued by states

In the real estate busines swe all have heard of MERS.  A sysatem the banks use to track the owner of a note without transferring ownership every time it is sold (hope that makes sense).

At times it is nearly impossible to figure out who owns the note and or mortgage that our short sellers need to deal with.  It has been frustrating for many a REALTOR.

At the same time many recorder's offices have started to look at this and realize that the loans have been transfered many times over and should have been recorded.  

States are finally suing MERS to get more money that they feel shold have been paid all along.

The outcome of these cases will be very interesting.

I have previously read articles where owners were able to keep their homes because the foreclosing entity could bot prove that they owned the loan.

here is the article

http://www.nationalmortgagenews.com/nmn_features/mers-mortgage-electronic-registration-systems-1027389-1.html?ET=nationalmortgage:e2009:102121a:&st=email&utm_source=editorial&utm_medium=email&utm_campaign=NMN_Daily_Briefing_110911