Certified Forensic Loan Auditors, LLC

 
  Upcoming Classes

Yuba Jury Awards $16 Million in Mortgage Case

July 19, 2014

By Dale Kasler

A jury has awarded $16.2 million in damages to a Yuba County homeowner who nearly lost his home to foreclosure after his loan servicer botched his mortgage modification, his lawyers said today.

Phillip Linza, a homeowner in Plumas Lake, was awarded the damages after a three-year battle against PHH Mortgage Services, a loan servicer based in Mount Laurel, N.J. A Yuba County Superior Court jury decided on the award earlier this week.

Linza’s attorneys Andre Chernay and Jon Oldenburg of the United Law Center in Roseville, said the award included $514,000 in compensatory damages and $15.7 million in punitive damages. They said it ranked among the biggest jury awards they’ve encountered in years of representing homeowners in foreclosure and other mortgage-related cases.

“This is really the highest we’ve seen,” Oldenburg said. “It’s a huge figure.”
Officials with PHH couldn’t be reached for comment. The company’s lawyers Edward Treder and Darlene Hernandez declined comment.

Chernay said the case began when Linza, who works in sales, fell on hard financial times after buying a home in 2006 for approximately $280,000. Court records show Linza filed for personal bankruptcy in October 2009.

According to his lawsuit, PHH agreed in late 2010 to a loan modification that was supposed to reduce Linza’s monthly payments to $1,543 from $2,100. The new loan was supposed to take effect in January 2011.

After Linza made three monthly payments under the new terms, PHH began sending him letters demanding different amounts. First it said his new payment was $2,350 a month - slightly higher than before the modification. Later it sent him a notice saying he owed PHH some $7.056. The company also told him it wasn’t applying his monthly payments to his loan balance because he wasn’t paying the proper amount, according to Chernay.

“It was their mistake as of January 1st (2011) that created this whole scenario,” Chernay said.

Despite numerous phone calls and letters, Chernay said Linza wasn’t able to resolve the problem. After learning that his payments weren’t being used to reduce his balance, he stopped sending money to PHH, the lawyer said.
In 2012, the loan-servicing company initiated foreclosure proceedings. The proceedings halted when the Roseville law firm stepped in and filed suit on Linza’s behalf, Chernay said.

Even with the foreclosure stopped, Linza’s credit rating suffered and he endured emotional stress, Chernay said.

“If the Yuba County jury hadn’t saved him, the house would have been gone and he would have had to move in with his daughter in Colorado,” Chernay said.


------------------------------------
Nancy Duffy McCarron, CBN 164780
Attorney, Real Estate Broker, BBB Arbitrator, CA Notary Public
Certified Forensic Loan Auditor, Property Manager

 

Back to Letters from the Editor Archive

CFLA was founded by the Nation's Leading Foreclosure Defense Attorneys back in 2007 to serve the Foreclosure Defense Industry and fight pervasive Bank Fraud. Since opening our virtual doors, CFLA has rapidly expanded to become the premier online legal destination for small businesses and consumers. But as the company continues to grow, we're careful to hold true to our original vision. For us, putting the law within reach of millions of people is more than just a novel idea—it's the founding principle, just ask Andrew P. Lehman, J.D.. With convenient locations in Houston and Los Angeles, you can contact Our National Account Specialist and General Manager / Member Damion W. Emholtz at 888-758-2352 for a free Mortgage Fraud Analysis or to obtain samples of work product, including cutting edge Bloomberg Securitization Audits, Litigation Support, Quiet Title Packages, and for more information about our Nationally Accredited and U.S. Department of Education Approved "Mortgage Securitization Analyst Training Certification" Classes (3 days) 24 hours for approved CLE & MCLE Credit (Now Available Online).

SEE BELOW- http://www.certifiedforensicloanauditors.com

Call us toll free at 888-758-2352

Bookmark and Share
spacer
Facebook Like us on Facebook
Twitter Follow us on Twitter
YouTube View our YouTube Videos
LinkedIn Connect to us on Linkedin
 
BBB Logo

 

spacer
Contact us or view our Sample Documents & Audits by completing the form below.

  • Reload
  • Should be Empty:




 

DVD Sets Only $99

 

FREE Mortgage Fraud Analysis

 

Order Cutting-Edge Services Now

 

Quiet Title Packages from Licensed Attorneys

 

Affiliate Services

 

CFLA Sponsored Attorney Links

 

Take-Home Education Package