In Jerman v. Carlisle, McNellie, Rini, Kramer & Ulrich LPA, 538 F.3d 469 (6th Cir., August 18, 2008) the Debtor brought an action against a debt collection law firm alleging violations of the FDCPA arising from the law firm’s use of a deceptive foreclosure notification. The debtor claimed that Defendants…
Read More »The servicer in Campbell v. Countrywide Home Loans, Inc. 07-20499, — F.3d —-, (5th Cir. (Tex.), August 26, 2008 ) took the position that a debtor’s pre-petition escrow obligations under the mortgage documents were not claims for purposes of the Bankruptcy Code’s automatic stay. It therefore reasoned that it could…
Read More »The U.S. District Court for the Southern District of New York in Cedeno v. IndyMac Bancorp, Inc., 06 Civ. 6438 (S.D.N.Y., August 26, 2008) was asked to decide if a lenders failure to disclose to the plaintiff class that it selected appraisers and appraisal companies who performed faulty and defective…
Read More »In In re Thayer, 07-6045, (March 31, 2008. 8th Cir. BAP (Minn.)) Chapter 7 debtors/mortgagors timely cancelled their prepetition refinancing transaction with lender pursuant to the Truth in Lending Act (TILA). However, the closing agent, unaware of the cancellation, paid off the debtor’s prior mortgage. The mortgagee then assigned its…
Read More »The Court declined to dismiss a mortgagors’ claim against mortgagee in Reyes v. Downey Savings and Loan Ass’n, F.A., No. SACV 07-0615-AG (March 29, 2008 C.D.Cal.) alleging that mortgagee violated the California Unfair Competition Law (UCL) by promising them a lower interest rate than was delivered, misrepresenting the loan terms,…
Read More »In Chiles v. Ameriquest Mortg. Co. Slip Copy, 2008 WL 724612 (March 17, 2008 E.D.Pa. 2008.) the mortgagor contended that he was entitled to rescission under TILA due to the mortgagee’s failure provide the variable rate disclosures. The mortgagee produced evidence that Plaintiff acknowledged receipt of documents containing the variable…
Read More »Two recent district court cases are noteworthy for their treatment of the proof required to defend a TILA claim seeking rescission for failure to provide the required number of copies of the right to cancel; one disposing of the claim on summary judgment and the other on a motion to…
Read More »In Williams v. Saxon Mortg. Co. 06-0799-WS-B (S.D.Ala., January 02, 2008) the lender unsuccessfully and prematurely invoked the Ninth Circuit’s ruling in _Yamamoto v. Bank of New York_, 329 F.3d 1167 (9th Cir.2003) to obtain judgment against a borrower. In moving for summary judgment on a TILA rescission claim, the…
Read More »Relying on Seventh Circuit precedent a Bankruptcy court in Ohio held that a debt collector did not violate the FDCPA in knowingly attempting to collect a discharged debt. In Gunter v. Kevin O’Brien and Associates, 2:05-ap-02257 (Bkrtcy. S.D.Ohio, June 17, 2008) the debt collectors claimed that it was unaware of…
Read More »The question presented in McMillian v. AMC Mortgage Services, Inc. 07-0773-WS-M (S.D.Ala., June 2008) was whether a disclosure of the three day right to cancel that left blank the final date to cancel violated TILA. The court concluded it did not because the notice form used clearly stated that the…
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