San Diego, CA -- (SBWIRE) -- 02/29/2012 -- An investor in NYSE: LPS shares filed a lawsuit against directors over Lender Processing Services, Inc. over alleged breaches of fiduciary duties in connection with Lender Processing Services’ default operations.
Investors who are current long term investors in Lender Processing Services, Inc. (NYSE: LPS) shares, have certain options and should contact the Shareholders Foundation at mail(at)shareholdersfoundation.com or call +1(858) 779 - 1554.
The plaintiff alleges that that defendants breached their fiduciary duties and that the board of directors was made expressly aware of the issues with Docx, an Lender Processing Services subsidiary, but did not end the robo-signing practice, which is a process in which unverified documents are automatically generated and submitted in foreclosure and bankruptcy proceedings.
The plaintiff alleges that in September and October of 2010, news articles across revealed that many of the automatically-generated documents used in judicial foreclosure proceedings and bankruptcies were improper and invalid and that the volume of Lender Processing Services documents filed in the wake of the financial crisis made clear that the paperwork was frequently automatically generated with very little, if any, factual investigation into whether the foreclosing entity had a legal right to foreclose on the property, and other facts critical to the proceedings.
In December 2011 a lawsuit was also filed by the Office of the Attorney General of the State of Nevada. This lawsuit alleged among other things that Lender Processing Services and certain of its subsidiaries engaged in a pattern and practice of falsifying, forging and/or fraudulently executing foreclosure related documents, resulting in numerous foreclosures that were predicated upon deficient documentation, and implemented a widespread scheme to forge signatures on key documents, to ensure that volume and speed quotas were met.
Those who are current long term investors in Lender Processing Services, Inc. (NYSE: LPS) shares, have certain options and should contact the Shareholders Foundation.
Shareholders Foundation, Inc.
3111 Camino Del Rio North - Suite 423
92108 San Diego