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…
Read More »The City of Chicago is proposing an amendment to Section 3-33 of the Municipal Code to change the rates for assessing transfer taxes and to eliminate the exemption from taxes for foreclosure deeds. It provides that Transfers in which the deed or other instrument of transfer is issued to the…
Read More »The issue in Zeno v. Colonial Mortgage and Loan Corp. 08-CA-246 2008 (La. App. 5th Cir., November 25, 2008) 2008 WL 5000136 was whether, for purposes of determining if a pre-payment penalty is allowed on a HOEPA loan, 15 U.S.C. § 1639(c 12 C.F.R. § 226.32(e)(1), the creditor could use…
Read More »In McLean v. GMAC Mortgage Corp., Inc. No. 06-22795-CIV. (S.D.Fla., December 16, 2008) the court was asked to decide if two letters sent by the borrowers to the servicer complaining about an increase in the amount of their loan payment were Qualified Written Requests (QWR) under Section 6 of RESPA,…
Read More »As alluded to above, there were several issues of note in Gorham-Dimaggio v. Countrywide Home Loans, Inc. 1:08-CV-00019 (N.D.N.Y., December 17, 2008) but the FHA claim is particularly noteworthy given the increasing frequency in which we are seeing this statute used in garden variety mortgage disputes. In this case borrower…
Read More »In Tippett v. Coleman (In re Tippett), 542 F.3d 684 (C.A. 9, Sept. 4 2008) the debtors filed for Chapter 7 bankruptcy, but then sold their home to without telling the bankruptcy Trustee of the sale, and without telling the buyer of the bankruptcy. Although it was undisputed that the…
Read More »was proper even though the assignee received more than three years after the closing. In Hubbard v. Ameriquest Mortg. Co. 05-CV-389 (September 2008 N.D.Ill.,) the parties conceded that the Plaintiff was entitled to rescind the loan. However, the assignee maintained that it cannot be liable for rescission because, although the…
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