The Montgomery County map to the right, examines the percentage of minority population by census block, along with the number of foreclosure filings

The Montgomery County map to the right, examines the percentage of minority population by census block, along with the number of foreclosure filings. The darkest areas have an African- American population of 80% or greater, while the lightest areas have less than a 20% African-American population Produced by the United States Department of Housing and Urban Development, 2008.

Race Color Religion National origin Sex Disability Familial Status Military Status-Ohio Ancestry Ohio Age and Marital Status Dayton and ECOA Sexual Orientation 11 Ohio Jurisdictions- Akron *, Athens*, Bowling Green*, Cincinnati*, Cleveland*, Columbus*, Dayton*, East Cleveland*, Oxford*, Toledo*, and Yellow Springs*. Source of Income--ECOA

1.Loan Origination a. Purchase b. Refinance 2.Servicing a.Type of Loan, e.g. FHA; b.Who is the Owner/Servicer, e.g. Fannie Mae, TARP recipient; c.Note and Mortgage Terms

1. Truth-in-Lending (1 year; 3 years right to rescind) 2. Ohio Consumer Sales Practices Act(2 years) 3. Equal Credit Opportunity Act (2 years) 4. Fair Housing Act (State 1 year and Federal 2 years) 5. Fraud(4 years)

Amount Financed : Finance Charges (15U.S.C 1605) plus Amount of loan (15 U.S.C. 1638) Three business days before closing (15 U.S.C. 1639): (1)(A) You are not required to complete this agreement merely because you have received these disclosures or have signed a loan application.. (B) If you obtain this loan, the lender will have a mortgage on your home. You could lose your home, and any money you have put into it, if you do not meet your obligations under the loan.. (2) Annual percentage rate : In addition to the disclosures required under paragraph (1), the creditor shall disclose (A) in the case of a credit transaction with a fixed rate of interest, the annual percentage rate and the amount of the regular monthly payment; or (B) in the case of any other credit transaction, the annual percentage rate of the loan, the amount of the regular monthly payment, a statement that the interest rate and monthly payment may increase, and the amount of the maximum monthly payment, based on the maximum interest rate allowed pursuant to section 3806 of title 12.380612

1.No creditor may make a residential mortgage loan unless the creditor makes a reasonable and good faith determination based on verified and documented information, at the time the loan is consummated, the consumer has a reasonable ability to repay the loan according to its terms, and all applicable taxes, insurance and assessments. (except for governmental streamline refinances in certain situations) 15 U.S.C. 1639c

Loans qualifying as high cost are subject to many restrictions, including prohibitions against: Balloon payments for loans with less than five-year terms, except for bridge loans of less than one year to buy or build a home Negative amortization Higher interest rate if the borrower defaults A repayment schedule that consolidates more than two periodic payments to be paid in advance from the proceeds of the loan Prepayment penalties

Due-on-demand clause, except for consumer fraud or material misrepresentation in connection with the loan or if the consumer defaults, or the consumer adversely affects the creditor's security Making loans based solely on the value of the collateral without regard to the borrower's ability to repay the loan Refinancing a high cost loan into another high cost loan within the first 12 months of origination, unless the new loan is in the borrower's best interest Wrongfully documenting a closed-end, high-cost loan as an open-end loan.

NOTICE OF RIGHT TO CANCEL (15 U.S.C. 1635) Right to Rescind the Transaction up three days after loan consummation or the delivery of the information or up to three years after notice the right to rescind is actually provided...(look at case lawNote: Tender is an issueproviding money backnot including certain charges and interest).

1.Make Sure Covered by Act: Banks and Credit Unions are exempted. 2.TILA violations rise to level of OCSPA violations a.Failure to provide disclosures R.C.1345.02(F)(1) b.Unconscionable Acts R.C. 1345.31 (High Cost Terms) 3. NOT R.C. 1345.03!exempts residential mortgage transactions.

