Forecloser case lands in Minnesota Supreme Court

Last update: February 29, 2008 - 10:18 PM

A legal challenge to Minnesota's biggest forecloser has been sent to the Minnesota Supreme Court for a decision.

U.S. District Judge Joan Ericksen ruled this week on the case, which started in state court, but was removed to federal court at the request of the defendant, Mortgage Electronic Registration Systems (MERS). She said sending the case to the Supreme Court is appropriate because there's no state appeals court precedent on the matter.

At issue is whether MERS, which is a national registry of mortgage ownership, must file documents noting changes in mortgage ownership before it may foreclose on the owners' behalf, as other mortgage holders must.

The sending of the case back to the state courts means that Ericksen is out of the case, after ruling recently in a temporary restraining order hearing that she didn't think it likely that the plaintiffs would prove their case at trial.

STEVE BRANDT

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