Bank Contractors Have Broken Into Hundreds Of Private Homes Since 2008
Contractors hired by giant financial companies to manage abandoned and defaulted homes have broken into hundreds of the wrong private homes due to incorrectly identifying addresses and other basic errors, the Huffington Post reports.
When a bank or other financial company sees that a mortgage it owns has gone into default, it begins checking to see if the residents have abandoned the property. If they have, it takes responsibility for the upkeep of the property in order to protect its investment and the property values of surrounding homes. That work is often done on a contract basis by companies like Safeguard Properties, which has been sued at least 135 times over wrongful break-ins conducted in pursuit of property management contracts with banks, according to reporter Ben Hallman’s review of court filings around the country. In total, more than 250 lawsuits have been filed in 31 different states over the past five years.
The corporate use of contractors to escape regulations, push down wages and simply provide distance between a company and its unsavory practices continues. Here we have a particularly egregious example. Homes are being broken into without legal right, sometimes looted, sometimes vandalized. It’s enough to make you wonder if the rule of law only applies to individuals and not banking institutions and their sub-contractors.