The Equal Credit Opportunity Act (ECOA), which is implemented by Regulation B of the Dodd-Frank Act (15 U.S.C. 1691)(actual damages; attorney fess and punitive damages not more than $10,000 1691e) Applies to all creditors. Its purpose is to require financial institutions and other firms engaged in the extension of credit to make credit equally available to all creditworthy customers without regard to protected class status. It unlawful for any creditor to discriminate against any applicant with respect to any aspect of a credit transaction: (1) on the basis of race, color, religion, national origin, sex or marital status, or age (provided the applicant has the capacity to contract); (2) because all or part of the applicants income derives from any public assistance program; or (3) because the applicant has in good faith exercised any right under the Consumer Credit Protection Act. Covers creditor activities before, during, and after the extension of credit. The ECOA has two principal theories of liability: disparate treatment and disparate impact (facially neutral policy).

Actual damages, attorney fees, and can be awarded punitive damages. Prohibits discrimination in real estate-related transactions A real estate-related transaction is the making or purchasing of a loan for purchase, improvement, repair, or maintenance of a dwelling or making or purchasing a loan secured by residential property, or The selling, brokering or appraising of real property 24 CFR 100.115

Discriminate in the making of loans or other financial assistance Refusing to give a person information about loans or application requirements or providing incorrect information about loans Discriminate in the terms and conditions of loans Discriminate in the purchase of loans 24 CFR 100.120, 125

It is illegal to make, print or publish, or cause to be made, printed or published, any notice, statement or advertisement with respect to the sale or rental of a dwelling which indicates a preference, limitation or discrimination. This provision applies to all written or oral statements. 24 CFR 100.75

Steering is the restriction or the attempt to restrict a persons choices in housing by word or conduct. It includes discouraging a person from looking at, buying or renting a dwelling because of race, etc. or because of the race etc. of the persons in a community or neighborhood. It is also described as directing a person to or away from a particular area or neighborhood based on that persons race or national origin or based on the racial or ethnic composition of the neighborhood.

The practice of manipulating homeowners into selling their home under fair market value by discriminatory means and falsehoods. Telling homeowners that people who are members of a protected class are moving into their neighborhood and that because of this they should expect a decline in the value of their properties for this reason.

If there is a Federal Fair Housing Violation or an ECOA violation, there will most likely be a State violation. Military Status and Ancestry added protected classes but only one year statute of limitations. Actual damages, attorney fees, and punitive damages R.C. 4112.051 NOTE: Senate Bill No. 349 proposed to limit damages, exempt certain landlords, and to award attorney fees to respondents in some instances. Session held on April 15th.

Detrimental lies that are reasonably relied upon. Lies in terms and appraised value Must be fact specific and fact heavyallege with specificity actual damages and if prove actual malice, can be awarded punitive damages and if show bad faith, can be awarded attorney fees.

1. What type of loanservicing regulations and guidelines a.FHA b.VA c.Rural Housing Loan d. Conventionalinvestor guidelines or underwriting standards or trust agreements

1. TARP Recipient=HAMP participant 2. Fannie Mae or Freddie Mac servicing guidelines 3. A Trustpooling and servicing agreement 4. Do they have their own guidelines you can find out about?

Need to have a legal trigger! 1.Included in terms of contractnote, mortgage, loan modification, etc. 2.Sent Notice of Error under RESPA and failed to comply.

Notice of Error can be used to contest allegation of default if entered into loan modification, to contest denial if not permitted by guidelines, and to get information about loan payments. Under the Real Estate Settlement Procedures Act (RESPA) 12 U.S.C. 2601-2617, the QWR is split into two categories: Notice of Error (Federal Regulations 1024.35) and Request for Information (Federal Regulations 1024.36). Servicer has 5 business days to acknowledge request or notice of error and 30 business days to respond. Servicers can request a 15 day extension if notifies borrower of the extension and the reasons. Failure to comply provides individuals with actual damages as a result of the failure and any additional damages, as the court may allow, in the case of a pattern or practice of noncompliance, in an amount not to exceed $2000. Reasonable attorney fees may be awarded as well.

1. Complaint: who is Plaintiff; what is being alleged; what is attached to show have right to foreclose; 2. If no Note, but Plaintiff alleges that it is entitled to enforce Note or is Note Holder, but unavailable file Motion for Definite Statement requesting Note to be filed (can do with Mortgage Assignment as well if alleging been assigned Mortgage but unavailable). 3. Past Foreclosure filings?

