In Boucher v. Financial System of Green Bay, Inc., No. 17-2308 (7th Cir. Jan. 17, 2018), the plaintiff-debtor sued a debt collector under the FDCPA alleging that debtor’s dunning letters were false and misleading because they threatened to impose “late charges and other charges” that could not lawfully be imposed…
Read More »The U.S. District Court for the Southern District of Florida held that a loan servicer that reported to credit reporting agencies that a mortgage loan was 120 days or more delinquent and in foreclosure, but did not specify that the loan was accelerated did not violate the Fair Credit Reporting…
Read More »The new Tax Cuts and Jobs Act (“TCJA”) signed into law on December 22, 2017, may impact the mortgage market for cash out refinances and for junior mortgages taken in order to cash out home equity. Under the TCJA for the taxable years beginning January 1, 2018 through December 31, 2025, only…
Read More »The Fourth District of Florida held that a mortgagor who was awarded attorney’s fees and costs in a foreclosure which was voluntarily dismissed by the foreclosing bank but who failed to disclose the award in his chapter 11 bankruptcy petition was not judicially estopped from later claiming that award. The…
Read More »The Sixth District held in Palmer Park Square, LLC v. Scottsdale Ins. Co., 878 F.3d 530 (6th Cir. Dec. 22, 2017) that an insured’s suit for statutory penalty interest for the insurer’s late payment of the insurance claim did not arise under the policy and was therefore not subject to…
Read More »The First District Appellate Court held in First Midwest Bank v. Andres Cobo et al., 2017 IL App (1st) 170872 (Nov. 6, 2017) that a breach of contract complaint filed after the mortgagee’s voluntary dismissal of both a prior foreclosure action and a prior breach of note suit was barred…
Read More »The background: In 2014, the Illinois Appellate Court held in First Mortgage Co. v. Dina, 2014 IL App (2d) 130567, 11 N.E.3d 343 (Dina I) that under the Illinois’ Residential Mortgage License Act (Act) if the originating mortgagee was not licensed a the time of origination the mortgage was void.…
Read More »The Seventh Circuit held that private persons who purchase property from Federal Fannie Mae are not exempt from the City of Chicago’s Real Property Transfer Tax. In Federal National Mortgage Association v. City of Chicago, 16-4140 (7th Cir. October, 30, 2017) a group of buyers purchased real property in Chicago…
Read More »The Second Circuit Court of Appeals denied a petition for a panel rehearing in Reyes v. Lincoln Automotive Financial Services, 861 F. 3d 51 (2d Cir. June 22, 2017) which serves to affirm the rule that a party to a bilateral contract may not unilaterally revoke his consent to receive…
Read More »A California district court held that a debt collector was not liable under the FDCPA for targeting a person with the same name as the debtor because the debt collector never made a false statement and the error in targeting the plaintiff was bona fide. The debt collector in Hedayati…
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