“Eaton raises an additional point that has excited interest – whether or not that foreclosure can be challenged and compensation enforced on a retroactive basis or whether such retroactivity exacts too high a cost or permanently clouds title.” Another view is that the illegal action in the first place is what “clouds title”; pretending it was legal doesn’t “uncloud” anything (though evidently it opens the door to pleas to legislate from the bench).
More here:
Fannie: Compense For Illegal Foreclosures A "Burden"; Would "Cloud Title"
About Gary Lacey