1. Is this a refinance or purchase? 2. Is this a government backed loan?

1. What are the terms? Interest Rate-Fixed or Variable Income (inflated? Fixed income with Variable) Expenses (accurately listed?) Monthly Payments (paying more-any benefit?) When was it dated? Handwritten/Typed versions, different? Signed?

Estimates every charge associated with the loan (an associated booklet provided explains charges). *Estimates must bear a reasonable relationship to borrowers ultimate costs. RESPA requires this to be provided to borrower within 3 business days after the lender receives the application. (12 U.S.C. 2603) Signed? If more than one provided, are they different? Are the figures substantially different than HUD-1? Did Client receive within 3 days of application? *Although no private right of action, does provide support for UDAP claims (per se violations)

Must clearly, conspicuously and accurately disclose APR, finance charge, amount finance, total loan amount, and payment schedule (15 U.S.C. 1638) Are finance charges less than your calculation 12 CFR Part 226.4 and HUD-1 to calculate.12 CFR Part 226.4 Are payments listed as Monthly? Could do an analysis of APR using listed terms in document Calculate your own determination of amount financed using HUD-1 figures and Reg. Z determine APR. 12 CFR Part 226.12 CFR Part 226 Actual APR less stated APR is a violation if outside statutory tolerance (i.e., one-quarter of one percent for irregular loans, one-eighth of one percent for all other closed-end loans-your loan will be a closed ended if total available payments paid out at closing) APR calculations can be somewhat complex, particularly if they involve a variable interest rate based on treasury notes or LIBOR-may want to seek assistance in such an evaluation from Legal Aid or Miami Valley Fair Housing or refer to the National Consumer Law Center Stop Predatory Lending manual.

Lists all closing costs and payouts at closing. Follow the money, were the funds actually paid? Verify with client whether other listed debts actually paid? Credit Cards, Sellers mortgage, etc. Listed Down payment/Earnest money? Actually paid or fabricated to make client eligible for loan? Charges listed reasonable? (Particularly amounts paid to broker!) Were there more than one conflicting HUD-1? When was it signed (at closing, at application, never?)

Is this a refinance? Was the closing within the last three years? If yes, then: Were two copies provided for each borrower? (Client should have been provided all copies in closing documents) Proper form? (one for new lender, one for same lender) Was the listed cancellation date 3 days after closing? (including Saturday-excluding Sunday and Holidays)

If either of the above two apply your client has a right to rescind the loan provided written notice is given within 3 years. --Security interest in property is voided and clients obligation t o pay finance and other charges eliminated. --Creditor or Assignee has 20 days to refund or credit the amounts paid(including any money given to 3 rd party) and to take steps to void the security interest. --Then client must tender back money or property --Can be a complete defense to foreclosure --Statutory damages of $2,000 to $4,000 for failure to respond *****Rebuttable presumption even if client signed receipt*******

1. Represents the Debt; 2. Usually considered a Negotiable Instrument under the U.C.C.; 3. If not a negotiable instrument, is a contract subject to contract principles( Note defines itself as not being a negotiable instrument); 4. Typically has a waiver of Notice; 5. Is what allows for personal money damage suit;

1.Does client have a copy, does the lender? 2.Who signed it? 3.Did client understand terms? 4.Significantly different than application? 5.Balloon payment? 6.Pre-payment penalties during first rate adjustment?

1. Generally Contains Notice and Opportunity to Cure as a condition precedent to filing a foreclosure. This is usually in Paragraph 22; and Right to Reinstate after Acceleration (usually Paragraph 19) 2. Represents an Interest in Land, which triggers Statute of Frauds and Notary Requirements (but Court really doesnt care if transferred in writing equitable assignment of mortgagePHH Mortgage Corp. v. Unknown Heirs of Cox, 2013- Ohio-4614 (2 nd Dist.); 3. Provides the Foreclosure remedy

1. IS THERE ONE?? 2. Who is it from? MERS? 2. Is it Notarized? 3. Who signed the Assignment and the Notary? 4. Are they robo-signers?

