What is the Mid America Mortgage Class Action Lawsuit?
Mid America Mortgage (MAM) is a mortgage lender based in Texas. In 2019, MAM was sued in a class action lawsuit alleging that the company engaged in a number of unfair and deceptive practices, including:
- Failing to submit sponsorship of Mortgage Loan Originators to NMLS: MAM is required to register its Mortgage Loan Originators (MLOs) with the National Mortgage Licensing System (NMLS). However, the lawsuit alleges that MAM failed to submit sponsorship of a number of its MLOs to NMLS, which means that these MLOs were not properly licensed or registered.
- Failing to provide required loan disclosures on or before the third business day after receipt of application: MAM is required to provide borrowers with certain disclosures about their loans within three business days of receiving their application. However, the lawsuit alleges that MAM failed to provide these disclosures on time, or at all, in some cases.
- Failing to leave blank the date and time at which estimated closing costs expire on subsequent revised disclosures: MAM is required to provide borrowers with revised disclosures if the estimated closing costs change. However, the lawsuit alleges that MAM failed to leave blank the date and time at which the estimated closing costs expire on these revised disclosures, which can make it difficult for borrowers to compare the revised disclosures to the original disclosures.
- Failing to provide notification pursuant to 12 CFR S 1002.9 (c) (1) (i) (ii) (2): This regulation requires MAM to notify borrowers of their right to cancel their loan within three business days of receiving the loan agreement. However, the lawsuit alleges that MAM failed to provide this notification to all borrowers.
Status of the Lawsuit
The Mid America Mortgage class action lawsuit is currently in the discovery phase. This means that the parties are exchanging information and documents related to the case. The lawsuit is expected to go to trial in 2024.
Potential Impact of the Lawsuit
If the plaintiffs in the Mid America Mortgage class action lawsuit are successful, it could have a significant impact on the company. The plaintiffs are seeking damages, injunctive relief, and attorneys’ fees. If the plaintiffs are successful, MAM could be ordered to pay millions of dollars in damages and change its business practices.
Conclusion
The Mid America Mortgage class action lawsuit is still in the early stages, but it is important for borrowers to be aware of the potential impact of the case. If you are a borrower who has been affected by MAM’s alleged unfair and deceptive practices, you may be able to join the class action lawsuit.
FAQs
Q: Who is eligible to join the Mid America Mortgage class action lawsuit?
A: You may be eligible to join the Mid America Mortgage class action lawsuit if you borrowed a mortgage from MAM between 2017 and 2023 and were affected by one or more of the alleged unfair and deceptive practices.
Q: What damages can I recover if I join the class action lawsuit?
A: If the plaintiffs in the class action lawsuit are successful, you may be able to recover damages, including monetary damages, injunctive relief, and attorneys’ fees.
Q: How do I join the class action lawsuit?
A: To join the class action lawsuit, you should contact one of the attorneys representing the plaintiffs. You can find a list of the attorneys representing the plaintiffs on the website of the law firm handling the case.
Q: What is the deadline to join the class action lawsuit?
A: The deadline to join the class action lawsuit will be determined by the court.
References
- Consent Order Mid America Mortgage Inc. 19-0181-DIS FILED_Redacted.pdf – Oklahoma.gov: https://www.ok.gov/okdocc/documents/Consent%20Order%20Mid%20America%20Mortgage%20Inc.%2019-0181-DIS%20FILED_Redacted.pdf
- Texas-based Mid America Mortgage sued over ‘Click and Close’ name | Reuters: https://www.reuters.com/article/texas-based-mid-america-mortgage-sued-ov-idUSL1N1TK1XO
- Click n’ Close Title, LLC | Complaints | Better Business Bureau® Profile: https://www.bbb.org/us/tx/addison/profile/mortgage-broker/mid-america-mortgage-inc-0875-90306688/complaints