Ohio County Court Prevents Foreclosure and Awards Handsome Compensation to Defending Homeowners

A ruling in Ohio County court has gone against Quicken Loans in predatory lending lawsuit amounting to $3 million. Judge Arthur M. Recht of Circuit Court has awarded over $1.2 million monetary damages, legal fees and other costs to a mother and her daughter – Lourie Jefferson and Monique Brown of Wheeling. The case had spanned 17 months and the trial eight days.

Previously the mother and her daughter had come to a settlement for a secret amount with the appraiser of the loan. Attorneys of Jefferson and Brown from the firm of Bordas & Bordas were representing them in the foreclosure case that had been started by their mortgage lender, Quicken Loans.

The defendants charged Quicken Loans for predatory operation and filed the complaint comprising of 12 counts giving in details the predatory activities of Quicken Loans together with its appraise in the circuit court of Ohio.

During the first phase the court had given a ruling favouring Jefferson and her daughter on many counts. According to court findings the lending operations of Quicken Loans were untenable. It was based partly on exorbitantly inflated appraisals done prior to granting a loan.

The court also said that Quicken Loans had cheated the homeowners by misguiding them to pay high loan origination charges, falsely making promises about refinancing the loan in not too distant future and concealing from them a massive balloon payment.

Consequently the court ruled that the loan of $144,800 grew into $227,000. It has now become a concern for the law. The loan would not be returned. Quicken Loan was ordered to repay $17,000 to Jefferson.

During the trial’s second phase punitive damages was clamped down with an order that the mortgage lender would have to pay legal fees and expenses to Jefferson and Brown.

Jim Bordas was satisfied with most of the verdict and said that the case typified the events that led to the housing crisis and the collapse of the entire economy. He said, "Ms. Jefferson and Ms. Brown fought very hard for justice against a large national lender". Bordas hoped that the message from this case would be picked up by other struggling house owners.Another lawyer of Bordas & Bordas, Jason Causey had also helped in the case representing the mother and her daughter.

Prior to the issuing of the initial ruling there had been no offer of settlement or giving relief to the loan.

Richard W. Gallagher, Stephen W. King and James P Feeney represented Quicken Loans.