Mortgage turmoil snares Ed McMahon
Ed McMahon, the longtime sidekick to Johnny Carson on "The Tonight Show," is fighting to avoid foreclosure on his multimillion-dollar Beverly Hills estate. McMahon defaulted on $4.8 million in mortgage loans with a unit of Countrywide Financial Corp., which filed a notice of default in March, according to ForeclosureRadar, a company that sells default data pulled from public records.McMahon won a $7.2-million insurance settlement after claiming that mold in his house killed his dog Muffin and sickened him and his wife.According to a lawsuit he filed, the trouble began when a pipe broke and water flooded a den. Mold was later discovered throughout the house. McMahon and his wife, Pamela, blamed faulty cleanup. "When your family loses its health and your home is a wasteland, that's a colossal disaster," McMahon said at the time.

Home Front: Humbled home builders now facing reality
This change is not easy for builders. In a bust that has lasted three years, they have gone through phases: denial, blaming the media for messing with the heads of buyers, predicting bottom soon and laying off staff. Now a chastened industry has reached a new stage, openly acknowledging its mistakes..."We've effectively stolen from the future. The demand we should be having now we stole in 2005 and 2006." He said: "We're paying for the sins of our past right now." Are they ever. The builders, banks, sales staffs and land developers clearly see the sins now. They built too many homes, and they built them too big. They "pushed" people who had no business getting mortgages into homes. They bought too much land with too much borrowed money... industry joke went: If you can show your breath on a mirror, you can qualify..."We learned if you give people free money, they'll take it."  Respond to article and reader comments

Editorial: More evidence for judicial reform
The couple, Bob and Jane Cull, sued Perry Homes in an effort to get the home builder to make repairs to their retirement home. The case has been mired in the judicial system since 2000. Before the trial the Culls sought arbitration to avoid an even more expensive and drawn out legal fight.  After the Culls were awarded $800,000 by the arbiter, the home builder took them to court claiming that the arbitration was handled improperly. A district court and an appeals court ruled against the home builder who appealed to the Supreme Court.

Olympia Group sues home builder D.R. Horton, claims contract breach
The development group led by locally based Olympia Group has filed a multimillion dollar lawsuit against the nation's largest home builder for a breach of contract. November 2005 Land Investors filed the lawsuit Wednesday in Clark County District Court against DRHI, a subsidiary of Fort Worth, Texas-based D.R. Horton. The lawsuit claims the builder is in default of an infrastructure agreement and owes $4.1 million plus interest for unpaid costs related to the 2,675-acre Park Highlands master-planned community in North Las Vegas.

Southaven Residents: Struggling Homebuilders leave Overgrown Grass
Many people in DeSoto County are fed up with the way their subdivisions look. They say financially strapped builders are letting the grass grow out of control on their vacant lots... Wallace said residential building has slowed in the once booming city of Southaven. He said builders are left with lots no one is looking to buy. He said builders are more focused on staying in business than mowing the lawns on their properties.

New Poll: Americans Say "No Thanks" To Binding Arbitration
By five to three, Americans said they disapprove rather than approve of consumer contracts with binding arbitration provisions. When consumers who are initially supportive learn that arbitration means that they give up their right to take the case to court and that the company picks the arbitrator, two in three of the initially supportive consumers also disapprove. When the data is combined, a whopping 81percent of Americans express disapproval of mandatory binding arbitration.

ATTENTION! Arbitration Stories
HOBB is in need of Binding Arbitration Stories.  A report on Arbitration is currently being prepared and we need to hear about your experience.  Even if you decided not to go to arbitration for any reason or have sent your arbitration experience before please send it again, with any updates and additional comments.

SpotLight - Live Talk Internet: With Denise Richardson & Jim Malmberg
Denise Richardson & Jim Malmberg have launched a Blog Talk Program every Thursday 1:00 P.M. EDT. Participate: Listen Live and and call in at 718-664-6583 and join in the conversation.  Step into the SpotLight each Thursday or hear a replay of the show at your connivance. Guests will include experts, consumers, attorneys, advocates and you! We want to increase public and corporate awareness by shining a SpotLight on issues that matter to you... Credit Reporting issues, Identity Theft, Privacy Rights, Consumer Protection Laws, Predatory Lending, Mortgage Servicing Fraud, Phishing Scams, Computer Security, Data Theft, Consumer Legislation, Consumer Action. SpotLight LiveTalk Internet

TRCC Sunset Review!  Let the Sun Set on the Texas Residential Construction Commission! 
The Texas Residential Construction Commission (TRCC) is currently being reviewed by the Texas Sunset Commission to determine whether the agency will continue to operate. TRCC is run exclusively by the homebuilding industry to regulate homeowners. It is by far the most criticized state agencies ever created. Please send your comments to the Sunset Commission and a copy to me at HOBB