Mortgage Lender Owed Borrowers No Duty Of Care Under HAMP, Judge Rules

Mealey's (April 2, 2021, 2:15 PM EDT) -- CHICAGO — A federal judge in Illinois on March 31 partially granted a motion to dismiss filed by Wells Fargo Bank NA in a consumer fraud and gross negligence lawsuit, ruling that dismissal of the gross negligence claim is necessary because borrowers and their bankruptcy trustee have failed to sufficiently show that Wells Fargo owed them any duty of care under the Home Affordable Modification Program (HAMP) by denying their request for loan modification prior to foreclosing on their home....