1) Here you dont need password or I.D. to access images 2) Dont rely upon lenders title check a) Client who had only 50% interest b) Client whose $175,000 mortgage was released 3) Evaluate all current mortgages associated with property. 1) Were they released? 2) Current mortgage assignments? 3) Property in name of Clientother owners? 4) Check for flipping scheme.

1) Get the clients story a) Review details of loan (and if purchase, how found home), what was told to client, was the closing at their home, late at night, what documents were provided ? b) Get the details of the closing, who was there, when did it occur, and where, was anything explained, were any representations made (dont worry about the interest rate increasing, well refinance you in two years). c) Review the application and the HUD-1 with client. Are the figures correct? Was there a down payment listed when none was paid? d) Did the client think they were mislead and why?

e) Suggest client start paying into IOLTA-good graces with the judge f) Has the client attempted any resolution with lender? (Modification, forbearance, etc.?) g) Is there a pending modification application, and if not should there be? (HAMP?? If so pending application should have stayed filing of foreclosure ) h) Has client filed bankruptcy, what type and when? Discharge or dismissed? i) Have client contact lender title company and mortgage broker for copies of closing and compare.

1. What are the Homeowners goals? >Keep Home? >Stay as long as possible? >Leave as soon as possible? 2. What is the Clients opinion about the Fair Market Value of their home? 3. What is the condition of their home? 4. What is the condition of their neighborhood? 5. Has any homes sold recently on their street?

1. Knowing this can help form the homeowners goals. 2. Can help determine what options the homeowner may have. 3. Determines what consequences a homeowner may face if a foreclosure judgment is entered.

1. Client; 2. Internet searches for values: www.zillow.com; www.realtor.com; www.realistate.yahoo.com/homevalues; www.trulia.com www.zillow.comwww.realtor.com www.realistate.yahoo.com/homevalues; www.trulia.com 3. Google Map of area 4. Tax Assessed Value

1) Provides 10 year history of tax assessed value, providing rough idea of value at time of loan. 2) Provides information as to parcel number to focus recorder search 3) Provides photo of house-verify this is the property with client. 4) Are taxes being paid if escrowed? 5) How to contest tax assessed value.

1) Does the Plaintiff have a right to foreclose?-Note A. Is there an attached note? B. Did Plaintiff have physical possession of note when the complaint was filed? (HSBC Bank/HSBC Mortgage) C. Was the note negotiated ? i.Is the negotiation suspicious? a.Negotiation done by an agent for a defunct company *Check with secretary of state b.Done by an employee of foreclosing attorneys law firm *or by attorney c.Several negotiations all signed by same party d.A later discovered/fabricated allonge even though sufficient space on note. D. Was the Plaintiff a non-holder in possession-prove possession at filing with right to collect? E. Be suspicious of all documents miraculously appearing after this issue is raised.

2) Mortgage a) Was the Plaintiff on the mortgage or was it ever assigned to the plaintiff? b) The magic of equitable assignment-statute of frauds and title issues but not an issue for court. c) Was assignment from MERS and included reference to note? i. MERS cannot hold note so cant be acquired from MERS ii. Anyone can claim to be V.P. of MERS (form can be downloaded). If truly employee, can request proof of employment and proof of specific authority to act. Particularly if acting as nominee for future assignee.

3. If the Plaintiff is a securitized trust.. a) Mortgage and note must be acquired pursuant to purchase agreement and Pooling and Servicing Agreement-PSA (www.sec.gov/archives/edgar)www.sec.gov/archives/edgar b) Above agreements usually require note to be negotiated from Originator, to Buyer, to Seller/Depositor to Trustee, with warranties and guarantees accompanied by certifications occurring at each transfer. Mortgage must be included in PSA schedule of Mortgages. c) Only a negotiated note would be acquired by the trust- shouldnt ever have an un-negotiated note. d) Rarely a qualified mortgage can be accepted after closing date, but must be within two years-if assignment is more than two years after trust closing date, or if mortgage in default.violates trust and REMIC and should be challenged.

