A lawsuit in Kentucky brought against Virginia-based Mortgage Electronic Registration Services, or MERS, has been tossed out of U.S. District Court. The case, brought by 14 different Kentucky county attorneys against the mortgage firm, alleged MERS owed Kentucky counties millions of dollars in fees:
[The lawsuit] said the Kentucky legislature in 2006 changed state laws to require mortgage assignments to be recorded. It also instituted a $6 surcharge on recordings to provide a permanent source of funding for Kentucky's Affordable Housing Trust Fund.
The judge, in ruling against the county attorneys, cited a February 2013 order from the Sixth Circuit Court of Appeals that said county clerks lacked standing to sue MERS.