Most foreclosures in California are done outside of the Courts. However, some foreclosures can be done judicially. California Civil Code Section 2920 through 2944.7 governs California Foreclosures.
In Re Vargas – The Bankruptcy Court found many errors with regard to the proceedings instituted by MERS to get relief from stay so it could take the home away from Mr. Vargas, an 83 year old World War II veteran. MERS was found to have submitted fraudulent documents. Additionally, the Court held that MERS did not have legal standing to foreclose upon Mr. Vargas because it did not hold the note and deed.