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Information for:    Business Method Patents   |   Workout Professionals

Business Method Patents

Our system is a unique business method, and unique business methods like ours can now be patented. A business-method patent is just like any other patent, except the subject matter happens to relate in some way to a method of doing business. A business method patent can be issued for "concepts for conducting business transactions" and "unique business methodologies".

An unlicensed entity implementing a business system similar to ours, without obtaining a license, could face (a) Statutory Damages of the greater of our loss or the infringer's gain, including up to three times the Reconveyance Fee income (a sum that could reach millions of dollars for a single property), (b) Injunctive Relief (possibly invalidating any Reconveyance Fee provisions the infringer puts in place, and prohibiting future Reconveyance Fee provisions), and (c) possible Punitive Damages for willful infringement. In addition to the statutory penalties, an infringer would no longer be eligible for a license from us, and could miss out on literally millions of dollars in future income.

Sophisticated developers, realtors, builders and property owners of all types, with access to competent legal and financial counsel, have all seen the benefits of the Freehold license.

Workout Professionals & Owners of Distressed Properties

Property owners facing financial difficulties in this challenging real estate environment need to use every tool at their disposal.

Reconveyance Fee Rights represent a powerful tool for restructuring debt and repaying creditors. In a bankruptcy situation involving large property holdings, Freehold works closely with the debtor in possession, workout professionals and debtor's counsel, with valued input from creditors, to create a long term income stream from Reconveyance Fees (also called future conveyance fees). This income stream can be retained as part of the estate and administered by the trustee, allocated amongst the parties in return for discharge of indebtedness, or, depending upon the size of the holdings, securitized - thereby generating substantial cash for the estate.

Additionally, the REO departments of financial institutions may find Reconveyance Fee Rights to be a valuable tool for minimizing or eliminating loan losses. Traditionally, repossessed properties sold for less than the loan basis plus disposal costs result in a charge to capital. However, by creating Reconveyance Fee Rights prior to sale of the property, lending institutions can either book a valuable asset and realize significant future income or securitize the rights. Almost without exception, and regardless of the initial loss on the sale to dispose of REO properties, Reconveyance Fee Rights represent a virtual certainty that a lender can recover all losses. Counsel for debtors, creditors, trustees and lenders are encouraged to contact us today to discuss Reconveyance Fee Rights.