Summary: The Manuels fell behind on their mortgage and engaged the assistance of Secure Property Solutions (“SPS”) (which is not a party to this action) and Gembala, an attorney licensed in Pennsylvania and New Jersey, in what the Manuels eventually regarded as a “mortgage modification scam.” The Manuels initially filed suit in federal district court alleging various RICO and North Carolina state law violations.

Summary: Following foreclosure and bankruptcy, the Debtors raised claims against Bayview under the West Virginia Consumer Credit and Protection Act. The statute of limitations provides that: With respect to violations arising from other consumer credit sales or consumer loans, no action pursuant to this subsection may be brought more than one year after the due date of the last scheduled payment of the agreement. W. Va.

Abstract: This paper investigates whether homeowners respond strategically to news of mortgage modification programs.  The authors exploit plausibly exogenous variation in modification policy induced by U.S. state government lawsuits against Countrywide Financial Corporation, which agreed to offer modifications to seriously delinquent borrowers with subprime mortgages throughout the country.

Abstract: On March 4, 2011, the New York Times described a settlement ("settlement") proposed by a consortium of state attorneys general (AGs) to large mortgage servicers. The claims to be settled reportedly relate to failures to follow existing procedural rules relating to the foreclosure process. The settlement would make dramatic changes in those rules, and reportedly require a mortgage loan principal reduction program of $20 to 25 billion.