Attorney Blog

Pelletier Sexual Harassment Case Settles For $700,000

Wed, 18 Jan 2012 08:00:00 EST

Kim Pelletier, the former Somerset highway department laborer who sued the Town for sexual harassment by her male highway department co-workers and whose trial received wide media coverage because of the sensational evidence presented at trial, has settled her sexual harassment lawsuit for $700,000. The case was set to be re-tried in New Bedford Superior Court on January 17, 2012.

The settlement writes the final chapter of a long, difficult saga for Ms. Pelletier. When asked about the settlement, Ms. Pelletier’s attorney, Carlin J. Phillips of Phillips & Garcia, P.C. stated, “It was time for the case to end and for people to start healing. Kim is a wonderful person who has suffered tremendously throughout this whole process. I am glad for Kim that the case is now over and she can move on with her life.” Phillips also noted the bitter sweet aspect of the settlement. “We will always wonder what the second jury would have done with the case in the retrial. When you work this long and hard on a case for such a great client -- starting out before a caring Superior Court jury, up to the state’s highest court and then back down to the trial court – it is difficult to just let go of the case without completing the process and conducting the second trial.”

Read the full OFFICIAL PRESS RELEASE

Massachusetts Attorney General's Foreclosure Lawsuit Applauded by Private Consumer Attorneys

Wed, 07 Dec 2011 08:00:00 EST

On December 1, 2011, Massachusetts Attorney General Martha Coakley filed a 57 page lawsuit in Massachusetts Superior Court alleging that the BOA, JPMorgan Chase, Citibank, GMAC, Wells Fargo and MERS engaged in unfair and deceptive practices when foreclosing on homes in Massachusetts. The lawsuit, which makes claims under Massachusetts consumer protection statute, contains three main claims against the nation’s largest lenders and servicers:

1) Instituting foreclosure before being assigned the mortgage which gave them the legal standing to foreclose
2) Creating false documentation to facilitate foreclosures, i.e. robo-signing
3) Misrepresenting the loan modification process, deceptively implementing the loan modification process and deceiving borrowers regarding the foreclosure proceedings.

As consumer lawyers fighting every day for the rights of borrowers, we applaud the filing of Attorney General Coakley’s lawsuit. In our individual cases against the banks and servicers, we have been dealing with all of the issues raised in the AG’s lawsuit. Most recently, we have been trying to convince judges that lenders and servicer cannot proceed in any fashion against the borrower’s property without first establishing that they hold an effective assignment at the time they institute any type of foreclosure or seizure action. Some courts are only now starting to really pay attention to these basic legal arguments. We hope that the AG Coakley’s complaint will help educate the public and courts to these issues which we see to often in our consumer lawsuits.

Read the 57 Page Lawsuit

4 Million Borrowers May be Eligible for Review of Foreclosures

Wed, 02 Nov 2011 08:00:00 EST

A massive independent review of foreclosures between 2009 and 2010 has begun, making it possible for 4 million borrowers to potentially seek out compensation for foreclosure errors and misconduct. On Tuesday, November 1, 2011, federal regulators required the nation's largest mortgage servicers to begin mailing letters to potential victims. 14 mortgage servicers are required to correct their mistakes including Bank of America, Wells Fargo & Co., J.P. Morgan Chase & Co., and Citigroup.

Eligible borrowers will be mailed a letter by December 31, 2011 explaining the independent review process. More information can be found at the official website. http://www.independentforeclosurereview.com/

The review process began a year ago in an attempt to investigate wrongful foreclosure practices including the use of robo-signing. For an explanation of the robo-signing crisis we have provided a video below.

Attorney General Martha Coakley May Sue for Foreclosure Abuses

Tue, 18 Oct 2011 08:00:00 EST

Attorney General Martha Coakley announces that she is preparing to sue lenders for foreclosure abuses. The Boston Globe Reports.

“To the extent that banks are not meeting their obligations, this conduct is inexcusable and my office will work to hold them accountable,’’ said Coakley

Coakley states that she is preparing to file suit due to improprieties related to foreclosures. Coakley made the announcement following a response to a recent Boston Globe article centered around Bank of America and their loan modification acts. Many home owners have accused Bank of America of still pursuing and threatening foreclosure follwing loan modification agreements.

To find out more about loan modifications and foreclosure practices contact the National Wrongful Foreclosure Attorneys at Phillips & Garcia Law.

New affiliated websites

Thu, 13 Oct 2011 08:00:00 EST

We are pleased to announce the launch of our new Estate Planning website Blended Family Estate Planning.

This site was created to help local families in Massachusetts protect their children and assets with the proper legal planning. We have created "Blended Family Estate Planning" for all types of families and situations including but not limited to second marriages, committed relationships, same sex marriages, business families, and partnerships.

If you would like to learn more please visit the new site! http://secondmarriageestateplanning.com

Mortgage Deficiency

Thu, 08 Sep 2011 08:00:00 EST

What is a mortgage deficiency? Andrew Garcia explains in the 6th episode of "2nd Marriage Estate Planning."

Answer: The difference between the mortgage amount, in this case regarding a short sale, and the sales price. If you have a mortgage amount of $200,000.00 and a sales price of $150,000.00 then your deficiency is $50,000.00.

Watch Episodes 1-5

1. What is a short sale?

2. What happens during a short sale?

3. Should I short sell my home?

4. Will a bank approve a short sale and why?
5. Is my new spouse responsible for my debt?

Is my new spouse responsible for my debt in Massachusetts?

Wed, 07 Sep 2011 08:00:00 EST

Ep. 5 of "2nd Marriage Estate Planning" answers the question of debt and remarriage. Attorney Andrew Garcia, Phillips Garcia Law of Dartmouth, MA explains.

Is a new spouse responsible for my debt, now that we are married?

The simple answer is no, BUT, there are many factors involved that could vary for everyone.

Watch the rest of the series on our Youtube Channel
http://www.youtube.com/user/PhillipsGarcia?feature=mhee

Will a Massachusetts bank approve a short sale?

Tue, 06 Sep 2011 08:00:00 EST

Will a Massachusetts bank approve a short sale and why? Episode 4 of "2nd Marriage Estate Planing" continues to answer our viewers short sale and debt question. Will my new spouse now be responsible for my debt?

Why would a bank want a short sale?
Answer: So that they do not have to go through the foreclosure process as well. They will not have to carry the debt on their books and there may be a government insurance protecting them from losses. Ultimately, it will no longer be their problem.

Episode Guide:

1. What is a short sale?

2. What happens during a short sale?

3. Should I short sell my home?

Should I short sell my Massachusetts home?

Thu, 01 Sep 2011 08:00:00 EST

Episode 3 of "2nd Marriage Estate Planning" where Andrew Garcia continues to answer a viewer's questions regarding her debt due to a short sale in Massachusetts. Does her debt now lie on the shoulders of her new husband as well? To find out the answers to these questions watch our mini-series "2nd Marriage Estate Planning."

Episode 1 - What is a short sale?
Episode 2 - What happens during a short sale?

What happens during a Massachusetts short sale?

Wed, 31 Aug 2011 08:00:00 EST

The second episode of our series "2nd Marriage Estate Planning" for Massachusetts residents. Attorney Andrew Garcia of Phillips Garcia Law has extensive knowledge and expertise in family estate planning, second marriage law, wrongful foreclosure, business law, and personal injury.

Episode 2 explains the process of a Massachusetts short sale by answering: What happens duing a Massachusetts short sale?.

To speak with Andrew or another attorney fill out the contact form and we will help you out immediately.

Call PhillipsGarcia Law at 888-449-5343

You can watch more videos from Phillips Garcia Law on their Youtube Channel.

What is a short sale in Massachusetts

Tue, 30 Aug 2011 08:00:00 EST

The first episode of our series "2nd Marriage Estate Planning" for Massachusetts residents. Attorney Andrew Garcia of Phillips Garcia Law has extensive knowledge and expertise in family estate planning, second marriage law, wrongful foreclosure, business law, and personal injury.

Episode 1 thoroughly explains Short Sales in Massachusetts. To speak with Andrew or another attorney fill out the contact form and we will help you out immediately.

Call PhillipsGarcia Law at 888-449-5343

You can watch more videos from Phillips Garcia Law on their Youtube Channel.

Couple faces foreclosure after paying mortgage early

Fri, 26 Aug 2011 08:00:00 EST

Soldier returns home from Iraq to foreclosure

Fri, 26 Aug 2011 08:00:00 EST

Currently under the Service Members Civil Relief Act, active-duty soldiers are protected against foreclosure unless the foreclosure is court ordered. In this specific case, JP Morgan is foreclosing on the home of Soldier Aaron Collette who lives with his father, Tim Collette. Since Aaron is not the owner of the home, this case does not fall under the current Service Members Civil Relief Act, allowing JPMorgan to follow through with the repurchasing of Tim Collette's home.

In previous articles reporting on this case, Tim feared about his son worrying about having a home upon return from Iraq rather than focusing on his mission and survival. It seems as though Tim's fear had come true.

"To have to worry about if he is going to be in a house when i come home," Aaron Collette told KTVZ, "it's just always worries me."

The day Aaron returned home from duty, JP Morgan repurchased the home.

Collette is not the only soldier involved in controversial military-related foreclosures. Recently the Justice Department agreed to a $22 million settlement with Bank of America's Saxon Mortgage Services to provide help for 170 active-duty service members who have fallen victim to imporper foreclosure proceedings.

Find out more information about military-related foreclosures below or call us at 888-449-5343, we would be happy to help you.

http://www.huffingtonpost.com/2011/05/26/improper-military-foreclosures-justice-department-settles_n_867804.html

http://www.huffingtonpost.com/2011/06/09/foreclosed-from-iraq-chase-bank_n_874534.html

springfield approves anti-foreclosure laws

Tue, 23 Aug 2011 08:00:00 EST

The Boston Herald Reports:

Anti-foreclosure advocates are declaring Springfield's approval of new foreclosure laws the toughest in the country. Once the laws are signed by the mayor and pending the survival of legal challenges, the new ordinances would require mortgage lenders to engage in mediation with homeowners facing foreclosure. Failure to comply will result in a $300 per day fine.

Advocates claim that the new ordinances will help more homeowners stay in their homes and protect them from predatory lenders.

Bank of America admits error in foreclosure case

Tue, 23 Aug 2011 08:00:00 EST

Local Riders Take on Pan-Mass Challenge

Fri, 05 Aug 2011 08:00:00 EST

Good luck to all participating in the Pan-Mass Challenge this weekend!

About the Pan-Mass Challenge.
Packed with roughly 5,000 cyclists riding through 46 towns of Massachusetts, the Pan-Mass challenge is a fully loaded bike-athon that has historically raised more money for cancer research and treatment in one event than any other in the country. Over the span of two days, cyclists travel distances ranging from 25 to 190 miles. But, cycling is only part of the challenge. In order to ride, participants must raise between $500 and $4,200 all to be donated to cancer research and treatment programs through the Jimmy Fund.

The Jimmy Fund
"Founded in 1948 to raise funds for patient care and the fight against children’s cancer, the Jimmy Fund now supports the search for new cancer treatments and cures for both adults and children at Dana-Farber Cancer Institute. Since its founding in 1948, the Jimmy Fund has raised more than $750 million, including $61 million in 2010. Eighty-nine cents of every dollar raised supports Dana-Farber’s lifesaving mission."

More from their wikipedia page http://en.wikipedia.org/wiki/Jimmy_Fund and

Local Fact

36 SouthCoast riders participating this weekend!

At Phillips Garcia, we specialize in Bicycle Accident Law and would like to wish all participants a Fun and Safe ride.

Thank you!

massachusetts supreme judicial court expands right to challenge bank seizures

Fri, 05 Aug 2011 08:00:00 EST

IMPORTANT: The SJC made a ruling involving wrongful foreclosures that is being called a "major victory" for housing rights advocates and homeowners facing wrongful foreclosure.

LEARN MORE FROM OUR LATEST PODCAST - SJC RULING

Carlin Phillips of Phillips Garcia Law travels to Toronto for the ABA annual meeting

Mon, 01 Aug 2011 08:00:00 EST

This week Attorney Carlin Phillips will be traveling up to Toronto to attend the ABA (American Bar Association) annual meeting and take part in a mock trial along with Jury Group. We will be updating out facebook an twitter pages from Toronto and our Dartmouth offices to give you an exciting look into the ABA annual meeting and a mock trial, which Carlin will be participating in.

Follow and Like Us!
Carlin's facebook and twitter
Phillips Garcia facebook and twitter

Here is some history of the ABA compliments of their wikipdia page:

The ABA was founded on August 21, 1878, in Saratoga Springs, New York, by 100 lawyers from 21 states. According to the ABA website,

"The legal profession as we know it today barely existed at that time. Lawyers were generally sole practitioners who trained under a system of apprenticeship. There was no national code of ethics; there was no national organization to serve as a forum for discussion of the increasingly intricate issues involved in legal practice."

The purpose of the original organization, as set forth in is first constitution, was "the advancement of the science of jurisprudence, the promotion of the administration of justice and a uniformity of legislation throughout the country...."

You can find out more about the ABA and their annual meeting here.

Do Fall River Residents Billed By MassDOT for Railroad Use Owe the State?

Mon, 25 Jul 2011 08:00:00 EST

I read with great interest the Fall River Herald News article "Pay Up or Get Off" about local City residents who are being billed by MassDOT for use of the abandoned, former CSX railroad land abutting their properties. When I hear reports of railroad land being claimed by states, cities or towns for bike paths, or as we have here, Bristol County residents being assessed what basically amounts to a land use fee, you have to ask the question: Who owns the former railroad land under the tracks? Or, more accurately, does the State own the land it is asking residents to pay rent for using?

The ownership and use of old, abandoned railway corridors is not as simple as it would appear. Whether or not the State gets to collect "rent" or "use fees" depends on what it bought from CSX. Many times the railroad land under the tracks is not owned by the railroad. Railroads typically acquire the right to build and construct railroad corridors in two different ways: 1) they buy the land (in fee simple) from the people who own the land, or 2) they purchase a right of way over the land, where the railroad is unable to purchase the land free and clear.

Being granted a right of way over land to construct and maintain a railroad is drastically different than owning the land under the tracks free and clear. By accounts in the article, the last train rolled through this area of Fall River 35 years ago. It appears as though the tracks have long been abandoned and any right of way or easement had been extinguished years ago. Moreover, the right of way to construct and maintain a railroad is limited. Clearly the MassDOT does not intend to have trains run on these tracks. What right does the MassDOT have to charge rent on a long extinquished right of way?

Finally, Massachusetts has a law (a state statute) which addresses the ownership of narrow strips of land abutting larger parcels of land. The law specifically applies to railroad land (see Rowley v. Massachusetts Electric) and gives ownership to the abutting land owners. The situation concerning the MassDOT charging Fall River residents "rent" for use of what it claims is it's railroad land or right of way needs to be closely scrutinized by intense examination of the recorded deeds, starting with the initial acquisition of each abutting parcel of land by the railroad. The MassDOT needs to show each resident that it has a legal right to charge "rent." It is a basic rule of property law that the State could only purchase what CSX owned. The State owes the abutting residents an answer, especially since many of them, as good citizens and community members, maintained this abandoned land for years, mowing, clearing overgrowth and cleaning up the trash on land long neglected by the railroad.

Phillips & Garcia are Dartmouth-based trial lawyers handling individual and class action litigation in Bristol County. 508-998-0800.

What happens during a wrongful foreclosure, illegal lock-out and trash-out?

Thu, 07 Jul 2011 08:00:00 EST

If you have experienced a wrongful foreclosure, illegal lock-out or trash-out, contact us immediately by calling our toll free number: 888-449-5343 or fill out the CONTACT FORM

Huffington Post References Phillips Garcia

Tue, 28 Jun 2011 08:00:00 EST

In the following article pubished by the Huffington Post, Attorney Carlin Phillips is quoted by the author reporting on a Tampa retiree who had his posessions taken while away on vacation. He claims a cleaning company hired by Bank of America owned, Countrywide Loans, cleaned out and locked up his house mistakenly.

Check out the article here.

"We have never gotten one piece of property back." - Carlin Phillips

Tampa retiree claims wrongful trash-out/lock-out by Countrywide and Field Asset Services

Mon, 27 Jun 2011 08:00:00 EST

"Tampa retiree says he lost belongings in foreclosure blunder"
Eric P. of Newcomer, Times Staff Writer reports for the St. Petersburg Times, His article can be found here.

An 82 year old man returns to his home, following a visit to New Mexico, to find a pad lock on his door and all of his belongings missing. Along with the pad lock, sat a sign from a company that is hired to clean out foreclosed homes.

The Tampa Retiree, Benito Santiago Sr., has followed with a lawsuit in Hillsborough Circuit Court against Field Asset Services Inc. and Countrywide Home Loans for damages. He claims that Field Asset Services Inc. took his belongings and locks in the fall of 2009 illegally.

In the St. Petersburg article our own, Carlin Phillips, a wrongful foreclosure and illegal trash-out/lock-out expert, was interviewed.

Phillips says banks fail to properly make sure they have the correct home because they have not adopted the correct policies to ensure accuracy.

In this case, Santiago's home is not in foreclosure, which would be found in public records, and his son claims they may have mixed up his address with another due to a missing "0" on his mailbox.

Santiago claims that his possessions were worth $100,000, "at least," but according to Carlin Phillips and his experience with over 100 trash-out and lock-out cases, "we have never seen one piece of property back."

Bank of America, the current owner of Countrywide, and Field Asset Services have not commented on the matter.

If you would like to speak with Carlin Phillips of Andrew Garcia about an illegal trash-out or lock-out please fill out the contact form on the right or call us at 888-449-5343.

What is an Adjuster?

Wed, 22 Jun 2011 08:00:00 EST

An insurance company employee or representative assigned to manage, handle and evaluate a personal injury or property damage claim.

Learn more about legal terms by visiting our FAQ section of this site or call us toll free at 888-449-5343. You can also speak to us about your legal needs by filling out the contact form to the right.

How long will it take for my case to get to trial?

Mon, 20 Jun 2011 08:00:00 EST

Andrew: How long is it going to take my case to go through court and to trial?

Carlin: We get this quesiton all the time and the answer is it depends what court house we file your case in.

Federal Court: Estimated time 1 - 1.5 Years

1. File a complaint.
2. Defendent answers or motions.
3. Scheduling conference where judge sets course for entire case.

State Court: Estimate time 1.5 - 2 years

Watch the video above for more information or contact us and we would be happy to help you. Call us at 888-449-5342 or email info@phillipsgarcia.com

What is a lawsuit?

Fri, 17 Jun 2011 08:00:00 EST

Carlin Phillips of Phillips Garcia Law explains what exactly a lawsuit is and it's process. To find out more information on lawsuits or if you would like to speak with Carlin or another attorney fill out the contact form to the right or call us at 888-449-5343.

When can a bank seize my home?

Thu, 16 Jun 2011 08:00:00 EST

Transcript:

Lockouts by a bank are only legal when the property has been abandoned or when there is a legitimate danger to the property.

What exactly constitutes abandonment?

There has to be clear evidence that the property has been abandoned by you. Going away for a long weekend is not abandonment, even moving out of the house to sell it is not abandonment. There has to be an intent to no longer own the property to constitute abandonment.

For more information fill out the contact form, to the right of your screen, or call us at 888-449-5343.

Massachusetts Texting and Driving Laws

Thu, 16 Jun 2011 08:00:00 EST

In this post we will explain something probably every teenager and many grown ups are guilty of:

TEXTING AND DRIVING.

As I’m sure many of you are aware, Massachusetts has adopted a law against specific phone uses while driving, due to the surge of accidents and even deaths caused by texting, web surfing, and reading or writing e-mails over the phone while operating a motor vehicle.

Under the Massachusetts Law, as of September 30, 2010, reading or writing texts, surfing the web, and reading or writing e-mails are all considered a Civil Offense EVEN WHILE STOPPED AT A STOP SIGN.

The Penalties are as follows (FOUND ON THE COMMONWEALTH CONVERSATION WEBSITE)

Civil Offense-No insurance surcharge

(Operators cannot use any mobile telephone or handheld device capable of accessing the Internet to write, send, or read an electronic message including text messages, emails, and instant messages or to access the Internet while operating a vehicle. Law applies even if the vehicle is stopped in traffic.)

1st offense-$100

2nd offense-$250

3rd or subs offense-$500

The laws also state that a Junior Operator (driver under the age of 18) is prohibited from using cellular phones all together.

Ch 90/8M- Use of a Mobile Phone or Mobile Electronic Device by a Junior Operator

Civil Offense- No Surcharge

(Mobile electronic device includes mobile telephone, text messaging device, paging device, PDA, laptop computer, electronic equipment capable of playing video games or video disks or can take/transmit digital photographs or can receive a television broadcast. Mobile electronic device does not include any equipment permanently or temporarily installed to provide navigation, emergency assistance or rear seat video entertainment. Reporting an emergency is the only exception. Drivers are encouraged to pull over and stop the vehicle to report the emergency.)

1st offense-$100, 60 day license suspension & attitudinal course

2nd offense-$250, 180 day suspension

3rd or subs offense-$500, 1 year suspension

The above information is provided by the Massachusetts Transpotation Blog which you can find here. If you have any more questions regarding driving laws or would like to meet with an attorney at Phillips & Garcia Law please fill out a contact form to the right or give us a call at 888-449-5343. You can also email us at info@phillipsgarcia.com.

Teen Driving: Who's Liable If My Teen Drives My Car?

Thu, 16 Jun 2011 08:00:00 EST

For more information on choosing the proper insurance for your family, download our free book or contact us. You can also call us 888-449-5343 or email info@phillipsgarcia.com

Massachusetts Businesses Overpay $1Billion for Auto Insurance

Mon, 13 Jun 2011 08:00:00 EST

Massachusetts Attorney General, Martha Coakley, recently released a report following a review of the National Association of Insurance Commissioners (NAIC) and Automobile Insurers Bureau (AIB) stating that, since 2004, business owners have overpaid by $1 Billion for commercial auto-insurance. The statement followed a review by the Attorney General's office in which she responded with:

“These inflated commercial auto premiums impact virtually every industry in Massachusetts – from manufacturing, trucking, and construction to sales and services. The added costs limit the ability of businesses to invest in Massachusetts and cost Massachusetts residents thousands of jobs. The problem is especially acute for small businesses, who ability to create jobs is impaired by excessive rates.”

The report also narrowed down the dramatic sum to a yearly commercial auto-insurance overcharge of nearly $150 million, dating back to 2004, in which rates were high by at least 21.6%.

Phillips & Garcia Law offers an extremely helpful Free Book on Auto Insurance which can help your business choose the correct and financially reasonable plan.

For more information about auto insurance in Massachusetts check out our video below which asks an important question for any Massachusetts resident.

Call (888)-449-5343 and fill out the contact form to the right and speak with one of our attorneys.

Employee Collects Triple Damages After Boston Business Violates Wage Law

Thu, 09 Jun 2011 08:00:00 EST

A Massachusetts judge found that a Boston business violated the Massachusetts wage law when it deducted money from an employee’s weekly paycheck for a retirement contribution but then never deposited the wages into a retirement account. The judge then awarded triple damages of $25,814 plus attorney’s fees to be paid to the employee.

The Boston real estate investment and development company had promised its employee that it would set up a retirement account into which the employee could make contributions. In December 2005, the employer began deducting money from the employee’s weekly paychecks. These deductions went on for at least two years.

During those next two years, the employee made inquiries about the status of his retirement account and his funds, but the employer’s administrators ignored him. The judge found that the employer never bothered getting around to setting up the account and instead withheld the money. The amount of the weekly deductions over this time frame was $8,604.80.

Sometime in the Spring of 2009, the company offered the employee a check for the $8,604, but as a condition for the money, the employee was to release any claims. The employee refused and then filed the lawsuit alleging that by withholding the money from his paycheck but not putting it into a retirement account as promised was a violation of the Massachusetts Wage law.

There are important messages to learn from this case as an employee:

First, the Wage Act states that an employer must pay an employee his wages within six days of the ending of the pay period during which those wages were earned. So, for example, if a weekly pay period is Monday through Saturday, then an employee must receive his wages by the following Friday. In this case, by withholding weekly deductions from its employee and not putting them into a retirement account as promised, the judge found the employer had failed to pay its employee within the six day time period allowed under the law.

Second, the Wage Act has very harsh penalties in an employee's favor. Under the version of the Wage law adopted in July 2008, when an employee proves that the employer violated this section of the Act, then the court must award triple damages. It is mandatory. And, the employee is entitled to recover his attorney’s fees and expenses. So, in this case the judge multiplied the employee’s back wages of $8,604 by three and ordered damages of $25,814. The judge also allowed the employee to seek an award of his attorney’s fees and costs (that amount had not been decided as of the publication of this news story).

It is extremely enlightening to know that not only can you win such a case against your employer, but the judicial system has been set up to compensate you at triple the damages.

If you feel that your employer is withholding wages from you and would like to speak to an attorney or learn more about the laws, fill out the contact form on the right or call us at 508-998-0800.

Bank of America Finally Pays Florida Couple

Tue, 07 Jun 2011 08:00:00 EST

More news has been released regarding the story of a Florida couple who was wrongfully accused of failing to pay their mortgage. On Friday the couple turned the tables on Bank of America in order to receive their court ordered compensation.

Yesterday's blog post tells the story.

