The borrower in In Re Angelo DiVittorio (1st Cir., No. 11-1188, January 6, 2012) took out an adjustable rate mortgage which included a performance-based rate reduction feature that lowered the rate if the borrower timely made the first twenty-four monthly payments. He later filed a chapter 13 bankruptcy where he…
Read More »In Marr v. Bank of America, (No. 11-1424 December 6, 2011), the consumer filed a rescission action alleging that at the closing of the mortgage loan he only received one copy of the Notice of Right to Cancel (Notice), instead of two copies as required by TILA. During depositions the…
Read More »In National City v. Majerczyk (Case No. 11-06 December 23, 2011), the mortgagors appealed the circuit court’s denial of their motion to vacate the order approving the foreclosure sale. Mortgagors argued that the trial court did not acquire personal jurisdiction because the summons served upon them bore only the stamped…
Read More »The Massachusetts Supreme Judicial Court held that a foreclosure buyer did not acquire good title to foreclosed property when the foreclosure was instituted by a party to whom the mortgage had not yet been assigned. In Bevilaqua v. Rodriguez, 460 Mass. 762, 955 N.E.2d 884 (October 18, 2011) the defendant…
Read More »According to the complaint in Nunez v. Aurora Loan Services, 11CV1121 DMS POR, (S.D. Cal. Oct. 25, 2011), the Plaintiff was promised a 4.75 percent interest rate when he agreed to refinance his home. He was advised that the monthly payment would be $2,999 but was informed at the closing…
Read More »In Re Rasmussen, (E.D.NY., No. 10-CV-4173, September 14, 2011), the Debtors owned a vested reminder fee interest in a property in New York, which was subject to a life estate owned by the Mother of one of Debtors. The Debtors reside in the property, as their principal residence, together with…
Read More »In Fernandes v. JPMorgan Chase Bank, N.A., (N.D.I.L., No. 11-CV-652, October 13, 2011), the borrower of a second mortgage brought a complaint seeking rescission of the mortgage under the Truth In Lending Act (TILA) due the original creditor’s failure to provide material disclosures. The borrower also sought statutory damages for…
Read More »A recent opinion by an Illinois Appellate court removes a major defense to a mortgagee or servicer’s attempt to upset a tax sale when they did not receive notice. In Re Application of the County Treasurer, No. 1-10-1966. (Ill. App. Ct. Aug. 25, 2011) largely undermines a tax deed purchaser’s…
Read More »The mortgagee in Lucas v. U.S. Bank, N.A., 28S01-1102-CV-78, (Ind. Sept. 15, 2011) brought an action to foreclose a mortgage to which the borrower responded by filing affirmative defenses and counterclaims for fraud, breach of fiduciary duty and violations of the Truth in Lending Act. He requested jury trial on…
Read More »In 1998, the Appellant in Matrix Fin. Services Corp. v. Frazer, Opinion No. 26859, 2011 WL 3452078 (S.C. Aug. 8, 2011) defaulted the mortgagors in a lawsuit filed in California where they lived at the time. The mortgagors then purchased a home in South Carolina in January 2001 financed by…
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