Defending Commercial Foreclosure Cases
The attorneys at Payton & Associates, LLC, have successfully defended commercial entities and business professionals against foreclosure of their properties. We have defended large-scale commercial foreclosures since 1974 – every time the South Florida economy suffered a recession.
There are many defenses available to owners of commercial property that arise out of the lending or construction lending agreement, the transfer of the note between predecessors in interest, or the lender’s misconduct. To be enforceable by the borrower, all loan agreements must be in writing.
If a lender does not possess the promissory note secured by the mortgage, the lender is prohibited from enforcing the note or foreclosing the property. Lenders can attempt to remedy this situation by re-establishing the note. However, the note cannot be automatically reinstated. With lenders bundling and securitizing mortgage promissory notes, lost notes are a common problem. If the lender is unable to satisfy the statutory criteria for establishing a lost note, the lender cannot prove the debt and cannot foreclose.
In some cases, we can orchestrate a sale of the property to a third party at an appreciated price. By doing so, the borrower profits from the sale and the lender is paid.
Decades of Experience
Our lawyers have extensive experience defending clients against foreclosures of commercial property. Harry Payton taught one of the first continuing legal education courses in the state of Florida on the subject of defending mortgage foreclosures. We are one of few firms that will fight commercial foreclosure lawsuits against large financial institutions. Many large firms have relationships with lenders, and many small firms lack the experience and resources to provide an adequate defense. We have the experience and resources to provide a winning defense, and we have favorably resolved many cases for our clients.