Tuesday, November 3, 2009
The "Shared" Experience
My overall thesis is that through the internet (and all related technologies) we are coming closer to a "shared" social experience. My goal is to bring about a "shared" (or at least a pro-rata) economic experience. Because I believe we will all have a "shared" spiritual experience at some point. My fear is that if we don't share the social and economic experiences, we will lose more souls when the latter spiritual experience comes. Everything I do from here on out will be to bring about the shared experience of the former two, as God will bring about the latter shared experience.
Friday, October 23, 2009
Sunday, October 18, 2009
Fixing Foreclosure
Before we begin to implement any changes that will reverse and/or fix the foreclosure crisis, we need to understand the causes of the crisis. There are direct causes and correlative causes. The most direct causes have been discussed ad nauseum in the media. Some of these direct causes include; high (property) taxes, loss of jobs, resetting adjustable Rate mortgages, loss of credit rating (due to other causes that result in the inability of the borrower to pay bills on time or at all), medical bills (also a leading cause of bankruptcy) and an overall spend-thrift zeitgeist. These direct causes are easy to spot, but I believe that they are a distracting muse for our ire. The real causes for the foreclosure and overall financial crisis have more to do with laissez faire market system in general.
Now laissez faire market theory in and of itself is not the problem, but it only works when land ownership is a right, not just a goal. It also only works when the money system follows this paradigm. Basically sovereignty must return to the people. The people must own the land thus control the money and the means of production. When corporations own land and control the means of production the system works in direct opposition to the needs and best interest of the people. A corporation, by its very construction and operational charter is in the business of extracting more from the system than it puts out. This will invariably lead to a contracting of public equity, concentrating equity into a handful of stakeholders. And as laissez faire goes, eventually there will be less and less competing corporations thus more and more equity concentrated into the hands of fewer and fewer stakeholders. (A statistic shows, as of this writing 1% of the U.S. population has more money/equity than the bottom 95%...COMBINED!!!)
History shows that when this situation exists (plutocracy), civil unrest is the result. (I.e. the Bolshevik Revolution, the French Revolution or the Xinhai Revolution). Why is America destined to repeat this history? One reason...the quintessential American capitalist dream. "That one day I could be the elite!" This dream blinds us to the fact that the prospects for realizing this dream are diminished, if not destroyed by the system of land ownership, which controls the money system and infinitely more important, the electorate. As this country's system of representative government (a republic) was/is based on land ownership.
If we really want to fix the foreclosure, thus the financial crisis, we need to get Americans to be land owners. As citizens of conquered, treatied/and or bought land, we have the right to it, especially because we have always had a citizen military. The 14th Amendment to the Constitution states that we are ALL citizens (born or naturalized), with all rights reserved. Thus, land owners are sovereign, meaning that all systems in place work for the benefit and at the behest of the land owners (citizens). Money would still be created the same way, through borrowing and expansion, but usury would not exist because the land owners would not cheat themselves. Banks would still exist, but in the capacity of accountants and fiscal consultants, not creditors. The government would still exist, but as administers of military and enforcers of constitutional and common law, not controllers of medicine, money, taxes and liberty. Bankers and governments come into sovereign power because we the people don't own the land in reality (we do own it by right), and that is because we don't claim it by law.
Specific laws, like the Homesteading Act, land patenting, flat apportioned taxpayer-direct OID, corporate stock buyback and jurisdictional reappointment changes and re/implementations would change the current financial, legal and electoral landscape to more of what was intended by the founders of this once great nation. The bankers and governing bodies have usurped OUR power by non-transparency (the lobby), non-disclosure (poor education) and usury (nihilistic interest). America is a court where poor education is the attorney, the government as biased jury and interest as judge (and executioner).
The first thing is to get land ownership back to the people. This can be accomplished through the reestablishment of the Homesteading Act (with appropriate amendments). This law could be virtualized or hypothecated to account for uninhabitable or reserved land and geographical living preferences. The Act would, in fact deed all land to the citizens in fee simple absolute as tenants in common. This law would effectively make every citizen a land owner with the right to improve his/her lot by borrowing and expansion of the economy through production, thus each citizen creates his her own employment and income.
