Eleventh Circuit Holds that Claim under TILA is Time-barred

Posted by & filed under 2007, Downstream litigation, Georgia.

In Johnson v. Mortgage Electronic Registration Systems, Inc., 252 Fed. Appx. 293 (11th Circ. 2007), the Eleventh Circuit dismissed borrower’s claims under the Truth in Lending Act (“TILA”), because they were time-barred. On March 17, 2001 Johnson executed a loan from Homegold Financial Inc. The loan was transferred to Household Mortgage Services (“Household”) and MERS held… Read more »

Georgia District Court Allows Homeowner Plaintiff to Amend Fraud Claim but Dismisses Wrongful Disclosure Claim

Posted by & filed under 2011, Downstream litigation, Georgia.

In LaCosta v. McCalla Raymer, Civil Action No. 1:10-CV-1171-RWS, 2011 WL 166902, Civil Action (N.D. Ga. January 18, 2011), the Court ruled that Homeowner Plaintiff could amend her fraud claim, but dismissed Plaintiff’s other claims stemming from an alleged modification on her loan and subsequent foreclosure. Plaintiff executed a loan and note from Home America… Read more »

Eleventh Circuit Court of Appeals Affirms Dismissal because Mortgagor Plaintiff Failed to State a Claim

Posted by & filed under 2012, Downstream litigation, Georgia.

In Milani v. One West Bank FSB, 491 Fed. App’x. 977 (11th Circ. 2012), the Court of Appeals affirmed the District Court’s decision to dismiss Mortgagor Plaintiff’s claims for (1) wrongful foreclosure, (2) to quiet title, and (3) for fraud. In 2005, Plantiff refinanced his home by signing an adjustable-rate note with IndyMac Bank, FSB… Read more »

Michigan District Court Dismisses Mortgagor’s Claims to Void a Foreclosure Sale Because the Redemption Period Had Expired

Posted by & filed under 2012, Downstream litigation, Michigan.

In Duff v. Federal Nat. Mortg. Ass’n, No. 2:11-cv-12474, 2012 WL 692120 (E.D. Mich. Feb. 29, 2012), the District Court dismissed Mortgagor Plaintiff’s claims to void the foreclosure sale because Plaintiff failed to state a claim and the period of redemption had expired. In 2007, Mortgagor Plaintiff refinanced his home with Quicken Loans, Inc., and… Read more »

Michigan Court of Appeals Holds that Foreclosure is Void Because Mortgagee Commenced the Foreclosure Before It Obtained an Interest in the Indebtedness

Posted by & filed under 2007, Downstream litigation, Michigan.

In Davenport v. HSBC Bank USA, 739 N.W.2d 383 (Mich. Ct. App. 2007), the Court of Appeals held that the foreclosure was void ab initio because Assignee Defendant did not have an interest in the indebtedness secured by the mortgage when it commenced the foreclosure proceedings. Mortgagor Plaintiff executed a mortgage. “The initial mortgagee assigned… Read more »

Michigan District Court Grants MERS’s Motion for Summary Judgment because, as Mortgagee, MERS had Standing To Foreclose

Posted by & filed under 2010, Downstream litigation, MERS/Bank has standing, Michigan.

In Corgan v. Deutsche Bank National Trust Co., No. 1:09-cv-939, 2010 WL 2854421 (W.D. Mich. July 20, 2010), the District Court granted MERS’s motion for summary judgment because MERS had the right to foreclosure as “Mortgagee” pursuant to the mortgage documents. Mortgagor Plaintiff executed a loan agreement with the note naming MERS as the “Mortgagee”… Read more »

Michigan Appellate Court Holds that Party with Ownership of an Interest in the Note May Only Foreclose by Judicial Process

Posted by & filed under 2011, Downstream litigation, Michigan.

In Bakri v. MERS, No. 297962, 2011 WL 3476818 (Mich. Ct. App. Aug. 9, 2011), the Court of Appeals held that Defendants may only foreclose by judicial process since they only had an ownership interest in the note, and not an ownership interest in the indebtedness secured by the mortgage. In 2004, Mortgagor Plaintiff entered… Read more »