House Committee / Texas Legislature

“For their work, the law firm and its affiliate retain out of proceeds received in cash the remainder of the trustee’s commission provided for in the deed of trust (customarily 2.5% of the sale price) and sums to defray the legal work involved …”

“Under most deeds of trust, the selling trustee is obligated to apply sales proceeds first to pay the trustees a reasonable commission and attorney fees and other costs of sale, then to pay the debt secured by the lien foreclosed (i.e., to the owner, investor or loan servicer) and to pay any remaining surplus to the parties legally entitled thereto…” 

Brian Engel, Foreclosure Mill Partner, BDF.

House Committee / Texas Legislature

“For their work, the law firm and its affiliate retain out of proceeds received in cash the remainder of the trustee’s commission provided for in the deed of trust (customarily 2.5% of the sale price) and sums to defray the legal work involved …”

“Under most deeds of trust, the selling trustee is obligated to apply sales proceeds first to pay the trustees a reasonable commission and attorney fees and other costs of sale, then to pay the debt secured by the lien foreclosed (i.e., to the owner, investor or loan servicer) and to pay any remaining surplus to the parties legally entitled thereto…” 

Brian Engel, Foreclosure Mill Partner, BDF.

According to the Dallas County Records, “Stephen Porter” from the firm Barrett, Daffin, Frappier, Turner and Engle has signed several thousand such assignments in that county alone.

A study published in the Texas Law Review, which looked at foreclosures in nonjudicial states that were brought before a judge in a bankruptcy, found illegal and improper fees rampant, plus myriad other problems. Again, in the typical nonjudicial foreclosure, the wrongful nature of these fees would never be exposed.

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