Lieff Cabraser & Co-Counsel Reach $35M Settlement with Bank of America in California Unpaid Mortgage Interest Case

Lieff Cabraser & Co-Counsel Reach $35M Settlement with Bank of America in California Unpaid Mortgage Interest Case

As reported by Law360 (subscription), Bank of America North America has agreed to pay $35 million to settle a borrower class action lawsuit accusing the company of failing to comply with a California law requiring banks to pay interest on mortgage escrow accounts. [Read more…]

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…]