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Doucet Files Class Action Lawsuit Against Chase Mortgage for Alleged Violations After Chapter 13 Bankruptcy

Doucet Files Class Action Lawsuit Against Chase Mortgage for Alleged Violations After Chapter 13 Bankruptcy

Doucet & Associates filed a class action lawsuit against Chase Home Finance, LLC and JP Morgan Chase Bank, N.A. (Chase Mortgage) alleging a systematic practice of violating borrower court ordered and approved Chapter 13 Bankruptcy plans. Our after-bankruptcy lawyers allege that the practice does not allow mortgage debtors to have the fresh start they deserve following the successful completion of the Chapter 13 Bankruptcy process. The option remaining for our after-bankruptcy lawyers is to sue, and our bankruptcy lawyers have filed this lawsuit specifically alleging that Chase Mortgage:

  1. Improperly applies and accounts for after-bankruptcy mortgage payments made as part of confirmed Chapter 13 Bankruptcy Plans.
  2. Continues attempting to collect (and collecting) additional fees following successful completion of their Chapter 13 Bankruptcy Plans.
  3. Blatantly ignoring court orders discharging our client under Section 1328(a) of the United States Bankruptcy Code.
  4. Ignoring our clients multiple requests to update their account.
  5. Disregarding notices from our client’s previous bankruptcy lawyer explaining that Plaintiff’s Chapter 13 Bankruptcy had been completed and discharged.

The suit alleges that after bankruptcy Chase Mortgage continued to treat our client as if the Chapter 13 Bankruptcy had never been completed. The recourse here is for the lawyers with Doucet & Associates Co., L.P.A. to file a class action lawsuit and sue Chase Mortgage after its bankruptcy errors.

The complaint alleges that our client and those similarly situated, having followed the proper rules and made payments under their court approved Chapter 13 Bankruptcy plan, are now left to pay hundreds to thousands of extra dollars in unknown and un-accounted fees after bankruptcy. Chase Mortgage is also alleged to have mishandled the bankruptcy credit reporting process leaving our client’s account as “in bankruptcy” and not properly accounting for the current status of the loan.

Our client followed the proper Chapter 13 Bankruptcy procedures, including making regular monthly payments to Chase Mortgage, until the plan was approved.  She also submitted the proper monthly payments to the Trustee for submission to various creditors including Chase Mortgage during bankruptcy, and after bankruptcy, she made proper monthly payments again to Chase Mortgage.

Doucet & Associates believes that this is indicative of a broad pattern of incorrectly handling debtors’ mortgage loans for previously discharged debts, and has filed this class action lawsuit against Chase Home Finance, LLC and JP Morgan Chase Bank, N.A. on behalf of our client and those similarly situated. We estimate this case could be representative of at least thousands of individuals and encourage anyone who has gone through a similar experience with Chase Home Finance, LLC and JP Morgan Chase Bank, N.A. or any other mortgage loan servicer to call us immediately at (614) 944-5219 if they have been discharged from Chapter 13 bankruptcy.

 

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Firm Wins Major Appellate Decision

Firm Wins Major Appellate Decision

Doucet & Associates is happy to announce it won a major case in the federal court of appeals yesterday, paving the way for consumers to be able to hold their mortgage companies accountable for failing to adequately respond to mortgage inquiries.

The firm’s client, Christine Marais, faced years of trouble trying to get her mortgage company to correctly apply her mortgage payments when she sent in more than the amount due.After trying repeatedly to get Chase Home Finance to correctly apply her overpayments, she retained Doucet & Associates in an attempt to hold it accountable.The law firm sent a formal written request to Chase pursuant to the federal law, the Real Estate Settlement Procedures Act (“RESPA”), demanding that Chase provide certain account information and that it correct her mortgage account.

Rather than making any corrections to Ms. Marais’ account in response to the firm’s formal demand, Chase’s representative testified in a deposition that it used a form letter to respond to the inquiry, and that letter contained no indication that any substantive review was undertaken of her account.

Chase Home Finance filed a motion with the trial court to win the case based on its outrageous claim that Ms. Marais could not show she suffered damages.The federal appeals court disagreed with Chase, and found Ms. Marais had properly alleged damages, and that she stated a claim to recover for Chase’s failures.The case now goes back to the trial court for further litigation.

The decision, Marais v. Chase Home Finance, LLC was decided by the United States Court of Appeals for the Sixth Circuit and was recommended for publication as binding law throughout the federal court system encompassing Ohio, Michigan, Kentucky, and Tennessee.To the firm’s knowledge, this would be the first appellate level published case on this particular RESPA issue, meaning it will be persuasive authority throughout the United States.

 

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