Category Archives: Ocwen

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, 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:

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?

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

Ocwen Financial…Will The Trickle Down Affect…

Organics Admin
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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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Reach Labor in a Negative Manner???

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Contact us today for your consultation.


WOW…where does one start when hearing about Ocwen Financial, one of the very few Non-Government back Mortgage Servicers? Seriously though, Ocwen Financial has been in the financial news for some time now and none of the news has been good. From downsizing reports to reports of mishandling accounts, downgrades on stock.

For everyone involved in the Property Preservation Industry Ocwen means Altiscource. Ocwen is the Mortgage Servicer for Deutsche Bank, Deutsche Bank AG is a German global banking and financial services company with its headquarters in the Deutsche Bank Twin Towers in Frankfur, and the client behind Altiscource. As we all know Atliscource is one of those “dreaded” National Association of Mortgage Field Services members that somehow ends up providing work orders that find their way into non-payment issues. Please whatever you do…Don’t ask me how that works as I cannot begin to explain it. I believe you need some type of funny physics degree.

Where this becomes a “bottom line” issues is the fact that Ocwen is publically traded. Somewhere someone will be held accountable. Now to what degree is yet to be determined. Since the company is traded on the publically I asked a fellow correspondent with America Matters, AM News, Ken Roberts a couple questions.

Ken is an author and writes a column for the Wall Street Journal and has a radio show Ken’s Bulls & Bears 10 to 11 AM on Mondays on Renegade Radio 101.3 FM in the Reno area or on line at

For most of us affiliated with the PPI we know that…well..IT rolls down hill and Labor is most definitely at the bottom of the hill. Now I have no crystal ball to make predictions as others have done quite successfully, no I just write on what I see. And I have to ask will Labor once again take it in the shorts because of some banking impropriety? To get a better understanding of the financial implications this may have on the industry and possibly Labor I asked Ken the following questions.

    Do you think this will hurt Ocwen to the extent it will put them out of business completely?

I don’t think Ocwen will be put out of business completely, but I would not buy the stock. It has dropped over 73% last year and their earnings are down 248%. I do think there’s a very good chance that class action lawsuits on the behalf of their customers could be filed and the outcome of that type of litigation could be very costly. I am expecting some type of civil legal action and the result could have a very negative impact on the stock’s already beaten up price.

What type of ripple effect do you think this will have throughout the industry?

As far as the industry is concerned, my expectation is business as usual and I mean that with somewhat of a sarcastic tone. I think big banks will likely take over some of Ocwen’s mortgage servicing business and you know what happens when they get in trouble, a large fine that is essentially a slap on the wrist which the banks just consider another cost of doing business.

What does this mean to Labor? Little Shakey huh??? Most of Labor in the industry understand that Altiscource is one of the better contracts to obtain as they service many FNMA properties and they pay pretty fair, IF you’re the one with the contract doing the work. Once the work stars the “subbing, that changes. One really has to step back and look at the big picture to thoroughly understand that there is going to be a fire sale and that will bring different players into the fray. Portfolio’s are going to move and that means that an already low volume stream that is coming from Altiscource may get thinner. I have spoken to a couple of contractors for Altiscource…yes these particular folks pay the contractors for the work they complete!!! On a serious note though, they have all stated they volume is somewhat slow.

There is another element to this as there has been a lot of scuttlebutt surfacing throughout the industry in regards to Alitiscource actually attempting to assist the damaged contractors in the Michigan realty Solutions fiasco. Unconfirmed sources say that an offer has been made. Said offer contains a very disturbing element. Before we go any further we need to understand the levity of Altiscource making any offer to Labor. They have absolutely no legal obligation. However, there is that pesky fact that Altiscource knew of MRS mis-deeds for some time and continued to provide work orders to be subbed out. The fact that Eric Milelr allowed the admission o Michigan realty Services into NAMFS and stated that he would be watched closely. The fact Miller has not addressed the issue of improprieties and violations of the organizations Canons and standards speaks volumes of what the organization and for that matter Mr. Millers word.

Here is what I have been told about the offer. Altiscourece is willing to step in and assist the contractors with X-amount on the dollar. The Contractors agreeing must sign a nondisclosure…(what other way does this be kept a secret? So the madness continues business as usual), it doesn’t stop there though. The contractors agreeing to the settlement can never step on an Altiscource property again.

