By Dave Krieger, Investigative Journalist and Author of “Clouded Titles” (03/07/2012)
(AUSTIN) – It may be reflective of the current state of litigation for Mortgage Electronic Registration Systems, Inc. (“MERS”) and its parent “companies”, but don’t let the merger fool tactics you!
On September 22, 2011, the Board of Directors for MERSCORP, Inc. (MERS’s parent corporation … the entity with all the money) formed MERSCORP HOLDINGS, INC. and said corporation was registered with the Delaware Secretary of State as File #5034916. At the time of filing, its Registered Agent was listed as RL&F Service Corporation, with an address for service of process listed at 920 N. King Street, 2nd Floor, Wilmington, DE 19801.
The process then ended up in a merger with MERSCORP, Inc., which is listed with the Delaware Secretary of State’s office as having been filed on February 27, 2012 and the File #2915165 was listed with a Registered Agent address as The Corporation Trust Company (CTC) at Corporation Trust Center, 1209 Orange Street, Wilmington, DE 19801.
According to a clerk at the Delaware Secretary of State’s office, the MERSCORP, Inc. named disappeared and the new name of MERSCORP HOLDINGS, INC. was retained, showing an incorporation date of June 30, 1998, which should somewhat clarify items gleaned during the depositions of then-former CEO R. K. Arnold and then-Secretary William Hultman. The current file number of #2915165 and CTC remain as what is shown in the Secretary of State’s records as the correct listing for MERSCORP HOLDINGS, INC. and its registered agent, CTC.
Coincidentally, the merger occurred while the Dallas County v. MERS suit was hung up in “MDL HELL” … being reviewed for incorporation into the multi-district litigation action in Phoenix, Arizona. Such was not to be the case, as the MDL panel rejected MERSCORP’s (and MERS’s) removal and sent it back to Dallas.
Upon receipt of the case, Harris (Houston) and Brazoria Counties (Texas) filed motions for leave to intervene and became part of the class action. Bexar County (San Antonio) filed its own action against MERS and MERSCORP, and tagged JPC Financial Resources, Inc. as its in-state defendant to keep its case from being removed to federal court based on diversity, something which MERS and its parents are famous for. That suit seeks unspecified damages, while Harris County seeks $10-Billion … with a “B” from MERS et al. The case is Dallas County, Texas v. Merscorp, Inc.; 3:11-cv-02733; U.S. District Court (1100L), Northern District of Texas (Dallas).
It’s now anyone’s guess as to how the new entity will affect the litigation. The author surmises it’ll get dragged in by its chameleon’s tail at some point via service of process; which brings to mind the old saying, “You can run but you can’t hide!”
The new entity is listed at the bottom of the MERS website under Copyright 2012, MERSCORP HOLDINGS, INC. It will be interesting as the investigation ramps up in the copyright office to see who re-registered the MERS name and proprietary gobbledygook on its website.