Let’s say you are a publicly traded company integrally involved in the residential mortgage business as a lender, wholesaler, correspondent, warehouse provider, and servicer. Let’s also say that not too long ago your company had a near death experience…as in your stock price in November of 2008 hit $00.05 per share (yes, that is 5 cents).
lawsuit Blog Posts
We are happy to report that the walls are slowly tumbling down on Llano Financing and the Ganter brothers (Chris & Ben). If we sound biased it’s only because we are. When any entity like Llano is on the losing end of close to 100% of the cases in both state and federal court, it becomes very clear quickly to both the judiciary and the general public that something fishy is going on.
In a rare occurrence, a New Jersey Court recently enforced the State’s prohibition against frivolous litigation against a plaintiff who sought to sue a home inspector following a failed real estate transaction.
Insurance: that annoying but potentially beneficial thing we pay good money for and hope to never use. Insurance can protect your car, your business, your family, your home and more. The downside? It can often put a big red target on your back that says “sue me.”
When I was in law school about 100 years ago, my real property professor mentioned “caveat emptor” in almost every class. Loosely translated this means “let the buyer beware.” The legal principle behind “caveat emptor” is that a person who buys something without any kind of warranty is responsible for making sure it is in good condition, and if they don’t take this responsibility, then tough luck.
In the auto insurance business, there is a phenomenon known as the “red convertible,” in which claims for theft and accidents are much higher rate than other vehicles. A similar reality is known among real estate insurers as “the repeat claims offender”. When it comes to raising red flags, if these offenders didn’t have bad luck, they’d have no luck at all.
On May 23, 2014, the Court of Appeal for the Fourth Appellate District, Division One, State of California, issued a very interesting decision on whether a plaintiff can successfully plead and argue fraud based on comments made about the concluded value of real estate that was appraised. The case is Graham V. Bank of America, N.A., et al. Although this ruling is unquestionably useful for an appraiser being accused of appraisal fraud, it probably is not the magic elixir many will proclaim it to be.
If being a real estate broker or salesperson acting in a dual agent capacity was not already risky enough, the California Court of Appeal just made it even more dicey. Real estate brokers and associate licensees know that the risk is great in acting in a dual agent capacity, but the reward most of the time outweighs the risk.
The lure of the full commission on a real estate transaction always entices the real estate professional to take the leap of faith that he/she can act in compliance with California Civil Code Section 2079 et. seq. and adequately navigate the intrinsic conflict of interest that...
When it comes to real estate, risk is the name of the game. While it’s impossible to predict the future, there are steps you can take to prevent or defend against lawsuits brought about by errors and omissions made during the delivery of your services. Today, we’ll show you why taking a proactive approach to mitigating your risk matters so much.
In This Episode - Guest Todd Stevens, an attorney with the San Diego based firm Keeney, Waite and Stevens joins host Brian Trotier. Todd works with appraisers on issues in E&O, licensing and blacklisting.
They are discussing issues related these blacklists and the potentially detrimental effects they can have on appraisal businesses. Recently, government sponsored enterprises (GSEs) implemented an Appraiser Quality Monitoring system, or AQM, in a widespread effort to flag problem loans and identify “questionable” appraisals. By putting their reports under greater scrutiny, the GSEs aim to weed out USPAP violators by implementing standardized measurements for appraisal comparison.