TheMortgage Litigation IndexfromMortgageDaily.comclimbed to its highest level during any quarter since it was introduced in 2007. Cases challenging the foreclosure process accelerated, though investor actions were higher and criminal activity shot up.

TheSecond Quarter 2011 Mortgage Litigation Indexcame in at 190 total cases. Activity grew 26 percent from the prior quarter and was well more than double the level a year earlier.

The report, which reflects mortgage-related legal actions covered byMortgageDaily.combetween April 1 and June 30, was prepared in conjunction with Patton Boggs LLP.

There were more cases related to foreclosures than any other category. Foreclosure litigation, which involves rulings in favor of borrowers or cases against rescue firms, was up two-thirds from the first quarter.

Litigation involving mortgage servicers, which often goes hand-in-hand with foreclosure activity, was a third higher.

One area worth noting is secondary marketing, which more than doubled to 27 cases in the latest period. This category reflects repurchase activity.

"Foreclosure litigation is on the rise as borrowers are increasingly challenging foreclosures because mortgagees continue to struggle proving mortgage ownership," saysDallas Partner Pat McManemin. "Repurchase and secondary market litigation is also increasing as institutions fight over responsibility for the substantial losses suffered by the holders of these loans."

There was a 63 percent rise in criminal cases.