New York Times: Homeowners in Foreclosure Required to Defend Themselves

The New York Times has an article about how homeowners facing foreclosure are now being forced to show u to defend themselves alone and without an attorney. 

Do you think Calfornia's restrictive, paternal law is responsible here?  Who do we think benefits from stripping lawyers from the process?

California Civil Code section 2944.7(a)(1) prohibits the collection of advance fees by anyone, including attorneys, who work on loan modifications.  Fees may only be collected after the loan negotiator working on your behalf has fully performed each and every loan modification service in your agreement.
Who can afford to wait to collect a contingency on such a long shot after the work?  And from nearly bankruptcy clients?