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OCWEN AND IMPAC MORTGAGE MOTION TO DISMISS DENIED

  • Jared Hartman, Esq.
  • Posted on August 24, 2017

 

On August 23, 2017, Judge Miller of the Southern District of California denied a motion to dismiss filed by Ocwen and Impac Mortgage Corp., so that all causes of action remain in litigation. A copy of the court’s ruling can be found by clicking HERE .

In this case, the plaintiffs allege that Ocwen and Impac granted an affordable loan modification, and after the plaintiffs accepted the modification by following all terms required by the defendants they reversed course and refused to honor the agreement while claiming that they had determined the agreement was not affordable for them. The allegations further claim that, after refusing to honor the agreement that the defendants had offered and granted to plaintiffs, they proceeded to reject any and all payments that plaintiffs made in furtherance of the agreement, submitted false credit reporting that claimed the plaintiffs were in default each month in a much higher amount than the modification granted, repeatedly uttered false threats of foreclosure with the apparent intention of scaring the plaintiffs into paying the higher amount and disregarding the affordable modification, and repeatedly claiming to plaintiffs that they were in default in an amount much higher than the affordable modification.

The plaintiffs tried for several years to obtain the defendants’ compliance with the agreement in order to avoid litigation. Defendants then tried to use that against them by seeking dismissal for statute of limitations grounds, among other arguments, but the motion grossly misapplied the law of statute of limitations.

After so many years of being beaten down by the defendants when the plaintiffs were simply trying to do the right thing, the ruling today is a great result that allows them to continue pursuing justice against these companies who apparently are not ashamed of placing their own business profits over the concern and care for their own customers.