Foreclosurepedia Says More Litigation Coming In The Mortgage Segment

Now that the big law firms like Duckworth, Peters, Lebowitz, Olivier LLP, who filed the initial winning lawsuit under Hurst; filed and won the Bowerman case; and are pending a multi-million dollar judgement against Mortgage Contracting Services (MCS) in the Vinson case, have wet their beaks, the litigation is not going to stop.

Foreclosurepedia has sent SOFI, and many others, an Advance Notice that they will be filing a Complaint with the US Department of Labor, Wage and Hour Division as well as filing a SS-8 with the Internal Revenue Service requesting a Determination of Worker Status for services rendered in the Mortgage Field Services Industry in light of the recent Bowerman Decision and the anticipated Vinson Decision.

Foreclosurepedia has long fought for the rights of Labor in the Industry and has, for years, stated that National and Regional Order Mills have exerted such an extreme level of control that there could be no other logical conclusion other than Field Service Technicians are, in fact, employees.

Foreclosurepedia encourages Management to proactively address the issues which they have raised since the Hurst Decision which was rendered in 2012. For those Field Service Technicians whom desire to partner with Foreclosurepedia in the DoL and IRS moves, please email set up a time to speak with Paul Williams before Monday, the 27th of March, 2017.

Almost All Of The Mortgage Order Mills (MOMs) Are CHEAP … No Money To Be Made With Most Of Them

Would you accept $10 for a REO exterior/interior inspection? An inspector emailed me the inspection requirements shown below in blue. The inspector did not identify the Mortgage Order Mill (MOM). Any reasonable person sending out this inspection to the field should know that no money could be made performing this inspections. The action of asking someone to perform this $10 REO exterior/interior inspection is “UNCONSCIONABLE“. The inspection requires too much work for the fee offered and the vendor manager certainly knows this.

Unconscionability (sometimes known as unconscionable dealing/conduct in Australia) is a doctrine in contract law that describes terms that are so extremely unjust, or overwhelmingly one-sided in favor of the party who has the superior bargaining power, that they are contrary to good conscience. Typically, an unconscionable contract is held to be unenforceable because no reasonable or informed person would otherwise agree to it. The perpetrator of the conduct is not allowed to benefit, because the consideration offered is lacking, or is so obviously inadequate, that to enforce the contract would be unfair to the party seeking to escape the contract.

The purpose of the inspection is to check on the condition of the interior and exterior. Please gain access into the property with the lockbox code provided. If unable to gain access into the property please call the broker listed on the inspection form. If no answer, please perform an exterior only inspection and answer the inspection form to the best of your ability. Please note on your inspection form your attempt to call the broker and the outcome. Please provide a comment for all “failed” components. 

Provide photos of the front of the property, house numbers (posted on property or at the curb), a street view, street signs at the nearest intersection, any posted notices or citations, for sale signs, mechanical systems, all kitchen appliances, damages identified, all exterior deferred maintenance items, photos of all “failed” components, each side and back of the property, and two photos of each room (taken from opposite corners of the room). Please obtain all of the photos listed to avoid a second trip to the property. ALL PHOTOS MUST BE DATE STAMPED.

Someone will accept the $10 inspection. They won’t make any money and they will probably lose money. Would you accept this inspection?

U.S Federal District Court Rules That Controlled Vendors Are “EMPLOYEES” & NOT Independent Contractors

Paul Williams at Foreclosurepedia has been rightly saying for many years that controlled vendors are “treated” like employees and they should be treated as employees and NOT as independent contractors. On March 17th, a U.S. Federal District Court entered a 50-page court ruling in the Bowman v Field Asset Services case wherein the court declared that:

“the overwhelming weight of the evidence supports a finding that FAS retained and, more often than not, actually exercised a right to control the manner and means of the vendors’ work. While some of the secondary factors for evaluating proper classification fall in FAS’s favor, they cannot overcome the powerful evidence of control that establishes that the vendors are employees as a matter of law.”

The bottom line is that Mortgage Order Mills (MOMs) … and others … are exercising too much control over their field service representatives. The U.S. federal courts have ruled in two federal cases that the MOMs could not overcome the powerful evidence of control that establishes that the vendors are employees as a matter of law. There are several other Rulings coming down the pike over the next month or so, the largest of which will be the Vinson v MCS on nearly identical issues.

You MUST READ the Foreclosurepedia blog post which provides a great highlighted analysis of the Bowman v Field Asset Services ruling. This federal court ruling affects EVERYONE in the field services industry. It establishes the rule of law that control of vendors will be determined by the federal district courts and that such controlled vendors are employees as a matter of law. The U.S. Federal Court rulings say that Paul Williams got it right when everyone told Paul that he was wrong.

Paul Williams is one of the smartest people I know. Paul is a great friend of LABOR. He has also provided consulting to some major U.S. corporations.   I talked to Paul last evening for about 45 minutes discussing the Bowman v Field Asset Services case. He also provided me with some great trusted business advice. I always find his advice to be valuable to my business and I made another donation to show my appreciation. You too can make a donation at Foreclosurepedia and get connected to the person who has his fingers on the pulse of what is happening in the field services industry. The world of field services is changing and the new keywords trending are “controlled vendors are employees”. Hiring companies and field workers need to link up with Paul Williams ( for some straight talk and advice. Paul has a record of being right.