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• Tuesday, February 01st, 2011

The Florida Bar has a new set of rules for attorneys who discover fraud in foreclosure.

An article by By Christine Stapleton & Kimberly Miller of the Palm Beach Post, details that the direction was published in the Florida Bar Newsletter as part of an outline in a new free online foreclosure class offered by The Bar.

[The Florida] Bar says attorneys must notify a judge about potential fraud — including robo-signed affidavits and forged notary stamps — even if a foreclosure case is closed and the home has been sold at auction.

The Bar is instructing lawyers to disclose Foreclosure Fraud in private hearings. Reviews are mixed to say the least….

Attorney for the Bar:
You try to cause the least amount of harm as possible to the client, [if] fraud is suspected, an attorney’s duty to the court supercedes the attorney’s duty to the client[...]

Palm Beach Attorney:
[Widespread foreclosure fraud by banks] is a very public problem and to try and address it in a private way is not going serve the court in its attempt to assure everyone about the integrity of the court [...]

This latest twist in the state’s foreclosure woes should prove to be quite interesting!

Original Article – Florida Bar says foreclosure lawyers must report fraud to court

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