Closely following a new and improved Homesteading Act should be a land patent process by which the pro-rata land ownership right by deed in U.S. land is patented to the heirs and/or assigns of owner (citizen) forever. Amendments to this would be the contracting ability of each owner, but with a 7-10 year reclamation/reconveyance right. Meaning that the owner can contract or mortgage (borrow) against his interest to improve the land or for whatever he sees fit to do with proceeds or to assign his/her interest by deed (except to a non-citizen), but any debt would be discharged and land reconveyed by deed 7-10 years after bankruptcy. The money (not subject to interest) that is created (by bank accounting principles), is funded to the account of the of the creator (citizen) by rights set out in a UCC-1 Financing Statement, whereas the proceeds of the note (mortgage contract) are owned and controllable by the commercial right of the creator (citizen) of the note.. This money will be taxed (flat and apportioned) as income via OID. Money that is directly correlative to land and production is stable and inflation (hidden tax) free.
One law could be that only corporations can be charged interest by way of issued securities (bond coupons). One of the most important and least understood mechanisms for the usurpation of equity is corporate stock. As is customary, equity in a corporation is obtained by stock (or bond). Stock is particularly fallible as real equity. Because while stock is supposedly subject to the efficient market hypothesis, the market is very volatile, a result of irrational behavior, which has more to do with emotion than fundamental analysis, a system more akin to a casino than an efficient market. Additionally, stock's principal (basis) is not guaranteed. At will a corporation can file for bankruptcy and shed the supposed stock equity by charging order (bond holders then preferred stock, finally common stock), which in most cases, leaving common stock owners at a loss without recourse. The stock market is the biggest Ponzi scheme invented, with the big loser being the last one holding the stock. Two regulations or laws could change this; an "exclusive allocated collateral stock issuance Act" combined with a "depreciating allocated collateral stock buyback Act." This would require that there must be a 1:1 ratio between the proposed collateral purchases to the stock value issuance for that purpose. Then as the purchased collateral depreciates, the stock allocated for that issue must be bought back (or extinguished on a time table commiserate with the depreciation table, plus interest). Another way to accomplish this equity assurance would be to require corporations to issue only bonds (with bonds being UCC-1 financing statements and security agreements).
Another, more insidious tax on the people (which contributes to foreclosure) is the property, money and liberty usurped by the administrative court system. Our current court system is a form of extortion, supported by civil laws/ordinances. CIVIL LAWS/ORDINANCES ARE UNCONSTITUTIONAL. These city, state and federal civil laws/ordinances have full effect of constitutional law because we do not understand that we have assented to be citizens of these jurisdictions, thus subject to them. As a citizen of the Constitutional (Article III) jurisdiction, we are subject to a much narrower legal purview as opposed to that of these administrative courts, government agencies and the law enforcement arms of them. All too often, these current Administrative courts (of Admiralty) circumvent property rights by issuing and requiring certificates of title (which are not actually title nor assert any right to property, only usage and/or tenancy rights), and upholding fraudulent claims of security interests by allowing contracts of adhesion to not fully disclose and to contain misrepresentations and unconscionable terms. This is the case in most consumer-directed credit, but especially mortgage lending. I agree with the Constitutional right to pursue happiness, which I believe includes an element of caveat emptor. That being said, the stop-gap to caveat emptor is transparency in contract terms; required because any contract is subject to a jury trial of facts and equity. The people still need to be knowledgeable of their right to bring suit and bringing suit should not be cost or time prohibitive even and especially if pro se.
Which brings me to the main way to fix the foreclosure crisis; education. A concentration on education doesn't mean spend more tax dollars on public schools. I mean increase the quality and target of the curriculum in the schools that do exist. Americans learn of Paul Revere but do they know about Louis McFadden. We learn about capitalism and democracy but do we know how it is sustained. Do we teach and require from ourselves and our children the common sacrifice needed to maintain our way of life. Do we know and understand our rights, not in some superficial manner but in a substantial internalizing way. I think if we did, we would be greater demanders and defenders of such. Property, due process, legal vocational pursuits, and contract rights are such that if not protected, will not only foster more and deeper foreclosure and financial crises, but could end our democracy as we know it.
