A New York Times article explains the legal issue that forms the basis for avoidance of foreclosure by publication by MERS. In a sentence: MERS has no title to the real estate; thus MERS has no "power of sale." This is a must-read for those of you who are facing mortgage foreclosure by publication and also for family lawyers who have clients facing this issue. Read Mortgage Electronic Registration Systems (MERS) Inc., New York Times, October 14, 2010 here.
My earlier post discussing a new Michigan Court of Appeals case dealing with this issue is here. That article also contains a link to state-by-state case law around the United States where this issue has arisen to protect homeowners.