The California State Court of Appeals recently accepted an Amicus Brief by firm attorneys Gary L. Barr and Mark S. Blackman on behalf of the California Manufactured Housing Institute (CMHI). CMHI supports the appellant Vieira Enterprises, Inc. (Vieira Enterprises, Inc. vs. City of East Palo Alto, et al.) in a case in which the outcome could have a significant impact on future financing of manufactured homes in California. The brief supports the current statutory procedures found in Health & Safety Code (H&SC) Section 1800-18153 and Section 18200-18700, which in part, are designed to protect the secured interests of lenders when financing manufactured home purchases.
The brief argued that a lower court’s decision in the case weakens the H&SC lender safeguards and renders some lender security interests in manufactured homes vulnerable to lien extinguishment without lender permission. The attorneys cautioned that if the lower court’s decision was allowed to stand, some lenders would no longer make manufactured housing loans because they would be unable to foreclose on or repossess the homes to collect moneys owed if the borrower files for bankruptcy.
For a copy of the Amicus Brief, go to Vieira Enterprises, Inc. vs. City of East Palo Alto, et al