Loan Servicing Abuse Litigation -
Texas families and THJL filed suit against BAC Home Loan Servicing LP, and Bank of America N.A. in federal district court for abusive loan servicing practices.
Harryman, et al. v. BAC and Bank of America – complaint
Tenant Litigation -
A federal law called the Protecting Tenants at Foreclosure Act became law in May 2009, yet loan servicers and others are ignoring its mandates. Lawyers and real estate agents misrepresent the requirement that the buyer at a foreclosure sale honor any bonafide lease that was pre-existing when the sale occurred. (More on the law here.) If the lease is month-to-month, the tenant still is entitled to 90 days notice to vacate.
THJL and a tenant filed suit in federal district court against American Home Mortgage Servicing, Inc. (AHMSI) on October 28, 2011 for violating the federal law (AHMSI in letters to tenants deny they have to honor pre-existing leases). In addition, without any basis in the law, AHMSI’s representatives also demand extensive documentation within a short time frame in order to get the 90 days for tenants with month-to-month tenancies.
Davis and THJL v. AHMSI - complaint
Bail Bonding Company Taking Homes as Collateral
The League joined a recent Bastrop fire victim in a state court suit against a bail bondsman for illegally taking her homestead as collateral for a bail bond. In Texas, homesteads are protected from all liens with few exceptions. The exceptions include defaulting on the loan used to purchase the property (or a refinance of the original debt), failing to pay property taxes and HOA dues (which are just another form of property tax), and defaulting on a home improvement loan or loan with special terms known as a home equity loan. There are some other exceptions, but in general you cannot lose your home in Texas for other types of debt. Check out Article XVI, Section 50(a)(1-8) for the complete list of eight exceptions here. A bail bond is not on the list.
The individual plaintiff was living on the property but after the fire she could not move the replacement mobile home on the land because the bail bondsman filed a deed purporting to give the bondsman the property. We are hopeful to get title back for the fire victim soon and plan to investigate further because we suspect the bondsman may have done this to other homeowners.
Danise and THJL v. Carol Driggers and Chestnut Street Bonding Co. – petition
