United States: Charges, Mortgages, Indemnities

The Massachusetts Appeals Court examined whether demanding default interest at an unlawful rate constitutes an unfair business practice under Chapter 93A, even when the lender believed the rate was permissible based on acquired loan documents. The decision turned on factual findings regarding the lender's knowledge and intent when purchasing and enforcing a mortgage containing a usurious interest provision.

A recent bankruptcy court decision highlights critical lessons for secured creditors about the difference between having access to cash collateral and actually holding it as security. The case demonstrates how inadequate documentation and commingling of funds can result in the complete loss of a substantial secured claim, even when the creditor believed it had proper protections in place.

On July 13 and July 15, a coalition of 11 states and the District of Columbia, followed by two former FDIC Board members, filed amicus briefs supporting Colorado in the en banc proceedings...

The Ninth Circuit examined whether post-judgment interest on attorneys' fees should accrue from the date of settlement approval or from the date of the final fee order. The court addressed the critical question of when a judgment becomes sufficiently definite to trigger interest calculations in False Claims Act litigation.

Two family law attorneys examine the intersection of emotional attachment and financial reality when dividing marital real estate, addressing common misconceptions about ownership versus liability and the critical role of timing in property rights. The article provides strategic guidance on navigating complex issues from mortgage obligations to state-specific legal frameworks that govern how homes are treated during divorce proceedings.

Benjamin Dryden is a legal professional at Foley & Lardner LLP's Chicago office. His contact information and professional profile are available for those seeking legal counsel or wishing to connect with him regarding legal matters.

The Washington Supreme Court's decision in Vargas v. RRA CP Opportunity Trust 1 fundamentally reshapes foreclosure remedies by requiring that only holders of negotiable instruments under the UCC can conduct nonjudicial trustee's sales. This ruling potentially eliminates nonjudicial foreclosure options for a wide range of commercial and residential debt instruments that fail to meet strict negotiability criteria, forcing lenders to pursue judicial foreclosure or alternative remedies.

Together, these actions are intended to reaffirm the authority of national banks under federal law to earn and receive interchange fees and to prevent the imminent application of Illinois’s...

Read the newsletter below for the latest Mortgage Banking and Consumer Finance industry news, written by Ballard Spahr attorneys. In this issue, our lawyers examine OFAC’s advisory warning...