Category Archives: Altisource Residential Corporation

Business 101…Altisource and the Forced Lien Waiver

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Organics Admin

COO at Aladay LLC
Organic Farmer, Property Preservation Specialist and Custom Glass & Wood Worker. Blogger extraordinaire...
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Forced Lien Waivers…Legal or Illegal???

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Contact us today for your consultation.

Yesterday I posted an article placing All Safe Home Watch Services on the Property Preservation Industry Watch List. This was done on the premise that in my humble opinion this FIELD VENDOR AGREEMENT Exhibit 2 – Subcontractor Acknowledgment Form Contractors/Labor is being forced to sign…or what is called a Forced Lien Waiver form. Now in some places this is illegal, as is here in Nevada, a contractor cannot be forced to waive lien rights prior to starting a job. In addition to the dozen or so phone calls asking if a Forced Lien Waiver was legal,several people also sent me a copy of this “agreement” asking if was actually legal. On the surface this Forced Lien Waiver appears harmless, Is IT????

So what about other states?  The representative from All Safe Home Watch Services  stated, “We only provide work orders in Florida on Altisource Properties.” A look at the map below and beings Altisource is located in Florida one would think that at least one of the companies in Florida would know their laws, as you cannot be forced to waive lien rights in Florida either. This is definitely a subject you’ll want research Forced Lien Waivers in you area. Yesterday I caught up with Scott Wolfe Jr. . Scott is an entrepreneur from New Orleans, LA. Founder of Zlien.com, a company that provides software and services to help building material supply and construction companies reduce their credit risk and default receivables through the management of mechanics lien and bond claim compliance.

Oh by the way…they also assist with the filing liens should they be necessary in collecting monies owed to you. Scott told me that on the surface there is no rule against indemnity agreements in general. Further, it is common for companies to require other companies to sign indemnity agreements.

I asked Scott if this FIELD VENDOR AGREEMENT Exhibit 2 – Subcontractor Acknowledgment or IMHO a Forced Lien Waiver Form that All Safe Home Watch Services was forcing Contractors to sign was legal…this is what he had to say…

When it comes to agreements like this in connection with any construction services (i.e. Subcontractors or suppliers providing labor or materials to a a construction improvement project), the indemnity agreements can get a bit sticky. This is not because indemnity agreements are not allowed, but instead, it’s because they cannot be used to circumvent ordinary lien rights.

I’ve written an article about “no lien clauses” that may be applicable, here:
http://www.zlien.com/articles/who-lets-you-waive-your-lien-rights-before-payment-state-by-state-chart-and-analysis/

Now make no mistake, IMHO “circumvent ordinary lien rights”, is exactly what is going on here. I’ve said it before and I’ll say it again. Anyone asking me to waive the only business avenue I have to collect the money you owe me SCREAMS I’m going to beat you one day. As to the legality of the issue, Scott went on to say;

It is usually not possible or legal for any party to require any other party to “waive” their lien rights within a contract prior to performing work. Despite this, many attempt to craft all sorts of legal protections within contracts to reach the same effect. That does not always make the legal protections completely meaningless (it can sometimes), but it does make them meaningless to the extent they seek to eliminate a party’s lien right.

When you cut through all the noise, it is almost always the case that a party who provides labor or materials to a construction improvement, if unpaid, can pursue payment against the property through a mechanics lien filing.

So now do you still think or not an employee? Better check yourself at the door. While you’re at it check your local Forced Lien Waivers Laws. Should you need assistance with a lien get a hold of Scott and tell him we say hello the folks over there will get you squared away. However, back to the subject matter at hand. Here is a quick look at a map on lien waivers.

Are Forced Lien Waivers Legal in your state?

no-lien-clause-map
TEASER…map from Zlien article on Lien Waivers and what states allow them.

The truth is, Altisource is the biggest Offender Member as they have been behind some of the biggest cases of defrauding Labor in the Property Preservation Industry, and every time they have been informed that one of the “distributers” of their work orders is not paying Labor, do they stop sending work orders to the criminal Offender Member to be processed??? NOOOOOOOOOOOO!!!!!!! Altisource continues to supply work orders instead of freezing the account in question making them an accomplice to the fraud perpetuated upon Labor. Now they want LABOR to sign a Forced Lien Waiver.

IMHO they are just as guilty as Eric Miller for not saying a word while collecting his ONE HUNDRED TWENTY THOUSAND DOLLAR salary from the monies that are put forth by the thieves called Offender Members. The fact that no one stops the continuous crime spree by Offender Members of the National Association of Mortgage Filed Services, or is it the National Association of Management For Stealing. Or should I be climbing all over Labor because they continue to facilitate Forced Lien Waivers by accepting work orders from NAMFS Members??? We stopped; our world didn’t come to an end. And believe me Twenty Thousand Dollars last a lot longer when you’re not spending $105.00 to get $100.

The problem I have with companies like All Safe Home Watch Services claiming National Coverage and only subbing locally is the fact they should be actually completing the services. So one has to ask are these people are they just plain LAZY? Obviously they do not understand the fine nuances of business in Florida or they would not be demanding Contractors sign this Forced Lien Waiver.

For the most part many of the “Subbers” (as I have termed them), that I have spoken to them they actually seem lackadaisical and indifferent to physical Labor, yes they seem too lazy to work. It’s much easier milking a broken system. A system that the Offender Members started to set up starting in 2009. It was around 2011 that many of the subbers started placing Forced Lien Waivers on work orders and in fact demanding that members of Labor sign and agree to their Forced Lien waivers.

