State Law Forcing A Waiver Of Counterclaims In Foreclosure Actions For Failure To Pay $1,900 Fee Unconstitutional, Say 3 Florida Homeowners In Lawsuit

In Fort Myers, Florida, The Tampa Tribune reports:

• Cash-strapped homeowners shouldn't have to pay to fight foreclosure, according to three Lee County homeowners who are suing the state. Fees of up to $1,900 to file a counter claim is unconstitutional, says the lawsuit, filed last week in the Middle District of Florida, Ft. Myers Division.

• "This is a cruel hardship imposed on the weakest members of our society," said Marcus Viles, a Ft. Myers lawyer representing the homeowners. Viles said he seeks a class-action suit to represent hundreds of thousands of homeowners hit by foreclosure since the new rules started in June 2009.

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• The fees are based on a sliding scale, depending on the value of the mortgage. "Everyone I've seen is $1,900, and I don't represent rich people with really expensive homes," he said. Lenders who file foreclosures have to pay the same fees, and Viles says it was a way to build up the state's revenue. The money is used for roads, health care and education. The fees are essentially a tax now, Viles said, and it's unconstitutional to tax people for access to the court system.

• Fees should be reasonable, and the money should go to the cash-strapped courts. But homeowners, he said, shouldn't have to pay "just to get to defend themselves in court." When homeowners are sued in a foreclosure suit, they have 20 days to respond. If they don't file a counterclaim at the same time, Viles said, they waive their right to do so.

For more, see Lawsuit seeks to end consumer foreclosure fees.