Now laissez faire market theory in and of itself is not the problem, but it only works when land ownership is a right, not just a goal. It also only works when the money system follows this paradigm. Basically sovereignty must return to the people. The people must own the land thus control the money and the means of production. When corporations own land and control the means of production the system works in direct opposition to the needs and best interest of the people. A corporation, by its very construction and operational charter is in the business of extracting more from the system than it puts out. This will invariably lead to a contracting of public equity, concentrating equity into a handful of stakeholders. And as laissez faire goes, eventually there will be less and less competing corporations thus more and more equity concentrated into the hands of fewer and fewer stakeholders. (A statistic shows, as of this writing 1% of the U.S. population has more money/equity than the bottom 95%...COMBINED!!!)
History shows that when this situation exists (plutocracy), civil unrest is the result. (I.e. the Bolshevik Revolution, the French Revolution or the Xinhai Revolution). Why is America destined to repeat this history? One reason...the quintessential American capitalist dream. "That one day I could be the elite!" This dream blinds us to the fact that the prospects for realizing this dream are diminished, if not destroyed by the system of land ownership, which controls the money system and infinitely more important, the electorate. As this country's system of representative government (a republic) was/is based on land ownership.
If we really want to fix the foreclosure, thus the financial crisis, we need to get Americans to be land owners. As citizens of conquered, treatied/and or bought land, we have the right to it, especially because we have always had a citizen military. The 14th Amendment to the Constitution states that we are ALL citizens (born or naturalized), with all rights reserved. Thus, land owners are sovereign, meaning that all systems in place work for the benefit and at the behest of the land owners (citizens). Money would still be created the same way, through borrowing and expansion, but usury would not exist because the land owners would not cheat themselves. Banks would still exist, but in the capacity of accountants and fiscal consultants, not creditors. The government would still exist, but as administers of military and enforcers of constitutional and common law, not controllers of medicine, money, taxes and liberty. Bankers and governments come into sovereign power because we the people don't own the land in reality (we do own it by right), and that is because we don't claim it by law.
Specific laws, like the Homesteading Act, land patenting, flat apportioned taxpayer-direct OID, corporate stock buyback and jurisdictional reappointment changes and re/implementations would change the current financial, legal and electoral landscape to more of what was intended by the founders of this once great nation. The bankers and governing bodies have usurped OUR power by non-transparency (the lobby), non-disclosure (poor education) and usury (nihilistic interest). America is a court where poor education is the attorney, the government as biased jury and interest as judge (and executioner).
The first thing is to get land ownership back to the people. This can be accomplished through the reestablishment of the Homesteading Act (with appropriate amendments). This law could be virtualized or hypothecated to account for uninhabitable or reserved land and geographical living preferences. The Act would, in fact deed all land to the citizens in fee simple absolute as tenants in common. This law would effectively make every citizen a land owner with the right to improve his/her lot by borrowing and expansion of the economy through production, thus each citizen creates his her own employment and income.
Closely following a new and improved Homesteading Act should be a land patent process by which the pro-rata land ownership right by deed in U.S. land is patented to the heirs and/or assigns of owner (citizen) forever. Amendments to this would be the contracting ability of each owner, but with a 7-10 year reclamation/reconveyance right. Meaning that the owner can contract or mortgage (borrow) against his interest to improve the land or for whatever he sees fit to do with proceeds or to assign his/her interest by deed (except to a non-citizen), but any debt would be discharged and land reconveyed by deed 7-10 years after bankruptcy. The money (not subject to interest) that is created (by bank accounting principles), is funded to the account of the of the creator (citizen) by rights set out in a UCC-1 Financing Statement, whereas the proceeds of the note (mortgage contract) are owned and controllable by the commercial right of the creator (citizen) of the note.. This money will be taxed (flat and apportioned) as income via OID. Money that is directly correlative to land and production is stable and inflation (hidden tax) free.
