In today’s economy, it is unsurprising that we have covered several instances of challenges to mortgage loans when one of two spouses did not sign the mortgage and, on that basis, seeks to void the lender’s security interest in the property. (See here and here.)
Today, in a published opinion, the Minnesota Court of Appeals weighs in.
It goes without saying that a home foreclosure is a sad and unfortunate event and one’s sympathies tend toward the unfortunately foreclosed homeowner. On the other hand, in cases such as today’s, where the non-signing spouse “consented to, had full knowledge of, and retained the benefits of the transaction,” it seems it may be the lender who is railroaded the non-signing spouse is allowed to walk away from a debt owed.