d) Demand to see original note (might have been destroyed after electronic version created.) e) Challenge any affidavit alleging possession of note by keeper of records/mail clerk. f) Also with most trusts we Fair Debt Collection Practices Act (FDCPA), 15 U.S.C. 1692, et sequi based upon non-ownership of note. Note that the Third District recently discussed Trusts, Trustees and Pooling and Servicing Agreements in Wells Fargo Bank, N.A. v. Freed, 2012- Ohio-5941(3 rd Dist.). The Court in Freed found that the Trustee Plaintiffs power to enforce the note derived from the terms of the Pooling and Servicing Agreement. Id. at 28- 30. Also, it can be argued that Trustee has a duty under the law to comply with PSA under trust principles generally. Schafer v. RMS Realty, 138 Ohio App.3 rd 244 (2 nd Dist. 2000)(A trustee is held to something stricter that the morals of the market place. Not honest alone but the punctilio of an honor the most sensitive, is then standard behavior.), quoting Judge Cadozo in Labovitz v. Dolan (1989), 189 Ill.App.3d 403, 545 N.E.2d 780.

1. Plaintiffs act of designating itself as successor in interest is not enough to prove standing. H&S Financial, Inc. v. Davidson, 2011-Ohio-4290 (2 Dist.); 2. Scrutinize documents in support of standing, such as merger documents. Attaching copies of Merger Documents are not self- authenticating. Bank of America N. A., v. Miller, 194 Ohio App. 3d 207 (2 Dist. ).

Federal Home Loan Mortgage Corporation v. Schwartzwald, 134 Ohio St.3d 13, 2012 Ohio 5017. Question now is: Does the Plaintiff need to have an interest in both the Note and Mortgage or in just one of them to invoke the jurisdiction of the court? Many appellate cases are interpreting Schwartzwald as requiring either rather than both. The Ohio Supreme Court will decide this soon in SRMOF 2009-1 Trust v. Shari Lewis et al. SRMOF 2009-1 Trust v. Shari Lewis et al. Interesting First District Case that bases standing on answering the question: Is the Plaintiff the party who suffered the injury? 2013-Ohio-4220 As an aside, with this question, can the Plaintiff show that they suffered the injury by means other than the note and mortgage? Suspect Ohio S.Crt will say yes to this.

may be raised at any time during the pendency of the proceedings as used in Schwartzwald when citing to another case is being interpreted as providing a limit to when standing can be raised. If case over, cannot raise since the pendency of the proceeding is over. Bank of Am., N.A. v. Kuchta, 141 Ohio St.3d 75, 2014-Ohio-4275: standing cannot be raised collaterally.

FAIR DEBT COLLECTION PRACTICES ACT

15 U.S.C. 1692 Glazer v. Chase Home Finance, 704 F.3d 453, 461 (6 th Cir. 2013) (Foreclosure is debt collection) If cannot show have right to collect note debt and to request foreclosure, allege: At all times material, Plaintiff is a debt collector as the term is defined under 15 U.S.C. 1692a(6 ); And at all material times, the Note debt is a debt as defined under 15 U.S.C. 1692a(5); Plaintiff violated the Fair Debt Collection Practices Act when it filed a Complaint in Foreclosure against the [homeowner] because it is threatening to take a legal action that it cannot legally take. 15 U.S.C. 1692(e)(5). Plaintiff does not have the legal right to collect on the Note debt and to Foreclose; Put facts in, example of facts:

In order to collect on the Note debt and to bring a foreclosure action, the Plaintiff must be entitled to enforce the Note and have an interest in the Mortgage; Here, Plaintiff is not entitled to enforce the Note and does not have an interest in the Mortgage; Plaintiff is not the Note holder and is not the Mortgagee as it alleges; To be a Note holder, the Plaintiff must have possession of the original Note, along with an endorsement; [Homeowner] has never executed a Note in favor of Plaintiff and the Note has never been endorsed in blank or specifically to Plaintiff; Also, Plaintiff is not the Mortgagee; [Homeowner] has never executed a Mortgage in favor of the Plaintiff and Plaintiff has never received an interest in the Mortgage;