One law could be that only corporations can be charged interest by way of issued securities (bond coupons). One of the most important and least understood mechanisms for the usurpation of equity is corporate stock. As is customary, equity in a corporation is obtained by stock (or bond). Stock is particularly fallible as real equity. Because while stock is supposedly subject to the efficient market hypothesis, the market is very volatile, a result of irrational behavior, which has more to do with emotion than fundamental analysis, a system more akin to a casino than an efficient market. Additionally, stock's principal (basis) is not guaranteed. At will a corporation can file for bankruptcy and shed the supposed stock equity by charging order (bond holders then preferred stock, finally common stock), which in most cases, leaving common stock owners at a loss without recourse. The stock market is the biggest Ponzi scheme invented, with the big loser being the last one holding the stock. Two regulations or laws could change this; an "exclusive allocated collateral stock issuance Act" combined with a "depreciating allocated collateral stock buyback Act." This would require that there must be a 1:1 ratio between the proposed collateral purchases to the stock value issuance for that purpose. Then as the purchased collateral depreciates, the stock allocated for that issue must be bought back (or extinguished on a time table commiserate with the depreciation table, plus interest). Another way to accomplish this equity assurance would be to require corporations to issue only bonds (with bonds being UCC-1 financing statements and security agreements).
Another, more insidious tax on the people (which contributes to foreclosure) is the property, money and liberty usurped by the administrative court system. Our current court system is a form of extortion, supported by civil laws/ordinances. CIVIL LAWS/ORDINANCES ARE UNCONSTITUTIONAL. These city, state and federal civil laws/ordinances have full effect of constitutional law because we do not understand that we have assented to be citizens of these jurisdictions, thus subject to them. As a citizen of the Constitutional (Article III) jurisdiction, we are subject to a much narrower legal purview as opposed to that of these administrative courts, government agencies and the law enforcement arms of them. All too often, these current Administrative courts (of Admiralty) circumvent property rights by issuing and requiring certificates of title (which are not actually title nor assert any right to property, only usage and/or tenancy rights), and upholding fraudulent claims of security interests by allowing contracts of adhesion to not fully disclose and to contain misrepresentations and unconscionable terms. This is the case in most consumer-directed credit, but especially mortgage lending. I agree with the Constitutional right to pursue happiness, which I believe includes an element of caveat emptor. That being said, the stop-gap to caveat emptor is transparency in contract terms; required because any contract is subject to a jury trial of facts and equity. The people still need to be knowledgeable of their right to bring suit and bringing suit should not be cost or time prohibitive even and especially if pro se.
Which brings me to the main way to fix the foreclosure crisis; education. A concentration on education doesn't mean spend more tax dollars on public schools. I mean increase the quality and target of the curriculum in the schools that do exist. Americans learn of Paul Revere but do they know about Louis McFadden. We learn about capitalism and democracy but do we know how it is sustained. Do we teach and require from ourselves and our children the common sacrifice needed to maintain our way of life. Do we know and understand our rights, not in some superficial manner but in a substantial internalizing way. I think if we did, we would be greater demanders and defenders of such. Property, due process, legal vocational pursuits, and contract rights are such that if not protected, will not only foster more and deeper foreclosure and financial crises, but could end our democracy as we know it.
Monday, September 28, 2009
Remedy #3: Breach Of Trust (By Lender/Trustee)
Customarily, Lenders/Originators of mortgages sell those mortgages to third-parties (Investors). These investors are the REAL owners of the "NOTE" you created at closing. Usually the "LENDER" you signed with will be the "SERVICER" of the mortgage (they recieve payments and correspond with you throughout the life of the mortgage). As servicer of a mortgage, the "LENDER" is acting as an agent of the real owner of the "NOTE." This agency is also established when the "LENDER" brings suit in a foreclosure hearing. So...
An agency must exist between "Holder In Due Course" and grantee ("LENDER" on deed) because "LENDER" is bringing suit to establish claim and redress by way of foreclosure. (If they are not an agent or acting as "TRUSTEE" they have no right or interest to bring suit or make any claim on mortgage). (If they contend that no agency exists, you should Motion for Summary Judgement, or to have the case dismissed, claiming, "The Affiant/Claimant/"LENDER" has no interest, thus no right to foreclose). But...
When an agency relationship exists between "Holder In Due Course" (third-party Investor)and grantee ("LENDER" on deed), a constructive or explicit "TRUST" is formed. So...
