Fannie Mae And Freddie Mac Are Exempt From Chicago’s Vacant Property Registration Requirements

The U.S. District for the Northern District of Illinois granted the Federal Housing Financing Agency’s (FHFA), motion for summary judgment against the City of Chicago in Federal Housing Financial Agency v. City of Chicago, 11 C 8795. (N.D. Ill. Aug. 23, 2013). FHFA brought the suit on its own behalf…

Read More »

Congress’s Repeal Of The Right To Sue Under TISA Did Not Preclude A Damage…

The federal Truth in Savings Act (TISA) 12 U.S.C. § 4301 et seq. regulates banks’ disclosures to customers. Until 1996, TISA allowed civil damages to be sought for failure to comply with its requirements but the provision authorizing lawsuits (section 4310) was repealed in 1996, effective September 2001. The issue…

Read More »

Affidavit Filed By Current Servicer Relying In Part On Prior Servicer’s Records Admissible Under…

In Bank of America, N.A. v. Land, 2013 IL App (5th) 120283 (July 31, 2013), the Illinois appellate court affirmed an order of summary judgment for a bank in a mortgage foreclosure action. At issue in that case was the admissibility of the affidavit of the bank’s assistant vice president.…

Read More »

Where Seller Conveys Property Via A Special Warranty Deed It Is Not Liable To…

After the title insurer in Chicago Title Ins. v. Aurora Loan Services, LLC, 2013 IL App (1st) 123510 (Aug. 31. 2013) paid its insured the the policy limit and appraised value of the property that was lost to a tax deed, it filed suit against the seller who acquired its…

Read More »

Federal Court Rejects Subject Matter Jurisdiction Challenges Based On A Consent Order Between The…

Ellis v. J.P Morgan Chase Co., 12 CV 03897 (N.D. Cal., June 13, 2013), involves a class action against a mortgage loan servicer raising claims of unfair or deceptive business practice, unjust enrichment, fraud and RICO. Plaintiffs alleged that the servicer marked-up fees that were charged by the servicers without…

Read More »

Mortgagor Lacks Standing To Challenge A Foreclosure That Was Not Conducted In Exact Compliance…

The plaintiff- mortgagor in Badrawi v. Wells Fargo Home Mortgage, Inc., 718 F.3d 756 (8th Cir. 2013) sued to invalidate a foreclosure proceeding claiming, among other things, that the mortgagee failed to comply with Minnesota’s requirements for foreclosure by advertisement when it published and recorded the notice of foreclosure on…

Read More »

Ninth Circuit Holds That Mistakenly Sending Notices Of Default And Acceleration To A Borrower…

In Schlegel v. Wells Fargo Bank, NA, 11-16816 (9th Cir. July 3, 2013) the borrowers alleged they entered into a loan modification agreement with the lender that retained the same interest rate but extended the maturity date of the loan. Shortly afterwards, however, the lender mistakenly began sending the borrowers…

Read More »

Seventh Circuit Confirms That A Strip-off Of Underwater Second Mortgage Lien Is Not Allowed…

The debtors in Palomar v. First American Bank, 12-3492 (7th Cir. July 11, 2013) brought an adversary action in a chapter 7 bankruptcy against the holder of a second mortgage on their home asking the court to strip off the mortgage under 11 U.S.C. § 506(a) of the Bankruptcy Code…

Read More »

With the exception of two provisions relating to minors, Illinois Supreme Court’s Rule 138…

With the exception of two provisions, Illinois Supreme Court Rule 138, amended to protect against identity theft and the disclosure of sensitive information through electronic filing, goes into effect Monday, July 1 2013. Thus, starting today, social security numbers and taxpayer-identification numbers, driver’s license numbers, financial account numbers, and debit…

Read More »

Protecting Tenants in Foreclosed Rental Property Ordinace

On June 5, 2013, in an attempt to reduce the displacement of tenants in property taken in foreclosure, maintain property values and avoid the perception of a neighborhood as being unworthy of investment, the Chicago City Council overwhelmingly passed SO2012-5127, the Protecting Tenants in Foreclosed Rental Property Ordinance Section 15-4…

Read More »