The chain of Mortgage Assignments was not signed by an authorized party and contains a defective acknowledgment; The Statute of Frauds requires that an interest in land be transferred in writing and signed by an authorized party; A Mortgage is an interest in land; Any attempted transfer of land that violates the Statute of Frauds is void; Ohio and Florida law require that any granting of a mortgage interest be acknowledged by a Notary Public. Here, the Notary Publics acknowledgement was not valid. The Notary Public did not actually witness Crystal Moore sign. Therefore, Plaintiff violated the Fair Debt Collection Practices Act when it filed a Complaint in Foreclosure. As such, the [Home Owner] is entitled to an award of actual damages plus up to $1,000, to an award of costs, attorney fees, and punitive. 15 U.S.C. 1692(k); McCollough v. Johnson, Rodenburg, & Lauinger, L.L.C., 637 F.3d 939 (9 Cir. 2011). Ohio Rev. Stat. 5301.01 (2008); Fla. Stat. 117.107(9)(2009).

EMOTIONAL DISTRESS IS ACTUAL DAMAGES: RECENT 9 TH CIRCUIT CASE JURY AWARDED PLAINTIFF $250,000 Here: McCollough testified as to the adverse impact of being sued by JRL, including the anxiety, stress, and anger that he felt and the "down time" and severe headaches that he suffered as a result. McCollough testified that the lawsuit JRL prosecuted against him "definitely" caused him anxiety, increasing his temper, pain, adrenaline, and conflict with his wife. McCollough acknowledged his disabling pre-existing condition but characterized the impact of JRL's lawsuit on him as "the straw that broke the camel's back." He thought that the lawsuit was "frivolous" and "an insult," and that he was "being shoved around." We thus must conclude that the award was not based on speculation and guesswork, but rather on the jury's valuation of McCollough's emotional distress. Think how would show this damage to juryhave to have client start documenting and may have to hire expert to show emotional damages(this costs $)

1. Failure to provide notice of default and opportunity to cure (if in mortgage terms) (condition precedent) 2.Statute of Frauds bars Plaintiff from attempting to enforce Mortgage it does not have an interest in writing and signed by an authorized party(not a winner). 3. If married couple and one spouse is not on the Note, did both sign the Mortgage? If did not, then spouse who did not sign would not have a lien on their dower right/legal right(if both on deed) 4.Dont just go along with Plaintiffs request to Reform Mortgage. Look at case law and facts of situation first. 5. Right to Reinstate (if in terms) (Contract Violation)

1. Who is entitled to enforce contract? 2. Read the Note and Mortgage terms. 3. Did Plaintiff Mitigate its Damages?

Principles of Equity bar foreclosure action Foreclosure two step process: 1) default on obligation; and 2) consider equity of the situation in order to decide of foreclosure is appropriate. PHH Mortgage Corporation v. Barker, 190 Ohio App.3d 71 (Ohio App. 3 Dist. 2010) Court upheld trial courts use of equitable principles to reinstatement of homeowners loan, because the homeowner made a good faith effort to reinstate, but Plaintiff obfuscated the situation making it impossible for the homeowners to do so. *Others: Contract violations, Estoppel, and Unjust Enrichment

1. National Fair Housing Goals, 42 U.S.C. 1441 the realization as soon as feasible of the goal of a decent home and a suitable living environment for every American family... 2.Federal Housing Administration, Rural Housing Service, and Veterans Administration loans all have loss mitigation regulations that must be followed. Failure to follow these results in the plaintiff failing to comply with a condition precedent and the case must be dismissed. Example is FHAs face to face requirement. But note that regulations that are incorporated into the Note and Mortgage are the only one the Court will recognize and enforce. Would need to use a Notice of Error letter for the others.

1. Is Plaintiff or Servicer a TARP recipient? 2. If yes, under HAMP regulations. 3. HAMP regulations prevent a foreclosure from being filed if homeowner is in the process of being reviewed for a HAMP loan modification and prevents Plaintiff from going forward on Sheriffs Sale if under HAMP review. 4. Can use contract principles and equitable claims if fail to comply: breach of contract; promissory estoppel; intentional infliction of emotional distress. 5. Corvello v. Wells Fargo Bank, N.A., 9 th Circuit Federal case (August 8, 2013): If homeowner completes trial period plan, bank must offer permanent loan modification. ***Ohio courts really do not follow this though! It is all based on contract law.