Today we have found out more specifics regarding Bank of America's response. The bank finally wrote a check to Warren and Maureen Nyerges, when the couple arrived at a local branch with a deputy and attorney ready to seize all of the bank's property. They were orginally due to recieve a court ordered $2,534 for legal fees, but after giving Bank of America a little taste of their own medicine the couple was given a check totaling $5,772.88, in order to compensate them for the delay.

In response, Bank of America made a statement apologizing to the couple and blamed the delay in payment on an outside attorney who is no longer in business.

Here, at Phillips & Garcia, we are also helping people who have faced wrongful foreclosures and/or trash-outs. We currently represent a woman, who was wrongfully foreclosed on as well as trashed-out. In fact, she accuses Bank of America of disposing of her late husbands ashes. You can learn more about this case below and in our recent post here.

If you would like to learn more about Wrongful Foreclosures or would like to tell us your story, fill out the contact form to the right or call us at 508-998-0800. We can help you.

Florida Couple Forecloses on Bank of America

Mon, 06 Jun 2011 08:00:00 EST

In the latest case of wrongful foreclosures the tides have turned and a Florida couple takes on Bank of America by legally threatening to seize assets at a local branch.

Warren and Maureen Nyerges, along with an armed deputy and their lawyer, arrived at Bank of America with a court writ and an "all too familiar" legal choice.

"Pay the money or prepare to lose possessions," as NPR stated.

Parked out front of the bank sat moving trucks ready to haul out Bank of America's property since they had failed to pay the couple a court settlement of $2,500. Why did Bank of America owe Warren and Maureen $2,500? The Bank attempted to foreclose on their home 5 months ago even though the couple did not have a mortgage with Bank of America, in fact they had paid for the home in cash. A judge ordered Bank of America to pay for Mr. and Mrs. Nyerges' legal fees but up until this point, the bank has failed to comply.

Shortly after the couple and deputies presented the demands, Bank of America wrote Warren and Maureen a check leaving the Bank manager "visibly shaken" and finally paying what the court had ordered.

This story shows great hope and justice for Americans who have faced this all too common string of wrongful foreclosures. Here at Phillips & Garcia we have been helping Americans protect themselves from wrongful foreclosures..

Check out media reports of our recent cases involving wrongful foreclosures and Bank of America.

For information or a consultation with our attorneys call us at 508-998-0800 or email us at info@phillipsgarcia.com.

Massachusetts Lawyer Takes on Bank of America in California Federal Court

Mon, 06 Jun 2011 08:00:00 EST

Attorneys Andrew Garcia and Carlin Phillips discuss the arrival of Andrew in California for a rule 16 scheduling conference in Federal court. The conference is for a suit filed against Bank of America for accusations of wrongful foreclosure and trash-out. Details can be found here in a New York Times Article.

Phillips & Garcia are wrongful foreclosure experts representing clients across the country who have experienced a wrongful foreclosure, illegal trash-out, and lock-out from a big bank. Fill out the contact information to the right, call us at 508-998-0800, or email info@phillipsgarcia.com for any questions or to request a free consultation.

The 3 Most Important Insurance Coverages In a Massachusetts Car Accident

Wed, 04 May 2011 08:00:00 EST

Three of the most important types of Massachusetts car insurance coverage are: Bodily Injury to Others; Bodily Injury Caused by an Uninsured Auto ("Uninsured Coverage"); and Bodily Injury Caused by an Underinsured Auto ("Underinsured Coverage").

Bodily Injury to Others ("BI" Coverage): gives you coverage when you hurt someone else in an accident caused by you; even a passenger who may be a family member.

Bodily Injury Caused by an Uninsured Auto ("Uninsured Coverage"): gives you coverage when the person who hits you and causes your injuries has no auto insurance coverage or when you are hurt by a "hit and run" driver.

Bodily Injury Caused by an Underinsured Auto (Underinsured Coverage"): gives you extra coverage when the person who hits you and causes you injuries doesn't have enough car insurance to pay for your injuries and damages.

The first two coverages, Bodily Injury to Others and Uninsured Coverage, are mandatory insurance coverages (called "compulsory coverage") in Massachusetts - which means that everyone who owns a car in Massachusetts must buy them. Massachusetts law requires that every auto owner buy minimum coverage of $20,000 that would be paid for each person injured in an accident, up to a total maximum of $40,000 to be paid out per accident. (This is commonly referred to as "20/40" by insurance agents and insurance adjusters).

What this means is that an insurance company will only pay up to $20,000 for each person injured in an accident, but it won't pay more than a total of $40,000 for all of the people injured in an accident. So if there are two people seriously hurt in an accident, an insurance company might pay $20,000 to each person for a maximum payout of $40,000 for that accident.

To learn about how important Underinsured Coverage is to protect your families, click here.

At Phillips Garcia Law, we take Massachusetts auto insurance coverage seriously. So much so, that we "wrote the book" about it. To learn about the 5 Biggest Mistakes That Massachusetts Consumers Make When Buying Car Insurance, get our book ABSOLUTELY FREE. Our Massachusetts personal injury lawyers represent people seriously hurt in car accidents throughout the SouthCoast, Massachusetts cities and towns of New Bedford, Fall River, Wareham, Dartmouth, Fairhaven, Freetown, Acushnet, Taunton, Rochester and Freetown.

Does Underinsured Coverage Help Me In A Massachusetts Car Accident?

Thu, 28 Apr 2011 08:00:00 EST

If you're involved in a Massachusetts car accident, Underinsured Motorist Coverage (which is Part 12 of the Mass. Auto Policy and is an optional insurance coverage) can provide you with important benefits if the person who hits you doesn't have enough insurance coverage to pay you for your injuries.

"Compulsory insurance" in Massachusetts, which is Parts 1-4 on every driver's auto policy, only provides minimum coverage for a driver. So, someone driving around with "compulsory coverage" on their car only has $20,000 in insurance protection if they cause an accident. If that other driver seriously injures you in an accident and you don't have Underinsured Motorist coverage on your car, then you may only be able to collect that $20,000 from his/her insurance company for your damages.

Many drivers in the SouthCoast of Massachusetts, which includes New Bedford, Fall River and Taunton, only have this minimum compulsory insurance coverage on their car. So, without having Underinsured coverage, you may be putting your family's financial security in grave danger.

Listen as Massachusetts personal injury Attorney Andrew Garcia explains why having Underinsured Motorist Coverage is imperative to protecting you and your family. And, to learn the 5 Biggest Mistakes that Massachusetts Consumers Make When Buying Car Insurance order your FREE BOOK here.

Foreclosure Rescission Notice? May Indicate Bank Broke Foreclosure Rules and Took Shortcuts

Sat, 16 Apr 2011 08:00:00 EST

Lenders like Bank of America, JP Morgan Chase, Wells Fargo and Citigroup, systematically broke rules and took paperwork shortcuts when foreclosing on homes last year according to a report by federal bank regulators released on Wednesday. Bank examiners revealed that the banks under investigation following the "robo-signing" crisis employed foreclosure practices that "failed to conform to state legal requirements."

According to agreements signed with the Federal Reserve, the Office of the Comptroller of Currency and the Office of Thrift Supervision, the banks must stop these sorts of practices and fix the problems with how they process home foreclosures. All three agencies determined that their practices were "unsafe and unsound."

Yet the agencies' efforts don't appear to have gone far enough in identifying the full scope of the problem. In a joint report on the findings, it appears that they did not fully review whether borrowers were assessed improper fees and they did not investigate servicing issues outside of the foreclosure process.

In addition, the agencies only examined a small number of files from among the thousands of foreclosures processed by mortgage servicers. In the joint report, the agencies actually admit that "the reviews could not provide a reliable estimate of the number of foreclosures that should not have proceeded."

This comes as no surprise because our lawyers have been hearing from more and more homeowners who have received notices from their mortgage servicers rescinding a past foreclosure. A rescission notice means that the bank has "cancelled" or reversed a foreclosure that took place.

While it may seem like good news to receive a notice that cancels out a prior mortgage, for many homeowners "the damage has been done." For many of these people, they have been displaced from their home and have been forced into a less than acceptable living situation. We have also heard reports from homeowners who have lost valuable personal property in a past foreclosure.

Homeowners who receive a foreclosure rescission notice from a bank many times don't even know why the foreclosure has been rescinded and they can't seem to get answers from the foreclosing attorney, the bank and even the court. They often don't know what rights they may have to potential damages for being wrongfully foreclosed on in the first place.

Phillips Garcia Law focuses on illegal foreclosure lock outs and trashouts. If you have received a foreclosure rescission notice and believe that you've lost your home and possessions to a wrongful foreclosure, you may have legal rights. To request a complimentary consultation with a member of our legal team contact us.

$20 Million in Punitive Damages Awarded to Georgia Staff Sergeant

Tue, 29 Mar 2011 08:00:00 EST

A Georgia federal jury awarded Staff Sergeant David Brash $21 million in his lawsuit against PHH Mortgage Corp doing business as Coldwell Banker Mortgage for failing to correct misapplied mortgage payments despite his proof that he was making his payments.

Georgia Jury Slams Coldwell Banker Mortgage with $21 mil Verdict for U.S. Soldier

Thu, 24 Mar 2011 08:00:00 EST

Columbus, GA - A Georgia federal jury reached a verdict against PHH Mortgage Corp which does business as Coldwell Banker Mortgage. The jury awarded Staff Seargent David Brash over $21 million in damages consisting of $1 million in emotional distress damages and $20 million in punitive damages.

Brash bought a home 2007 with a mortgage loan from Coldwell Banker. His monthly mortgage payments were automatically withdrawn from his account each month with no problems. In 2009, he suddenly began receiving late notices from the mortgage company even though his payments were continually taken out of his account on time.

In something that has become all too familiar to consumers all over the country, Brash then embarked on an odessey of dealing with Coldwell Banker's customer service department which outsourced most of its calls to India. Despite assurances by customer service representatives that the issue had been rectified, the mortgage servicer continued to treat the payments as being late.

Coldwell Banker eventually reported Brash as being late to the major credit reporting agencies. Brash alleged that he was then denied credit based on the negative reporting by his local bank.

Brash sued the mortgage servicer in a Georgia federal court for violations of the Real Estate Settlement and Procedures Act (RESPA), breach of contract and negligent loan servicing. The jury awarded him $1 million for the emotional distress that the servicer put him through, his attorneys' fees and also ordered $20 million in punitive damages.

Brash's lawyer told Georgia's WTVM 9: "This soldier was never behind on his payments. They were taking his money and not crediting it properly. I think the jury and everybody has had this experience before with the call center and they're fed up with it. They started to make his credit delinquent. They wrote him letters saying he was behind on his mortgage and it affected his credit. And by affecting his credit, he got turned down for credit cards and was worried he'd get in trouble with the Army."

PHH Corporation issued a statement saying that it takes its responsibilities to borrowers seriously, but that it believes the verdict is not supported by the facts and that it intends to seek further judicial review of the case.

What is particularly interesting about Brash's case is that the jury was willing to award punitive damages for Coldwell Banker's conduct. Georgia allows punitive damages in cases where there has been intential and reckless conduct.

Phillips & Garcia focuses on illegal foreclosure lockouts and trashouts. If you've been the victim of a wrongful foreclosure lock out, you do have rights. To learn about your rights, order our FREE book now or request a complimentary consultationwith a member of our legal team.

BoA, Wells Fargo, Citi Claim Foreclosure Probes Carry Financial Risks

Sun, 27 Feb 2011 08:00:00 EST

Bank of America, Wells Fargo & Co. and Citigroup, Inc. are warning that a comprehensive investigation by the 50 states attorneys general into their faulty foreclosure practices, which include admissions of "robosigning" thousands of affidavits and court filings, run the risk of major fines and other legal related costs.

According to a report in the Washington Post, the three big banks "called out" the possible financial repercussions in annual filings with the SEC. The filings, though, failed to provide any specific details about how much was at risk.

"Those investigations and any irregularities that might be found in our foreclosure precesses, along with any remedial steps taken in response to governmental investigations or to our own internal assessment, could have a material adverse effect on our financial condition and results of operations," Bank of America said. BoA warned that the attorneys general probe could result in material fines and penalties, and could expose the bank to new lawsuits and more legal costs.

Citigroup, parent company to CitiMortgage said that the investigations and scrutiny over its foreclosure activities have "resulted in, and may continue to result in, the diversion of management's attention and increased expense, and could result in fines, penalties, other equitable remedies, such as principal reduction programs and significant legal, negative reputational and other other costs."

Wells Fargo cited to increased scrutiny by governmental agencies and warned that it was likely that more probes against Wells Fargo would be initiated which might include civil monetary penalties.

The filings seem to be a warning to investors and the public at large that the financial "bottom lines" of the "Big Banking" industry were going to be adversely affected by legal and governmental scrutiny. In this writer's opinion, these three big banks seem to be forgetting that it was their unlawful conduct in the first place that brought on the investigations and lawsuits.

Phillips & Garcia focuses on illegal foreclosure lockouts and trashouts. If you've been the victim of a wrongful foreclosure lock out, you do have rights. To learn about your rights, order our FREE book now or request a complimentary consultationwith a member of our legal team.

Virginia's High-speed Foreclosure Process May Get an Overhaul

Sat, 15 Jan 2011 08:00:00 EST

As its new legislative session begins, Virginia lawmakers may overhaul the Commonwealth's super high-speed foreclosure process in an attempt to stop alleged shortcuts and abuses by lenders repossessing people's homes.

While many states are moving in a direction to slow down the foreclosure process, Virginia has the dubious distinction of having one of the fastest foreclosure laws in the nation. The process moves so quickly that homeowners can receive less than two weeks notice that their home is being sold at auction.

When faced with losing their home, that type of "light speed" timeline can place insurmountable deadlines for Virginia homeowners. To get a court to stop a sale in that narrow window, the homeowner must gather evidence, file a lawsuit, and even potentially post a bond costing thousands of dollars, according to a report in The Washington Post.

Virginia is currently a non-judicial foreclosure state, meaning that a bank does not need to get court approval before auctioning off a customer's house. In contrast, other more "consumer friendly" states like nearby New Jersey have a judicial foreclosure process that gives a homeowner a day in court to be heard before their house can be auctioned.

The Virginia legislature is considering three different proposals, any of which would give some added protection to homeowners. The first would give homeowners more time than the current 14 day notice requirement before their home could be auctioned. A second would actually require lenders to seek judicial approval before seizing a home, basically converting Virginia to a judicial foreclosure state. The third proposal would give a homeowner a last minute chance to avert foreclosure by catching up on overdue payments.

Not surprisingly, the Virginia Bankers Association strongly opposes any changes to the law saying that it would "gum up" the process, according to the Post. Even some key lawmakers, including the Speaker of the House, said that the current system works well and that revisions could make that worse.

Virginia Senator A. Donald McEachin (D-Richmond) seems to support switching to a court-supervised foreclosure process which would serve Virginia homeowners and give them greater protections at a time when they are financially challenged. He was quoted in The Post saying, "We don't deprive people of their life nor do we deprive them of their liberty without due process and having access to the court system, so it seems odd to me that we'd allow their homes to be taken...without that same sort of due process."

Considering that the federal government has given the banking industry financial help to prop it up during the last several years of financial challenges, it seems only fair that Virginia families who run the risk of losing their homes get some form of help from their governmental leaders in the face of their economic struggles.

Phillips & Garcia is a leading firm in the fight against wrongful bank lock outs and trash outs. If you've been the victim of a bank changing your locks without warning or trashing out your personal property, learn about your rights in our FREE book or contact our firm for a free case review.

Massachusetts Highest Court Rules Against Banks in Pivotal Mortgage Case

Sat, 08 Jan 2011 08:00:00 EST

Wells Fargo Bank and US Bancorp were dealt a serious blow by the Massachusetts Supreme Judicial Court in a ruling that could affect thousands of foreclosures in the Commonwealth and even across the country. The SJC affirmed a lower court ruling that invalidated two foreclosure sales because the banks could not prove they actually owned the mortgages at the time of the foreclosure.

"We agree with the judge that the plaintiffs (Wells Fargo and US BanCorp) did not demonstrate that they were the holders of the...mortgages at the time that they foreclosed these properties, and therefore failed to demonstrate that they acquired fee simple title to these properties by purchasing them at the foreclosure sale," Justice Ralph Gants wrote for the Court.

According to the Fall River Herald News, Attorney Paul Collier, III, who represented one of the homeowners said the ruling could affect thousands of mortgages in Massachusetts and could have far-reaching impact on the nation's foreclosure industry. "For homeowners...it means that any mortgage foreclosure that was initiated by a securitized trust at a time when the trust had not obtained a mortgage assignment which gave it the lawful right to do so is void," Collier said.

"Securitization" involves the pooling of hundreds or thousands of mortgage loans to create a security that can be traded like a stock.

In a concurring opinion, Justice Robert Cordy took the banks to task for not having their documents in order before commencing the foreclosure. "There is no dispute that the [homeowners]...had defaulted on their obligations... Before commencing such an action, however, the holder of an assigned mortgage needs to take care to ensure that his legal paperwork is in order," Cordy wrote.

Attorney Andrew Garcia, a wrongful foreclosure lockout attorney with Phillips & Garcia, said that, "the SJC's ruling should give some hope to homeowners struggling to stem the rising foreclosure tide. In the wake of the "robo-signing" foreclosure scandal that shed light on some of the banking industry's fast and loose foreclosure practices, the SJC's reasoning could be used by other courts nationwide to force banks to correct their document deficiencies."

California Lawsuit Alleging Trash Out as Featured on NBC's Today Show

Wed, 05 Jan 2011 08:00:00 EST

A California woman filed a federal lawsuit against Bank of America in California. In her lawsuit, she alleges that the bank wrongfully foreclosed on her home and then illegally entered it and removed all of her family's personal items - including her late husband's ashes. Mimi Ash claims that the bank never gave her any prior notice of their entry and removal. Her story was featured on NBC's Today Show on Jan. 5, 2011.

Mimi's attorney, Andrew Garcia, told the Today Show that there seems to be a "shoot first, ask questions later" mentality in many of the wrongful lock out and trash out cases that he's seen.

Visit msnbc.com for breaking news, world news, and news about the economy

If you've been the victim of a wrongful foreclosure lockout and would like to learn more about your legal rights, contact the firm today.

Overdraft Fee Class Actions Help Consumers

Tue, 04 Jan 2011 08:00:00 EST

We reported here a while back an unscrupulous and secret practice where banks use hidden internal systems to maximize the number of overdraft and NSF (Not Sufficient Funds) fees charged to customer's accounts. Consumers were (and still are) complaining that banks are deceptively charging them as many as 10 overdraft and NSF fees per day. The number of complaints made about banks to federal regulators has just about doubled in the last year.

The curtain hiding the inner workings of one of these banks was lifted in the case of Gutierrez v. Wells Fargo when a Califonia federal court judge ruled that Wells Fargo's overdraft and NSF charges were deceptive and ordered the bank to pay back $203 million to its customers. The judge's findings were disturbing because they demonstrated an orchestrated written plan by Wells Fargo to manipulate the order in which it posted customer's daily debit transactions. In the "wee hours" of the morning, Well Fargo's computer systems would re-order customer transactions from chronological order, the manner typical tracked by customers, to a priority system where the largest debits were deducted from customer accounts first. This practice depleted the account of all monies as quickly as possible with the posting of as few debits as possible. The result: numerous small debit charges were posted when the funds were already depleted by the bank causing a series of overdraft and NSF fees.

Under this practice, Wells Fargo reaped millions of dollars in illegal charges from a targeted segment of its California customers. As the judge's opinion noted, Wells Fargo profited immensely from the illegal fees it charged its customers in California.

Phillips & Garcia is continuing to work with consumers to file cases against banks charging illegal overdraft fees. If you believe that you have been charged illegal overdraft or NSF fees, just fill out the contact form on our website to reach us.

Bank Overdraft Fees in Massachusetts Will Not Stop with New Opt-in Rules

Tue, 04 Jan 2011 08:00:00 EST

National and local banks in Massachusetts, New Hampshire and other states have been charging consumers excessive overdraft fees on debit transactions by manipultaing the posting of debit transactions from the highest debit to the lowest debit. This re-ordering of debit transactions depletes available monies in an account the fastest, resulting in multiple overdaft or NSF fees when the lower debit transactions are posted last and out of turn. The average overdraft fee is reported to be $34.

In an attempt to solve this problem, the bank regulators are requiring banks to obtain "opt-in" permission from their customers before they charge an overdraft fee. For example, if you are at a department store about to make a debit purchase, your purchase would be rejected if you did not opt-in to the bank's overdraft protection plan. You may suffer a brief moment of embarassment but you would be charged no fee. If you opted in to the bank's overdraft protection plan, you would have essentially permitted the bank to authorize that purchase and charge you the fees outlined in its overdraft protection plan. Even if that purchase, which would have been rejected without the opt-in, is for a cup of coffee worth $2.

Consumers should think long and hard before opting in to any bank overdraft protection plan. The costs of opting in will far exceed the fifteen seconds of embarassment suffered when your debit card is declined at the register.

Phillips & Garcia are consumer protection lawyers licensed in Massachusetts who are reveiwing consumers' overdraft fee complaints against banks in an effort to file class actions for refunds and changes in banking practices. Fill out our website contact form if you have an overdraft fee complaint that you want reviewed.

I'm Behind on Mortgage Payments. Can the Bank Just Seize My Home?

Thu, 30 Dec 2010 08:00:00 EST

Homeowners from all over the country have told us about their stories of falling behind on mortgage payments and then coming home one day to find big, orange stickers on their front door announcing that the bank has seized their property, that their locks have been changed, that their plumbing has been shut off (which is part of a process known as "winterization"), and that much, if not all, of their personal belongings are gone. They are usually the victims of an illegal foreclosure lock out and trash out.

Just because a homeowner is behind on their mortgage payments, does not give the bank the right to simply enter the home, winterize it and even take personal property. In every state there are foreclosure laws with very specific requirements that a bank must follow before it can take a person's home.

And, even when a bank has followed the foreclosure laws, it does not have the immediate right to enter the property the moment "the gavel falls" at a foreclosure auction. In just about every state, there are eviction laws or unlawful detainer procedures that a bank must follow in order to lawfully remove a homeowner and their possessions.

If you've been the victim of a wrongful foreclosure lock out, you do have rights. To learn about your rights, order our FREE book now or request a complimentary consultation with a member of our legal team.

Bank of America Sued for Wrongfully Seizing Home and Taking Husband's Ashes

Thu, 23 Dec 2010 08:00:00 EST

Mimi Ash gave an interview to Shepard Smith of Fox News yesterday about her California federal lawsuit against Bank of America. Even when homeowners are behind in mortgage payments, banks do not have the right to just enter the home without legal justification or without legal process, both of which Ms. Ash alleges were missing in her case.

California Widow Sues Bank of America for Wrongfully Entering Home and Disposing of Husband's Ashes

Wed, 22 Dec 2010 08:00:00 EST

A California widow filed suit in federal court after returning to her home and discovering that her locks had been changed and the entire contents had been removed, including the ashes of her deceased husband. In her lawsuit, Mimi Ash, alleges that a home that she owned in Truckee, California was wrongfully foreclosed on by Bank of America and that a bank contractor broke into the home, changed the locks and threw out all of her and her son's belongings without telling her beforehand.

One of Ash's attorneys, Andrew Garcia said that "Ash's story is similar to many of the wrongful foreclosure lockouts happening across the country. Yet, the losses here are reprehensible. How does someone justify disposing of a person's ashes in the course of a lockout?"

The New York Times carried Ash's story and detailed the claims of homeowners like Mimi Ash who are being wrongfully locked out of their homes. Ms. Ash alleges that although she was behind on the payments on the Truckee, California home, she was actively trying to work out a mortgage modification with Bank of America to no avail.

Months before the seizure of her home, she alleges that the bank wrongfully conducted a foreclosure auction on the property. The bank later acknowledged that it wrongfully sold the home at auction and rescinded the sale. Despite the rescission of the foreclosure auction, Ash then came back to the house to discover that contractors for the bank broke into her home and took everything that belonged to her and her son.

The NY Times reports that the ransacking of Ash's home followed several years of personal and professional hardships for her. During the real estate boom, Ms. Ash and her late husband, Robert, ran thriving real estate businesses and Mr. Ash bought the Truckee home in 2003. Two years later, he was stabbed to death following a road-rage incident near the town.

Following her husband's death, Mimi Ash tried to work with the bank, which was originally Countrywide Financial (Countrywide was later bought by Bank of America), on assuming and modifying the mortgage on the Truckee home. According to Ash, representatives from the bank continued to bungle the process by losing paperwork and failing to respond to Ash's many telephone and electronic inquiries about the status of the loan.

After learning of the wrongful foreclosure auction, Ms. Ash continued to work in good faith with the bank while they agreed to rescind the sale. Sometime in late October 2008, work crews for the bank broke into the house and cleaned it out. Not only did she lose all of her valuable personal belongings, memories of her marriage in the form of photographs and videos were stolen from her. She even lost her deceased husband's ashes which were taken from the couple's master bedroom.

A bank spokesperson told the N.Y. Times that they are taking Ms. Ash's allegations very seriously and that they are thoroughly researching the claims. According to the Times, BoA will work with Ms. Ash and her counsel to determine the extent and cause of her claims to move forward to an appropriate resolution of the case.

