11th Circuit Rules for Plaintiff City of Miami on Standards for Proximate Cause in Discriminatory Lending Lawsuits

11th Circuit Rules for Plaintiff City of Miami on Standards for Proximate Cause in Discriminatory Lending Lawsuits

The City of Miami obtained a significant victory in the Eleventh Circuit in Fair Housing Act lawsuits it has brought against certain banks, including Wells Fargo & Co. and Bank of America.  The Eleventh Circuit issued decisions on remand from the Supreme Court on proximate cause, holding “[c]onsidering the broad and ambitious scope of the FHA, the statute’s expansive text, the exceedingly detailed allegations found in the complaints, and the application of the administrative feasibility factors laid out by the Supreme Court in Holmes v. Securities Investor Protection Corp., 503 U.S. 258 (1992), we are satisfied that the pleadings set out a plausible claim.” [Read more…]

Supreme Court Upholds Ruling Supporting California Consumers in Predatory Lending Class Action Against BofA

predatory bank lending

The U.S. Supreme Court has declined to review a Ninth Circuit ruling reinstating a proposed consumer class action against Bank of America over its allegedly predatory lending activities. As reported by Law 360, the banking giant’s failed attempt to get the ruling reviewed leaves in place a Ninth Circuit panel ruling from earlier this year that reinstated a proposed consumer fraud class action brought against Bank of America NA by lead plaintiff Donald Lusnak, a California homeowner. According to Law 360, the suit “sought to force the North Carolina-based bank to comply with a California law requiring mortgage lenders to pay at least 2 percent interest on borrowers’ escrow accounts.” [Read more…]

Court Approves $410 Million Settlement in BofA Overdraft Fees Case

Earlier this week, U.S. District Court Judge James Lawrence King has granted final approval to a $410 million settlement in the multi-district litigation against Bank of America for collecting excessive overdraft fees. The complaint charged that Bank of America processed debit card transactions in order of highest to lowest dollar amount to maximize the number of overdraft fees assessed to its customers. [Read more…]