Our firm recently filed four class action lawsuits, against Bank of America, CitiGroup, JP Morgan Chase, and Wells Fargo, alleging that these banks, together with their servicers, have engaged in a course of fraudulent and unconscionable conduct with respect to homeowners in their foreclosure and loan modification processes.
We charge that these banks systematically fail to properly document and process mortgage and loan modification paperwork, and make efforts to accelerate the foreclosure process and obtain title over homes for increased profit. Our lawsuits allege that the banks employ "robo-signers" who execute false affidavits in support of foreclosure proceedings without actually reviewing borrowers' documentation.
We believe that the banks' wrongdoing also extends to failing to properly process homeowners' loan modification applications, and to recklessly or intentionally misleading consumers with respect to the nature and scope of that process. The banks' misconduct has led to thousands of wrongful foreclosures and wrongful denials of modification applications across the United States.
For additional information, please contact Charles J. LaDuca or Alexandra Warren.
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We filed a class action on behalf of California consumers against American Home Shield Corporation concerning certain of its sales and marketing practices. Read more.
John True v. American Honda Motor Co., Civil Action No. 07-287 (VAP) (U.S. District Court for the Central District of California)
A first-of-its-kind national class action, we sued Honda for misrepresentations of fuel economy in advertising for the Honda Civic Hybrid.
The complaint alleged that despite Honda's knowledge of the inaccuracy of its fuel efficiency statistics, the company failed to put the advertising in appropriate context, providing "watered-down" disclaimers, which materially differed from those required by the EPA, and employed a fuel savings calculator that misrepresented the savings actually achievable in the Civic Hybrid. In July 2007, the District Court Judge denied Honda's motion to dismiss.
Afterwards the parties engaged in nearly a year of discovery and reached a proposed settlement. On February 22, 2010, the Court tentatively denied final approval without prejudice a settlement approved in August 2009, permitting parties to either return to the negotiating table or resume active litigation.
For additional information, please contact William H. Anderson.
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Davis v. Beazer Homes U.S.A., Inc., et al.
This case challenges illegal inducements used to entice purchasers of homes. The complaint alleges violations of the Real Estate Settlement Procedures Act and the North Carolina Unfair and Deceptive Trade Practices Act.
The case charges Beazer with misrepresenting key facts concerning their "Dollar Down Program" and offered "gift" money to purchasers for down payment and/or closing costs, when those costs were actually just rolled into the total price paid for the home.
As a consequence of the inflated total price and mortgage payments, many purchasers who participated in the programs found themselves underwater and ultimately their homes were foreclosed upon.
For additional information, please contact Charles J. LaDuca.
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Sloan v. United States, No. 06-483 (U.S. District Court for the District of Columbia)
The firm currently serves as co-lead counsel in a national case challenging the illegal collection of the federal excise tax on long-distance telephone communications, which the government forced telephone service providers to collect for more than a decade.
We seek the return of all money illegally collected on behalf of a class comprised of all individuals or entities with claims of less than $10,000. The government has agreed to return less than half of the money it illegally collected, and to do so in a manner that disadvantages senior citizens, individuals who do not file income taxes, small businesses, and non-profits. If successful, this case will provide billions of dollars of relief to millions of Americans.
For additional information, please contact William H. Anderson.
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