Question?

[J Morales]

hello,
so i went to a new yrs eve party and someone there was talking about an incident that happened to their family member. basically the situation went down like this:
he said his relative was facing foreclosure, nothing new these days, and that he was approached by this company (unfortunately i can't remember the name of the company as i type) but i guess what ended up happening is that they had him quit claim the deed over to the company and in turn they said they were going to help him from going into foreclosure, that they've helped countless numbers of people, yada yada. well apparently the guy got a notice in the mail stating that the house was going up for auction, etc...and now he can't get a hold of anyone and they aren't returning his calls. is this legal??? can they actually get away with this kind of madness? i told the guy to have his relative talk to an attorney, i mean what else could the guy do? it's a shame that people prey on those unfortunate souls that fall on hard times. anyway...has anyone heard of things like this happening?