SOURCE: The New York Times (Dec. 22, 2010)

Bank of America Illegal Trash Out On Front Page of New York Times

Wed, 22 Dec 2010 08:00:00 EST

The New York Times featured our client Mimi Ash's illegal lock out and trash out case against Bank of America in an article entitled "In a Sign of Foreclosure Flaws, Suits Claim Break-Ins by Banks." The article discusses Ms. Ash's story of how Bank of America's servicing entity BAC ordered the lock out and trash out of Ms. Ash's California home. As recounted in the Complaint filed in federal court in California, BAC's ordered contractors to break into Ms. Ash's home and empty the entire contents of her house. Irreplaceable family pictures and possessions were lost in the trash out of Ms. Ash's house, including her deceased husband's ashes.

The story also highlights a second Phillips & Garcia case filed in Washington. Washington resident Celeste Butler's father's house was broken into by contractors hired by JP Morgan Chase while her father was being treated in the hospital, where he eventually passed away. When Ms. Butler visited the house it had been broken into, ransacked and possessions had been taken.

In February of this year, our office also filed Cardoso v. Bank of America in federal court in Massachusetts, one of the first illegal lock-out and trash-out cases in the country. In Cardoso, BAC ordered contractors to break into the Cardoso's second home in Florida and throw out many of their possessions, even though the Cardosos had no loan with Bank of America and had no mortgage on the house. BAC had the wrong house. It was supposed to foreclose on a house approximately 10 house lots away.

The stories of these homeowners are not the exception to the rule. We are hearing numerous complaints about illegal lock outs and trash outs. You can also assume that there are scores of homeowners who are in foreclosure but have not yet been legally evicted whose houses are seized and possessions discarded. These homeowners often have no resources to fight the banks and their servicers. Their last bit of dignity is taken and their memories end up in a landfill.

Bank of America Illegal Foreclosure Lock Out and Trash Out Top Story of 2010

Tue, 21 Dec 2010 08:00:00 EST

In February of this year, we filed a lawsuit on behalf of Charlie and Maria Cardoso whose Spring Hill, FL home was broken into and ransacked by mortgage foreclosure contractors hired by BAC, Bank of America's wholly owned loan servicing company. As we and various news agencies reported, BAC had foreclosed on the wrong house! The Cardoso' had paid cash for their house and had no loan with any lender, let alone Bank of America.

The Cardosos' story was picked up by numerous news outlets on a local and national level. The St. Petersburg Times in Florida ran a story on the case entitled "Bank of America Forecloses on House Couple Had Paid Cash For." The story was recently ranked at Tampabay.com (which is owned by the same company as the St. Petersburg Times) as the #2 most popular story with the St. Petersburg Times' readers.

Three other wrongful foreclosure and illegal lock-out and trash-out cases we handled or are handling have also received significant press coverage in Michigan, Arizona and Washington. These stories resonate with readers because they are shocking and highlight the massive flaws in the loan servicing industry which we have been writing about for almost a year now.

Arizona & Nevada Sue Bank of America Over Loan Mod Conduct

Sat, 18 Dec 2010 08:00:00 EST

Bank of America was sued by attorneys general in Arizona and Nevada yesterday over allegations that BoA misled and deceived homeowners seeking to modify their home loans. Arizona's Attorney General Terry Goddard said that Bank of America violated Arizona's consumer fraud law by misleading consumers who tried to reduce their monthly mortgage payments, according to a report by Arizona's KVOA.com.

The basis of Goddard's lawsuit on behalf of Arizona homeowners is that Bank of America repeatedly reassured them that their loans were being modified while collecting temporarily modified loan payments. Instead, many of those homeowners lost their homes anyway. According to a statement to the Associated Press, Goddard said that those consumers were deceived into making mortgage payments when there was no hope of saving their homes.

Nevada's Attorney General, Catherine Cortez Masto told the AP that her state's lawsuit was a last resort to try to get Bank of America to change its ways. It was filed after discussions with BoA management that led to assurances about changing its loan modification conduct, but little more. "Clearly there is a disconnect between what Bank of America tells me at the management level and what's happening on the front line," Masto told the AP.

Arizona's Attorney General has been an outspoken critic of the loan modification conduct of many of the nation's largest banks and mortgage servicers. (See related story). Goddard's office had been deluged with consumer complaints and launched an investigation over a year ago. Settlement talks with BoA that began in April, finally broke down on Thursday.

Phillips & Garcia, which has been investigating and representing homeowners who have been victims of wrongful foreclosure lock outs by banks, have also heard from hundreds of consumers frustrated with what they describe as misleading conduct by Bank of America and other national mortgage servicers. "This month alone, we've had contacts from probably more than 25 consumers about loan modification problems," says wrongful lockout attorney, Andrew Garcia. "Their stories are all the same - they've been approved for a temporary modification payment plan, they've made all the payments on time, they've sent in all the documents as requested, months and months go by with assurances that their application is being reviewed. In the end, they are told that they've been denied and are losing their house in days," says Garcia.

Garcia is glad to see that state attorneys general are finally jumping into the fray against these large banks and servicers. "Our advice to consumers who have these problems with their modifications has been to contact their state attorney general's office, their federal senator's office and to file a complaint online with the federal Office of the Comptroller of the Currency," Garcia said. "These officials need to know what is really happening to their constituents and their offices are intended to help all of us as consumers."

Phillips & Garcia is dedicated to helping victims of wrongful foreclosure lock outs and trashouts enforce their legal rights. If you've been a victim of such conduct, get your FREE book and learn your rights, or contact our offices for a free case evaluation.

Banks May Be Close to Settlement with Attorneys General

Wed, 17 Nov 2010 08:00:00 EST

Bank of America, J.P. Morgan Chase and Wells Fargo are said to be approaching a settlement with the states' Attorneys' General over the mortgage foreclosure crisis centered around the robo-signing scandal according to a report by the Washington Post today.

According to other reports, Senators pressed banking officials at a Senate Banking Committee hearing yesterday in Washington. Executives from Bank of America and Chase were urged to stop the "dual-track" process in which homeowners have loan modification applications pending with their lender while at the same time the bank moves forward with foreclosure proceedings.

The complications from this dual-track system has been highlighted in several consumer class action lawsuits over the alleged mishandling of the loan modification process by CitiMortgage, Bank of America and Wells Fargo. The litigation in those class actions is still ongoing.

Barbara Desire, a mortgage executive from Bank of America, told the Committee that in some cases the investors that own the mortgages require a dual-track approach. (For information about the "securitization" of mortgage products by "investors" click here). However, she also claimed that the bank is interested in working with the Attorneys General on possible reforms to the practice.

Desire repeatedly testified that the bank focuses on ways to keep homeowners in their homes whenever possible; although many consumers might disagree with this representation based on their own personal experiences.

Though Tuesday's hearings were brought about over the scandal surrounding "robo-signers" and the filing of false affidavits in foreclosure proceedings, much of the Attorneys' General investigation has centered around whether consumers have been getting a fair shot at the federal loan modification program under the HAMP guidelines. At the hearing, Senators brought along actual complaints from constituents who have struggled to land loan modifications from their lender.

Although talks between the parties have been seemingly fruitful, all reports seem to indicate that any formal settlement might be months away.

Sources: The Washington Post, The Charlotte Observer

Robosiging Settlement with AGs

Wed, 17 Nov 2010 08:00:00 EST

It is being reported that the 50 state Attorney General task force investigating the bank robo-signing scandal is in preliminary settlement talks with major banks such as Bank of America, JP Morgan Chase and Wells Fargo. Whether or not this report is completely accurate, it does appear as though the AGs and the major banks are at the table negotiating. Having negotiated class action settlements, the terms and conditions of the ultimate written settlement agreement is all that matters.

Such settlements usually contain the following components: 1) agreed changes in corporate practices; 2) the establishment of a settlement fund and 3) a claims procedure to make claims against the settlement fund. The most important part to any meaningful settlement under the circumstances is the scope and extent of the pre-settlement discovery conducted by the AGs. What do I mean by that? Prior to any settlement, the AGs will have to perform "due diligence" to confirm what bank practices are broken, what needs to be fixed, who has been affected and what is the best solution to the problem. This is often where the real fight occurs because the banks want to limit the scope of the information they disclose, and the AGs should be pushing for an expanded scope to discovery. The AGs should, and most likley are, demanding whole scale document production from the banks, interviewing and taking statements from ex-employees and pushing to interview or depose key bank employees.

The Iowa Attorney General, Tom Miller appears to have the right perspective when he testified yesterday before the Senate Banking Committee for an overhaul of the entire system for adminstering loans. As we have said here, the servicing industry is dysfunctional and incapable of effectively servicing loans. We have seen and heard about problems with servicers which include ordering the illegal lock-out and trash-out of homes that are not even in foreclosure and collecting on loans that no longer exist. The robo-signing problem is a symptom, or better yet a good example, of how servicers have been ignoring their obligation to comply with the law. We see the same problems with servicers on a daily basis: documents submitted with loan modification applications are repeatedly "lost", borrowers who are current before and after entering into a loan modification agreement are reported as delinquent to credit bureaus, occupied homes are deemed "vacant" and broken into all across the country, homeowners possessions are removed from homes and disposed of without court order or notice both before and after foreclosure has occured, fraudulent or misleading service of process in foreclosure cases, foreclosure while loan modifications are pending and a general inability to answer the most basic questions from borrower such as, "What amount do I need to pay to become current?"

Before any AGs signs off on any settlement, they should personally shadow 5 borrowers as those borrowers attempt to deal with a servicer on a foreclosure, loan modification or payment issue. They might want to block out a big part of their daily schedule for this task and have some reading material ready. The amount of time they will spend on hold as they pass from one unhelpful servicer representative to the next will fill up a good portion of their day.

The Attorney Generals typically do a much better job investigatiing corporate practices than any of their federal counterparts. It all depends on how they choose to define the scope of their investigation and how hard they push the banks.

Federal Officials Ignore State Warnings of Foreclosure Flaws

Mon, 08 Nov 2010 08:00:00 EST

The federal Office of the Comptroller of Currency ignored warnings from state banking officials about wrongful foreclosure conduct for the last three years according to a report in The Washington Post today.

The Post reports that as the foreclosure crisis began to mount three years ago a group of state banking regulators began to suspect that some homeowners were wrongfully losing their homes. So, the group asked some of the biggest national banks about their foreclosure operations. In response, two banks - JP Morgan Chase and Wells Fargo refused to co-operate and the state officials turned to the OCC for help.

The OCC, which oversees the nation's largest national banks, refused the states' requests saying that the financial giants should answer federal inquiries only, not state inquiries. The OCC's comptroller at the time, John Duggan, wrote that his agency was already planning to collect foreclosure data and that the states' involvement would only confuse matters.

Yet, instead of conducting its own investigation, the OCC decided to rely on the banks' in-house assessments of their foreclosure processes. To us that sounds like the farmer relying on the fox to assure him that he's staying out of the hen house.

This classic failure to oversee such a critical area of consumer's lives (i.e., their homeownership) has led to ongoing failures by banks and their contractors to strictly adhere to foreclosure laws. Our firm particularly sees this trend in wrongful pre-foreclosure home seizures, lock outs and trash outs, where banks seize a home without any prior notice before a scheduled foreclosure auction date and before a homeowner has even abandoned their home.

If you've been the victim of a wrongful foreclosure home seizure, lock out or trash out, you may have important legal rights and remedies. Get your FREE report now and schedule a no-obligation case assessment with one of our lawyers.

Bank of America Collecting Paid-Off TBW Loans

Fri, 05 Nov 2010 08:00:00 EST

We thought that the case we filed for Henry and Sharon Newman against Bank of America and BAC for collecting on a paid-off loan was one of a kind. In the Newmans' case, they refinanced their Taylor, Bean & Whitaker loan before TBW was closed down and seized by federal regulators. The Newmans' old TBW loan was paid-off in the refinancing.

BOA, BAC and Recontrust attempted to collect on the loan and auction the Newmans home for over a year despite being repeatedly informed that there was, in fact, no loan to collect. We recently learned of two additional cases where nearly the exact same thing happened to homeowners in Texas and Arkansas. In both of these cases, BOA and BAC attempted to collect paid-off TBW loans. Luckily for these homeowners and the Newmans,
the FDIC Receiver for Colonial Bank and Platinum Community Bank, two banks that TBW did business with and took down with it, has been very helpful in conducting investigations on the status of such loans and taking action to stop any scheduled foreclosures.

BOA and BAC seem to work quickly to respond to the FDIC but what happened when the homeowners made repeated attempts to inform BAC that there was no loan to collect? Innocent homeowners have consistently been treated as the "collateral damage" of the great mortgage meltdown. We see it with illegal lock-outs and trash-outs and now with attempted foreclosures on paid-off loans.

Feds Investigating Criminal Violations in Foreclosure Crisis

Tue, 19 Oct 2010 08:00:00 EST

Breaking News - The national foreclosure crisis may leave the banking industry exposed to federal law enforcement officials who are investigating possible criminal violations according to a news report by the Washington Post.

In a news alert from today's Post, the feds are examining whether financial firms may have broken the law when they filed improper foreclosure documents with courts.

Following the recent discovery of document irregularities at J.P. Morgan Chase, Bank of America, Ally Financial/GMAC and Wells Fargo, many politicians and lawmakers have been calling for a national halt to foreclosures until banking industry compliance can be confirmed.

Meanwhile, up to 40 state attorneys general announced last week a broad probe into mortgage servicing practices hoping to pressure the industry into rewriting large numbers of troubled loans and to bring their conduct into compliance with state laws.

The latest news that federal officials may be launching a criminal investigation will, most likely, put even more pressure on the banking industry which is being rocked by this "robo-signing" foreclosure crisis.

In other related news, Bank of America today announced that it would be resuming foreclosures in some states. This announcement comes only about 10 days after it announced a national moratorium on foreclosure actions in all 50 states.

With the increased numbers of foreclosures taking place nationally, Phillips & Garcia is a leading firm in the fight against wrongful foreclosure lockouts and trash outs. If you've been the victim of a home lockout or trash out before a foreclosure sale, you may have important legal rights. Order our FREE book today.

California, Florida Top States for Foreclosure Activity in Sept 2010

Fri, 15 Oct 2010 08:00:00 EST

California, Florida, Arizona, Illinois and Michigan hold the dubious distinction of being the top five states with the most properties in some stage of foreclosure according to a recent report in AOL's HousingWatch.com.

Even more daunting is the news that the banking industry set a record for the number of repossessions in September 2010. According to statistics posted in RealtyTrac, a total of 102,134 bank repossessions were recorded. This record setting number, though, precedes the latest robosigning foreclosure scandal that has led to major banks imposing a moratorium on foreclosure actions while their document signing and processing procedures are reviewed for compliance with foreclosure laws.

The shear increase in the number of foreclosure actions coupled with the shabby foreclosure document procedures that have recently come to light leads our firm to believe that there will be a correspondingly higher number of wrongful pre-foreclosure lockouts, home seizures and trashouts. Some states have very specific laws that prohibit a bank from seizing a home before a foreclosure action takes place, yet we continue to hear stories from consumers that it is happening to them.

If you've been the victim of a pre-forclosure lockout, home seizure or trashout, you may have important legal rights. Get our FREE book now or contact us for a no-cost case evaluation.

Attorneys General to Probe Foreclosure Fraud Scandal

Tue, 12 Oct 2010 08:00:00 EST

A spokesman for the White House announced today that the Obama administration plans to "get to the bottom" of the robo-signing foreclosure scandal even though the White House opposes a national moratorium on foreclosures.

Following the recent discovery of document irregularities at J.P. Morgan Chase, Bank of America, Ally Financial/GMAC and Wells Fargo, many politicians and lawmakers have been calling for a national halt to foreclosures until banking industry compliance can be confirmed. The Obama administration has gone on record recently against a blanket moratorium on all foreclosures out of concern for unintended consequences that a broad halt could bring.

Meanwhile, up to 40 state attorneys general are prepared to announce a broad probe into mortgage servicing practices hoping to pressure the industry into rewriting large numbers of troubled loans and to bring their conduct into compliance with state laws. "I think the mortgage-servicing firms need to understand that they face real exposure now, and they would be well advised to take this seriously, to clean this up by doing loan workouts to keep people in their homes, which up till now they've just paid lip-service to," said Ohio Attorney General Richard Cordray.

Iowa Attorney General Thomas Miller is leading the effort. Some attorneys general are hoping to look beyond the narrow issue of fraudulent document filings. The issue "I'm most engaged in right now is the big servicers who are initiating foreclosures while the borrower is in the modification process," said Arizona Attorney General Terry Goddard.

Sources: The Washington Post and The Wall Street Journal

Robo-signing Foreclosure Fraud: The Changing Signature of an Exec

Mon, 11 Oct 2010 08:00:00 EST

The robo-signing foreclosure scandal has brought to light some of the banking industry's slipshod practices in the foreclosure process. For many months, consumer advocates have warned federal government officials that the mortgage servicing industry is designed to foreclose on defaulted loans as quickly as possible because that's how mortgage servicers make a profit - despite the "lip service" that the banking industry has paid to government programs such as the Making Homes Affordable Plan.

Here is an example of how "robo-signing" of documents work as reported by the Washington Post. For years, an employee of a document processing company, Linda Green, had been claiming to be an executive of Bank of America, Wells Fargo, U.S. Bank and dozens of other lenders while signing off on loan foreclosure affidavits and documents. In many cases, though, her names appears to have been forged by different employees.

According to the Post, Green worked for a company owned by Lender Processing Services. LPS is now being investigated by the U.S. Attorney in Florida for allegedly using improper documents to speed the foreclosure process.

To see examples of Green's ever-changing signature, just click here.

Another example of the speed and inaccuracy that our law firm sees in the foreclosure process is the wrongful lockouts and trash-outs of American homes. If you've been locked out of your home by your bank or mortgage processor, you DO HAVE RIGHTS. Order our FREE book and learn your rights.

Halt on Nevada Foreclosures Demanded by Reid

Sun, 10 Oct 2010 08:00:00 EST

Nevada homeowners facing foreclosure may get a reprieve thanks to Senate Majority Leader, Harry Reid (D-Nev). his past week, Reid joined the growing chorus of elected officials who are demanding a halt to foreclosures in light of the revelations that banks have been using bogus affidavits to take American homes in a robo-signing foreclosure scandal rocking the banking industry.

"I write to request that your mortgage-servicing division suspend foreclosures on Nevada home owners until systems are in place to ensure Nevadans are not being improperly directed into foreclosure proceedings," Reid wrote in an October 3 letter to Bank of America, Citigroup, J.P. Morgan Chase, Wells Fargo and Ally Financial/GMAC.

While Nevada is not a 'judicial foreclosure' state, Reid wrote that "suspending foreclosures on Nevadans is also justified because the reports of shoddy and defective affidavit preparation suggests that servicers might not be reviewing a home owner's loan documents with the requisite care."

Some banks in this robo-signing foreclosure scandal have halted foreclosures only in 'judicial foreclosure' states. A judicial foreclosure state requires court authorization before a bank can foreclose. In contrast, a non-judicial foreclosure state does not require court intervention before a foreclosure sale can take place. Examples of non-judicial foreclosure states are Nevada, California, Oregon, Washington and Arizona.

On Friday, though, Bank of America called for a halt on foreclosure sales in all 50 states (see related story here).

Senator Sheldon Whitehouse (D-RI) called for a national moratorium on foreclosures. "My state of Rhode Island leads our region in foreclosures, and I have seen firsthand the devastation that losing a home brings a family," Whitehouse wrote in a letter to Fannie Mae, Freddie Mac and the Federal Reserve. "Until the major loan servicers demonstrate that they (1) are making every reasonable effort to keep families in their homes through loan modifications and/or forbearance; and, (2) have the capacity to properly and respectfully carry out foreclosures, I ask that you impose a moratorium on all foreclosures on homes that secure the mortgages you hold or control."

Halt on Nevada Foreclosures Demanded by Reid

Sun, 10 Oct 2010 08:00:00 EST

Freeze on Foreclosures Nationwide: Momentum Building

Sun, 10 Oct 2010 08:00:00 EST

There is a foreclosure crisis in this nation. Americans are being wrongfully foreclosed on everyday. Homeowners are being illegally locked out and their possessions trashed-out across the country. Banks are seizing homes that they don't even have a mortgage on or foreclosing on loans that have already been paid. The banking industry, which was bailed out by the federal government when it faced collapse, is stringing out homeowners who are in legitimate need of loan modifications under the HAMP program.

How do we know this? Because our law firm hears about it everyday from consumers all over this country. We hear the stories about people who go off to work one day and come home to discover that their locks have been changed by their bank with no prior notice to them. We hear the stories of people who've bought bank-owned property from a bank and then 6 months later that same bank seizes the home because it failed to update its own records. We hear the stories of homeowners who have seen their income cut, who apply for loan modifications and then do everything that the bank asks them to do including submitting the same documents a dozen times, only be denied a modification after 10 months of wrangling on the basis that they haven't submitted the requested documents.

Now we are hearing that banks have been submitting faulty affidavits to courts across the country because they've been employing "robo-signers" who are forced to sign thousands of documents every month and who cannot realistically verify the information contained in the documents that they are signing.

The Washington Post reports that the Obama administration has been reluctant to join the growing wave of demands for a moratorium on foreclosures. But, finally on Friday the administration acknowledged that a national halt on foreclosures may be inevitable.

My question is this: why has it taken so long to call for a nationwide halt on foreclosures so that the industry can prove that it's complying with all state and federal foreclosure laws?

Some economic and industry "analysts" warn that a foreclosure moratorium will strike at the financial center and prolong the economic recovery. Others say that this latest "robo-signing" foreclosure scandal is really just a technicality that is letting borrowers who haven't paid their loans anyway stay longer in homes that they can't afford.

Well, you know what? That's a bunch of hogwash. We should be asking ourselves why the whole banking industry should get a "free pass" on following the law with the threat that our economic recovery will be prolonged? You and I have to obey the laws every day. If we file false affidavits in court, that's considered a fraud on the court and I guarantee that you and I would face serious penalties if we did that.

Why should we let banking officials off the hook?

Is it too much to ask that the banking industry "get it right" before they come in and seize a home and evict another American citizen? We're talking about the right to be safe and secure in our own homes. The U.S. Constitution protects us from unlawful searches and seizures by the government. Why, then, should the banking industry get to seize American homes without following the letter of the law?

President Obama, it's time for a national moratorium on foreclosures until the banking industry can get their act together and get it right.

Bank of America to Halt All Foreclosures in 50 States

Fri, 08 Oct 2010 08:00:00 EST

Bank of America announced today that it was halting foreclosure sales in all 50 states, according to a report by CNN Money.com. The moratorium in foreclosure sales comes in the wake of a widening investigation into wrongful foreclosures across the country thanks to the possible filing of faulty court documents by bank employees.

This latest announcement comes a week after BoA agreed to halt foreclosures in 23 states which require actual court involvement in the foreclosure process. Bank of America has now agreed to extend its review of foreclosure processes in all 50 states regardless of a state's foreclosure procedures.

According to CNN Money's report, BoA stated that it would continue the foreclosure process on delinquent borrowers, but that it would not proceed to judgment or a foreclosure sale.

Bank of America's announcement is the latest in a series of banking industry moves to try and respond to the growing robo-signing foreclosure scandal that is rocking the country. The revelations that bank employees were signing documents in bulk and without verifying information contained in court documents may lead to the discovery of hundreds or thousands of wrongful foreclosures across the nation.

"Homeowners who have been foreclosed on OR who are presently in the foreclosure process should carefully scrutinize any documents signed by their lender," say the wrongful foreclosure lockout attorneys at Phillips & Garcia, P.C. "This latest robo-signing scandal is indicative of how mega-lenders handle home mortgages these days and how these practices can lead to wrongful foreclosure lockouts and home seizures," say the attorneys.

BoA, Chase, GMAC & Wells Fargo Told to Stop Foreclosures by Mass. AG

Wed, 06 Oct 2010 08:00:00 EST

Bank of America, JP Morgan Chase, Ally Financial/GMAC and Wells Fargo Bank were all called upon by Massachusetts Attorney General Martha Coakley to suspend foreclosures, foreclosure evictions and foreclosure sales following the revelations last week of the use of "robo-signers" by major lenders to sign unverified foreclosure documents.

On her website, Attorney General Coakley was quoted as saying: "We are concerned that major lenders gave scant attention to compliance with state law governing foreclosures, as shown by their cavalier attitude concerning affidavits filed with courts around the country. We are determined to find out whether and how that lack of care and lack of compliance has impacted foreclosures in Massachusetts where, even though a judge does not review foreclosures, creditors are obligated to show compliance with our state law, including provision of a detailed notice to the borrower."

In her letters to these big lenders, Coakley called on them to immediately halt foreclosures on Massachusetts homeowners until they can demonstrate to her office that foreclosure affidavits used since May 2008 were accurate and complete and provided borrowers with the protections to which they are entitled under the law. Coakley also called on the companies to describe how they intend on rectifying instances of wrongful foreclosure (i.e., where the bank failed to use verified and accurate documentation to foreclose on a home).

Coakley has demanded this information by October 15, 2010.

Although Massachusetts is not a true judicial foreclosure state (see related article discussing the difference between judicial and non-judicial foreclosures here) that requires a court order before foreclosing, it does have a new 150 day right to cure law (prior to August 7, 2010 it was a 90 day right to cure law).

