Wrongful Foreclosure

Before a nonjudicial foreclosure sale, the borrower/owner filed a worngful foreclosure suit against the deed of trust beneficiary and recorded a lis pendens.  This case holds that the purchaser at the nonjudicial foreclosure sale who thereafter brought an unlawful detainer action against the borrower/owner was wrongly awarded judgment because it did not prove it duly perfected title given the lis… Read More

The res judicata/collateral estoppel effect of a post-foreclosure unlawful detainer judgment extends only to proper conduct of the trustee's sale, not to claims of earlier wrongs committed by the lender that purportedly led eventually to the foreclosure.  Thus, here, the unlawful detainer judgment against the borrowers did not preclude them from later suing on a claim that the lender had… Read More

If a foreclosure plaintiff seeks not only to foreclose on the property but also to recover the remainder of the debt through a deficiency judgment, then the plaintiff is attempting to collect a debt within the meaning of the FDCPA.  But if the plaintiff is simply enforcing a security interest by retaking or forcing a sale of the property, without… Read More

Plaintiff homeowner stated a viable wrongful foreclosure claim against mortgage loan servicer who told plaintiff that it would not accept plaintiff's offer to reinstate the loan, even though the offer was made more than 5 business days before the trustee's sale. Read More

A homeowner should have been allowed to amend his complaint to allege that the party foreclosing on his house lacked any interest in his loan since that the prior owner of the loan had already assigned it to someone else before executing the assignment to the foreclosing party. Read More

Home loan borrower failed to allege viable claims for fraud, violation of the UCL or Rosenthal Act, or wrongful foreclosure based on alleged late transfer of loan to a securitized trust or flaws in the nonjudicial foreclosure process.  Read More

The dismissal of a borrower’s fourth foreclosure delay lawsuit is affirmed based on res judicata and a lack of merit in the borrower’s securitization arguments.  Read More

A borrower who alleges defects in the transfer of her mortgage loan which render it void, can sufficiently establish the prejudice element of her wrongful foreclosure claim simply by alleging that the foreclosure was carried out by a party having no right to do so.  Read More