PHILLIP CORVELLO V. WELLS FARGO BANK N.A. | 9th Cir. Says Borrowers can sue Wells Fargo over mortgage modifications

Categorized | STOP FORECLOSURE FRAUD

PHILLIP CORVELLO V. WELLS FARGO BANK N.A. | 9th Cir. Says Borrowers can sue Wells Fargo over mortgage modifications

PHILLIP CORVELLO V. WELLS FARGO BANK N.A. | 9th Cir. Says Borrowers can sue Wells Fargo over mortgage modifications

FOR PUBLICATION
UNITED STATES COURT OF APPEALS
FOR THE NINTH CIRCUIT

PHILLIP R. CORVELLO,
Plaintiff-Appellant,

v.

WELLS FARGO BANK, NA, DBA
America’s Servicing Company,
DBA Wells Fargo Home Mortgage,
Inc.,
Defendant-Appellee.

KAREN LUCIA; JEFFREY LUCIA, on
behalf of themselves and all others
similarly situated,
Plaintiffs-Appellants,

v.

WELLS FARGO BANK, NA, AKA
Wells Fargo Home Mortgage, Inc.,
Defendant-Appellee.
SUMMARY*

Home Affordable Modification Program
The panel reversed the district court’s dismissals of
diversity actions challenging the decision of Wells Fargo
Bank not to offer permanent mortgage modifications to
plaintiff borrowers.

The panel held that under the Home Affordable
Modification Program the bank was contractually required to
offer the plaintiffs a permanent mortgage modification after
they complied with the requirements of a trial period plan
(“TPP”). The panel held that the district court should not
have dismissed the plaintiffs’ complaints when the record
before it showed that the bank had accepted and retained the
payments demanded by the TPP, but neither offered a
permanent modification, nor notified plaintiffs they were not
entitled to one, as required by the terms of the TPP.

OPINION

PER CURIAM:

INTRODUCTION

The U.S. Department of the Treasury, acting under the
direction of Congress, launched the Home Affordable
Modification Program (“HAMP”) in 2009 to help distressed
homeowners with delinquent mortgages, but the program
seems to have created more litigation than it has happy
homeowners. The issue we must decide is whether a bank
was contractually required to offer the plaintiffs a permanent
mortgage modification after they complied with the
requirements of a trial period plan (“TPP”). The district court
held the bank was not, and we reverse.

Similar issues have arisen in both state and federal courts.
We now follow the Seventh Circuit’s leading federal
appellate decision, which came down after the district court’s
ruling in this case, to hold that the bank was required to offer
the modification. See Wigod v. Wells Fargo Bank, N.A.,
673 F.3d 547 (7th Cir. 2012). The district court should not
have dismissed the plaintiffs’ complaints when the record
before it showed that the bank had accepted and retained the
payments demanded by the TPP, but neither offered a
permanent modification, nor notified plaintiffs they were not
entitled to one, as required by the terms of the TPP.

[...]

Down Load PDF of This Case

© 2010-14 FORECLOSURE FRAUD | by DinSFLA. All rights reserved.






Comments

comments

Related posts:

  1. A.G. Schneiderman To Sue Wells Fargo & Bank Of America For Violating National Mortgage Settlement – has documented 339 violations of those standards by Wells Fargo and Bank of America since October 2012 Attorney General Has Documented Hundreds Of Cases Of Homeowners Put...
  2. Texas Homeowners File Class Action Against Wells Fargo Alleging Constitutional Violations, Home Equity Loan Modifications IN THE UNITED STATES DISTRICT COURT FOR THE WESTERN DISTRICT...
  3. Obama Housing Program Hits Milestone: 1 Million Failed Mortgage Modifications HuffPO- President Barack Obama said in 2009 that a new...
  4. FHFA Announces New Streamlined Modification Initiative Borrowers and Servicers to Benefit From Simplified Program Washington, DC – The Federal Housing Finance Agency (FHFA) today...
  5. Statement From A.G. Schneiderman Regarding The National Mortgage Settlement Monitor’s Finding That Wells Fargo Failed To Comply With Timeline Servicing Standards NEW YORK – National Mortgage Settlement Monitor Joseph A. Smith,...

This post was written by:

- who has written 7126 posts on FORECLOSURE FRAUD | by DinSFLA.

CONTROL FRAUD | ‘If you don’t look; you don’t find, Wherever you look; you will find’ -William Black

Contact the author

Leave a Reply

GARY DUBIN LAW OFFICES FORECLOSURE DEFENSE HAWAII and CALIFORNIA
Chip Parker, www.jaxlawcenter.com
Damian Figueroa, South Florida Realtor, Real Estate Agent
Susan Chana Lask, www.appellate-brief.com
Jamie Ranney, www.NantucketLaw.pro

Advertise with Us!

LATEST TOP FORECLOSURE FRAUD CASES OPINIONS
Advertise your business on StopForeclosureFraud.com

Archives