Really?!

[Phantom]

Ok, I thought this was a joke, but I checked the sources and well... it's not.

 

Wells Fargo is suing itself. That's right. Itself.

 

http://yro.slashdot....ank-Sues-Itself

 

 

You wonder where all your stimulus money is going? Here's a good example

 

PS - I posted this mainly as a joke, but if it turns into a serious discussion i'll move it

[MikeL]

As a former banker, I would have to say this is not unusual. The state law probably requires lawsuits be filed in order for the first mortgage holder to be able to foreclose and sell the property. In these days of home equity loans, it's probably not unusual for a bank to hold both the first and second mortgages. The law requires the suits and the legal responses. Wells Fargo probably has multiple law firms on retainer who routinely file the legal documents without any contact from the bank.

 

The Fox Business article says, in part:

 

In this particular case, Wells Fargo holds the first and second mortgages on a condominium, according to Sarasota, Fla., attorney Dan McKillop, who represents the condo owner. As holder of the first, Wells Fargo is suing all other lien holders, including the holder of the second, which is itself.

 

"The primary reason is to clear title and ownership interest in a property to prepare it for sale," Waetke said in an email exchange. "So it really is not Wells Fargo vs. Wells Fargo."

I suspect the reporter understands the situation, but couldn't resist writing about the irony involved. Suing yourself is a little like telling someone to go do something to themselves which is physically impossible.

Edited July 14, 2009 by MikeL