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20 May 2015

Real estate firm blames over-expansion for collapse and loss of 700 posts

Florida-based Butler & Hosch has just closed down - following the sending of an email by the CEO to the 700 staff telling them that there were insufficient funds to pay them at the end of the week.

By Neasa MacErlean

The 40-year old firm was handling about 60,000 mortgage foreclosure cases across the US. Bob Hosch, the CEO, told employees that he was stepping down voluntarily. Mr Hosch blamed over-expansion for the practice's problems. He wrote in his email to them: 'Unfortunately, BH grew too fast and could not merge processes from the acquired entities quickly enough to meet our economic forecasts, which resulted in short-term cash crunches and [affected] our ability to attract new capital in the interim.' 


Describing itself on its firm website, Buter & Hosch says: 'Butler & Hosch, P.A., is a national law firm specializing in the legal needs of the mortgage banking industry. With combined entities and offices in the States of AK, AL, AZ, CA, DC, DE, FL, GA, ID, IN, LA, MD, MS, MT, OH, NC, NV, OR, SC, TN, TX, UT, VA, WA, and WV.  Butler & Hosch, P.A. practice areas include Foreclosure, Bankruptcy, Litigation, Loss Mitigation, REO, Title, and  Eviction.   The firm is committed to clients’ needs as demonstrated through single point of contact communication, dedicated client service teams and an ongoing investment in technology.  With all default services under one roof,  Butler & Hosch, P.A. provides a streamlined solution to manage default services.' Sources: ABA and Butler & Hosch

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