Mealey's Mortgage Lending

  • March 29, 2017

    Judge Allows Amended Claims For Declaratory Relief Against Ocwen

    HOUSTON — A Texas federal judge on March 28 partially granted a motion filed by former property owners to amend their complaint against a loan servicer in relation to a foreclosure action, finding that amendment of their common-law fraud claim would be futile (Roger Law, et al. v. Ocwen Loan Servicing LLC, No.16-2675, S.D. Texas, 2017 U.S. Dist. LEXIS 45758).

  • March 27, 2017

    California Court Affirms Demurrer, Finds Borrowers Had No Interest In Property

    SAN FRANCISCO — A California court on March 22 affirmed a trial court's decision to grant a demurrer filed by a mortgage company to a complaint filed by borrowers in relation to a foreclosure, finding that they did not allege sufficient facts to support their claim for violation of California's unfair competition law (UCL) (Lonnie Ratliff, Jr. v. EMC Mortgage LLC, et al., No. A144123, Calif. App., 1st. Dist., Div. 3, 2017 Cal. App. Unpub. LEXIS 2057).

  • March 23, 2017

    Judge Overrules Objections In Foreclosure-Related Action Against Lenders

    MONTGOMERY, Ala. — An Alabama federal judge on March 22 overruled objections submitted by lenders and a borrower to a magistrate judge's report and recommendation that some claims related to a foreclosure be allowed to proceed but noted that some of the objections would be better adjudicated on summary judgment (Steven Thomason v. One West Bank, FSB, et al., No. 2:12cv604, M.D. Ala., 2017 U.S. Dist. LEXIS 41122).

  • March 22, 2017

    Judge Finds Default Did Not Relieve Lender Of Contractual Obligations

    DETROIT — A Michigan federal judge on March 21 refused to dismiss a former property owner's claims that a lender breached a settlement agreement when it refused to consider his loan modification, finding that the lender failed to show that dismissal was warranted (Dominick Gray v. CitiMortgage Inc., No. 16-cv-11295, E.D. Mich., 2017 U.S. Dist. LEXIS 39990).

  • March 22, 2017

    Federal Judge Finds RESPA Claim Related To Loss Mitigation Fails

    FLORENCE, S.C. — A Michigan federal judge on March 21 found that a borrower failed to allege a violation of the Real Estate Settlement Procedures Act (RESPA) in relation to the denial of her loan modification application, finding that even if her claims against the lenders were true, she failed to state a RESPA claim against them (Alice M. Mangum v. First Reliance Bank, et al., No. 4:16-CV-02214, D. S.C., 2017 U.S. Dist. LEXIS 40103).

  • March 21, 2017

    5th Circuit Finds Banks Timely Foreclosed, Affirms Decision On Tolling Period

    NEW ORLEANS — The Fifth Circuit U.S. Court of Appeals on March 16 affirmed a district court's judgment in favor of two banks, finding that a nonjudicial foreclosure of a property was not barred by a four-year statute of limitations (John Porterfield, et al. v. JP Morgan Chase, N.A., No. 16-50215, 5th Cir., 2017 U.S. App. LEXIS 4705).

  • March 17, 2017

    Judge Finds Claims Against Wells Fargo Were Adjudicated In Previous Cases

    SEATTLE — A Washington federal judge on March 15 granted judgment for a bank, finding that a borrower's claims related to a nonjudicial foreclosure were barred because the same facts underlying the case were already asserted in two other previously filed actions (Paul Frederick Genung v. Clear Recon Corp., No. 16-692, W.D. Wash., 2017 U.S. Dist. LEXIS 37215).

  • March 15, 2017

    10th Circuit Finds TILA Rescission Claim Against Banks Was Not Properly Filed

    DENVER— After finding that a property owner did not give written notice to rescind a mortgage under the Truth in Lending Act (TILA) within the required time period, the 10th Circuit U.S. Court of Appeals on March 13 affirmed the dismissal of his foreclosure-related claims asserted against two banks and a loan servicer (Mukhtiar S. Khalsa v. U.S. Bank National Association, et al., No. 16-2208, 10th Cir., 2017 U.S. App. LEXIS 4351).

  • March 15, 2017

    9th Circuit Finds Chase Falsely Promised Loan Modification To Borrower

    LOS ANGELES — The Ninth Circuit U.S. Court of Appeals on March 13 affirmed a district court's finding that a property owner asserted a viable claim for violation of California's unfair competition law (UCL) but reversed its rulings in favor of a bank on the property owner's claims for breach of contract and violation of the Truth in Lending Act (TILA) (Mahin Oskoui v. J.P. Morgan Chase Bank, et al., No. 15-55457, 9th Cir., 2017 U.S. App. LEXIS 4365).

  • March 13, 2017

    3rd Circuit Finds Chase Improperly Calculated Insurance Termination Date

    PHILADELPHIA — The Third Circuit U.S. Court of Appeals on March 9 affirmed a district court's order denying a bank’s motion to dismiss claims for violation of the Homeowners' Protection Act, finding that the court did not err in finding that the bank violated the act when it relied on a broker's price opinion to calculate the borrower's insurance termination date, rather than the original value of the home (Ginnine Fried v. JP Morgan Chase & Co., et al., No. 16-3069, 3rd Cir., 2017 U.S. App. LEXIS 4158).