The effect that Coakley's requested moratorium on foreclosures in Massachusetts remains to be seen. Massachusetts homeowners who are facing foreclosure may finally have the benefit of a much needed reprieve from the foreclosure crisis in this country.

Robo-signing foreclosure scandal prompts Texas AG to Demand Halt to Foreclosures

Wed, 06 Oct 2010 08:00:00 EST

Texans have always been known for doing things in a "big way." Well, in true Texas fashion, the Texas Attorney General, Greg Abbott called upon 30 banks (that's right, I said thirty!) to halt all foreclosures, sales on properties that have been previously foreclosed (i.e., bank owned properties) and all evictions of people who are still living in foreclosed properties, until companies have completed a review of their foreclosure processes, including whether employees "robo-signed" affidavits and other documents recorded in Texas.

Included in this whopping list of 30 banks are all the major lenders including Bank of America, J.P. Morgan Chase, Wells Fargo, CitiMortgage, HomEq Servicing, Inc., Litton Loan Services, and Ocwen Loan Servicing.

The list of attorneys general across the country who are demanding a moratorium on foreclosure actions continues to grow. Given the large number of complaints we've heard about loan modification struggles and wrongful foreclosure lockouts and trash outs, we can only hope that the efforts by these attorneys general will finally trickle down to help American consumers struggling to stay in their homes.

If you've been the victim of a wrongful foreclosure lockout or trash out, you have legal rights. Request our FREE book and learn your rights!

Chase and Ally Financial/GMAC Call Halt to Foreclosures in 23 States

Mon, 04 Oct 2010 08:00:00 EST

Chase Home Loans and Ally Financial's home mortgage unit GMAC, announced that they would halt foreclosures in 23 states which require court involvement before taking a person's home (known as "judicial foreclosure" states). The reason? So called "robo-signing."

Robo-signing is becoming known as the practice of bank employees signing hundreds or even thousands of foreclosure-related documents without verifying the information contained in them or without signing them in front of a notary (who later notarizes all of the documents outside the presence of the employee) and then submitting them to a court in support of a foreclosure proceeding. When a party submits documents to a court, the information contained in them are supposed to be true. If they're not, then the court can consider them fraudulent.

Information recently came out that employees of both Chase and GMAC executed thousands of documents without verifying the information contained in them. Thus the validity of the documents, which were filed in support of a foreclosure action, have been called into question.

Some of the states that are currently subject to the foreclosure moratorium are: Connecticut, Florida, New Jersey, New York, North Carolina, Illinois and Pennsylvania.

Meanwhile, numerous state attorneys general are beginning to demand a halt to foreclosure actions in their states until the issues can be sorted out.

Robo-Signed Documents Halt BOA and Chase Foreclosures

Mon, 04 Oct 2010 08:00:00 EST

The New York Times and the Huffington Post have reported problems with Chase and Bank of America using "robo-signers" to sign stacks of court foreclosure documents. It is reported that Chase and BOA have stopped foreclosures in 23 states. Since these reports, attorney generals in California, Illinois, Ohio and Florida have stepped up their scrutiny of the foreclosure procedures used by the country's biggest lenders. The Office of the Comptroller of Currency has also requested 6 of the biggest lenders to review their foreclosure procedures.

Based on reported stories and my review of one deposition transcript, it appears as though Chase and BOA assigned certain employees to sign foreclosure documents. In judicial foreclosure states, foreclosure documents are filed in court to initiate and prosecute a foreclosure. Many times the foreclosing banks are required to file affidavits with their foreclosure fiilings. Affidavits are typically signed "under the pains and penalties of perjury" by a person with "personal knowledge" of the facts in the affidavit. Filing false or inaccuarate documents with a court is usually a big problem that can lead to a tongue lashing from a judge or sanctions against the filing party.

The problem as reported is that Chase and BOA had employees sign thousands of foreclosure documents a month with little, if any, review of the documents themselves or of the borrower's loan file. These robo-signed documents were then filed in various state courts as part of foreclosure cases. The accuracy of the information in these affidavits is immediately suspect because the person signing the affidavits did not qualify as company employees or representatives who had knowledge of the loan, the amount due or the satisfaction of any pre-filing state law notice requirements. In short, there is no guaranty that the information attested to in the affidavits is accurate because the rob-signers took only a few seconds to sign each set of foreclosure documents.

Many foreclosures are not challenged because borrowers cannot afford to hire an attorney. The potential tragedy is that borrowers who could not afford to defend themselves may have lost their homes based on inaccurate or false information provided to the court by lenders who used robo-signers.

3 Biggest Problems wth Robo-Signed Foreclosure Documents

Mon, 04 Oct 2010 08:00:00 EST

We have been reading the news stories about Chase and BOA using "robo-signers" to sign court foreclosure documents. It is being reported that banks are filing affidavits in foreclosure cases which may be inaccurate, misleading or false. The robo-signing process literally involves bank employees signing thousands of foreclosure documents per month with little review of the signed document or the contents of the loan file.

There are three big, potential problems in court when a bank uses a robo-signer to sign foreclosure documents. Any one of these defenses can be a valid basis for a court to "strike" an affidavit or other document filed in support of a foreclosure.

First, a person signing an affidavit signs under the pains and penalties of perjury and is supposed to have personal knowledge about the contents of the affidavit. A bank employee who does not review an affidavit before he signs it and who knows nothing about the contents of the affidavit does not qualify as a person with "personal knowledge" about the loan at issue.

Second, the person signing a document has to have the requisite legal "capacity" to sign the document. A secretary or a paralegal at a foreclosure mill, in all likelihood, does not have the legal capacity to execute an assignment of a note. I read one report that a BOA employee may have signed documents on behalf of Bank of New York. Documents signed by persons who do not have the legal authority to sign them may very well be void.

Third, a document has to be properly executed. The correct signature on a document is only one part of the process of adequately executing a document. The document has to have the proper dates on it and may have to meet state law notary requirements. We have seen foreclosure notices with a signature, while missing a date or evidence that the document was notarized.

In summary, the documents signed by the bank's robo-signers can be challenged in court. Examine the documents closely and seek to take depostions of any person who signed a document under oath or who has held themselves out as having the ability to execute a key document, such as an assignment.

Bank of America Halts Foreclosure Actions in 23 States

Mon, 04 Oct 2010 08:00:00 EST

Bank of America announced that it would delay foreclosure actions in 23 states so that it may review whether it rushed the foreclosure process for thousands of homeowners across the country according to the Huffington Post. Bank of America, one of the nation's largest bank, now joins the growing list of mortgage companies and servicers whose employees signed documents without verifying the information in them.

The underlying problem, known as "robo-signing," involves bank employees who signed thousands of foreclosure-related documents without reading them or even verifying the information contained in them. These unverified documents were then filed in court proceedings to support the bank's efforts to foreclose on a home.

If the document is unverified, then it could be considered fraudulent by a court of law. If it's fraudulent, then it calls into question the foreclosure action itself. These document problems could lead to thousands of homeowners contesting foreclosures that are in process or that have been completed.

Fortunately, attorneys general across the country are beginning to enter this latest bank-created crisis in order to step up pressure on the industry. For example, Connecticut Attorney General Richard Blumenthal called for a 60 day moratorium on all foreclosures in order to "stop a foreclosure steamroller based on defective documents."

This latest banking crisis sheds further light on the danger of the foreclosure train running down the tracks without any obstacles to stop it. Throughout the country in states like California, Florida, Nevada, Oregon and Georgia, bank departments continue to make vital errors in the foreclosure process with wrongful foreclosure lockouts and trashouts happening all too often.

If you've been the victim of a wrongful foreclosure lockout or trashout and would like more information, just contact Phillips & Garcia for a confidential case evaluation.

Bank of America Admits Mistake About Arizona Wrongful Foreclosure

Sat, 18 Sep 2010 08:00:00 EST

The Wilcox, Arizona couple who recently sued Bank of America for its year long attempts to wrongfully foreclose on their home received an apology from the mamoth bank.

In their federal lawsuit just filed by Henry and Sharon Newman, the couple allege that they had paid off a prior mortgage on their home with funds from a refinance. That mortgage was held by a bank that then went out of business. Bank of America, though, bought all the assets and mortgages of that defunct bank. But, due to some error, Bank of America treated the Newman's paid-off mortgage as unpaid - and then began trying to collect on it through foreclosure.

That began a year long odyssey for the Newmans of trying to stop Bank of America by showing them documentary proof that the loan was paid in full years ago. No matter what the Newmans tried, though, the bank ignored them and the foreclosure train continued to run down the tracks.

The Newmans finally hired the wrongful foreclosure attorneys at Phillips & Garcia to help them stop Bank of America. What resulted is the filing of the federal lawsuit against the bank.

Following a news report by KVOA television in Arizona, Bank of America released a statement admitting its mistake. "We sincerely apologize to the Newman's for this mistake. We have cancelled the foreclosure sale and hope to resolve this with the Newmans. Due to the pending litigation, we cannot comment further on this case."

The Newmans' attorney, Carlin Phillips, told KVOA that it isn't over yet: "You can't just walk away and let these big box banks get away with that. We want to bring them to task before a jury in Arizona and see what they have to say about this kind of conduct."

Wrongful bank foreclosures and wrongful bank home seizures and lockouts are happening all over the country. Phillips & Garcia is currently handling wrongful foreclosure lockout and trashout cases in California, Oregon, Georgia, Florida, Michigan and Massachusetts.

Arizona Couple Sues Bank of America Alleging Unlawful Foreclosure

Wed, 15 Sep 2010 08:00:00 EST

Wilcox, Arizona - Bank of America and Subsidiary, BAC, Attempt to Auction Arizona Home in Another Unlawful Foreclosure. A "refi" gone awry: Despite Arizona military vet's proof of loan pay-off, Bank of America Forecloses anyway and schedules auction of his home of 26 years.

In a lawsuit filed this morning, Henry and Sharon Newman allege that for over a period of one year they were repeatedly threatened with collection, foreclosure and auction of their Arizona home of 26 years despite not having had a loan with Bank of America. The Newmans allege that in 2009 they refinanced their home with Platinum Community Bank for a better interest rate. With those funds, they paid off an older mortgage with Colonial Bank.

Colonial Bank was shut down in August 2009 after being paid off by the Newmans. Colonial's mortgages, though, were transferred to Bank of America for servicing by its subsidiary, BAC. Bank of America, though, then tried to collect from the Newmans on the old Colonial mortgage. Over the course of a year, the Newmans repeatedly provided BOA and BAC with evidence that their loan had been satisfiedin the refinance with Platinum.

While BOA eventually confirmed in writing that the Newmans had no loan with BOA, its collection efforts against the Newmans didn't stop. Even the Newmans' complaint to the federal Office of the Comptroller of Currency didn't stop BOA and BAC's foreclosure efforts.

As of the filing of the complaint in federal district court in Arizona today, BOA and BAC are still sending the Newmans collection letters claiming that they are seriously delinquent and have an unpaid balance of $83,465. The Newman's home is even still publicly listed as a foreclosed home and potential buyers are continuing to visit the property.

To remedy the damage caused by Bank of America and BAC and to permanently stop the foreclosure proceedings, the Newmans hired the wrongful foreclosure attorneys at Phillips & Garcia in Massachusetts.

Mrs. Newman said of her disabled Vietnam veteran husband..."it wasn't the military battles that almost killed him; it has been the nightmare with BOA that I thought was going to take my husband of 42 years away from me."

Bank of America Reported as Biggest Forecloser

Wed, 18 Aug 2010 08:00:00 EST

A recent report indicates that Bank of America is the nation's biggest foreclosing servicer.
The National People's Alliance out of Chicago, Illinois released a report identyfing Bank of America as
the leading foreclosing servicer in the country, illustrating its point by referring to the number of
foreclosed units in the Chicago area.

At Phillips & Garcia we hear more consumer complaints about BOA engaging in illegal lock-outs and trash-outs
and wrongful foreclosures than any other servicer. This may be attributable to the number of loans BOA services or a direct reflection of the failed communication systems we've heard about at BAC, BOA's servicing subsidiary.
It is probably a combination of both.

Home foreclosure filings for the first half of 2010 totaled 1,961,894. This is a staggering statistic.
Nearly 2 million homeowners were at risk of losing their homes in the last six months. Many of those folks
were victims of illegal lock-outs and trash-outs. In the last month we have had an increase in illegal lock-out
and trash complaints, primarily from Florida, California and Arizona.

If you have questions regarding an illegal lock-out, trash-out or a wrongful foreclosure, please contact us directly
or fill out a contact form on our website. We would be glad to hear your story and see if we can help.

BOA Forecloses on Paid Off Florida Loan

Thu, 12 Aug 2010 08:00:00 EST

We reported months ago here that BOA and other lenders were foreclosing on paid off loans. Well, WINK News out of Florida reported tonight that Bank of America filed a foreclosure lawsuit against a Cape Coral, Florida couple after they sold their home in a short sale that had been approved by Bank of America.

Banks cannot foreclose on a home you no longer own which you sold in a short sale with the bank's approval. This is the second case this week that we have heard of Bank of America filing a foreclosure lawsuit where the house had already been sold at a short sale. The other case occured in Indiana.

This is familiar territory for both Bank of America and Wells Fargo. An Arizona couple was pursued for months by BAC, Bank of America's loan servicing subsidiary, despite having paid off the loan which BAC kept trying to collect as delinquent. BAC stopped the auction after our involvement but continues to send collection letters to the Arizona homeowners on a non-existent loan.

We also reported here that Wells Fargo pursued foreclosure on a Georgia family whose purchase proceeds paid off a Wells Fargo loan held by the seller. Despite receiving the requested pay-off figure at the loan closing (and the additional facts that the new homeowners had no loan with Wells Fargo and had already moved in), Wells Fargo still proceeded to foreclose.

Homeowners who pay off loans need to make sure that they receive verification of the loan pay-off and that the necessary release, discharge or satisfaction is recorded at their local registry of deeds. You can no longer rely on the lender or servicer to file these documents.

Texas Lawsuit Alleges Wrongful Foreclosures by Bank of America

Tue, 13 Jul 2010 08:00:00 EST

Texas RioGrande Legal Aid (TRLA) recently filed a lawsuit for 15 low-income Texas homeowners against Bank of America alleging that BoA intentionally misled them, prevented them from modifying their mortgages and even ignored agreements for lower monthly payments.

In the lawsuit, the Texas homeowners allege that they all experienced difficulties in working with BoA while they were trying to save their homes from foreclosure. According to the homeowners, they were given inconsistent and misleading information by BoA representatives, were given misleading paperwork, not given important papers related to their requests for modifications, or not told about important deadlines.

TRLA's lawsuit also claims that BoA's conduct forces struggling homeowners into foreclosure by hindering their loan modifications and ignoring homeowners' inquiries.

The TRLA is a non-profit legal aid organization that was established in 1970 to offer assitance to low-income and disadvantaged Texas residents.

Lawsuits like this seem to be a growing trend around the country. Residents of Nevada recently filed a lawsuit requesting class action status against Bank of America for its loan modification practices. Phillips & Garcia, P.C., is a leading law firm in wrongful foreclosure home lockout and seizure cases. Although we are licensed in Massachusetts, we can associate with qualified attorneys in your state. If you've been the victim of a bank locking you out before foreclosure, contact us for a free case evaluation.

Banks Recording Customer Calls for "Training Purposes."

Tue, 13 Jul 2010 08:00:00 EST

Have you ever called your bank or any large business and been greeted with the recorded phrase "we may monitor or record your call for training purposes?" I hear it all the time whenever I call a large bank or business, so I'm sure many of you have too.

Well a client told me today that she called one of the large national banks about her loan modification application which has been pending for over 10 months now. She of course heard that recorded phrase that they "may monitor or record" her call for "training purposes."

When a representative finally got on the phone, this client said to him that she intended on recording the call herself for her own records. The representative immediately said that he could not continue the call if she insisted on recording the call!

She asked the next logical question which was: "if you can record my call for training purposes, then why can't I record the call about my own account for my purposes?" His response, "we cannot keep talking with you if you insist on recording the conversation. Are you recording the conversation, ma'am?"

This exchange just typifies one of the problems with dealing with large banks in this country when a consumer is having a problem with their account or loan modification: the bank can do whatever it sees fit (in this case recording a consumer's conversation) when it fits their purposes, but when a consumer tries to exercise the same rights - forget about it! We won't talk to you anymore.

Have you run into the same sort of wall? We would love to hear your personal consumer nightmare stories as part of this blog string.

Have at it...

Buying Bank Owned Property? You May Be at Risk of a Wrongful Bank Lockout

Fri, 09 Jul 2010 08:00:00 EST

Because of the increase in foreclosures nationally, more and more consumers are buying bank owned property. (Bank owned property refers to homes on which a bank has foreclosed and the bank bought the home itself at a foreclosure auction). Buyers of bank owned property, though, should be aware that they could be at risk of having their new home wrongfully seized by the very same bank that sold them the property!

A Michigan couple actually had this very thing happen to them after they bought a bank owned property that they intended to renovate for their daugher. (See the related story here).

Homeowners who have been victimized by a wrongful bank lockout or seizure have rights. If you are the victim of a wrongful bank lockout or seizure, contact Phillips & Garcia, P.C. to learn your rights.

Michigan Homeowners Get Possible Relief from Foreclosure

Thu, 08 Jul 2010 08:00:00 EST

Michigan State Governor, Jennifer Granholm, announced the creation of a new $154 million fund to help Michigan homeowners stave off foreclosures. The program, known as the Helping Hardest-Hit Homeowners Fund, will be managed by the Michigan State Housing Development Authority in conjunction with participating banks and mortgage servicers.

The governor's office estimates that the new fund could help as many as 17,000 Michigan homeowners. However, she warns that once the funds are gone, they are gone.

Michigan State Housing Authority Director, Gary Heidel, has encouraged any homeowner facing foreclosure or who may fall into foreclosure to contact their bank or loan servicer immediately about the program.

Applications for the program will be fielded by mortgage providers to the Housing Authority beginning July 12, 2010.

For more information about the Helping Hardest-Hit Homeowners Fund visit www.michigan.gov/hardesthit.

7 Life Saving Tips for New Bedford Pedestrians

Thu, 08 Jul 2010 08:00:00 EST

The 4th of July holiday weekend ended tragically for one New Bedford family after a deadly hit-and-run accident in the South End. Early in the evening of the 4th, SouthCoastToday reports that a 17 year old driver hit a pedestrian. The pedestrian, a 48 year old New Bedford man, was in a crosswalk with a woman when the 17 year old Brockton resident hit them.

Fortunately the woman was not injured, but she was taken to St. Luke’s hospital for observation. The pedestrian, however, died at the scene.

A 2003 National Highway Traffic Safety Administration study showed that 1 in every 5 pedestrian fatalities were caused by hit-and-run car accidents. And, the New Bedford Fall River Providence area is the state’s most dangerous area for pedestrians.

Here are 7 tips for pedestrian safety in and around New Bedford that could save your life:

1.    Make yourself more visible to drivers especially during early morning and early evening hours by wearing bright or reflective clothing or carry a flashlight.
2.    Always walk on the sidewalk and when no sidewalk is present, walk facing oncoming traffic.
3.    Use crosswalks and try to cross at intersections, not in the middle of the street at an unmarked place.
4.    Stand clear of buses, parked cars, hedges, fences or any object that can block a driver from seeing you.
5.    Watch out for cars turning onto the street you're crossing; be sure the driver sees you and stops before you walk.
6.    If there is a traffic signal controlling the intersection, obey the "walk/don't walk" signals.
7.    I know it sounds obvious, but ALWAYS, ALWAYS look left, then right and look left again.

While it is true that a pedestrian generally has the "right of way" under the rules of the road, never assume that the driver of a car or truck knows that and will obey that rule when you are crossing. When in doubt, play it safe and remember these 7 safety tips. Your life may depend upon it.

If you are a pedestrian who has been hurt in a New Bedford or Fall River accident and would like to speak with a lawyer, just contact us - we want to hear your story.

Tougher California Wrongful Foreclosure Laws Eyed by Law Makers

Wed, 07 Jul 2010 08:00:00 EST

California legislators are working to better protect California homeowners from wrongful foreclosures. In its 2010 legislative session, Golden State law makers are considering SB 1275, the "Homeowners Bill of Rights," which would create stricter consequences for bank, mortgage lenders and loan servicers who try to foreclose on homeowners either while a HAMP loan modification is pending or without first offering homeowners a chance to qualify for a loan modification.

The bill, which was passed favorably by the Senate Banking, Finance and Insurance Committee would require mortgage lenders to complete an evaluation of a homeowner's eligibility for both a HAMP loan modification or any other loan modification program before it is permitted to begin foreclosure proceedings.  Banks must also provide a detailed explanation letter if a homeowner is denied a modification.

Violations of the new law, if passed, would allow California homeowners to void the foreclosure or recover triple damages for property damages or $10,000, whichever is greater.

The bill has not been passed into law. California homeowners who might be in the midst of a loan modification or who have been denied a modification, should contact their local state representative and urge their support of SB 1275. As the number of foreclosures increase in California and the number of loan modification denials continue to rise, more and more California residents are at risk of losing their homes.

If you have questions about wrongful foreclosures or about California wrongful home seizures and lockouts, contact the attorneys at Phillips & Garcia. We want to hear your story.

Plymouth MA Hit and Run Emphasizes Importance of Good Auto Ins Coverage

Thu, 01 Jul 2010 08:00:00 EST

A hit and run accident occured in Plymouth, MA this past Monday, June 28, 2010 when a driver passed another person standing outside of her car in the breakdown lane of Route 44 West. According to news reports, the driver then went on to crash into someone’s house in Plymouth. The driver passed out when he hit the house. Both the driver and the hit-and-run victim were taken to the hospital with serious injuries.

The breakdown lane of a highway is a terribly dangerous place for a pedestrian. Oncoming traffic is traveling at a high rate of speed, drivers may be distracted, and reaction times can be a bit slower.

Dangers loom for pedestrians, though, in the busy traffic areas around Fall River and New Bedford.   The most recent report from a Transportation for America study, identified that one of the most dangerous areas for pedestrians in Massachusetts is the Providence Fall River and New Bedford area.

Fortunately, pedestrians who are hurt in New Bedford and Fall River hit-and-run accidents are able to assert claims against the person who hit them, even if the driver is not found immediately. Chapter 260 of the Massachusetts General Laws allows a victim to file a claim against the driver up to 6 months after learning the driver’s identity – IF the time, place, and facts of the accident were submitted in writing to the RMV within 30 days of the accident. So it is important to file an RMV accident report. (Remember, though, the accident had to have occurred within the previous 3 years of bringing the claim.)

If you cannot find the driver of a hit and run, though, your Massachusetts auto insurance policy provides you with coverage.  The coverage is known as "Uninsured Motorist Coverage" and it requires your insurance company to pay for bodily injury or death from a hit-and-run accident. Even if you don't have auto insurance of your own, you may still be eligible for coverage if a household member has insurance coverage.

For more information about auto insurance coverage, check out our book about The 5 Biggest Mistakes Consumers Make When Buying Car Insurance.  It's absolutely FREE to Massachusetts residents. Or, if you've been in a New Bedford or Fall River hit-and-run accident and would like to speak with a lawyer, just contact us - we'll be happy to answer your questions.

Bank of America Wrongfully Forecloses on Naples Florida Home

Wed, 30 Jun 2010 08:00:00 EST

Bank of America wrongfully foreclosed on a home that it actually sold to a Naples, Florida resident some four months earlier.

Naples News.com and the Naples Daily News report that Warren Nyerges, a retired Cleveland area Ohio police officer who left the Buckeye State for greener pastures and sunshine in Naples, Florida, bought the house directly from Bank of America in late 2009. Living their American dream, the couple enjoyed fixing up their new home.  He bought the home from BoA and he had actually offered $5,000 more than Bank of America asked. The deal was quickly sealed with title insurance.

Then the ball dropped, in February 2010 the couple was served with a notice that Bank of America was foreclosing on the property. The retired officer took action and immediately contacted BoA. After avoiding his phone calls for weeks, he went into one of Bank of America's local branches so they could no longer escape him.

Adding insult to injury, the people he spoke with at Bank of America were less than sensitive and failed to understand why he was so upset.  The foreclosure process is reportedly on hold while Bank of America "researches" the problem. But, the frustration and embarrassment of foreclosure proceedings continues for Mr. Nyerges.

As the number of foreclosures increase in Florida, it stands to reason that the number of wrongful foreclosures and illegal lock-outs is rising. But, Florida homeowners who are victims of Florida wrongful foreclosures have legal rights. Victims of Florida wrongful foreclosures and lockouts who need to learn more about their rights can always request our free report, "Foreclosure Lock-Outs and Trash-Outs: Consumers Have Rights" posted on our Home page. Homeowners with questions can continue to call us directly at 877-892-5620 or fill out and send in a confidential Contact Form.

Bank of America Wrongfully Forecloses on Naples, Florida Homeowner

Wed, 30 Jun 2010 08:00:00 EST

A Naples, Florida resident was the latest victim of a Bank of America wrongful foreclosure on his home that he actually bought from Bank of America some four months earlier.

We reported on the news that Warren Nyerges, a retired Cleveland area Ohio police officer bought the house directly from Bank of America in late 2009. Like many banks nationwide, Bank of America owned the house as part of its foreclosed portfolio of houses.

