Can an attorney-in-fact sign/notarize a substitution of trustee for its client as "clientname" rather than as "attorney in fact for clientname"?
Substitutions of trustee for deeds of trust are governed by Civil Code section 2934a. The substitution of trustee is supposed to be executed by the beneficiaries, or their successor's in interest, or the holders of more than 50 percent interest for beneficial interests in a series of notes. If the substitution of trustee is executed by someone with a power of attorney for someone other than one of those parties, the substitution of trustee is not valid.
When a person with power of attorney signs ("executes") a document, they must sign their principal's name, and then their name as attorney in fact. "When an attorney in fact executes an instrument transferring an estate in real property, he must subscribe the name of his principal to it, and his own name as attorney in fact." (Civ. Code, sect. 1095.)
Mr. Whipple thinks that a substitution of trustee does not do this, but I respectfully disagree. A property executed substitution of trustee changes which trustee may exercise the power of sale, which is what is conveyed by the trustee's deed upon sale at a nonjudicial foreclosure sale.
Substitutions of trustee for deeds of trust are governed by Civil Code section 2934a. The substitution of trustee is supposed to be executed by the beneficiaries, or their successor's in interest, or the holders of more than 50 percent interest for beneficial interests in a series of notes. If the substitution of trustee is executed by someone with a power of attorney for someone other than one of those parties, the substitution of trustee is not valid.
When a person with power of attorney signs ("executes") a document, they must sign their principal's name, and then their name as attorney in fact. "When an attorney in fact executes an instrument transferring an estate in real property, he must subscribe the name of his principal to it, and his own name as attorney in fact." (Civ. Code, sect. 1095.)
Mr. Whipple thinks that a substitution of trustee does not do this, but I respectfully disagree. A property executed substitution of trustee changes which trustee may exercise the power of sale, which is what is conveyed by the trustee's deed upon sale at a nonjudicial foreclosure sale.
