LA Files Big-Bucks Suit Against ‘Slumlord’ US Bank, Blames Lender for Condition of Foreclosed Homes

In a big-bucks lawsuit that blames U.S. Bank NA for the condition of some of the approximately 1,500 foreclosed homes to which it holds title as trustee, the city of Los Angeles seeks to hold the lender responsible for what it alleges are substandard conditions in many of the bank’s…

Jul 17, 2012 6:20 PM CDT

Wells Fargo to Pay at Least $175M to Settle Lending Bias Claims

The U.S. Justice Department has announced that Wells Fargo will pay at least $175 million to resolve claims of bias against minority mortgage borrowers in the second largest fair-lending settlement in DOJ history. According to the Justice Department’s complaint (PDF), Wells Fargo discriminated against 34,000 African-American and Hispanic borrowers in…

Jul 12, 2012 4:47 PM CDT

Are Pit Bulls Inherently Dangerous? Motion Asks Maryland High Court to Reconsider Strict Liability

Owners of pit bulls in Maryland are grappling with a state high court decision holding that the breed is inherently dangerous. State lawmaker Heather Mizeur, who backed unsuccessful legislation to overturn the April decision, tells the Baltimore Sun that she has heard from pit bull owners who are getting eviction…

Jul 12, 2012 1:28 PM CDT

Sheppard Mullin Opens New Office in Chicago with 5-Lawyer Team from K&L Gates

Sheppard Mullin Richter & Hampton announced Monday that it has opened an office in Chicago with a five-lawyer team from K&L Gates. The new office of the California-based international firm also includes a labor and employment partner from Winston & Strawn on its attorney roster, as well as Sheppard Mullin’s…

Jul 9, 2012 4:16 PM CDT

Co-Op Directors Can Be Liable for Race Bias, New York Appeals Court Rules

Members of the board of directors of the Dakota co-op in New York City may be held liable for racial bias, a New York appeals court has ruled. The decision (reg. req.) by the Appellate Division, First Department, allows a lawsuit by a black resident who claimed racial bias after…

Jul 9, 2012 3:05 PM CDT

Suit Claims Neighbors Scared Away Potential Homebuyers

A Queens couple claims in a lawsuit that they have been unable to sell their home because their neighbors scared away potential buyers. The suit by homeowners Charles and Karen Neglia alleges their neighbors made disparaging comments because they wanted to buy the home themselves, the New York Post reports.…

Jul 9, 2012 12:37 PM CDT

Local California Officials Consider Using Eminent Domain to Restructure Underwater Mortgages

Three jurisdictions in California are considering a plan to use eminent domain to acquire underwater mortgages and keep people in their homes. The unusual idea is being considered by California’s San Bernardino County and two of its largest cities, Ontario and Fontana, the Wall Street Journal (sub. req.) reports. A…

Jul 5, 2012 12:10 PM CDT

Legal Spirits: Attorney Distills His Legal Acumen to Steer Career Shift

Jul 1, 2012 9:20 AM CDT

How Much Is That Doggie in the Window? Texas Courts Weigh Pets’ Sentimental Value

Jul 1, 2012 9:10 AM CDT

Supreme Court Dismisses Case that Could Have Affected Consumer Class Actions

The U.S. Supreme Court has dismissed a case involving the right to sue for statutory injuries that had been billed as “the big sleeper of the term.” At issue was whether consumers who suffer no financial injuries have standing to sue for statutory violations under Article III of the Constitution.…

Jun 28, 2012 2:50 PM CDT

Fla. Court Clerk Files Fed’l Class Action, Says Fannie Mae and Freddie Mac Didn’t Pay Transfer Taxes

A Florida court clerk has filed suit against Fannie Mae and Freddie Mac, contending that the mortgage-funding giants illegally avoided paying transfer taxes on tens of thousands of properties in the state. Filed on Thursday by Hernando County Clerk of Courts Karen Nicolai in federal court in Tampa, the suit…

Jun 20, 2012 10:00 PM CDT

Disbarred Closing Lawyer Gets 1 Year in Bank Fraud Case; Counsel Says He Was Only Helping Clients

A disbarred New York closing attorney was sentenced Tuesday to a year and a day in federal prison after being convicted last year by a Manhattan jury of bank fraud and money laundering concerning real estate matters he handled in Westchester County. Louis Cherico must also forfeit $17,500 and serve…

Jun 20, 2012 5:49 PM CDT

Alabama Fan Accused in Poisoning of Auburn U Live Oaks Faces Trial in Felony Case

Jury selection began Tuesday in the Opelika, Ala., trial of a University of Alabama supporter who is accused of poisoning rival Auburn University’s iconic 130-year-old stand of live oaks at Toomer’s Corner. Harvey Updyke, a 63-year-old former Texas police officer, faces felony charges of unlawful property damage and criminal mischief…

Jun 19, 2012 10:53 PM CDT

Paralegal Gets 33 Months in Mortgage Fraud

A Connecticut paralegal has been given a 33-month federal prison term, following her guilty plea, for participating in a multimillion-dollar mortgage fraud. Loise Lampo-Diglio under an attorney’s direction prepared “materially false” closing documents, including HUD-1 papers, that were submitted to lenders over a period of several years, according to a…

Jun 18, 2012 6:11 PM CDT

Felony Franks Closes Restaurant Staffed by Ex-Offenders

The owner of Felony Franks has given up his battle to keep operating a hot dog stand staffed by ex-offenders on Chicago’s near west side. But although Jim Andrews said he was worn down by a long battle with City Hall over the legality of his sign and problems with…

Jun 13, 2012 11:22 PM CDT