In February 2010, though, the homeowners were served with a notice that Bank of America was foreclosing on the property. What transpired was a long and frustrating battle for Mr. Nyerges with BoA representatives to clear up the problem. According to the news reports from the Naples Daily News and Naples News.com, it appears that his battle with the behemoth bank continues on in court.

It appears that Mr. Nyerges is the victim of a type of wrongful foreclosure that we see often in our practice - namely, a bank sells a bank-owned property directly to a consumer; they have a closing; the bank signs a deed over to the consumer; and, then months later the bank forecloses on the same property because of an error in the bank's record-keeping system!

Hey, mistakes happen...we recognize that. But, it's the conduct of the bank in rectifying the situation after they learn of the mistake that is disturbing. In most instances, no one from the bank cares to do anything quickly! Instead, homeowners get the run around and in extreme instances, the bank actually breaks in and seizes the property from the homeowners! (See what happened to a Michigan couple whom we represent).

As the number of foreclosures increase in Florida and across the country, it stands to reason that the number of wrongful foreclosures and illegal lock-outs is rising. But, Florida homeowners who are victims of Florida wrongful foreclosures have legal rights. Victims of Florida wrongful foreclosures and lockouts who need to learn more about their rights can always request our free report, "Foreclosure Lock-Outs and Trash-Outs: Consumers Have Rights" posted on our Home page. Homeowners with questions can continue to call us directly at 877-892-5620 or fill out and send in a confidential Contact Form.

Nevada Woman Loses Everything in Wrongful Foreclosure Lockout

Tue, 29 Jun 2010 08:00:00 EST

A Las Vegas woman lost everything in a wrongful foreclosure lockout and trashout according to an article in the Las Vegas Sun. According to the condo owner, a small real estate group based in Henderson, NV, hired a lock-out company to seize her condo while she was away enjoying a winter vacation in Utah. The lock-out company had been instructed to take her belongings to the dump – which they did.

When she returned, the only things that were inside her apartment was a curtain rod and satellite dish, EVERYTHING else had been taken to the dump, including priceless family photos, immigration papers, financial documents, medical papers, furniture, and clothing.

The Sun reports that the group had sent the lock-out crew to the wrong condo, they intended to foreclose on the condo next door. Admitting their mistake and accepting responsibility, the realty group offered her $20,000 as compensation for the destroyed belongings.

However the injured homeowner has rejected their offer and is seeking triple the damages for personal property, which a new Nevada state law enacted October 1, 2009 allows her to do. She is seeking $200,000.

The lawmaker’s intention when passing the new state law was to force banks and real estate companies to be diligent and attentive before they take over a property. Perhaps she would have been more understanding and less likely to pursue an aggressive settlement if this were her first problem with the company. Unfortunately earlier in December they had changed the locks on her condo with out permission. After she complained, they admitted their mistake but instead of changing the locks back, they simply gave her keys to the new locks.

If you are the victim of a Nevada wrongful foreclosure lockout, you have rights. No one has the right to take your private property, especially through a wrongful foreclosure. Order your FREE REPORT about lockouts and trashouts now.

The attorneys at Phillips & Garcia focus on wrongful foreclosure lockout and trashout cases. Contact us for a FREE consultation. While we are licensed in Massachusetts, we can often associate with an attorney in your state to represent YOU.

Sources: Real Estate Economy Watch and Las Vegas Sun

Nevada Homeowners Sue Bank of America; Seek Class Action Status

Tue, 29 Jun 2010 08:00:00 EST

Fifty Las Vegas area homeowners banded together in hopes of forcing Bank of America to follow mortgage laws.   The charges involved in their suit include wrongful foreclosure, breach of contract, and unfair lending practices.

When accepting bailout funds, the homeowners allege, the government required all accepting lenders to engage in good faith negotiations. All lenders guaranteed by Fannie Mae or Freddie Mac are required to follow the guidelines established by HAMP.

Bank of America is one of those lenders. BoA was aware of the requirements involved in HAMP and received bailout funds, since lenders and servicers were given the opportunity to opt out of participation in the program.  Since they did not opt out, BoA appears to be choosing to ignore the requirements established under the HAMP guidelines. And now these Nevada homeowners, who are already struggling financially, have been suffering from BoA’s bad lending practices.

One borrower joined the Nevada suit because BoA refused work with her in making smaller payments, which she could afford. According to her, she acted in good faith by notifying the lender that her income had been cut in half due to the recession and BoA's reply was not one of good faith – informing her that the same amount was due, regardless of her decreased earnings. She believes the only way the bank will meet her half way is if they are forced to.

The group filing suit in Nevada is seeking class action status and is hoping the court will place a hold on any foreclosures and evictions until the suit is decided.

Similar suits are forming all across the country including a class action case against CitiBank filed by the Massachusetts class action attorneys at Phillips & Garcia.  If you believe that you are the victim of some sort of consumer fraud, we want to hear your story – contact us for a FREE consultation.

Construction at Route 140 & 195 Interchange in New Bedford Continues

Fri, 25 Jun 2010 08:00:00 EST

SouthCoast drivers have another 15 months to look forward to lane shifting, detours, closed ramps, and traffic jams along the interchange at Routes 140 and 195 in New Bedford. After about 24 months, SouthCoastToday reports that the construction is only 55% complete. The new target completion date is September 19, 2011.

Not only has this road work been a nuisance for commuters, but it has become dangerous for countless drivers passing through the New Bedford and Dartmouth areas. Mass State police have not released the crash statistics related to this construction area, however they have stated that the majority of accidents at this site are caused by drivers stopping at the stop signs at the entrance ramps, inching forward, and getting rear-ended.

A recent rear-ender accident between an automobile and an Atlas moving truck at this interchange briefly trapped 4 people and hampered mid-day traffic.

With new ramp closures and detours everyday at this dangerous interchange, drivers need to be prepared for anything and extremely vigilant. Practicing safe and responsible driving is the best way to avoid accidents, especially in unavoidable areas under construction. For five helpful safety tips to help you avoid construction related car accidents just click here.

The New Bedford accident lawyers for the SouthCoast at Phillips & Garcia have successfully represented drivers from New Bedford, Fall River, Dartmouth and Taunton who have been involved in serious highway interchange and on-ramp accidents throughout the SouthCoast. If you have questions about a possible claim, please contact us; we’re ready to help you!

Source: SouthCoastToday.com and MassHighway

Rotator Cuff Tears and Other Shoulder Injuries Are Common in Car Accidents

Sat, 19 Jun 2010 08:00:00 EST

A shoulder injury, especially a rotator cuff tear or a "floating shoulder," are much more common in car accidents than people may think. Because of the complexity of the shoulder joint, it is very prone to injury caused in a car accident.

Generally, there are 10 different types of shoulder injuries that can be commonly caused in car accidents, compared to 8 types of injuries to the hips, 5 types to the spine and 2 types to the ankles. While there is no one specific type of shoulder injury that is caused most often in car accidents, rotator cuff tears and "floating shoulder" injuries are common.

Rotator cuff injuries are caused when weaknesses are incurred to the muscles that hold the ball-and-socket joint in place. This type of trauma affects the stability of the joint. Rotator cuff injuries can occur when the humerus (upper arm bone) is pushed into the shoulder socket, such as that from the impact that a passenger may feel in a car accident. With a rotator cuff injury, any movement that requires the shoulder blade to be raised can be very painful or impossible depending on the degree of the injury.

"Floating shoulder" occurs when the collarbone or shoulder blade breaks. The break causes the shoulder to fall out of place and look like it is floating or unattached from the torso. Floating shoulder is most commonly associated with direct car accident trauma or failure to seek proper treatment after an injury has occurred.

Other injuries occur by fractures or dislocations. The shoulder blade, collar bone, and upper arm bone, humerus, can be fractured thus affecting the shoulder’s movement. Dislocations can occur to any of the three joints that make up the shoulder.

If you've suffered a shoulder injury caused by an accident in any of the SouthCoast towns, including New Bedford, Dartmouth, Fall River or Fairhaven, you may have rights. The Massachusetts personal injury lawyers at Phillips & Garcia, P.C. can help you receive compensation for lost wages, medical expenses and pain and suffering resulting from an accident in which you've injured your shoulder. Contact us to schedule your FREE legal consultation today - <Ꝅ˯> 1-877-892-5620

Victim of Sudden Acceleration Sacrifices Own Safety, Jumps from Car

Tue, 15 Jun 2010 08:00:00 EST

Last week a Somerville woman jumped from her car after it suddenly accelerated beyond her control. Fortunately she survived with only scrapes, bruises, and a few chipped teeth. The brave Somerville driver did many of the right things: she called the police, tried her emergency brake, pumped the breaks, honked, and turned on her hazard lights. Only after these attempts failed, did she heroically steer her car away from other drivers and decided to tuck and roll out of the car before impact.

So, what should you do if your car suddenly accelerates out of control? Here are a few tips:

Stay Calm! Don’t let your panic take over.
Take your foot off the gas pedal and make sure your cruise control is off.
Notice how the brake pedal feels. - If it feels soft and goes to the floor – try pumping the brakes, you could just be low on brake fluid. If it feels hard and doesn’t move - feel if there is something between the brake pedal and the floor
Pump your brakes. DO NOT ride your brakes, especially if going down a hill.
Shift into neutral or a lower gear.
Use the emergency brake.
Pay attention to the road and continue to steer.
Warn drivers and pedestrians. This can be done by turning on your hazard lights, honk your horn repeatedly.
Turn off the ignition while pressing on the break.
Look for a safe place to pull over – or crash.
Try calling the police.

In the case of the Somerville woman, witnesses to the accident said that they were aware something was wrong because of her honking and her erratic driving. It is unclear whether the acceleration problems in her Honda Civi are similar to the problems that caused the recent recalls for Toyota and now the car may be too damaged to determine the cause of the brake failure. Yet her quick and prudent decision making allowed her to keep others safe.

Highway Construction Accidents in the SouthCoast - 5 Tips to Avoid Them

Sun, 13 Jun 2010 08:00:00 EST

The 3 car accident at the Route 195 and Route 140 interchange in New Bedford on June 10 is just one of many at that dangerous interchange. Unfortunately, this is not the first accident in the SouthCoast area at that location – even since the road opened back up after the flooding this winter. One of the reasons this interchange is so dangerous is due in large part to the ongoing construction there.

Construction areas present unique dangers drivers should be prepared. Construction workers and police officers are walking around and working in the road, so follow the reduced speed limit posted on an orange signs throughout the work zone. Not only is the fine greater for not following the reduced speed, but so are the potential dangers.

Here are 5 tips for driving in construction areas:

Read signs, follow directions, and be prepared to slow down or stop if need be;
Control the distance between your car and the car in front of you for necessary reaction time;
Look out for construction machinery and workers;
Remember flaggers have the same authority as any regulatory sign – you can be cited for disobeying a flagger’s instructions;
Leave your phone alone!

The construction at the I-195/140 interchange also presents drivers with a dangerous lane shift.

Here are 2 tips for successfully navigating dangerous lane shifts:

Drivers are warned of lane shifts by an orange diamond-shaped sign;
Check all of your mirrors

Of course, it is always best that accidents be avoided with safe and cautious driving but in the event that you do find yourself involved in a car accident at the Routes 195 and 140 interchange or at any other construction site, the SouthCoast accident attorneys at Phillips & Garcia can help!

Junk Fees Being Added to Mortgage Payments by Banks and Servicers

Sat, 12 Jun 2010 08:00:00 EST

Bank of America's June 6, 2010 settlement with the FTC isn't the first time the huge bank has had to deal with Countrywide’s deceptive practices since buying the lender in July 2008. In October 2008 a settlement was struck in which Bank of America agreed to modify troubled mortgages with up to $8.4 billion in interest rates and principal reduction. Judging from Countrywide’s past troubles, the most recent settlement indicates that there are likely more issues to come.

These wrongful and excessive fees have been nicknamed "junk fees" because they are exactly that – junk. There is no honest basis or rationale for them. Homeowners have been reporting to us that junk fees are being assessed against them by banks and mortgage servicers against them especially while their loan modification requests are being processed. These junk fees include charges for things being described as property maintenance, property inspection and even late payment processing.

Oftentimes this work is completed by the mortgage servicer’s subsidiaries and the mortgage lender charges the borrower a grossly increased rate. FTC chairman, Jon Leibowitz, states that Countrywide "took advantage of consumers already at the end of their financial rope."

Since the settlement with the FTC, Bank of America has agreed to produce Countrywide monthly account balances with explanations of fees to ensure they are accurate and true costs the homeowner should reasonably be expected to pay. This will allow borrowers to ensure they are not being scammed by inspection or landscaping fees they should not be required to pay. The changes Bank of America agreed to for Countrywide's transgressions reflect its arcane record keeping, which Leibowitz referred to "beyond abysmal."

Despite the $108 million, an FTC spokesperson states that there are still hundreds of thousands of overcharged homeowners who have not been included in this suit. If you are an overcharged homeowner who has discovered unexplained fees being added to your mortgage payments, contact Phillips & Garcia for a free consultation.

Wrongful Foreclosure Attorney, Carlin J. Phillips, Explains Illegal Lockouts to AOL Reporter

Fri, 11 Jun 2010 08:00:00 EST

Wrongful foreclosure attorney Carlin Phillips of Phillips & Garcia was recently interviewed by Lita Epstein, for AOL's Housing Watch.com and he explained some of the terrible after-effects of the nation's foreclosure crisis - Homeowners who have been the innocent victims of the wrongful lockout and trash-out trend by large banks.

The term "trash-out" refers to the process that a bank follows when a property has been foreclosed to make the property more marketable after it's been taken by the bank. The growing problem during this foreclosure crisis had been that these trash-outs are occurring more and more frequently before the foreclosure has actually been properly completed, when the homeowner still has a right of redemption, or in the worst cases when the wrong home is trashed-out.

Considering only their bottom line, as large lending institutions most often do, they have automated the process and have been using contractors for trashing out. Documents are transferred and trash-outs are requested in a vacuum without sufficient consideration and detail to each individual case. Ironically, each case is as individual as cases get – there is little more personal than one’s home.

With Phillips’ input, Epstein rightfully drew the conclusion that to protect your home from a wrongful trash-out, you should post a notice on your doors that your home is not abandoned. Unfortunately, though, this highlights how far large lending institutions have dragged down our constitutional rights to be safe and protected in our own property. We suppose, though, that it is better to stick a notice in your door than to come home one day to find the entire insides of your home in a landfill as Chris Perry did.

Wrongful lockouts and trash-outs leave homeowners emotionally and financially drained. And, when dealing with large banks, homeowners often find that they can get no answers to solve their lockout problems. If you've been locked out of your home or your personal property has been "trashed-out" whether during foreclosure or by some other mistake of the bank, you have rights.

Big banks are taking full advantage of every right and wrong they have available to them, why shouldn’t you? If you have any questions, or have a story to share, contact Phillips & Garcia.

Serious Accident at Rte 195 & Rte 140 Dangerous Interchange

Thu, 10 Jun 2010 08:00:00 EST

A serious accident between an Atlas Van Lines truck and a car that occurred at approximately 12:00 pm today at the interchange of Route 195 and Route 140 in New Bedford highlights the extreme danger of the ongoing construction in that area.

The accident, which backed up Route 195 eastbound mid-day traffic, appeared to have happened on the off ramp from Route 195 east to Route 140 north. The car was wedged beneath the Atlas Van Lines truck. State Police were at the scene and temporarily closed the ramp.

The interchange has been a source of frustration for local residents who use Routes 195 and 140 because of the ongoing construction which creates a dangerous lane shift and also forces travelers to stop at the end of on-ramps onto Route 195 from Route 140. The accident serves to underscore how dangerous the interchange has become and how drivers must remain diligent and cautious when driving through the area.

Wrongful Lockouts and Trashouts - Homeowners Seem to Have Fewer Rights Than Tenants

Thu, 10 Jun 2010 08:00:00 EST

It is often said that one’s true colors shine in tough times. We have seen this come to fruition during the nation's foreclosure crisis, perhaps more than we would have liked to know, through the housing market and conduct of big banks. In a recent interview with Carlin Phillips of Phillips & Garcia, reporter Lita Epstein of AOL's Housing Watch.com inquired into the growing occurrence of trash-outs of people’s homes.

The problems largely occur when the banks are so eager to sell the anticipated foreclosed property, that they do not wait for the foreclosure process to be complete before ordering a contractor to clear out the home. They are processing so many foreclosures, that they do not bother to actually verify that each one is in effect at the time of ordering the trash-out. Moreover, banks have allowed errors to exist in their documents or in their communications with the trash-out contractors such that people whose property is not being foreclosed on, even those who do not even have a mortgage, have been victims of wrongful trash-outs.

Trash-out services are in such great demand now that there are countless articles online advising business owners on how to turn a profit on this "opportunity." One author, innocently noting that foreclosure "cleaning companies" thrive in this bad economy, credits prime home loans for creating "an opportunity for entrepreneurs in 2010."

Has our society really reduced our moral values to the bottom line so much that people are not only profiting, but encouraging others to profit from the misfortunes of thousands of homeowners?

Ironically, in a landlord-tenant relationship, even where the tenant fails to pay rent, the landlord does not have the right to lockout the tenant (known as "self-help") and cannot re-enter the premises, never mind actually take anything from it. In Massachusetts, landlords are even subject to criminal liability if they violate these statutes.

The wrongful foreclosure attorneys at Phillips & Garcia want homeowners to know that victims of wrongful lockouts and trashouts have rights. If you've been the victim of a lockout or trash-out, contact Phillips & Garcia for a free consultation.

For a more detailed account of Mr. Phillips' interview with AOL's Housing Watch.com just click here.

Bank of America Agrees to Pay $108 million to 200,000 Homeowners

Wed, 09 Jun 2010 08:00:00 EST

Bank of America agreed to settle charges by the Federal Trade Commission (FTC) that Countrywide Financial Corp. collected "junk fees" from almost 200,000 homeowners facing foreclosure. According to reports by MSNBC , Countrywide (which Bank of America acquired about 2 years ago) will pay $108 million to settle the federal charges.

The settlement is intended to refund various "junk fees" that were charged by Countrywide while borrowers faced foreclosure or were trying to save their homes with a loan modification. The fees, which went unexplained to homeowners, were often for property inspection fees and maintenance fees. In addition, the FTC alleged that Countrywide misled borrowers who were already in Chapter 13 bankruptcy not only about the amount of their loan, but also the status of their loan.

Junk fees assessed against homeowners, particularly those in the loan modification process, generate profits for servicing companies like Countrywide to the detriment to borrowers. Junk fees present HUGE barriers in the loan modification process, says Diane Thompson, an attorney with the National Consumer Law Center. Not all fees incurred during the loan modification period are junk fees though, some fees are legitimate costs homeowners should be expected to cover and others are negotiable.

Before Bank of America bought Countrywide in July 2008, Countrywide was the largest mortgage servicer in US. This latest deal with Bank of America represents the largest mortgage settlement for the FTC.

If you believe that you've been charged "junk fees" by your bank or mortgage lender, Phillips & Garcia may be able to help. Please contact us to share your story.

SOURCE: MSNBC

Bank of America Settles Mortgage Fee Case with FTC for $108 Million

Wed, 09 Jun 2010 08:00:00 EST

The Federal Trade Commission, or "FTC," is a government agency whose purpose is to protect consumers in competition between businesses. In other words, it looks out for you! Oftentimes, it works collaboratively with state and federal law enforcement agencies to ensure that consumer rights are protected.

The function of the FTC recently came to the forefront of financial news when it announced a settlement of its investigation into Countrywide Financial Services handling of homeowner loans in default. Under the terms of that settlement, which is one of the largest in FTC history, Bank of America (which assumed the liabilities of Countrywide) agreed to pay up to $108 million back to homeowners who were charged "junk fees" for their home loans such as inflated inspection fees and even lawn maintenance fees.

We have heard from consumers that other major banks, such as CitiMortgage and Wells Fargo, are allegedly assessing a variety of junk fees, such as property inspection fees, on their mortgages. We urge all homeowners to carefully scrutinize any payment and fee history from their mortgage lender.

Any procedural changes in the mortgage lending and servicing industry from the Bank of America settlement remain to be seen. For the sake of consumers, we are hopeful that mortgage servicers will take heed of the results of the FTC's investigation.

The FTC generally takes on only a very few cases and does much more policing than litigating. This is another reason why wrongful foreclosure lawyers and consumer class action attorneys are watch dogs for consumers. When the FTC cannot act, consumer attorneys can protect consumer rights through litigation.

The wrongful foreclosure and class action attorneys at Phillips & Garcia have protected the rights of consumers all over the country. If you feel that you have been charged unnecessary "junk fees" by your mortgage lender, we want to hear your story. Contact us for your free consultation.

Detroit Free Press Reports on Wrongful Foreclosures and Lock-Outs

Mon, 07 Jun 2010 08:00:00 EST

The Detroit Free Press published a story today about illegal foreclosure lock-outs and trash-outs called, "Foreclosures Go Wrong as Lenders, Cleanup Crews Cut Legal Corners." Credit goes out to the reporters John Wisely and L.L. Brasier for writing about an important issue which our firm has been attempting to expose for quite some time. The article features two illegal lock-outs in Michigan, one of which involves our clients Rick and Sheri Rought.

As we reported here a while back, trash-out company Field Asset Services and its subcontractors changed the locks on a house the Roughts had purchased from Deutsche Bank for cash. After the sale, Field Asset Services' contractors came back to the house on three occasions, winterizing the Roughts' home and trashing-out all possessions the Roughts had in the house.

The Rought case reported by the Detroit Free Press is particularly troubling because the Roughts did not have a loan with any bank. The Roughts are the collateral damage of the foreclosure boom sweeping across the country. We know of reports of illegal lock-outs and/or trash-outs in Florida, Massachusetts, Nebraska, California, Washington, Michigan, Kentucky, Nevada and Pennyslvania. We represent homeowners in illegal lock-outs in many of these states.

The number of illegal lock-outs and trash-outs is either rising or homeowners are finally realizing that they have legal rights and are not going to standby idly while their property rights are trampled by faceless servicers managing massive pools of securitized loans. Homeowners who need to learn more about their rights can always request our free report, "Foreclosure Lock-Outs and Trash-Outs: Consumers Have Rights" posted on our Home page. Homeowners with questions can continue to call us directly at 877-892-5620 or fill out and send in a confidential Contact Form.

Abusive Debt Collection Conduct Costs $1.5 Million

Thu, 03 Jun 2010 08:00:00 EST

Abusive debt collection conduct doesn't pay thanks to a Dallas County jury that awarded a Texas man, Allen Jones, $1.5 million.

In bad economic times, more and more people find themselves the subject of debt collection companies because families sometimes find themselves getting behind on their bills. And, when debt collection activity increases, so does abusive and aggressive debt collection conduct.

But, Allen Jones, wasn't even behind on a $200 credit card debt that Advanced Call Center Technologies (ACT) tried to collect from him. According to Jones, he had already paid the bill.

That fact, though, didn't stop ACT agents from barraging Jones with harassing and racially charged collection calls. Jones is African-American.

According to WFAA-TV Dallas/Fort Worth, most of the messages were laced with profanity and racial slurs: "This is your mother****** wake-up call you little lazy a**b*******. Get your mother******* n*****r ass up and go pick some mother****** cotton fields," an ACT collector said on one of the calls.

Some of the recordings that were played to the jury were so offensive that WFAA-TV News 8 decided against publishing the transcripts of the others.

On the Friday before Memorial Day weekend, the jury awarded Jones $50,000 in mental anguish damages, $1.5 million in punitive damages and $143,000 in attorney's fees, which is reportedly one of the largest verdicts of its kind.

Federal and state laws prohibit abusive bill collection activities, but people like Jones are still subject to harrassment and "over-the-top" conduct all across the country. Victims of abusive bill collection techniques have rights. If you or someone you know has been the victim of abusive collection conduct, contact Phillips & Garcia for a free consultation about your rights.

Horrors of Street Racing on Route 18 Injures 2 Children and 5 Others

Mon, 31 May 2010 08:00:00 EST

It's just dangerous and it's just stupid. But, it seems to be growing in popularity. It's street racing.

And, thanks to this utterly stupid fad, 2 two year olds suffered serious injuries in a crash on Sunday, May 29, 2010 in New Bedford on Route 18.

The New Bedford Standard Times reports that a total of 7 people were injured when 2 cars were racing at "extremely high rates of speed" on the southbound side of Route 18. The drivers of the two cars, a 1993 Honda Civic and a 1994 Honda Accord were racing at about 1:00 pm when the Civic struck a third car, a 1999 Volkswagen Jetta. The driver of the Civic then lost control and struck the Honda,

The impact of the crash was so severe that the engine of one of the cars was ripped from its engine compartment and was left lying in the roadway.

More importantly, though, is the human trauma that this thoughtless and ignorant conduct left: 2 two-year old boys injured, one of whom was reportedly air-lifted to Mass. General Hospital; another unbelted passenger in the Civic air-lifted to Rhode Island Hospital; two others transported by ambulance to St. Luke's Hospital; and, one other air-lifted to Mass. General.

According to reports, the operators of the Civic and Accord are being cited for numerous infractions including speeding, marked lane violations and racing.

Illegal street racing accidents often have dire consequences, not only to the participants, but to other innocent drivers, passengers and bystanders. Here, though, the tragedy of illegal street racing now extends to precious children who were placed in danger by simply being passengers in the street racers' autos.