If such a TRUST is formed, the original Settlor/Grantor (you, the "BORROWER") and/or Beneficiary (third-party Investor), maintains the right to request removal of a Trustee/"LENDER" (upon determination of a court) for a "BREACH OF TRUST," per ORC Title 5807.06 (A)(1). And...
Because the “LENDER” did not give full disclosure of the true nature or subsequent disposition of the ”NOTE” (in violation of Regulation Z of Truth In Lending Act of 1968; Title I of the Consumer Credit Protection Act 15 U.S.C. § 1601). This knowledge would have given you, the "BORROWER" the opportunity to rescind/revoke/cancel the "NOTE". The "CONTRACT" also contains unconscionable terms, specifically, a waiver of your "RIGHT OF PRESENTMENT" (per ORC Title 13, Chapter 1303.61 and UCC 3-501) and "RIGHT TO NOTICE OF DISHONOR." (per ORC Title 13, Chapter 1303.63 and UCC 3-503). The failure of the "LENDER" to fully disclose the nature of the "NOTE" and affect of waivers constitute fraud (by concealment/non-disclosure). So...
In the commission of the aforementioned frauds (by concealment/non-disclosure) and violations (of applicable law), causing injury, the "LENDER" committed a "BREACH OF TRUST," per ORC Title 58, Chapter 5810.01 (A), because of which, you, the "BORROWER" (and/or "Beneficiary") is entitled to removal of "TRUSTEE" per ORC Title 58, Chapter 5807.06 (B)(1) and damages, per ORC Title 58, Chapter 5810.01 (B)(3)(7)(8)(9)(10).
This claim should be made with a filed Motion called: "LEAVE TO FILE COUNTER-CLAIM," during the foreclosure court proceedings. This motion should be in Affidavit format, and state all pertinent facts.
An agency must exist between "Holder In Due Course" and grantee ("LENDER" on deed) because "LENDER" is bringing suit to establish claim and redress by way of foreclosure. (If they are not an agent or acting as "TRUSTEE" they have no right or interest to bring suit or make any claim on mortgage). (If they contend that no agency exists, you should Motion for Summary Judgement, or to have the case dismissed, claiming, "The Affiant/Claimant/"LENDER" has no interest, thus no right to foreclose). But...
When an agency relationship exists between "Holder In Due Course" (third-party Investor)and grantee ("LENDER" on deed), a constructive or explicit "TRUST" is formed. So...
If such a TRUST is formed, the original Settlor/Grantor (you, the "BORROWER") and/or Beneficiary (third-party Investor), maintains the right to request removal of a Trustee/"LENDER" (upon determination of a court) for a "BREACH OF TRUST," per ORC Title 5807.06 (A)(1). And...
Because the “LENDER” did not give full disclosure of the true nature or subsequent disposition of the ”NOTE” (in violation of Regulation Z of Truth In Lending Act of 1968; Title I of the Consumer Credit Protection Act 15 U.S.C. § 1601). This knowledge would have given you, the "BORROWER" the opportunity to rescind/revoke/cancel the "NOTE". The "CONTRACT" also contains unconscionable terms, specifically, a waiver of your "RIGHT OF PRESENTMENT" (per ORC Title 13, Chapter 1303.61 and UCC 3-501) and "RIGHT TO NOTICE OF DISHONOR." (per ORC Title 13, Chapter 1303.63 and UCC 3-503). The failure of the "LENDER" to fully disclose the nature of the "NOTE" and affect of waivers constitute fraud (by concealment/non-disclosure). So...
In the commission of the aforementioned frauds (by concealment/non-disclosure) and violations (of applicable law), causing injury, the "LENDER" committed a "BREACH OF TRUST," per ORC Title 58, Chapter 5810.01 (A), because of which, you, the "BORROWER" (and/or "Beneficiary") is entitled to removal of "TRUSTEE" per ORC Title 58, Chapter 5807.06 (B)(1) and damages, per ORC Title 58, Chapter 5810.01 (B)(3)(7)(8)(9)(10).
This claim should be made with a filed Motion called: "LEAVE TO FILE COUNTER-CLAIM," during the foreclosure court proceedings. This motion should be in Affidavit format, and state all pertinent facts.
Thursday, September 3, 2009
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