Monday, October 25, 2010

Ex-Homeowner Sues To Void Foreclosure Sale, Recover Home Allegedly Lost In Court Proceeding Tainted By Robosigner Scandal; Also Seeks $50K+ In Damages

In Erie County, Ohio, the Sandusky Register reports:
  • [A] Sandusky woman filed a lawsuit Wednesday claiming the foreclosure of her North Larchmont Drive home was spurred on by "robo-signing," where bank employees signed affidavits without bothering to review documents.

  • Rhonda D. McLaughlin filed her lawsuit against Bank of America, N.A., and Rhonda Weston, a vice president of Bank of America.(1) [...] Sandusky attorney Dan McGookey, a foreclosure specialist, is McLaughlin's attorney. It may be the first lawsuit filed in the U.S. by a private citizen seeking to undo an already completed foreclosure on grounds that a robo-signer was used, McGookey said.(2)

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  • McLaughlin's lawsuit asks for Fannie Mae, now the owner of the North Larchmont Drive home, to give the home back to McLaughlin. [...] Fannie Mae is [also] named in the suit because it [now] owns the home.

For more, see Sandusky woman sues bank over "robo-" foreclosure.

For the lawsuit, see McLaughlin v. Bank of America, et al.

(1) Rhonda Weston is the robosigner in question in this case, and is alleged to be one of 10,000 Bank of America vice presidents, according to the BofA website (see lawsuit, paragraph 3).

(2) The lawsuit also seeks in excess of $25,000 in compensatory damages, in excess of $25,000 in punitive damages, and other costs and fees. The lawsuit alleges violations of the Ohio Consumer Sales Practices Act, O.R.C. Sec 1345; the Federal Fair Debt Collection Practices Act, 15 USC 1692; Ohio's "Baby RICO" statute, O.R.C. 2923.32, and the common law.