Source: The Standard Times

Foreclosure Program Designed to Protect Maryland Homeowners

Sun, 23 May 2010 08:00:00 EST

New foreclosure legislation in Maryland will give homeowners the legal right to mediation with their lender during foreclosure proceedings. This could be welcomed news for homeowners stuck in a mortgage loan modification nightmare with their lender.

"With my signature today, we are empowering our fellow Marylanders, putting them on a more equal footing with mortgage companies that too often can't be bothered to pick up the phone before beginning a foreclosure proceeding," Maryland Govenor Martin O'Malley said in a statement. "This legislation will help keep more Marylanders in the homes they worked hard to purchase."

According to an artilce in the Washington Post, under the bill, the lender is required to send an application for a loan-modification or loss-mitigation program to the homeowner at least 45 days before a foreclosure action is filed in court. It is also mandated that the lender pay a $300 fee for a foreclosure filing. The Post also reports that the homeowner has 15 days after receiving the lender's final loss-mitigation affidavit, which states reasons for denial of a loan modification, to request a foreclosure mediation. The request must be sent to the Circuit Court, along with a $50 fee.

Given the growing numbers of homeowners complaining about being caught in a loan modification process with some lenders that can last up to 7, 8 or 9 months, only to result in an unexpected denial and ultimate foreclosure, this new legislation could be much needed relief.

If you are caught in a loan modification nightmare, Phillips & Garcia wants to hear about your experience. Contact us to share your story.

Victims of wrongful foreclosure lockouts and seizures have rights. Phillips & Garcia, P.C., a leading law firm in wrongful foreclosure and seizure cases, is now taking cases in any state where there has been a wrongful foreclosure, lockout or trash-out of a borrower's home. Although we are licensed in Massachusetts, we can associate with qualified attorneys in your state.

SOURCE: The Washington Post

Banks Could Pay for Foreclosure Blight in Los Angeles

Sat, 22 May 2010 08:00:00 EST

The Los Angeles City Council passed one of the country's toughest ordinances on Thursday which is designed to penalize banks that foreclose on homes and then allow properties to become blights on local neighborhoods. Under the new ordinance, if a foreclosed home falls into disrepair, a bank can be fined up to $100,000.

According to reports from KABC-TV 7, Los Angeles County has approximately 100,000 homes in some state of foreclosure. Once banks seize homes, though, they often fall into disrepair and can become part of the "broken windows" theory of crime, attracting vandalism, challenging public safety, and dragging down the value of other homes in the neighborhood.

L.A. City Council President Eric Garcetti was a sponsor of the ordinance that is aimed at keeping banks from neglecting foreclosed homes. The ordinance creates a central registry of foreclosed homes and require banks to give the city the name of a local contact person. Failure to comply with maintenance regulations could result in fines of $1,000 a day, up to $100,000.

In addition to establishing a registry of foreclosed homes, the ordinance would also force banks to provide a list of homes in pre-foreclosure status. "The best thing that would happen is that the banks would really work to renegotiate these loans and mortgages with the homeowners. That's what we really need. That would be the best corporate citizenship that they could provide during this tough economic time," said L.A. City Councilwoman Janice Hahn.

Encouraging banks to try and renegotiate mortgages and to communicate with homeowners is welcome news in light of the substantial increase of wrongful foreclosure lockouts and trashouts happening across the country.

Victims of wrongful foreclosure lockouts and seizures have rights. Phillips & Garcia, P.C., a leading law firm in wrongful foreclosure and seizure cases, is now taking cases in any state where there has been a wrongful foreclosure, lockout or trash-out of a borrower's home. Although we are licensed in Massachusetts, we can associate with qualified attorneys in your state. Contact us for a free consultation about your wrongful foreclosure lockout or trashout

Wrongful Foreclosure Lockouts Cause Loss of Personal Treasures

Sat, 22 May 2010 08:00:00 EST

Wrongful foreclosure lockouts and trashouts often result in homeowners losing many personal possessions. The real tragedy, though, is the loss of personal items that carry important family memories. Listen to this Michigan father describe how the first table that belonged to his parents and that he planned on passing on to his daughter was lost in a wrongful foreclosure trashout.

Victims of wrongful foreclosure lockouts and seizures have rights. Phillips & Garcia, P.C., a leading law firm in wrongful foreclosure and seizure cases, is now taking cases in any state where there has been a wrongful foreclosure, lockout or trash-out of a borrower's home. Although we are licensed in Massachusetts, we can associate with qualified attorneys in your state. Contact us for a free consultation about your wrongful foreclosure lockout or trashout.

Loan Modification Program Leaves Many Worse Off Says WSJ

Thu, 20 May 2010 08:00:00 EST

The government's loan modification program has left "some" struggling homeowners "worse off" than they were before, according to an article in the Wall Street Journal.

The WSJ reports that the U.S. Treasury announced on Monday that nearly 1 in 4 homeowners who were offered lower payments were eventually "weeded" out of the program because they failed to make payments, didn't provide all the financial information they needed to qualify or were found to be ineligible.

Under the federal Home Affordable Modification Program, or HAMP, homeowners are first offered a trial modification. If the borrowers make the modified payments and satisfy other criteria, the trial modifications become permanent, ensuring a reduced payment for 5 years.

According to the WSJ article, while awaiting the approval of their permanent modification some borrowers keep making payments, "exhausting their savings in what may be a futile attempt to save their homes. They also incur fees and delay taking action that might give them a fresh start in a more affordable home."

The problem with the WSJ article is, in our opinion, that it only touches on the real reasons that homeowners are left in a worse position by several banks participating in the HAMP. Our attorneys have been hearing stories every day from homeowners who offered trial modifications for 3 months, but who are then left waiting by the bank for 7 8 or even 9 months before getting an answer on their permanent modification. When these homeowners are finally told that they don't qualify, they are also told that they now owe thousands of dollars on their home and that if they cannot pay, then they will lose their home to foreclosure.

In so many instances, these same homeowners weren't even behind on their payments when they first started the program! But, since they've been kept waiting in the trial modification period for so long with no answer, they no longer have the thousands of dollars to bring themselves current. And, to make matters worse, at least one large bank has been trashing homeowners' credit reports during the trial period so that the homeowner cannot even get a new loan to bring themselves current.

Does this sound like your loan modification nightmare story? If it does, Phillips & Garcia wants to hear about your experiences with CitiMortgage, Bank of America, Wells Fargo or any other bank. Contact us to share your story.

Victims of wrongful foreclosure lockouts and seizures have rights. Phillips & Garcia, P.C., a leading law firm in wrongful foreclosure and seizure cases, is now taking cases in any state where there has been a wrongful foreclosure, lockout or trash-out of a borrower's home. Although we are licensed in Massachusetts, we can associate with qualified attorneys in your state.

Forced Placed Insurance During Loan Modification Process

Wed, 19 May 2010 08:00:00 EST

We have been blogging about the many problems homeowners are having as a result of servicers failing to timely process loan modification requests. In talking with homeowners, we are learning that servicers have been charging borrowers for hazard or property insurance during the loan modification process.

When a servicer or lender purchases property insurance for a borrower it is called "forced placed insurance." Our research has revealed that there are three major problems with forced placed insurance taken out by servicers and lenders. First, borrowers are reporting that servicers are force placing insurance even though the homeowner has adequate in-force homeowners insurance. Second, the forced placed insurance purchased by lenders is taken out for limits which exceed the amount of the mortgage debt, a violation of law in many states. Finally, servicers are purchasing over priced forced placed insurance coverage -- usually 2 to 3 times more than the cost of coverage typically obtained by borrowers. Servicers will often purchase forced placed insurance policies from affiliated companies who get a commission from the sale of the insurance.

How does this hurt the borrower? The servicer charges the forced place insurance to the borrower. In the end, the borrower pays for the over priced forced placed insurance purchased by the lender's servicer. We have heard complaints that the amount of the forced placed insurance has drastically increased a borrower's monthly payment to a point where the borrower can no longer pay his full monthly payment, resulting in foreclosure.

Borrowers cannot ignore forced placed insurance notices. The lender has a right to require insurance on the property to protect its security interest, however, it cannot purchase more coverage that is required by law and cannot gouge the borrower with non-competitive inflated insurance premiums.

We are reviewing borrower documentation for forced placed insurance problems. If you suspect a problem, you can fill out a contact form or call us toll free at 1-877-892-5620.

California Loan Modification Activity Highest in Nation

Tue, 18 May 2010 08:00:00 EST

California ranks the highest in loan modification activity as of March 2010 according to a Making Home Affordable Program Servicer Performance Report. California is followed by Florida, Illinois, Arizona and New York in terms of loan modification activity.

The report indicates that there are almost 160,000 active trial modifications in California. Trial modifications of "trial period plans" are only temporary modification plans while a homeowner waits for the approval of a permanent modification.

Consumers in states like California, Florida and Texas, though, are reporting trial loan modification nightmares. The most consistent complaint has been about being stuck in temporary trial modification plans for 7, 8 or even 9 months despite consistent inquiries to the banks about the status of the loan modification. Homeowners are then being informed that they don't qualify for the program and receive a default notice on their mortgage.

These loan modification nightmares aren't limited to one bank either. Homeowners have told stories to us about their frustrations with CitiMortgage, Bank of America and Wells Fargo Bank.

Does this sound like your loan modification story? If it does, Phillips & Garcia wants to hear about your experiences with CitiMortgage, Bank of America, Wells Fargo or any other bank. Contact us to share your story.

Victims of wrongful foreclosure lockouts and seizures have rights. Phillips & Garcia, P.C., a leading law firm in wrongful foreclosure and seizure cases, is now taking cases in any state where there has been a wrongful foreclosure, lockout or trash-out of a borrower's home. Although we are licensed in Massachusetts, we can associate with qualified attorneys in your state.

Toyota Allegedly Sought to Discredit Witnesses

Mon, 17 May 2010 08:00:00 EST

Toyota officials were allegedly looking to attack the credibility of witnesses who had testified before Congress according to reports in the Washington Post and Associated Press. The Post reportedly obtained documents that show Toyota sought to create a public relations campaign that questioned the integrity of the two witnesses and that was based, in part, on polling data.

The Post identied the two witnesses as Sean Kane, a local Massachusetts safety consultant, and David Gilbert, an auto technology professor. Each had criticized Toyota's handling of the sudden acceleration problems in recalled vehicles.

Both Toyota Motors and Toyota Financial Services (TFS often refers to the relationship between Toyota Motor Corp and Toyota Motor Credit Corp) remain embroiled in the massive Toyota sudden acceleration class action litigation currently pending in federal district court. A Massachusetts couple named Toyota Motor Credit Corp as a defendant in their class action lawsuit. The basic theory behind their allegations is that because the value of their Toyota Avalon was artificially high due to the undisclosed defective condition that led to the sudden acceleration problems, then the amount of their financing was also artificially inflated.

The Massachusetts couple that filed the class action lawsuit against Toyota Financial Services are being represented by Finkelstein Thompson and Phillips & Garcia, P.C. In their lawsuit, they allege that they bought their 2008 Toyota Avalon from a Toyota dealer in April 2009 and financed it with Toyota Motor Credit Corp. They later experienced incidents of sudden acceleration and underwent Toyota's attempted "fix" of the problem. Because Toyota Motor Credit Corp. provides financing options for Toyota customers, the couple allege that Toyota encourages customers to finance with Toyota Financial Services.

If you financed your Toyota car with Toyota Financial Services and are subject to the Toyota recall, the class action attorneys at Phillips & Garcia, P.C. want to hear your story. We are committed to protecting your best interests and helping you collect the damages that you need and deserve to move on with your life. Contact Phillips & Garcia today to schedule a FREE legal consultation or call us toll free at (877) 892-5620.

Loan Modification Nightmares Reported About CitiMortgage

Sat, 15 May 2010 08:00:00 EST

Loan modification nightmare stories are coming in droves from consumers across the country who are complaining about the treatment that they are allegedly receiving from CitiMortgage. Every day, homeowners are telling our attorneys about their experiences with CitiMortgage and the processing, or lack of processing in most cases, of their loan modification applications.

Homeowners have consistently reported that: 1) they submitted a loan modification application under the federal government's Home Affordable Mortgage Program ("HAMP"); 2) they provided all the documents requested by CitiMortgage and cooperated fully with their requests; 3) they received a notice that they've been approved for a trial loan modification and that if they submit their modified payments for three months (and provide certain documentary proof of certain things) then they will be approved for a permanent modification; 4) they make their three modified payments, but they don't receive final approval; 5) they then call and/or write CitiMortgage to inquire about the status of their permanent modification; 6) their permanent modification is dragged out for 7 -8 months; and, 7) they finally receive a notice that they don't qualify for a permanent modification, they are in default on their loan AND that they now owe thousands of dollars if they want to stay in their home and avoid foreclosure. Meanwhile, they discover that their credit has been ruined because CitiMortgage has been making negative reports to their credit bureaus and they now can't qualify for a competative refinance to pay off the claimed amounts due.

Does this sound like your story? If it does, Phillips & Garcia wants to hear about your experiences with CitiMortgage. Contact us to share your story.

Victims of wrongful foreclosure lockouts and seizures have rights. Phillips & Garcia, P.C., a leading law firm in wrongful foreclosure and seizure cases, is now taking cases in any state where there has been a wrongful foreclosure, lockout or trash-out of a borrower's home. Although we are licensed in Massachusetts, we can associate with qualified attorneys in your state.

Foreclosure Seizures At Record Levels

Thu, 13 May 2010 08:00:00 EST

According to reports from the Associated Press, U.S. banks seized a record 92,000 homes across the country in April 2010.

Although RealtyTrac, Inc., a foreclosure listing firm in Irvine, Calif., reported a decline in the number of new foreclosure filings, that number was blunted by the record setting statistics of foreclosure seizures. And, there appear to be signs of millions of more foreclosures ahead. Nearly 12 percent of all households with mortgages have reportedly missed at least one mortgage payment or were in foreclosure in March 2010.

Tough economic times are the main catalyst for foreclosures in 2010. However, many other factors including unpaid medical bills and divorce can place tremendous strain on a household's finances.

Among states, Nevada posted the highest number of foreclosures in April, with 1 in every 69 households receiving a foreclosure notice. Next on list were Arizona, Florida, California and Michigan.

With the record number of seizures, it is only logical that the numbers of wrongful foreclosure lockouts and trashouts will increase across the country. A typical wrongful foreclosure lockout often involves a real estate management company that works for a bank entering a home without prior notice, changing locks, taking personal items, and winterizing the house. See related video story here.

Victims of wrongful foreclosure lockouts and seizures have rights. Phillips & Garcia, P.C., a leading law firm in wrongful foreclosure and seizure cases, is now taking cases in any state where there has been a wrongful foreclosure, lockout or trash-out of a borrower's home. Although we are licensed in Massachusetts, we can associate with qualified attorneys in your state.

Sources: CBS News.com and The Associated Press

Bank Home Seizures Reach Record Levels in April 2010

Thu, 13 May 2010 08:00:00 EST

Home seizures by banks reached a record high in April 2010 with over 92,000 American homes being seized as banks increase their foreclosure efforts. With more seizure activity, it stands to reason that U.S. homeowners will see an increase in wrongful foreclosure lockouts and trashouts across the country. See the related video story here.

RealtyTrac, Inc. reported a decline in the number of new foreclosure filings last month. Even though that statistic sounds promising, it was blunted by the record setting numbers of foreclosure seizures by banks. And, there appear to be signs that millions of more foreclosures are ahead for the country with nearly 12 percent of all households having missed at least one mortgage payment or were being caught up in a foreclosure for the month of March.

Among the states hardest ht by foreclosure activity in April was Nevada, with 1 in every 69 households receiving a foreclosure notice. Next on the list were Arizona, Florida, California and Michigan. We have been hearing foreclosure seizure stories, though, from states other than just those five.

Victims of wrongful foreclosure lockouts and seizures have rights. Phillips & Garcia, P.C., a leading law firm in wrongful foreclosure and seizure cases, is now taking cases in any state where there has been a wrongful foreclosure, lockout or trash-out of a borrower's home. Although we are licensed in Massachusetts, we can associate with qualified attorneys in your state.

Wrongful Foreclosure Lockout and Trashout Case Settled

Thu, 13 May 2010 08:00:00 EST

Wrongful foreclosure attorneys, Phillips & Garcia, P.C. and Joseph F. deMello, recently settled a wrongful foreclosure lockout and trashout case with a major U.S. bank. The six-figure, confidential settlement, far exceeded the expectations of the homeowners.

After they had discovered that the bank had wrongfully entered onto their property, changed the locks and had taken personal items from their home, the homeowners tried to get help from a local attorney who hadn't had experience with wrongful foreclosure cases.

The homeowners eventually realized, though, that their local lawyer wasn't able to make headway for them on their claims against the bank. That's when they saw news reports about the wrongful foreclosure lawyers at Phillips & Garcia and the Law Offices of Joseph F. deMello and hired them.

Victims of illegal foreclosure lockouts and trashouts have been having difficulty finding effective help from local attorneys. The reason may simply be that most attorneys do not have the experience or resources to handle wrongful foreclosure actions. Also, many attorneys do not understand the impact and frustration of innocent homeowners and do not know how to approach this type of case.

To hear the difficulties faced by one Michigan couple when they tried to find a wrongful foreclosure attorney near their hometown click here.

Victims of wrongful foreclosure lockouts and seizures have rights. Phillips & Garcia, P.C., a leading law firm in wrongful foreclosure and seizure cases, is now taking cases in any state where there has been a wrongful foreclosure, lockout or trash-out of a borrower's home. Although we are licensed in Massachusetts, we can associate with qualified attorneys in your state.

Toyota Financial Services Remains in Toyota Recall Lawsuit

Thu, 13 May 2010 08:00:00 EST

Toyota Financial Services remains entwined in the massive Toyota sudden acceleration class action litigation currently pending in federal district court. A Massachusetts couple named Toyota Motor Credit Corp (which together with Toyota Motor Corp is called Toyota Financial Services or "TFS") as a defendant in their class action lawsuit. The basic theory behind their allegations is that because the value of their Toyota Avalon was artificially high due to the undisclosed defective condition that led to the sudden acceleration problems, then the amount of their financing was also artificially inflated.

In a related story, Kelley Blue Book reported that it had seen a decline in new car transaction prices for 2010 Toyota Prius. For that reason, Kelley Blue Book adjusted its New Car Blue Book transaction value down by $1,000 to $1,500 for 2010 Prius. Kelley Blue Book also decreased the used-car values of previously recalled Toyota models in response to the slowing demand for Toyota models in the marketplace following the Toyota accelerator recalls.

The Massachusetts couple that filed the class action lawsuit against Toyota Financial Services are being represented by Finkelstein Thompson and Phillips & Garcia, P.C. In their lawsuit, they allege that they bought their 2008 Toyota Avalon from a Toyota dealer in April 2009 and financed it with Toyota Motor Credit Corp. They later experienced incidents of sudden acceleration and underwent Toyota's attempted "fix" of the problem. Because Toyota Motor Credit Corp. provides financing options for Toyota customers, the couple allege that Toyota encourages customers to finance with Toyota Financial Services.

If you financed your Toyota car with Toyota Financial Services and are subject to the Toyota recall, the class action attorneys at Phillips & Garcia, P.C. want to hear your story. We are committed to protecting your best interests and helping you collect the damages that you need and deserve to move on with your life. Contact Phillips & Garcia today to schedule a FREE legal consultation or call us toll free at (877) 892-5620.

Finding a Wrongful Foreclosure Attorney

Wed, 12 May 2010 08:00:00 EST

Finding a lawyer to handle your wrongful foreclosure lockout or trashout case in your local community can be very difficult. This Michigan couple whose house that they had bought directly from a bank and which was then later trashed out by agents for the same bank, discovered that difficulty first hand. Listen to the story of their troubles with finding a local attorney and how they found and retained the wrongful foreclosure lawyers at Phillips & Garcia.

Victims of wrongful foreclosure lockouts and seizures have rights. Phillips & Garcia, P.C., a leading law firm in wrongful foreclosure and seizure cases, is now taking cases in any state where there has been a wrongful foreclosure, lockout or trash-out of a borrower's home. Although we are licensed in Massachusetts, we can associate with qualified attorneys in your state.

Toyota Financial Services Credit Rating Cut by Moody's

Mon, 10 May 2010 08:00:00 EST

Toyota Motor Credit Corp. had its credit rating cut by Moody's Investor's Services to Aa2, the third highest grade, from Aa1 according to a statement from Moody's. In 2009, TMCC had a Moody's rating of Aaa. Toyota faces a "material risk" that its operating profit margins will remail well below what is appropriate for its rating "until 2012 at the earliest and possibly beyond," Tadashi Usui, a Moody's analyst, wrote.

Toyota Motors faces a massive consolidate class action lawsuit over its sudden and unintended acceleration problems and recall which is pending in Federal District Court in California. Toyota Motor Credit Corp, which in conjunction with Toyota Motors, is referred to as Toyota Financial Services, has been recently added to that class action litigation.

The Massachusetts couple that filed the class action lawsuit against Toyota Financial Services are being represented by Finkelstein Thompson and Phillips & Garcia, P.C. In their lawsuit, they allege that they bought their 2008 Toyota Avalon from a Toyota dealer in April 2009 and financed it with Toyota Motor Credit Corp. They later experienced incidents of sudden acceleration and underwent Toyota's attempted "fix" of the problem.

Because Toyota Motor Credit Corp. provides financing options for Toyota customers, the couple allege that Toyota encourages customers to finance with Toyota Financial Services. They also assert in their class action complaint that because the value of their Avalon was artificially high (due to the undisclosed defective condition that led to the sudden acceleration problems), then the amount of their financing was also artificially inflated.

If you financed your Toyota car with Toyota Financial and are subject to the Toyota recall, the class action attorneys at Phillips & Garcia, P.C. want to hear your story. We are committed to protecting your best interests and helping you collect the damages that you need and deserve to move on with your life. Contact Phillips & Garcia today to schedule a FREE legal consultation or call us toll free at (877) 892-5620 (877) 892-5620.

Bank of America Attempts Wrongful Lock Out of Fort Worth Homeowner

Sat, 08 May 2010 08:00:00 EST

Freda Snowden's 29 year old son bought a Fort Worth home in September 2009 at a foreclosure auction and moved in a month later. Bank of America apparently was holding the mortgage that was being foreclosed on.

In November 2009 he returned home to find that the house had been broken into and that someone tried to re-key the locks. He reported it to the police who reportedly told him that squatters might be trying to enter the house.

Not feeling safe, he moved out in December and put the house up for sale. In February 2010, though, the house was again broken into and the locks were changed.

A few days later, Snowden's real estate agent was showing the house and an agent for Bank of America walked in and said that his company had re-keyed the house because of a pending foreclosure by Bank of America.

Freda Snowden began calling her son's lender (which wasn't Bank of America) and her son's title company who assured her that he son did own the house. She then called everyone at Bank of America, but she said that no one would talk with her.

It took her some time, but officials at Bank of America finally acknowledged to Freda Snowden that they had mistakenly locked out her son because the bank's records wrongly showed that the original buyer still owned the property. According to Freda, it took weeks of trying to deal with officials at Bank of America to clear up the issue. Finally, officials at Bank of America apologized to her and her son and agreed to reimburse her for damages of about $600.

Snowden called the ordeal a nightmare and wondered how many other families this was happening to. The Snowdens' situation is similar to wrongful foreclosure lockouts that happened to a Michigan couple.

Victims of wrongful foreclosure lockouts and seizures have rights. Phillips & Garcia, P.C., a leading law firm in wrongful foreclosure and seizure cases, is now taking cases in any state where there has been a wrongful foreclosure, lock-out and trash-out of a borrower's home. Although we are licensed in Massachusetts, we associate with a qualified attorney in your state.

Source: Fort Worth Star-Telegram

Bank of America Apologizes for Wrongful Foreclosure Lockout

Sat, 08 May 2010 08:00:00 EST

Bank of America recently apologized to a Fort Worth homeowner for a "coding error" that led them to twice attempt wrongful foreclosure lockouts on a home that it had previously sold at a foreclosure auction.

According to an article in the Fort Worth Star-Telegram, Freda Snowden's 29 year old son bought a home in September 2009 at a foreclosure auction and moved in a month later. In November, he came home to find that the house was broken into and that someone tried to change the locks. Police reportedly told him that squatters might be trying to enter the house.

Not feeling safe in his own home, he moved out in December and put the house up for sale. Other victims of wrongful foreclosure lockouts have reported similar feelings. But, in February 2010, the house was again broken into and the locks were changed (this is known as a foreclosure lockout).

A few days later, Snowden discovered that it was a Bank of America agent who had re-keyed the locks because of a pending foreclosure on the house by Bank of America. After weeks of trying to clear the problems with Bank of America, officials at the bank acknowledged that they had mistakenly locked out Snowden because the bank's records wrongly showed that the original buyer still owned the property (see related news story here).

Victims of wrongful foreclosure lockouts and seizures have rights. Phillips & Garcia, P.C., a leading law firm in wrongful foreclosure and seizure cases, is now taking cases in any state where there has been a wrongful foreclosure, lockout or trash-out of a borrower's home. Although we are licensed in Massachusetts, we can associate with qualified attorneys in your state.

Toyota Motor Credit Corp Added to Class Action by Massachusetts Couple

Sat, 08 May 2010 08:00:00 EST

Toyota Motor Credit Corp., the financing wing of Toyota Motors, has been added to the sudden and unintended acceleration class action litigation by a Massachusetts couple.

