In Johnson v. Washington, — F.3d —-, 2009 WL 446094 (4th Cir., (Va.),2009) the Plaintiff’s sold their home but continued to rent the property from the buyer and retained an option to repurchase. After falling behind on their payments they brought sued the buyer, alleging violations of the Truth in…
Read More »In Bonney v. Washington Mut. Bank, No. 08-30087 (D. Mass., Feb. 9, 2009) the Plaintiffs obtained a debt consolidation loan from Defendant’s predecessor which was secured by their residence. In connection with that loan they were provided a Notice of Right to Cancel which did not specify the date of…
Read More »Following a telephone interview to gather financial information for a proposed loan, the Defendant in Weintraub v. Quicken Loans, Inc., No. 08-278 (E.D.Va., Feb. 5, 2009) provided the Plaintiffs a Deposit Agreement which required the Plaintiff to make a $500.00 deposit as part of the application for refinancing. Plaintiff paid…
Read More »In Moore v. Wells Fargo Bank, N.A., 2:08cv 413 (E..D.Va., Feb. 2009) the plaintiff-mortgagor brought an action against the mortgagee seeking a declaratory judgment that the mortgagor had validly rescinded two mortgages when he served notice to rescind on the mortgagee. He also sought a finding of statutory damages based…
Read More »A mortgage assignee commenced a foreclosure action after the assignment of a mortgage that was already in default. The Supreme Court, Kings County, New York in Wells Fargo Bank, N.A. v. Saint Aubin, 22 Misc.3d 1120(A) (Feb. 2009) dismissed its application to foreclose. The court said the required affidavit of…
Read More »There was a single question presented to the court Carter v. Welles-Bowen Realty, Inc., 07-3965 (6th Cir. Ohio, Jan. 23, 2009) and that was whether a plaintiff must allege a concrete injury, such as an overcharge, to have standing to bring a RESPA violation. The plaintiffs in Carter alleged that…
Read More »In Acosta v. Campbell, No. 07-10373 (11th Cir. Jan. 28, 2009), the plaintiff claimed that the defendants violated the FDCPA, specifically, 15 U.S.C. §1692c(b), by sending an allegedly confidential payoff letter to the attorneys for another one of her creditors, a defendant in her foreclosure action. Under a plain reading…
Read More »As we reported in the January 2008 newsletter, a Tennessee Appellate court held that a mortgagee’s failure to advise the hazard insurer of the commencement of foreclosure proceedings constituted an increase in hazard allowing the insurer to disclaim coverage. That decision has been mercifully overturned. In U.S. Bank, N.A. v.…
Read More »In three recent California District Court decisions, the courts were asked to dismiss TILA rescission actions on the ground that the consumer could not demonstrate the ability to tender. In Alcaraz v. Wachovia Mortg., FSB, 08-cv-01640 (E.D.Cal. Jan. 21, 2009), the assignee of the lender argued that the Plaintiff was…
Read More »In Ramos v. Citimortgage, Inc., CIV. 08-02250 (E.D.Cal. Jan. 8, 2009), the consumer sent a letter to the assignee of the mortgage holder (assignee) demanding rescission of the loan which was made on September 25, 2005. The demand was based on the originator’s failure to supply the notice of the…
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