Wrongful Lockouts and Trashouts - Homeowners Seem to Have Fewer Rights Than Tenants

It is often said that one’s true colors shine in tough times. We have seen this come to fruition during the nation's foreclosure crisis, perhaps more than we would have liked to know, through the housing market and conduct of big banks. In a recent interview with Carlin Phillips of Phillips & Garcia, reporter Lita Epstein of AOL's Housing Watch.com inquired into the growing occurrence of trash-outs of people’s homes.

The problems largely occur when the banks are so eager to sell the anticipated foreclosed property, that they do not wait for the foreclosure process to be complete before ordering a contractor to clear out the home. They are processing so many foreclosures, that they do not bother to actually verify that each one is in effect at the time of ordering the trash-out. Moreover, banks have allowed errors to exist in their documents or in their communications with the trash-out contractors such that people whose property is not being foreclosed on, even those who do not even have a mortgage, have been victims of wrongful trash-outs.

Trash-out services are in such great demand now that there are countless articles online advising business owners on how to turn a profit on this "opportunity." One author, innocently noting that foreclosure "cleaning companies" thrive in this bad economy, credits prime home loans for creating "an opportunity for entrepreneurs in 2010."

Has our society really reduced our moral values to the bottom line so much that people are not only profiting, but encouraging others to profit from the misfortunes of thousands of homeowners?

Ironically, in a landlord-tenant relationship, even where the tenant fails to pay rent, the landlord does not have the right to lockout the tenant (known as "self-help") and cannot re-enter the premises, never mind actually take anything from it. In Massachusetts, landlords are even subject to criminal liability if they violate these statutes.

The wrongful foreclosure attorneys at Phillips & Garcia want homeowners to know that victims of wrongful lockouts and trashouts have rights. If you've been the victim of a lockout or trash-out, contact Phillips & Garcia for a free consultation.

For a more detailed account of Mr. Phillips' interview with AOL's Housing Watch.com just click here.