Appeals court overturns civil penalty against foreclosure law firm the Castle Law Group

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Appeals court overturns civil penalty against foreclosure law firm the Castle Law Group

Appeals court overturns civil penalty against foreclosure law firm the Castle Law Group

ABA JOURNAL-

The Colorado Court of Appeals has overturned a $119,500 civil penalty imposed against a foreclosure law firm accused of violating consumer fraud laws by failing to disclose an ownership interest in a side business.

Judge Morris Hoffman of Denver had imposed the penalty against the Castle Law Group for failing to tell Fannie Mae and Freddie Mac about its interest in a company that posted notices on properties targeted for foreclosure.

But the court of appeals ruled Thursday that the judge erred because the alleged deceptive practice did not have a significant impact on consumers, the Denver Post reports.

[ABA JOURNAL]

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