The couple, who are being represented by Finkelstein Thompson and Phillips & Garcia, P.C., allege that they bought their 2008 Toyota Avalon from a Toyota dealer in April 2009 and financed it with Toyota Motor Credit Corp. They later experienced incidents of sudden acceleration and underwent Toyota's attempted "fix" of the problem.

Toyota Motor Credit Corp. provides financing options for Toyota customers and the couple alleges that Toyota encourages customers to finance with TMCC. They also assert in their class action complaint that because the value of their Avalon was artificially high (due to the undisclosed defective condition that led to the sudden acceleration problems), then the amount of their financing was also artificially inflated.

The couple's case is part of the larger Toyota sudden and unintended accelration litigation that is currently pending in the Federal District Court for the Central District of California.

If you financed your Toyota car with Toyota Motor Credit Corp (which is also known as Toyota Financial Services) and are subject to the Toyota recall, the class action attorneys at Phillips & Garcia, P.C. want to hear your story. We are committed to protecting your best interests and helping you collect the damages that you need and deserve to move on with your life. Contact Phillips & Garcia today to schedule a FREE legal consultation or call us toll free at (877) 892-5620.

Sheriffs Complain of Illegal Lock-outs and Trash-outs

Wed, 05 May 2010 08:00:00 EST

As many of you know who read this website, we have done what we can to get the word out about the illegal practice of lenders, servicers and trash-out companies locking homeowners out of their homes and throwing out homeowner possessions. We have warned homeowners to be vigilent and keep a close eye on the actions of lenders and servicers. Our efforts are starting to pay-off.

We are starting to receive calls from Sheriffs (also called Court Officers in states like Michigan) thanking us for addressing the lock-out and trash-out problem. We are hearing that Sheriffs are seeing illegal lock-outs and trash-outs on an almost daily basis. The Sheriffs or Court Officers show up to serve a court order, as required under state law, only to see with their own eyes that the house has already been broken into, the locks have been changed and all possessions have been removed. The Sheriff is literally there to serve the eviction notice or other form of process only to see that the trash-out company has already been there in violation of law.

Homeowners who may be delinquent on their mortgages, or who are being foreclosed on, still have the right in these United States to not have their possessions stolen by the lender's contractors who have failed to follow the proper state law foreclosure proceedings. Snatching a homeowner's possessions without legal due process is illegal. Homeowners have rights and do not have to sit by idly while trash-out companies steal the rest of their dignity.

Wells Fargo Ordered to Pay $155,000 for Wrongful Foreclosure Conduct

Mon, 03 May 2010 08:00:00 EST

A Suffolk County New York Supreme Court Judge recently ordered Wells Fargo to pay a homeowner $150,000 in exemplary damages, $4,892 for lost property damages and $200 for trespass damages due to its conduct in handling a foreclosure against one of its homeowners.

The case is Wells Fargo Bank, N.A. v. Tyson and began in 2007 as a foreclosure action brought by Wells Fargo. In January 2010, though, the homeowner, Steven Tyson, requested a conference so that the Court could address what it identified as "certain serious issues" involving Wells Fargo that had arisen during the foreclosure.

According to the Court's findings, Wells Fargo held a mortgage on Tyson's property and began its foreclosure action. Due to financial difficulties, though, Mr. Tyson discontinued the utility service on the property, winterized the plumbing and the heating, secured the property, maintained the property and left many of his personal belongings in it. Although Mr. Tyson resided elsewhere, the Court found that he never abandoned the property, never showed an intent of abandoning the property and visits it at least weekly.

On November 13, 2009, though, Wells Fargo dispatched an agent to Tyson's property, who changed the locks and barred Tyson's access to the property;; known as a lock-out. Wells Fargo did not give prior notice of this entry. When he contacted Wells Fargo's foreclosure attorney, Mr. Tyson was given a new key to the property and he directed that Wells Fargo NOT enter the property again.

Despite his directions, Wells Fargo entered the premises again in late December or early January. When he discovered this, Mr. Tyson secured the property and later again that same day found that someone had entered his home and some of his personal property was gone; a trash-out.

Wells Fargo defended its actions by arguing that the mortgage allowed them to enter onto the property to safeguard and secure it and also where there was evidence that the property was abandoned. The Court summarily dismissed these arguments by specifically finding that there was no evidence at all that Mr. Tyson had abandoned his property and that under the terms of the mortgage, the bank could only enter the property 1) under reasonable circumstances AND 2) when it had FIRST given notice in advance of its entry. Wells Fargo had never given notice to Mr. Tyson before it's lock-out and trash-out of the property.

Wells Fargo Ordered to Pay$155,000 for Foreclosure Lockout

Mon, 03 May 2010 08:00:00 EST

A Suffolk County New York Supreme Court Judge recently ordered Wells Fargo to pay a homeowner $150,000 in exemplary damages, $4,892 for lost property damages and $200 for trespass damages due to its conduct in handling a foreclosure against one of its homeowners. You can read the text of the Court's decision here.

During a foreclosure action against one of its homeowners, a Wells Fargo agent entered onto the homeowner's property without prior notice to the homeowner and changed the locks, thereby locking him out. After the homeowner told the foreclosure attorney that he prohibited Wells Fargo from entering onto the property again, a Wells Fargo agent entered onto the property and some of his personal property was missing.

Wells Fargo attempted to defend its conduct by arguing that the mortgage allowed them to enter onto the property to safeguard and secure it. According to Wells Fargo they can also enter the property where there was evidence that the property was abandoned. The Court summarily dismissed these arguments by specifically finding that there was no evidence at all that the homeowner had abandoned his property and that under the terms of the mortgage, the bank could only enter the property 1) under reasonable circumstances AND 2) when it had FIRST given notice in advance of its entry. Wells Fargo had never given notice to the homeowner before it's lock-out and trash-out of the property.

Wells Fargo's lockout without prior notice is not uncommon when a homeowner is behind on his or her mortgage OR even when the bank mistakenly believes that the loan is in default due to missapplication of mortgage payments or some other internal accounting error. Homeowners can learn more about how to protect themselves from illegal lockouts and trashouts from our FREE Report.

Legal Help for Wrongful Foreclosure and Seizure in Any State. Phillips & Garcia, P.C., a leading law firm in wrongful foreclosure and seizure cases, is now taking cases in any state where there has been a wrongful foreclosure, lock-out and trash-out of a borrower's home. Although we are licensed in Massachusetts, weassociate with a qualified attorney in your state.

Law Day for Fall River Middle School Students

Sat, 01 May 2010 08:00:00 EST

Fall River, MA - Kuss Middle School students took part in a mock trial held in the Fall River Superior Court to recognize Law Day on Friday, April 30, 2010. The Court shut down for the morning so that the 27 students could fill the seats for the program organized by William McKeon, vice president of the Fall River Bar Association and Marita Gray, the current president.

The students who voluntarily attended the program all wrote essays on issues surrounding the law and the challenges faced by the legal system thanks to emerging techonology. One student, Hannah Torres, said "the importance of law has never been debated. It is expected to provide a sense of balance."

"Without the law, the world would be a dangerous place," added Nicholas Sherwin.

The highlight of the day was the mock trial which was prosecuted by John Flor and defended by Derek Coyne, both local lawyers. Two students, Meredith Forcier and Austin Brown, played the roles of the principal witnesses. Fourteen other students played the role of jurors.

Bristol County Register of Probate, Gina DeRossi, and Govenor's Council member, Carol Fiola, were also on hand to offer words of advice to the students.

Source: The Herald News

Lockouts Can Happen While You Are Away From Home

Sat, 01 May 2010 08:00:00 EST

The danger of bank lockouts increase when you are away from home because bank trash-out companies might think that the home has been abandoned. A New Jersey woman's plight highlights this reality.

Nina Mora was locked out of her fully furnished home by a Bank of America inspector while she was away visiting family for the Thanksgiving holiday. A Bank of America spokesperson said that the inspector changed the locks because he thought that the home was vacant.

Mora, who had fallen behind on her mortgage following a stroke, was in the process of avoiding foreclosure and days before she had actually received a letter from the bank approving her for a new payment program.

The bank's lockout of Mora without prior notice to her is not uncommon when a homeowner is behind on his or her mortgage OR even when the bank mistakenly believes that the loan is in default due to missapplication of mortgage payments or some other internal accounting error. Homeowners can learn more about how to protect themselves from illegal lockouts and trashouts from our FREE Report.

Legal Help for Wrongful Foreclosure and Seizure in Any State. Phillips & Garcia, P.C., a leading law firm in wrongful foreclosure and seizure cases, is now taking cases in any state where there has been a wrongful foreclosure, lock-out and trash-out of a borrower's home. Although we are licensed in Massachusetts, weassociate with a qualified attorney in your state.

Sources: The Tampa Tribune and the Associated Press

Texting & Driving Dangers Learned by Sardis City Teens

Fri, 30 Apr 2010 08:00:00 EST

Sardis City, Alabama - Sardis City High School students learned first-hand the dangers of texting and driving while taking part in a CBS "Early Show" segment aired on t.v. today. The students participated in a texting and driving obstacle course set up at the school. Students were required to drive a golf-cart through a series of cones while texting at the same time.

CBS correspondent, Michelle Miller, interviewed several of the students including, Madison Golden, a Sardis junior whose story about an auto accident that she had while texting in 2008 was among a series of stories on the topic that appeared in the Gadsden Times.

The obstacle course exercise will be expanded to all high schools in Etowah County next year according to Assistant Superintendent of Schools, Jon Paul Campbell.

Source: www.CBS42.com

Michigan Couple Latest Victims of Illegal Lock Out

Mon, 26 Apr 2010 08:00:00 EST

A Michigan couple are the latest victims of an illegal lock-out and wrongful foreclosure by a bank. Rick and Sherry Rought allege that they bought a bank-owned home directly from Deutsche Bank for cash. Six months later, Field Asset Services, a trash-out company for Deutsche broke into the home and swept out most of their personal possessions.

The couple contacted the State Police and also attempted to work with Deutsche Bank and FAS to try and rectify the problem. All avenues were dead ends. Despite their attempts, the Roughts allege that FAS broke in two more times, treating the home as if it were still in foreclosure.

Phillips & Garcia and Attorney Joseph deMello are filing their case against the bank and its trash-out company in Federal District Court for the Western District of Michigan.

The Roughts' story is being reported by WOOD TV Channel 8 Grand Rapids. The news story can be viewed by clicking on this link.

Legal Help for Wrongful Foreclosure and Seizure in Any State. Phillips & Garcia, P.C., a leading law firm in wrongful foreclosure and seizure cases, is now taking cases in any state where there has been a wrongful foreclosure, lock-out and trash-out of a borrower's home. Although we are licensed in Massachusetts, weassociate with a qualified attorney in your state.

Jury Awards $150K for Wrongful Lock-Out During Foreclosure

Sun, 25 Apr 2010 08:00:00 EST

North Carolina - A jury awarded $150,000 in compensatory damages to former Cincinnati Bengals running back, Chris Perry, and his family after their family home was foreclosed on and some of their personal possessions were taken during a "trash-out" and thrown in a local landfill.

During the four week trial, the Perry's presented evidence that in 2003 GRP Financial Services foreclosed on the Perry mother's home. Blackwelder Realty & Auctions was hired to handle the foreclosure and eviction. Blackwelder then hired Triad Residential to move items out of the home.

The Perrys alleged that they planned on moving all of their personal possessions out of the house by August 2003, but that Blackwelder locked them out of the house without notice (refered to as a wrongful lock-out) in May. The Perrys said that the defendants wrongfully removed personal items that included trophies and other sports paraphernalia the Chris Perry earned throughout his career.

Blackwelder defended its actions by testifying that it was protecting the home from squatters and from being further damaged.

Legal Help for Wrongful Foreclosure and Seizure in Any State. Phillips & Garcia, P.C., a leading law firm in wrongful foreclosure and seizure cases, is now taking cases in any state where there has been a wrongful foreclosure, lock-out and trash-out of a borrower's home. Although we are licensed in Massachusetts, we associate with a qualified attorney in your state

Source: The Winston-Salem Journal

Michigan Couple Sues for Illegal Lock-Out by Deutsche Bank

Sun, 25 Apr 2010 08:00:00 EST

Gowen, Michigan - Phillips & Garcia and Attorney Joseph deMello are filing a federal lawsuit on behalf of a Michigan couple who bought a bank-owned home directly from Deutsche Bank. Within 6 months, the bank's trash-out company, Field Asset Services, then allegedly locked them out of their home and seized their property without notice to the couple.

"We just went up there one day and there was a note on the door from this company -- a trash-out company," the home owner, Rick Rought said. "The doors were broken into." The defendants not only changed the locks on the home, but stole some possessions, the Roughts said. All kinds of things were taken -- from a dining room set to the American flag mounted outside the home.

"We looked and the curtains were gone, then we started to panic and when we went in, there was virtually nothing left," Sherry Rought said. "Everything was swept out and gone."

The story is being reported by Wood TV 8 - Grand Rapids

Legal Help for Wrongful Foreclosure and Seizure in Any State. Phillips & Garcia, P.C., a leading law firm in wrongful foreclosure and seizure cases, is now taking cases in any state where there has been a wrongful foreclosure, lock-out and trash-out of a borrower's home. Although we are licensed in Massachusetts, we associate with a qualified attorney in your state.

New Bedford City Council Bans Texting While Driving

Fri, 23 Apr 2010 08:00:00 EST

New Bedford, MA - The City Council voted unanimously on Thursday in favor of new local ordinance that bans drivers from texting, sending or reading an electronic message while operating within City limits. The ordinance must now be sent for approval by the Mayor, Scott W. Lang. Mayor Lang has indicated that he fully supports the ban on texting, so he is expected to sign the ordinance into law.

Violators of the new ban on texting will face a $100 fine for the first offense, $200 for a second offense and a $300 fine for all subsequent offenses.

On the state level, legislation that would ban texting while driving across the Commonwealth passed both chambers of the Legislature, but was sent to a conference committee to work out the differences between the two versions. As of this news report, the bills remain in conference committee.

The serious dangers of texting while driving were emphasized recently when a Texas jury ordered a Texas A&M college student to pay $22 million in damages for the death of a Baylor University biochemistry major which was caused by texting while driving. According to news reports, evidence was presented during the trial jury found that Reed Vestal had received 15 text messages and made 7 phone calls during the 45 minutes leading up to the accident.

Lawyers in Texas said the damages awarded to the family of Megan Small, who was 21 when she died, and Laura Gleffe, the driver of another car that was run off the road in the accident, may be the most a jury has handed out in Robertson County, Texas.

As a service to the SouthCoast community and Massachusetts in general, our firm will frequently publish blogs about local traffic accidents and issues that affect safe driving. We do this to raise awareness about the common types of motor vehicle accidents that occur in Massachusetts and can result in serious injuries and/or fatalities.

Common accidents include, but are not limited to:

-- single-car accidents;
-- accidents due to hazardous road conditions; and
-- accidents caused by distracted drivers.

If you have been named in this blog or you are the victim's family member or friend and would like the blog removed from our website, please feel free to contact us and we will promptly accomodate your request.

Fredericksburg, Virginia Surgeon Sued by Two Patients

Fri, 23 Apr 2010 08:00:00 EST

Attorney Ben Glass, one of our affiliated counsel in Virginia, is never afraid to take on just causes for the benefit of his clients who have been injured due to the negligence of others. In a recent story reported in Fredericksburg, Virginia, Ben took on the medical establishment and the medical malpractice insurance industry on behalf of two clients who were hurt at the hands of a local orthopedic surgeon.

In one of the cases, Ben's client alleges that the surgeon actually operated on the wrong side of her shoulder after the doctor forgot where the cyst he was supposed to remove was located.

For more information on Virginia medical malpractice law, we invite you to visit Ben Glass' comprehensive library at his website.

The Massachusetts personal injury attorneys at Phillips & Garcia will fight for your rights in your personal injury case. We are committed to protecting your best interests and helping you collect the damages you need and deserve to move on with your life. If you have been injured in a Massachusetts accident, contact Phillips & Garcia today to schedule your FREE legal consultation - (877) 892-5620.

Foreclosure Lock-Outs Go Unreported

Wed, 21 Apr 2010 08:00:00 EST

We have been reporting on the booming foreclosure industry for a while and the "trashing out" of the American dream. We are learning that illegal lock-outs are a lot more common than we had thought. An illegal lock-out occurs when the lender and its proeprty management company break into a home and change all the locks despite having no legal right to do so. Illegal lock-outs are happening all over the country -- from Massachusetts to Ohio to Arizona to New Jersey to Florida.

We have been telling homeowners and borrowers that the lenders, servicers and "lock-out" companies have big problems communicating with one another during the foreclosure process. Our suspicions seem to have been confirmed by what appears to be an American Banker article posted on Safeguard Properties' website with a title "Seizing the Wrong Home: Rare, But a PR Nightmare." The following quote appeared in the article: "'It's what you call a new weakness,' said Joe Bada, chief executive of Five Brothers Mortgage Co. Services and Securing Inc., a Warren, Mich., company that inspects and manages foreclosed properties for lenders. 'There's just so much happening at the same time. The means of communicating haven't been refined. Information is not moving fast enough from one department to the other.'"

This communication gap results in borrowers and homeowners being locked out of their homes for no valid legal reason. The article infers that these illegal lock-outs are rare, but are they really that rare? Who is keeping the statistics on the number of illegal lock-outs and seizures of homes? The lender, the servicers and their "trash-out" companies are not exactly disclosing these stats. Is the Treasury keeping track or even listening? Borrowers and homeowners often feel helpless and victimized when an illegal trash-out occurs. We represent borrowers and homeowners who have been illegally locked-out of their homes and not a single lender, servicer or "trash-out" company has paid the borrowers and homeowners the damages they deserve until they've hired the right lawyer.

Foreclosure Lock-Out Homeowners Have Legal Rights

Wed, 21 Apr 2010 08:00:00 EST

We have been talking to homeowners and borrowers who have been victims of illegal foreclosure lock-outs where their home was seized by a bank and its property management company (we like to call them "lock-out" or "trash-out" companies). Homeowner's possessions are often stolen during the lock-out process and, in many cases, if their personal possessions are not stolen, they are removed from the house and thrown out, a.k.a. "trashed-out."

There are also a number of online complaints recounting stories of illegal lock-outs, which almost always involve the theft of personal property. Law enforcement has been doing nothing about this rampant problem despite homeowner complaints. The common law enforcement reply is, "Its a civil matter, no crime was committed."

This leaves victimized homeowners dazed and confused. Homeowners often do not know what to do or where to turn.

So, let's make one thing clear: Illegally locked out homeowners have legal rights and can sue their lender and the "trash-out" company doing the lender's dirty work. Almost every state has laws that prohibit illegal lock-outs and trash-outs. Many states have very powerful laws where homeowners can sue the lender and "lock-out" company for more than the cost of their trashed-out possessions. State laws, in these circumstances, often allow for damages due to stress, embarrassment and the public ridicule of being held out to your neighborhood and community as a dead beat who does not pay your mortgage. Oftentimes, the lender may even post foreclosure notices in the local paper or at the property, which causes additional stress and damage to a homeowner's reputation.

Borrowers should not jump at a low-ball money offer by their lender or trash-out company. We have heard of circumstances where the trash-out company only offered a percentage of the value of the trashed-out and stolen possessions. Borrowers should also be concerned about a lender or trash-out company who asked them to sign a "release of all claims" as a condition to accepting a less than full value settlement.

It is the Wild West out there as far as foreclosures go. Homeowners cannot sit back and wait for their lenders to do the right thing. Homeowners need to go on the offensive and pursue their lenders and their "trash-out" companies. Since when is it right, for even one second, for a corporation to break into your home?

We are listening to borrowers' and homeowners' illegal lock-out and trash-out stories. Call us toll free at 877-892-5620. We'd be glad to help if we can. We are licensed in Massachusetts and affiliate with qualified lawyers in other states who act as local co-counsel for our firm.

Toyota Recalls Lexus SUVs for Rollover Concerns; Agrees to Pay Record Fine

Tue, 20 Apr 2010 08:00:00 EST

In response to a rare "Do Not Buy" advisory issued by Consumer Reports magazine, beleaguered Toyota Motors issued yet another recall of its 2010 Lexus GX 460 sports utility vehicle. The recall is aimed at addressing a problem that can lead to rollovers or a loss of control.

Following various handling tests, Consumer Reports warned that the vehicle slid out of control and can rollover in certain driving conditions. Toyota reports that it has developed a repair for the GX 460 safety concerns and that the repair will take approximately one hour. Lexus owners will be notified sometime in early May and can begin to bring in their vehicles as soon as the repair is available.

In other news, Toyota agreed to the record $16 million fine levied by the United States in response to its failure to properly and quickly address the safety concerns arising from the sudden and unintended acceleration problems with its vehicles. U.S. Trasportation Secretary, Ray LaHood said in a statement that he is "pleased that Toyota has accepted responsibility for violating its legal obligations to report any defects promptly. By failing to report known safety problems as it is required to do under the law, Toyota put consumers at risk.”

LaHood said on April 5 that documents showed the company “knowingly hid” defects tied to unintended acceleration for four months, violating rules that require notification in five days. The fine, which is less than 2 percent of Toyota’s projected net income for the year ended March 31, may bolster the case for plaintiffs seeking compensation from the Japanese carmaker.

If you have been affected by the Toyota recall, you may have the grounds for a class action lawsuit. The Massachusetts class action attorneys at Phillips & Garcia would like to hear your stories about your experiences with Toyota Motor Corporation and will fight for your rights in your class action lawsuit. We are committed to protecting your best interests and helping you collect the damages you need and deserve to move on with your life. Contact Phillips & Garcia today to schedule your FREE legal consultation - (877) 892-5620.

Toyota Motors Fined Over $16 Million

Mon, 19 Apr 2010 08:00:00 EST

The Associated Press reports that Toyota Motors Corp. is expected to agree to a fine of more than $16 million for failing to promptly report to the federal government problems with sudden and unintended acceleration of its vehicles, a Transportation Department official said. Toyota, though, isn't expected to admit any wrongdoing in its management of the problems, but U.S. officials pledge to press the automaker further.

National Highway Traffic Safety Administrator, David Strickland, reportedly said that Toyota was "not truthful" with federal regulators. That lack of candor, according to Strickland, contributed to the largest auto safety fine ever proposed by the government. Strickland also criticized Toyota for failing to disclose a software upgrade on the 2010 Prius, and for taking "shortcuts" in its rapid growth.

In an article in The Detroit News, Strickland criticized Toyota for boasting in a July internal memo that it had saved more than $100 million, by limiting a sudden acceleration recall in 2007 to just 55,000 floor mats. "That $100 million savings has just now cost them billions," Strickland said, in lost sales, repair costs and potential lawsuits.

While the fine may seem small in relation to the billions of dollars that Toyota is worth, the comments made by U.S. Transportation Secretary, Ray LaHood, could prove to be much more costly in the dozens of civil individual and class action lawsuits against Toyota. LaHood said in a statement that, “we now have proof that Toyota failed to live up to its legal obligations. Worse yet, they knowingly hid a dangerous defect for months from U.S. officials and did not take action to protect millions of drivers and their families.”

If you have been affected by the Toyota recall, you may have the grounds for a class action lawsuit. The Massachusetts class action attorneys at Phillips & Garcia would like to hear your stories about your experiences with Toyota Motor Corporation and will fight for your rights in your class action lawsuit. We are committed to protecting your best interests and helping you collect the damages you need and deserve to move on with your life. Contact Phillips & Garcia today to schedule your FREE legal consultation - (877) 892-5620.

Banks Continue to Foreclose During Loan Modification Process Despite Treasury Rules

Mon, 19 Apr 2010 08:00:00 EST

After the Treasury rolled out Supplemental Directive 10-02, we questioned whether the servicers and lenders would stop foreclosing during the loan modification process. We have received our answer. Lenders are still foreclosing during the loan modification process despite language in Supplemental Directive 10-02 which expressly forbids lenders, who are participating in the federal program, from foreclosing until the loan modification process had been completed.

In March, the Treasury exhorted lenders for foreclosing during the loan modification process. Supplemental Directive 10-02 expressly forbids lenders from foreclosing during the loan modification process:

"A servicer may not refer any loan to foreclosure or conduct a scheduled foreclosure sale unless and until at least one of the following circumstances exists:
The borrower is evaluated for HAMP and is determined to be ineligible for the program; or
The borrower is offered a trial period plan, but fails to make a trial period payment by the last day of the month in which such payment is due; or
The servicer has established right party contact, has sent at least two written requests asking the borrower to supply required information in accordance with this Supplemental Directive and has otherwise satisfied the Reasonable Effort solicitation standard, and the borrower failed to respond by the dates indicated in those requests; or
The servicer has satisfied the Reasonable Effort solicitation standard without establishing right party contact; or
The borrower or co-borrower states he or she is not interested in pursuing a HAMP modification and such statement is reflected by the servicer in their servicing system."

We are still receiving complaints by borrowers that their lenders are foreclosing during the loan modification process. I suspect lenders will continue to ignore the HAMP guidelines until a federal court judge decides whether or not a lender participating in HAMP has to strictly adhere to the temporary loan modification contract and the HAMP guidelines.

