LEGAL ALERT: California Supreme Court Says Lenders Owe No Duty of Care in Loan Modification Negotiations

By Merdaud Jafarina, ALAW BK attorney, California   On March 7, 2022, the California Supreme Court finally settled the issue on whether financial institutions or loan servicers owe their borrowers a duty of care when considering a loan modification request. In Sheen v. Wells Fargo, No. 8258019 (Cal, Mar 7, 2022), the California Supreme Court ruled …

LEGAL ALERT: Eleventh Circuit Issues New Opinion in Hunstein v. Preferred Collection

In the Hunstein v. Preferred Collection decision issued on Thursday, September 8, 2022, the United States Court of Appeals for the Eleventh Circuit (Alabama, Georgia, Florida), after issuing opinions and vacating the same twice before, now holds that: (1) the mere violation of Section 1692c(b) of the FDCPA, without showing any additional harm, does not …

LEGAL ALERT: Florida Foreclosure Judgments – General Lien Statute Inapplicable, BK Anti-Modification Protection Applies

In Re Koessler (2021 WL 3375824) decided on August 3, 2021 in the Southern District of Florida is a solid win and sigh of relief for mortgage creditors in Florida bankruptcy proceedings.  In Koessler, Chief Judge Laurel Isicoff was confronted with an interesting interplay between a state statute (Section 55.10 of Florida Statutes) and the …

LEGAL ALERT: City of Chicago, Illinois v. Fulton, et al.

written by Michael Wennerlund U.S. Supreme Court resolves circuit split over Creditor Retention of Property post-bankruptcy filing On January 14, 2021, the U.S. Supreme Court issued an opinion in the case of City of Chicago, Illinois v. Fulton, et al., 592 U.S. ____ (2021) which dealt with the interplay between several provisions of the Bankruptcy …

Legal Alert: Davis v. PennyMac Loan Services, LLC, 2020 Ark. 180, S.W.3d (2020)

An opinion was delivered by the Arkansas Supreme Court on May 7, 2020 that may have an impact on your foreclosures: Davis v. PennyMac Loan Services, LLC, 2020 Ark. 180, S.W.3d (2020). Delivered May 7, 2020 PennyMac sought to foreclose on a mortgage Davis had executed in 2013. In August 2017, PennyMac sent Davis a …

CFPB’s Proposed Debt Collection Rule

On Tuesday, May 7, 2019 the Consumer Financial Protection Bureau (CFPB) issued their proposal to amend Regulation F, which incorporates the Fair Debt Collection Practices Act (FDCPA). The proposed rule takes into account the current communication landscape, which vastly differs from when the FDCPA was first enacted. Specifically, it clarifies how debt collectors can communicate …

CFPB to Update 1977 Laws on Debt Collection

On Wednesday, April 17th, Kathy Kraninger delivered her first major policy speech as the Director of the Consumer Financial Protection Bureau (CFPB), to announce major changes to debt collection rules in the coming weeks. Creditors’ rights advocates like ALAW have been eagerly awaiting an update to the Federal Debt Collection Practices Act (FDCPA) for clarification …