  • March 10, 2017

    Judge Finds TILA Claim Was Untimely, Grants Dismissal For Bank

    CHICAGO — An Illinois federal judge on March 8 found that a former property owner's claim for violation of the Truth in Lending Act (TILA) that arose out of an alleged attempt to rescind his mortgage was barred by a three-year statute of limitations, granting a motion to dismiss the case filed by Bank of America N.A. (BANA) (James Fendon v. Bank of America, N.A., No. 16-3531, N.D. Ill., 2017 U.S. Dist. LEXIS 33236).

  • March 9, 2017

    9th Circuit Finds Borrower Lacks Standing To Assert UCL Violation

    PASADENA, Calif. — The Ninth Circuit U.S. Court of Appeals on March 6 affirmed dismissal of a homeowner's claims for violation of California's unfair competition law and other California law, finding that there was no private right of action available to him under the law or that loan servicers acted unlawfully (Peter Zeppeiro v. Green Tree Servicing LLC, et al., No. 15-55747, 9th Cir., 2017 U.S. App. LEXIS 3951).

  • March 8, 2017

    Federal Judge Finds No Modification Request, Dismisses UCL Claim

    SACRAMENTO, Calif. — A California federal judge on March 6 granted a bank and a servicer's motion to dismiss claims for violation of California's unfair competition law (UCL) and Labor Code, finding that a property owner failed to show that he had a loan modification request pending at the time a notice of default was filed (Samuel Rodriguez v. Wells Fargo Bank, N.A., et al., No. 2:16-cv-00232, E.D. Calif., 2017 U.S. Dist. LEXIS 31587).

  • March 8, 2017

    Judge Finds No Support For Defamation Claim Against Loan Servicer

    GRAND RAPIDS, Mich. — A Michigan federal judge on March 3 granted a mortgage-servicing company's motion for summary judgment on a borrower's claim for defamation related to the publication of a foreclosure notice, finding that the property owner had defaulted on the mortgage by the time the notice was published (Lesa Werme v. Mortgage Center, LLC, et al., No. 1:15-cv-130, W.D. Mich., 2017 U.S. Dist. LEXIS 31261).

  • March 6, 2017

    3rd Circuit Finds Arguments For Reconsideration Of Dismissal Are Meritless

    PHILADELPHIA—  The Third Circuit U.S. Court of Appeals on March 3 found that a district court did not err when it denied a motion for reconsideration, finding that the court properly dismissed the case after borrowers failed to timely file an amended complaint in relation to their claim for violation of the Truth in Lending Act (TILA) (Nina Shahin, et al. v. PNC Bank NA., et al., No. 16-3952, 3rd Cir.,  2017 U.S. App. LEXIS 3868).

  • March 6, 2017

    11th Circuit Finds Lack Of Standing, Affirms Dismissal Of RESPA Claim

    ATLANTA — The 11th Circuit U.S. Court of Appeals on March 1 affirmed a district court's decision to dismiss a borrower's claim for violation of the Real Estate Settlement Procedures Act (RESPA) in relation to a written request for information, finding that he failed to show that he had standing to assert a claim for statutory damages (Charles Meeks v. Ocwen Servicing LLC, No. 16-15536, 11th Cir., 2017 U.S. App. LEXIS 3677).

  • March 2, 2017

    Judge Grants Dismissal For Loan Servicer, Allows FDCPA Claim To Proceed

    CHICAGO — An Illinois federal judge on Feb. 28 partially granted a loan servicer's motion to dismiss a claim for violation of Illinois state law in relation to certain damages that it determined were not calculable, but found that her claims for violation of the Fair Debt Collection Practices Act (FDCPA) could proceed (Teresa Bruner v. AllianceOne Receivables Management Inc., No.  15-9726, N.D. Ill., 2017 U.S. Dist. LEXIS 27573).

  • March 2, 2017

    Federal Judge Dismisses Borrower's Complaint For Lack Of Sufficient Clarity

    TAMPA, Fla. — After finding that a complaint filed by borrowers in relation to the foreclosure of their property lacked claims with sufficient clarity, a Florida federal judge on Feb. 28 dismissed the complaint as a "shotgun pleading" (Lilia Mesa, et al. v. Kajaine Fund III, LLC, et al., No. 8:17-cv-450, M.D. Fla., 2017 U.S. Dist. LEXIS 27743).

  • February 28, 2017

    9th Circuit Affirms Dismissal Of TILA Claim As Barred

    SAN FRANCISCO — The Ninth Circuit U.S. Court of Appeals on Feb. 24 affirmed a federal judge's decision to dismiss a borrower's claims for violation of the Truth in Lending Act (TILA) as barred by a previous bankruptcy case in which the claims against various lenders were already resolved (Jacqueline Warner v. CMG Mortgage Inc., et al., No. 15-17505, 9th Cir., 2017 U.S. App. LEXIS 3415).

  • February 28, 2017

    9th Circuit Finds Wrongful Foreclosure Case Was Properly Dismissed

    PASADENA, Calif.— The Ninth Circuit U.S. Court of Appeals on Feb. 23 affirmed a district court's dismissal of claims asserted against lenders in relation to a foreclosure, finding that a former property owner's complaint failed to state a claim (Cindy Dupre v. Mount West Financial Inc., et al., No. 14-56263, 9th Cir., 2017 U.S. App. LEXIS 3292).