So allow us to look at this a little closer for a minute.

First the amount offered does not cover costs of completing services due to the greed factor of the “Subber MRS” taking over 50% of the original fees paid on services, then we have the disclosure issue of not being able to step on a Altiscource property. All this so Altiscource can sue “Jay”.

Now if this is truly the plan, I have to ask, Why is Labor being punished for something they have no control of?

LABOR PAY ATTENTION…every property you are owed monies on…LIEN them TODAY!!!!!!!!!! The reality here is that once Ocwen starts the fire sale their portfolios will change hands and your window of opportunity to collect goes out the window. With the property a lien placed, before the property can move the lien has to be satisfied. .In an article on Housingwire March 2, 2015 this was stated

In December, Ocwen Chief Executive Officer Ron Faris said the company planned to exit agency servicing entirely.

“Subject to a definitive agreement, approvals by Fannie Mae and Federal Housing Finance Agency and other customary conditions, Ocwen expects the transaction to close by mid-year and the loan servicing to transfer over the course of the second half of 2015,” the company said.

In addition the article went on to state…

Ocwen has been the target of several investor power plays in recent weeks as investors are pushing for Ocwen’s affiliates, including Home Loan Servicing Solutions (HLSS) to separate itself from Ocwen.

This is where…IMHO…Labor will get hurt. Will Altiscource still exist after the smoke clears? Will they continue to pay in ten days? Will they continue to provide work orders to companies that do not pay and cheat Labor?

Regardless of the changing of the guard at Altiscource and Ocwen we still have the fact the Altiscource knew for almost two years Jay was cheating Contractors and continued to send work orders, in essence facilitating Jay & Ray’s fiduciary crimes.

As regulators step in on Ocwen will their investigations lead them to the other improprieties going on in the PPI? This is the question that is on everybody’s mind I speak with in regards to what they can do about MRS. And the non-payment issues.

Even as I wrote this article I received a call from a new person that has been burned by Jay & Ray. For some reason the phones and emails do not get answered for TJ Horizon Services. Funny how that works when Labor is owed monies, yet when the Order Mill Subbing the work needs that “favor” this issue does not occur.

I have stated for a very long time now. If you are over 30 days in accounts receivable, start your legal proceedings, unless of course you signed something allowing for more than 30 to be paid, something I always advise against. If you need to understand why, study the Prompt Payment Act and what lead to this legislation being written. The Prompt payment Act governs Government backed mortgages. So companies like AMS and now the Lee Mertins crew is doing the same thing with their “Early Pay” system of forcing you to PAY FOR YOU MONEY, is illegal, as a matter of fact there is currently cases in the courts in regards to this issue. (side note here…if you worked for the crooks at AMS Lee Mertins, and Brian Christy you may have the ability to join in on the lawsuit and possibly be able to re-coop some of those losses you incurred when being forced to pay for you money…OH YEAH…after 45 days.)

But back to Ocwen before I close, I can only advise that you start getting the ducks in a row. Start speaking with you legal folks TODAY. If your accounts receivable are over 30 days with any company having Altiscource behind the dept. Lien the properties you’re owed on. Do not hesitate to pull the trigger. Altiscource wants to prevent you from ever doing work on any of their properties in the future. So as long as you’re going to be froze and squeezed out you might as well get every fricken penny you have been cheated out of to this point in time.

While something is better than nothing. In this case the something being offered, while being done in good faith in an attempt to bridge a gap between Management and Labor, this something is nothing. Now should Altiscource take the back end of the agreement off the table, Never being able to step on an Altiscource Property…Labor has not broken any laws, they merely placed their resources in play, all in good faith they would be paid for the services they provided. They have not created a hostile environment between Management and Labor. So why should they be punished? In addition one would have to wonder WHY??? Would Altiscource go there? Why would they eliminate their Labor force? If anyone from Altiscource like to comment on this please contact me.

Big Thankx to Ken Roberts for the assist….


Until Next Time

Happy Gardening

Written By: Aaron Aveiro

Photograph: Aaron Aveiro

Opinions Expressed do Not reflect those of Aladay LLC Ownership.