If Plaintiff has filed a foreclosure action two times before and the Plaintiff dismissed the past two foreclosures under Rule 41(A)(1), the second dismissal is considered to be dismissed with prejudice and the third action is not allowed. Exception: If homeowner cured the default or had the loan reinstated before the third foreclosure action. U.S. Bank v. Gullotta, 899 Ohio St.3d 399 (Ohio 2008 ); Note: Plaintiffs are attempting to get around this rule by moving the Court to dismiss the foreclosure under Rule 41(A)(2). Under (A)(2), the Court is suppose to only dismiss upon such terms and conditions as the court deems proper. Proper means Plaintiff asked, I would think.

Plaintiffs claims are barred by the Defendants Constitutional right to Due Process. The Courts facilitation of a process that allows for property to be taken away by an entity that has failed to show that it has legal right to do so, violates the homeowners United States Constitutional due process rights and their Ohio Constitutional Inalienable Rights. U.S. Const. am.14; Section 1.01, Art. I, Ohio Constitution.

1. Appraiser licensed in Ohio (after 1/07)?* 2. Real Estate Agent licensed in Ohio?* 3. Mortgage Broker licensed in Ohio?* 4. Seller? 5. Lender? 6. Assignee?(hopefully not a holder in due course if assignment occurred after default) 7. MERS? Question often comes down to who has money? Also issue of too many parties makes settlement and discovery difficult and expensive. (or possible) *Commerce Department has database in Real Estate Division. (Includes disciplinary actions) Can call Financial Institutions Division to check for expired or terminated registrations, and bond information.

1. Truth in Lending Act (TILA) 15. U.S.C. 1601 et seq. 12 C.F.R. 226 (Reg Z) -Creditor(usually original lender) and assignee if not holder in due course or if violation apparent on face of documents -Failure to disclose credit information or cancellation rights. Material Violations (grounds for rescission): *Amount financed *Finance Charge *Annual Percentage Rate *Total of Payments *Payment Schedule *Failure to give proper notice of right to cancel *Certain HOEPA violations

2. Home Ownership Equity Protection Act (HOEPA) 3. Real Estate Settlement Protection Act (RESPA) 4. Fair Housing Act (FHA) Home Mortgage Disclose Act Data (HMDA) for loan application by lender and applicants race, income and geographical location. 5. Equal Credit Opportunity Act (ECOA) 6. Fair Credit Reporting Act (FCRA) 7. Racketeer Influenced and Corrupt Organizations Act (RICO) 8.Fair Debt Collection Practices Act

1. Consumer Sales Practice Act (CSPA) (RC 1345) (2 yr. S.L.) 2. Mortgage Broker Act 3. State RICO 4. Ohio Fair Housing Act 5. Ohio Constitutional Claims 6. Statute of limitations after acceleration (6 years) (but could decelerate)

1. Breach of Fiduciary Duty 2. Fraud/Appraisal Fraud 3. Aiding and Abetting 4. Fruits of the Fraud 5. Unconscionability/Improvident Lending-lending well beyond borrowers repayment ability. 6. Unjust Enrichment-reasonable tangible net benefit to borrower? 7. Negligent Misrepresentation-failure to disclose loan carries no reasonable tangible net benefit 8. Intentional Misrepresentation 9. Breach of Contract 10. Civil Conspiracy-Joint Venture-Agency 11. Negligent Infliction of Emotional Distress 12. Breach of Duty of Good Faith and Dealings 13. Recoupment (claims in defense that would be barred if brought affirmatively) 14. Equitable claims (it just isnt fair).

We have client save a monthly amount that they can afford for the duration of the foreclosure. Can use this money to show court paying mortgage, to negotiate a settlement, for alternative housing, to file bankruptcy, or for emergencies. Can save enough to be able to offer a short payoff or to buy another house.

CLIENTS REALISTIC GOALS