COLORADO IN $1.8M SETTLEMENT WITH LENDER PROCESSING SERVICES

(The following press release from The Office of Colorado AG John W. Suthers.  The sender verified the statement.)  Colorado Department of Law Attorney General John W. Suthers  October 29, 2012  CONTACT Carolyn A. Tyler Carolyn.Tyler@state.co.us<mailto:Carolyn.Tyler@state.co.us> 303-866-5632  ATTORNEY GENERAL ANNOUNCES $1.8M SETTLEMENT WITH LENDER PROCESSING SERVICES  OVER MORTGAGE LOAN SERVICES DOCUMENT PREPARATION  DENVER-Colorado Attorney General John  Suthers<http://www.coloradoattorneygeneral.gov/> today announced that the State  of Colorado will receive $1.8 million as part of a settlement with Lender  Processing Services, Inc. (NYSE: LPS) for past document execution practices by  LPS subsidiaries DocX, LLC and LPS Default Solutions, Inc. Florida-based LPS  provides technology and other services to mortgage loan servicers.  During a period from January 1, 2008 to December 31, 2010, certain residential  mortgage loan servicers authorized specific persons employed by LPS  subsidiaries DocX and LPS Default Solutions to sign or assist with the  execution of mortgage-related documents, including lost instrument affidavits,  deed of trust lien releases, and assignments of deeds of trust. Some of the  mortgage -related documents generated or executed by LPS subsidiaries contained  defects such as unauthorized signatures and improper notarizations.  "This settlement with LPS is part of our on-going investigation into all facets  of the foreclosure process in Colorado," said Suthers. "It is important that  the foreclosure process work as intended and that borrowers and the legal  system have confidence in it."  Between March 1, 2009 and November 1, 2009, employees and agents of DocX were  directed by management of DocX to implement a program under which some DocX  employees signed mortgage-related documents in the name of other DocX  employees, who were or had been at one time authorized to sign on behalf of  certain mortgage servicers. DocX referred to these signers as "surrogate  signers," who then executed certain mortgage-related documents in the name of  other DocX employees without indicating that the document had been signed by a  surrogate signer.  As part of the settlement, LPS and its subsidiaries agree not to engage in any  surrogate signing program or execute any mortgage-related documents without an  affiant's review and personal knowledge of the accuracy and completeness of the  statements in the documents. LPS and its subsidiaries also will ensure that any  mortgage-related document that is executed on behalf of a servicer is done  pursuant to proper and verifiable authority to sign on behalf of the servicer.  The settlement funds will be used for programs related to foreclosure  prevention, loan modification and housing, to reimburse the Colorado Attorney  General's Office for its attorney fees and costs, and for future consumer  protection and antitrust enforcement and education efforts in the state.  (bjh) NY