2009, that is how long I have been saying there is something wrong in Gotham.  Foreclosurepedia has been saying the same and providing some deep information to back the statements up. For the most part all anyone really wanted was for Labor to be recognized. It should be noted here that many of the efforts of Foreclosurepedia lead to Altisource no wanting verification that the lazy subbers have actually paid Labor. In that respect you tip you hat to them. However, Offering thirty cents on the dollar while not forcing the thieves to pay their bills in unconscionable. Now they are asking their vendors to have Labor sign a Forced Lien Waiver. Something illegal in the very state they conduct business in.

When they, NAMFS, made a pseudo attempt to bring labor to the table, well again IMHO, it was a feeble attempt to buy time. There is a lesson for Labor here. NAMFS almost bankrupt one of their own members that spent upwards of $100.000.00 in sponsorship fees and membership dues. How was the company thanked for asking that Labor be acknowledged? Not one National or Mortgage House that was a member would work directly with the company. No Nationals would send the work orders from their offices on the east Coast all the way across the country and in turn they were then sent back to the East Coast. Lot of fricken’ money for a token nomination and no work.

Yes this is where the conspiracy comes in. You see Forced Lien Waivers have to be discussed, all of the activities going on between the membership of NAMFS under the watchful eye of Eric Miller have to be discussed, they have to be agreed upon. Altisource doesn’t just wake up and say Let’s send work from our office to this gal over here and we’ll have her send it back to our location…No this is talked about…discussed in great detail…conspired by the fire if you will…yes all these criminal violations and blatant flaunting of Federal RICO laws have to be  orchestrated…By an Executive Director…wonder if he’s gonna make a token 11th hour appearance at the next FAST event????

admin-7About Scott Wolfe Jr

Scott Wolfe Jr. is the CEO of zlien, a company that provides software and services to help building material supply and construction companies reduce their credit risk and default receivables through the management of mechanics lien and bond claim compliance. He is also the founding author of the Construction Finance Journal, a leading online publication about liens, security instruments and getting paid on every account. Scott is a licensed attorney in six states with extensive experience in corporate credit management and collections law, with a specific emphasis on utilizing mechanic liens, UCC filings and other security instruments to protect and manage receivables. You can connect with him via Twitter, LinkedIn and Google+.

Until Next Time folks

Happy gardening

BREAKING NEWS Altisource Demands Forced Lien Waivers

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Organics Admin

COO at Aladay LLC
Organic Farmer, Property Preservation Specialist and Custom Glass & Wood Worker. Blogger extraordinaire...
Organics Admin
Follow Me!!

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This is a developing story and we will gave more on this “quasi-illegal” policy. Once again Altiscorce, the company behind Berghorst Enterprises, BuczekCheap Suit Jay, Mathis and Lambert, who all chose to steal from Labor. In a desperate attempt to salvage their reputation Altisource has forced a Lien Wavier on everyone???

We currently have requests in to attorneys to explain this section of a memo sent to all vendors this morning from All Safe Home Watch.

The Memo in question

The subcontractor identified in the below signature block (“Subcontractor”) executes this Subcontractor Acknowledgment Form (the “Acknowledgment”) and acknowledges and agrees that (i) no privity of contract exists between Subcontractor and Altisource Solutions S.à r.l. (“Altisource”) or any of its affiliates (collectively, the “Indemnified Parties”); and (ii) any amounts due for services performed by Subcontractor for the vendor identified in the below signature block (“Vendor”) are the sole responsibility of Vendor. To the extent allowed by law, Subcontractor releases and discharges the Indemnified Parties from all claims, demands and causes of action that Subcontractor now has or might have in the future. Subcontractor acknowledges and agrees that Altisource is a third party beneficiary of this Acknowledgment. Subcontractor shall indemnify, defend and hold the Indemnified Parties harmless from any action, proceeding, claim, demand or lien and shall pay any costs, expenses and attorneys’ fees incurred by the Indemnified Parties in any way related to (x) Subcontractor’s breach of this Acknowledgment; (y) any dispute between Subcontractor and Vendor including, without limitation, disputes of non-payment by Vendor to Subcontractor; or (z) both (x) and (y) of this Form. This Acknowledgement will indefinitely survive the expiration or termination of the agreement between Vendor and Subcontractor.

This is for the most part a forced Lien Wavier and in most places is illegal. So check you local Lien laws or contact Scott Wolfe at Zlien.

Make sure you check with you local laws on lien waivers and forced lien waivers.

Altisource_Logo

Now let’s be clear about one thing. From a business perspective it makes sense that Altisource would like to protect their Mortgage House Ocwen’s assets. However, it needs to be acknowledged that 90% of all Offender members use Altisource and Altisource has been behind so many non-payment issues in the PPI. If you remember they continued to provide Cheap Suit Jay at MRS work loads while they knew he cheated and committed fraud against labor and offered a measly $0.30 on the dollar that Cheap Suit Jay used on the Vegas Crap Tables.

As an EMERGENCY Measure….All Safe Home Watch is for the moment placed on the PPI Watch List….Now I have received a call from a representative of All Safe Home Watch and was informed that this “audit policy” has been generated by Altisource. The representative also stated they only cover the state of Florida for Altisource, so if you’re in Florida you will need to check Florida Lien laws to find out if a forced lien waiver is legal.

Until Next Time Folks

Happy Gardening

Victor Aldrey
Victor Aldrey

 

Written By: Aaron Aveiro

Photographs Victor Aldrey and Aaron Aveiro