Just one bankruptcy case in Arkansas could change the future of many foreclosures in the state.

The case at question revolves around a Chapter 13 bankruptcy case for a large mortgage provider. Apparently the filers of the bankruptcy case did not make a complete and accurate filing. The court has discovered discrepancies in their paperwork, including administrative and court fees. It turns out that the mortgage provider believed that it was due certain fees from loan holders, an unfounded truth that was rebutted by the court this month.

This case came to light due to recent changes over the past few years. The state of Arkansas has seen a subtle shift towards non-judicial foreclosures. These are foreclosures in which the court system is not involved in foreclosing a property. Thanks to a loophole, the mortgage provider's cases fell into this category, but the company was found to be non-compliant with certain laws.

Have questions about foreclosure in Texas? If so, contact the Malaise Law Firm now to get answers from our knowledgeable Houston bankruptcy lawyers.