During the 2008 session, our Congress wrestled with the challenges facing our economy and especially the seemingly out of control rate of mortgage defaults. Several pieces of legislation were bantered about and some even presented and passed. Although at the forefront of most discussions and political campaigns, the issues were presented in the midst of political maneuvering and competition to become a participant in the next administration.
Now that President Obama is in office, with cabinet and key players selected, the new administration is moving to fulfill its promises and leave its mark on our nation. The new Financial Stability Plan has been set into motion, and this aggressive approach to right the ship was accompanied by the unveiling of the president’s much awaited stimulus package, which looks to be record-setting in terms of the size and cost of the proposed cure to the nation’s ailing economy.
As interested citizens and default lawyers representing communities across the country, officers and members of the Committee for Actual Real Estate Solutions, Inc. (CARES) met with several U.S. Senate and House chiefs of staff, as well as congressional banking, commerce, and judiciary leaders in Washington D.C. during the first thirty days of the new administration. Meetings have been targeted at the introduction of new legislation and legislative amendments focused on assisting troubled borrowers and the impacted economy. These efforts have led to additional meetings with staff to brief them on current issues and concerns facing us all in a further step toward introducing legislative reform.
CARES was asked to produce draft legislative language for an attorney exemption under the Fair Debt Collection Practices Act (FDCPA), relating to attorneys engaged in loss mitigation activities in connection with residential mortgages. This language has been completed and forwarded to Senate legislative drafting personnel for comment and introduction in the 2009 legislative session. Recognizing the current urgency to act swiftly, our representatives on Capitol Hill are working diligently to enact legislation that is both aimed at stabilizing the current market and working toward permanent long-term safeguards against future crisis.

To this end, CARES has also been asked to participate in additional legislative efforts concerning the proposed bankruptcy “cram down” and overall resolution of the mounting pitfalls related to securitization and third-party pooling and servicing agreements. As “Counsel to the Industry,” the CARES organization is committed to bring a voice from the local communities and regional jurisdictions to our representatives in Washington.
Where We’re Going
CARES is looking forward to an exciting 2009. With its membership steadily increasing, the group is able to provide a broader and more in-depth picture of the industry and challenges facing it. The continued legislative efforts on both local and national levels are further exposing CARES and its members as a true resource and well of knowledge in these tough times. With the growing support from consumer groups such as Consumer Credit Counseling Services and NeighborWorks, CARES continues to forward its unique position on mortgage-related issues and topics, providing insight and guidance to those in a position to set policy and regulation and impact the future shape of our industry.
Who We Are
The Committee for Actual Real Estate Solutions (CARES), an open membership, non-profit committee focused on resolving issues facing consumers and the mortgage industry, was formed in mid-2008. As a group of mortgage default attorneys and other interested stakeholders, CARES is committed to identifying issues and presenting a fully-vetted solution with a strong eye toward improving the long-term health of the mortgage industry and consumers alike. The CARES charter is focused on the exploration and generation of actual solutions to residential foreclosure, bankruptcy, and loss mitigation challenges through the direct involvement and collaboration with those dealing with the issues first-hand.
Mission and Vision
CARES’ mission is “to address our clients’ needs and the nation’s interests related to the mortgage industry’s issues and challenges through forwarding the best legal opinions and processes resulting in superior long term solutions,” in order to fulfill its stated vision “as an organization of legal and related industry professionals, providing a voice and representation on state and national issues that impact the mortgage lending and servicing industry and the manner in which its members and their clients conduct their business. CARES anticipates and understands the issues and proposed legislative initiatives and provides the necessary professional expertise, acting as ‘Counsel for the Industry.’”