Arizona, Nevada sue BofA over loan modifications

Court Alerts

Attorneys general in Arizona and Nevada filed civil lawsuits Friday against Bank of America Corp., alleging that the lender is misleading and deceiving homeowners who have tried to modify mortgages in two of the nation's most foreclosure-damaged states.

Bank of America violated Arizona's consumer fraud law by misleading consumers who tried to reduce their monthly payments to keep their homes, state Attorney General Terry Goddard said. The bank also violated the terms of a 2009 consent agreement requiring its Countrywide mortgage subsidiary to implement a loan modification program, the Arizona lawsuit alleges.

Hundreds of homeowners kept making their mortgage payments because Bank of America repeatedly assured them that their loans were being modified, Goddard said. Instead, many lost their homes anyway.

"Those people could have used that money for something else," Goddard told The Associated Press. "They were deceived into continuing to make mortgage payments when they had no hope of saving their homes."

Nevada Attorney General Catherine Cortez Masto told the AP that the Silver State's lawsuit was a last resort to try to get the bank to change its ways. It was filed after several discussions with bank managers led to assurances but little more.

"Clearly there is a disconnect between what Bank of America tells me at the management level and what's happening on the front line," Masto said.

Related listings

  • Lawsuit seeks to keep 3 Iowa justices on bench

    Lawsuit seeks to keep 3 Iowa justices on bench

    Court Alerts 12/15/2010

    The retention vote in which three Iowa Supreme Court justices were ousted was illegal, according to a lawsuit seeking to keep the three justices from being tossed from the bench. The lawsuit claims the vote violated the Iowa Constitution, which requi...

  • Band members plead not guilty in LA traffic jam

    Band members plead not guilty in LA traffic jam

    Court Alerts 12/15/2010

    Members of a rock band that performed on a Los Angeles freeway and blocked traffic for hours have pleaded not guilty to various charges. Christopher Wright, David Hale and Keith Yackey entered pleas Wednesday to conspiracy, creating a public nuisance...

  • Fired Montana tourism director files lawsuit

    Fired Montana tourism director files lawsuit

    Court Alerts 12/13/2010

    Montana's former tourism director who was fired last summer has filed a lawsuit in federal court contending her civil rights were violated.Betsy Baumgart filed the suit Thursday in U.S. District Court in Missoula, arguing the state's Commerce Departm...

Victorville CA DUI defense Attorneys

The outcome of a DUI defense will have a long-term effect on anyone’s life, making the decision to receive legal representation an easy one. The fact is, most people accused of a DUI are first offenders with no criminal background. Whether this is your first run in with the law or you have had previous convictions, you are in need of a DUI defense attorney.

The charges you are facing for a DUI range from fines, a 12-month suspension on your license and worst-case scenario, prison time. Your attorney will be able to analyze your situation to decide the best way to go about your case.

Our attorneys know the tricky ways to challenge all of the DUI tests and know how to claim improper collection of evidence. We will be able to negotiate on your behalf and free you from charges and help you keep your drivers license. The DUI process can last up to several months, we can make this process easier on you. .

Business News

St Peters, MO Professional License Attorney Attorney John Lynch has been the go-to choice for many professionals facing administrative sanction. >> read