Lawsuits Target Sloppy Loan Modification Programs

Mon, 19 Apr 2010 08:00:00 EST

We have been reporting here about the sloppy practices of many servicers participating in HAMP, the federal loan modification program. We have received many reports of servicers failing to call borrowers back, repeatedly losing the paperwork submitted by borrowers and being stuck in the purgatory of the servicer's automated phone system.

Ohio's Attorney General, Richard Cordray has decided that the citizens of Ohio have had enough. As reported by on the site TheFreeLibrary.Com, AG Cordray has filed at least two lawsuits against servicers for consumer protection violations arising from their management of their loan modification programs. As noted in TheFree Library.Com article: " The new lawsuit alleges that American Home Mortgage Servicing Inc. 'required loan-modification agreements that forced consumers to pay excessive fees and waive their rights in order to get help. The suit also alleges that the terms of loan modifications were unconscionably one-sided in favor of AHMSI.'"

The Ohio AG's lawsuits are part of a wave of lawsuits challenging lenders and servicers for alleged sloppy practices in their loan modification programs. As we have mentioned here, the federal loan modification guidelines prevent a servicer or lender from charging up-front fees to request a loan modification and also require the waiver of late fees both before and during the loan modification process.

We will keep track of the Ohio AG's cases and applaud his efforts to make sure that the consumers of Ohio get their money's worth for the TARP funds which taxpayers provided for bank bail-outs.

Don't Be a Victim of Bank Overdraft Fees

Thu, 15 Apr 2010 08:00:00 EST

It is estimated that in 2009, big banks made between $27 billion and $38 billion by charging Americans overdraft fees on accounts. This happens when a bank lends you money to make a purchase, because you've spent more than you had in your account. Unfortunately, it doesn't matter whether you've gone 50 cents or $50 over the balance of your account, if you spend more than you have, it will cost you (on average) an "overdraft fee" of around $35.

The tricky thing is that the banks don't ask you whether or not you even want overdraft protection on your bank account. If you have a checking account, then it is usually automatically provided. The banks actually want you to overdraft your account, because it turns them a hefty profit. If in one day you make several transactions from an over-drafted account, you will be charged a fee for every single purchase that you make.

Fortunately, new laws have been approved to protect us against this unfair practice, but they won't take affect until later this year. Meanwhile, there have been more than a few overdraft-fee-related class action lawsuits. If you have been a victim of this kind of practice, you can learn about your rights and even fight the fees with the help of a Massachusetts class action attorney.

To learn more about unfair bank overdraft fees, visit our article library.

The attorneys at Phillips & Garcia will fight for your rights in your bank overdraft fee class action lawsuit. We are committed to protecting your best interests and helping you collect the damages you need and deserve to move on with your life. If you have been treated unfairly or been a victim of unfair bank overdraft fees, contact Phillips & Garcia today to schedule your FREE legal consultation - (877) 892-5620.

New Rules Coming for Bank Overdraft Fees

Thu, 15 Apr 2010 08:00:00 EST

If you have a checking account, then chances are that at some point you have drawn over the balance of your account. And if you have, then you probably paid a bank overdraft protection fee. In recent years, this has been a very profitable way for big banks to make their money. Soon, the rules will change regarding these overdraft protection fees.

With the signing of the Credit Card Law of 2009, President Barack Obama has made it so that banks cannot automatically provide an overdraft protection program. Beginning this year, banks will have to inform their customers first, and give them a chance to accept the protection, or opt-out of it altogether.

If you choose to opt-out of the overdraft protection program, spending more than you have in your account will no longer be possible. Any purchases not covered by your funds will automatically be denied. You can, however, opt back into the program at any time you choose. At this point, your bank will look to charge you an overdraft protection fee.

For new accounts, these rules will go into effect as of July 1, 2010. They will begin to apply to existing accounts as of August 1, 2010. But in the meantime, banks continue to charge these unfair bank overdraft fees. If you have been a victim of these charges, you may have a case for legal action.

To learn more about unfair bank overdraft fees, visit our article library.

The attorneys at Phillips & Garcia will fight for your rights in your bank overdraft fee class action lawsuit. We are committed to protecting your best interests and helping you collect the damages you need and deserve to move on with your life. If you have been treated unfairly or been a victim of unfair bank overdraft fees, contact Phillips & Garcia today to schedule your FREE legal consultation - (877) 892-5620.

More Wrongful Foreclosures and Home Seizures Predicted

Thu, 15 Apr 2010 08:00:00 EST

Business Week online recently reported that foreclosure filings for the first quarter of 2010 rose 16% from 2009 and lenders are stepping up efforts to take the homes of delinquent borrowers.

An even more alarming statistic is that bank repossessions rose to 257,944 in the first quarter of this year. As we have reported, the bank foreclosure industry is one of the few booming industries in this down economy. The servicers, lenders and their "trash-out" companies have had a difficult time handling the increased volume of foreclosures and repossessions. Disorganization, sloppy work and a lack of due diligence have lead to a great number of wrongful foreclosures. We have seen lenders foreclose on the wrong home, foreclose on a home they just sold to a homeowner for cash and foreclose on mortgages that had long been paid off.

Homeowners need to be diligent about reading all the mail that they receive from a lender or a servicer. You may think that an envelope from Bank of America, Wells Fargo or CitiMortgage is junk mail because you have no loan with them, but don't be so sure. At least one client of ours claims that Bank of America has been trying to foreclose on her despite the fact that she never had a loan with Bank of America and that the loan Bank of America was claiming it owned had been paid off.

Homeowners need to be diligent about their finances and read their bank statements. A little caution could go a long way to catching a wrongful foreclosure in its early stages. If you are a victim of a wrongful foreclosure or illegal seizure and trash-out of your home, you need to take aggressive action. We have not seen a lender yet who has responded quickly to a homeowner complaint of a wrongful foreclosure. We have experienced quite the contrary, as lenders and servicers shuffle homeowner complaints from one customer service representative to another with no resolution of the problem.

Legal Help for Wrongful Foreclosure and Seizure in Any State. Phillips & Garcia, P.C., a leading law firm in wrongful foreclosure and seizure cases, is now taking cases in any state where there has been a wrongful foreclosure, lock-out and trash-out of a borrower's home. Although we are licensed in Massachusetts, weassociate with a qualified attorney in your state.

Complaints About Citi Bank Mortgage Denying Permanent Loan Modifications

Thu, 15 Apr 2010 08:00:00 EST

We have been receiving complaints to our office about Citi Bank Mortgage's delay in processing loan modification requests and then denying permanent loan modifications after borrowers have complied with all payments under a temporary loan modification agreement. These complaints are similar to the complaints we have been hearing about Bank of America and Wells Fargo.

In the Citi complaints we have heard and are investigating, the borrowers signed temporary loan modification agreements. They made the three temporary loan modification payments on time, but Citi did not provide them with a permanent loan modification. In one instance, the borrower continued to pay the temporary loan modification payment for four more months.

One of the troubling aspects to these complaints is that neither borrower received a written denial of their loan modification stating a reason why Citi failed to make their temporary loan modification agreement permanent. Calls to Citi were fielded by a series of customer service representatives who gave differing answers to the borrower's question of why the loan modification had not been made permanent.

Lenders and servicers are not listening to borrower complaints. The homeowners we talk to every day tell the same story of being placed on hold for literally hours only to be passed from one bank representative to another with a different answer coming from each representative. Complaints that do get escalated fair little better.

Borrowers need to resort to filing individual and class action lawsuits in federal court to put these important issues before federal judges. Can lenders and servicers violate HAMP guidelines with impunity? Can investor guidelines trump the HAMP loan modification guidelines? Is it a violation of state consumer protection statutes for a lender to fail to comply with federal loan modification guidelines? These questions need to be answered by the courts.

For us, the answer is simple: the banks were bailed out with taxpayer dollars and should be complying with the HAMP guidelines.

Legal Help for Wrongful Foreclosure and Seizure in Any State. Phillips & Garcia, P.C., a leading law firm in wrongful foreclosure and seizure cases, is now taking cases in any state where there has been a wrongful foreclosure, lock-out and trash-out of a borrower's home. Although we are licensed in Massachusetts, weassociate with a qualified attorney in your state.

Beware of UCR Rate Reductions

Wed, 14 Apr 2010 08:00:00 EST

If you keep up with insurance industry news you may have heard the fuss about something called UCR rate reductions. The protest is because the big insurers have found another way of ripping their customers off. In the industry, the term UCR stands for "Usual, Customary, and Reasonable" fees, and is basically a way for insurers to estimate an average cost of medical care in a specific location.

But the trouble comes when your insurer gets their average numbers by using whatever data they choose, and then low-balling the general cost of care. By doing this, your insurer will determine the maximum amount of your payable benefits. By intentionally underestimating costs, they are reducing the amount of money they will have to pay you.

This practice has come under much scrutiny lately and the big insurers are on the defensive. It has been especially under fire in the state of New York, where in 2009, the State Attorney General lead a campaign that resulted in several class-action lawsuits.

And while new legislation by President Obama's administration is meant to protect consumers from insurer abuses, UCR rate reductions remain all-too-common. The best way to protect yourself against a rogue insurer is to know your rights. For legal advice, contact a Massachusetts class action attorney with experience and knowledge in UCR rate reduction cases.

For more information on out-of-network fees and insurance rate reductions and overcharges, visit our library.

The attorneys at Phillips & Garcia will fight for your rights in your health insurance class action lawsuit. We are committed to protecting your best interests and helping you collect the damages you need and deserve to move on with your life. If you have been treated unfairly or been a victim of insurance claim denials or overcharges, contact Phillips & Garcia today to schedule your FREE legal consultation - (877) 892-5620.

What are out-of-network fees?

Wed, 14 Apr 2010 08:00:00 EST

In the insurance industry, the term out-of-network refers to a medical care provider who has not been authorized by your health insurer. This doesn't reflect anything about the quality of out-of-network care, it simply means that a medical provider is not part of your specific insurer's covered "network" of providers.

Reasons you may choose an out-of-network medical provider include emergency situations or for the specialized services they provide. While most big insurers will still give coverage for out-of-network fees, they usually reduce the amount of benefits that they will pay in such cases.

Issues with out-of-network care have arisen lately due to a practice known as UCR rate reductions. This can occur when an insurer will intentionally underestimate the average cost of medical fees. By doing this, insurance providers have been shortchanging their customers on the benefits they deserve.

For instance, by estimating the cost of a $300 procedure at $225, an insurer will only pay benefits on a percentage of the $225. This leaves medical patients with the responsibility of making up a bigger difference in the bill. This has been a common occurrence in recent years with regards to out-of-network fees. In response to this practice, class action lawsuits have been filed against big insurers throughout the United States.

For more information on out-of-network fees and insurance rate reductions and overcharges, visit our library.

The attorneys at Phillips & Garcia will fight for your rights in your health insurance class action lawsuit. We are committed to protecting your best interests and helping you collect the damages you need and deserve to move on with your life. If you have been treated unfairly or been a victim of insurance overcharges, contact Phillips & Garcia today to schedule your FREE legal consultation - (877) 892-5620.

BOA Wrongful Foreclosure On Old, Paid Off Loan

Mon, 12 Apr 2010 08:00:00 EST

In a recent blog we discussed the most common types of wrongful foreclosures. We have to add a new one to the list. We are representing borrowers in cases where banks are trying to foreclose on loans that have already been paid off in full. Loans are coming back from the dead to haunt hardworking homeowners.

In one case, the homeowner had refinanced with now defunct Taylor, Bean and Whitaker, paying off TBW's affiliated bank Colonial Bank (also now closed). The wire transfer showed the pay-off of over $80,000. The homeowner started making payments on the new loan, which was with Platinum Community Bank, another bank which was taken over by the FDIC in 2009.

Over seven months ago, Bank of America started sending letters to the homeowner indicating that she was behind on the paid-off Colonial Bank loan. For over seven months, the homeowner reports that she wrote letter after letter to BOA and called them constantly to tell them that her former Colonial Bank loan had been paid off. She even provided BOA with evidence of the wire transfer paying off the loan. BOA still proceeded to foreclosure and has scheduled an auction date in June.

We've been hired to help stop the foreclosure. Homeowners need to read every letter they receive from any lender. Had our client ignored the letters she received from BOA, she would be in a much worse position. Borrowers also need to be diligent about creating a paper trail of complaints to the servicer and lender that can be used in a later court case.

Legal Help for Wrongful Foreclosure and Seizure in Any State. Phillips & Garcia, P.C., a leading law firm in wrongful foreclosure and seizure cases, is now taking cases in any state where there has been a wrongful foreclosure, lock-out and trash-out of a borrower's home. Although we are licensed in Massachusetts, weassociate with a qualified attorney in your state.

Wells Fargo Wrongfully Forecloses on Georgia Couple

Mon, 12 Apr 2010 08:00:00 EST

FirstCoast News 12 reported another wrongful foreclosure in Kingsland, Florida involving Wells Fargo. This case is particularly problematic because the homeowner, Tom Bloomer, has no loan with Wells Fargo. Wells Fargo apparently had a loan with the prior owner of the house and is claiming that it gets to foreclose on the Bloomers' home because of a small debt owed by the prior owner of the house.

The Bloomers bought their home in the typical fashion. The title to their new home was researched and certified as being clear of any liens. They signed all the required loan documents and started making payments to their new bank, Bank of America. The Bloomers are up to date on their loan with BOA. They first started getting concerns when they saw people driving by and taking pictures of their house. There are no reports that they ever received any foreclosure notices. Without proper notice, they were lucky to figure out that their home was in foreclosure.

It appears as though the title insurance company for BOA has brought a lawsuit against Wells Fargo to extinquish Wells Fargo's claimed lien. In the mean time, the Bloomers, who work hard and pay their bills on time, are caught in the middle and are afraid they will lose their home.

Legal Help for Wrongful Foreclosure and Seizure in Any State. Phillips & Garcia, P.C., a leading law firm in wrongful foreclosure and seizure cases, is now taking cases in any state where there has been a wrongful foreclosure, lock-out and trash-out of a borrower's home. Although we are licensed in Massachusetts, weassociate with a qualified attorney in your state.

Fair Class Action Lawsuit Settlement

Sat, 10 Apr 2010 08:00:00 EST

After months of paperwork, litigation, and testimony, your class action lawsuit has finally arrived at the settlement phase. You have the right to know what's fair and when to raise questions when offered a settlement. An experienced Massachusetts class action attorney can examine your claim and decide whether you've been presented with a fair class action lawsuit settlement.

A fair class action lawsuit settlement is one that compensates members in a method and scope appropriate to their complaint. In the case of a credit card company that has inflicted consumers with wrongful interest rate hikes or charges, the settlement should:

Replace money lost by the consumer;
Take into account other penalties that were assessed to the consumer as a result of the rate increase; and
Affect a change in company policy, wherein consumers will no longer suffer the monetary wrong.

In the case of a broader complaint, such as the polluting of a river near a factory, a fair class action lawsuit settlement should fix the issue at hand with positive benefit. While the members of the class may not receive tangible compensation in this case, ceasing the current polluting methods and enacting a cleanup effort for the river would stop the complaint and rectify the damage done to the river, resulting in a fair class action lawsuit settlement.

Read our full article for more information on fair class action lawsuit settlements and how a Massachusetts class action attorney can help.

The class action attorneys at the law firm of Phillips & Garcia are interested in hearing your story. If you feel you are among a group of consumers with a valid complaint against another party and want due compensation for your damages, contact the Massachusetts class action attorneys at Phillips & Garcia today for a FREE consultation - (877) 892-5620.

Proper Filing Procedure for a Massachusetts Wage or Hour Violation Dispute

Sat, 10 Apr 2010 08:00:00 EST

Most Massachusetts wage and hour violation disputes begin with the employee filing a complaint form with the Massachusetts Attorney General. Both the non-payment of wages form and the prevailing wage form require several pieces of information from you including:

Your employer's complete name and address;
Type of work performed;
Amount of wages owed and rate of pay;
Exact dates worked that you feel you are owed wages for;
Date you made a personal demand for your wages and your employer's response;
Copies of your pay stubs;
Copies of employer's vacation, overtime, holiday and other hour-related policies; and
Any additional information clarifying your claim.

The more information you can provide clarifying your situation the better your chances are of quickly clearing up the wage and hour violation dispute.

Once the complaint is received at the Attorney General's office, it will be reviewed and an appropriate course of action will be taken. In some cases, the Attorney General's office will seek restitution for unpaid wages on your behalf. In others a citation will be issues to your employer.

Criminal charges may also be filed against your employer, depending on the nature of the wage or hour violation dispute.

You also may be issued a private right of action, meaning you can bring a lawsuit against your employer to recover your unpaid wages. In this case, you will want to obtain the help of an attorney experienced in Massachusetts hour and wage violation disputes to help with the litigation.

Read our article on triple damages in wage and hour violation disputes for more information.

To speak to an attorney about your Massachusetts class action wage and hour dispute, contact the Massachusetts class action attorneys at Phillips & Garcia today for a FREE consultation - (877) 892-5620.

When to File a Wage & Hour Class Action Lawsuit

Sat, 10 Apr 2010 08:00:00 EST

When you began working at your job, your employer may have warned you against discussing your salary or wages with other employees. This procedure is normally mentioned to avoid conflict between the pay rates of various levels of employees due to positions or longevity.

However, in the event you question the fairness of your own wages or reporting of hours, you may not be alone. Unfair practices in this area may be good cause for a wage and hour class action lawsuit. To do this, you will need the help of a Massachusetts class action attorney.

If you are considering filing a complaint with the Massachusetts Attorney General for a wage or hour violation, mention it to your co-workers. They may be experiencing the same problems.

If you're finding a common thread among your co-workers regarding similar withholding of wages or improper payment on hours, you should consider filing a class action lawsuit with a Massachusetts class action attorney experienced in wage and hour disputes. The voice of one employee may only solve that individual case and leave your fellow workers to suffer on their own.

A class action lawsuit over a wage and hour violation can not only recover the wages for all employees involved, but also help deter that employer from future improper conduct.

A successful class action lawsuit for wage and hour violations is eligible to receive triple damages in wage and hour disputes.

To speak to an attorney about your Massachusetts class action wage and hour dispute, contact the Massachusetts class action attorneys at Phillips & Garcia today for a FREE consultation - (877) 892-5620.

CA Tax Breaks For Homeowners Who Have Experienced Foreclosure

Fri, 09 Apr 2010 08:00:00 EST

April 9, 2010 - California - While many programs aim to prevent foreclosure, a new measure in California aims to help homeowners who have experienced foreclosure, including those who were victims of wrongful bank foreclosure or illegal foreclosure.

According to The Los Angeles Times, the state legislature on Thursday approved a bill that would forgive state taxes on foreclosed homes or short sales. About 34,000 people will be affected by this bill, which may allow financially-strapped homeowners to begin piecing their lives back together after a foreclosure. Without it, many Californians would likely be stuck owing $1,000s on property they no longer own or occupy.

Gov. Arnold Schwarzenegger has already claimed that he would sign the measure in order to provide much-needed relief to thousands of California homeowners. Residents of the state can use this tax break for this year's filing season, though they were already allowed to do so on their federal return. California will lose about $34 million in revenue over the course of 3 years because of this measure.

While it's exciting to know that relief is being provided for some California homeowners, the threat of wrongful bank foreclosure-wherein a bank or lender uses illegal methods to wrongfully seize a property that is not technically in foreclosure-remains a threat in California and the rest of the country.

The Massachusetts wrongful foreclosure attorneys at Phillips & Garcia will fight for your rights in your foreclosure case. We are committed to protecting your best interests and your family's home and helping you collect the damages you need and deserve to move on with your life. Contact Phillips & Garcia today to schedule your FREE legal consultation - (877) 892-5620.

CA Bill Could Help Homeowners Fight Wrongful Bank Foreclosure

Fri, 09 Apr 2010 08:00:00 EST

April 9, 2010 - California - Two proposed bills may help homeowners in California to fight back against the threat of losing their homes in wrongful bank foreclosure.

According to San Jose Mercury News, a bill was recently advanced by the California Senate Banking, Finance and Insurance Committee that would aim to prevent banks from being able to unexpectedly foreclose on homeowners.

One provision in the bill, known as SB 1275, would require all lenders in the state to finish the loan modification process with each borrower before resorting to initiating the foreclosure process.

Many homeowners whose property is upside-down assume they are doing the right thing by attempting to get their loan modified by their lenders. Meanwhile, some banks will allow homeowners to believe that the loan modification has been set into motion, when in actuality, the bank has begun the process of a wrongful foreclosure. The proposed bill may prevent banks and lenders from being able to do this to unsuspecting homeowners.

The second provision would offer some recourse for those whose homes are foreclosed upon in error. There have been numerous cases of lenders foreclosing on the wrong property, yet they are seldom held accountable for these mistakes. The proposed bill will offer more power to homeowners who have been the victim of wrongful bank foreclosure.

The Massachusetts wrongful foreclosure attorneys at Phillips & Garcia will fight for your rights in your foreclosure case. We are committed to protecting your best interests and your family's home and helping you collect the damages you need and deserve to move on with your life. Contact Phillips & Garcia today to schedule your FREE legal consultation - (877) 892-5620.

Are You Eligible for a Loan Modification Under HAMP?

Fri, 09 Apr 2010 08:00:00 EST

April 9, 2010 - The Home Affordable Modification Program (HAMP) is designed to help distressed homeowners avoid foreclosure by modifying their home loans. If you are facing a foreclosure, how do you know if you are eligible for HAMP? Here's what you need to know about HAMP eligibility, directly from MakingHomeAffordable.gov.

The home in question must be your principal residence. This is designed to ensure that people don't take advantage of the HAMP program to obtain a loan modification on a vacation home or second residence.
The value of your mortgage must be less than $729,750.
You must have trouble paying your monthly mortgage payments. Most homeowners will have to provide proof documenting that there has been a change in their circumstances, either due to rising monthly payments from an adjustable-rate mortgage or a job loss. Those who have recently had an increase in medical bills may also qualify.
The closing date on your mortgage must be before January 1, 2009.
Your monthly payment must be more than 31% of your monthly income. This is another way that the HAMP program assures that funding goes to those who really need it, and not those just wishing to save some money on their mortgage payments.

What You Need to Know About HAFA

Fri, 09 Apr 2010 08:00:00 EST

April 9, 2010 - What is HAFA? The Home Affordable Foreclosure Alternatives (HAFA) program is designed to help prevent foreclosures by offering incentives to lending institutions that process short sales or a deed-in-lieu of foreclosure. A short sale occurs when a homeowner sells their home for less than what they owe on their mortgage (which must be approved by the lender). In a deed-in-lieu of foreclosure, homeowners transfer the deed on their house to the lending institution.

Who is eligible for HAFA? Distressed homeowners at risk of losing their home in a foreclosure may be eligible for HAFA if they meet several criteria, according to MakingHomeAffordable.gov. The program is designed for those who are not eligible for the Home Affordable Modification Program (HAMP), which focuses on loan modifications, or those who failed to complete the mandatory three-month trial period for that program. Homeowners who miss at least two mortgage payments after receiving a loan modification may also be eligible. You can also participate in the HAFA program by requesting it from your lender.

What are the benefits of HAFA? If you elect to participate in the HAFA program, you can receive $3,000 to assist with relocation to different residence.

New Report Reveals Distressed Home Sales Rising

Fri, 09 Apr 2010 08:00:00 EST

April 9, 2010 - A report released on Thursday shows that distressed sales make up a significant number of home sales in the United States. According to reports at DSNEWS.com, nearly 30% of home sales in January were short sales or what is known as REO sales.

REO, or real estate owned, sales occur when a lending institution sells a home that it has acquired through a foreclosure. In a short sale, the homeowner sells their home for less than what they owe on their mortgage, which must be approved through the lender.

The report was released by First American CoreLogic. According to its statistics, the number of distressed home sales in January is the second-highest monthly number in history. The highest number of distressed home sales came in January 2009, when 32% of all home sales were REO or short sales.

In some particularly hard-hit areas, distressed sales make up a majority of all home sales. Riverside, Calif., Las Vegas, Nev., and Sacramento, Calif. all have distressed sales that total around 60% of total home sales.

Bank of America Sued for Violating HAMP Guidelines

Fri, 09 Apr 2010 08:00:00 EST

April 9, 2010 - Bank of America is facing a class-action lawsuit in federal court filed by angry homeowners. According to reports at The Courthouse News Service, Suzanne and Greg Bayramian are suing Bank of America, alleging that the lending institution failed to follow the guidelines governing the Home Affordable Modification Program (HAMP). HAMP is a billion-dollar effort to prevent foreclosures by giving banks incentives to modify the loans of distressed homeowners.

According to the lawsuit, Bank of America is not responding to repeated requests for loan modifications under the HAMP program. The guidelines specify that lending institutions must evaluate a homeowner's request for a loan modification and cannot process a foreclosure during that evaluation process. The Bayramians allege that Bank of America told them that the HAMP program was not up and running yet, even though it was months after Bank of America joined the program.

As of now, the Bayramians still have not been told if they can apply for a loan modification through the HAMP program and they do not if they will lose their home to a foreclosure.

Examples of Unfair Class Action Lawsuit Settlements

Fri, 09 Apr 2010 08:00:00 EST

You and the members of your class action lawsuit have finally received a settlement offer. At this point, there are many pitfalls you can face in accepting the terms of the settlement, including inappropriate compensation, questionable release terms and unreasonable Massachusetts class action attorney fees.

A fair class action settlement should fairly and adequately compensate class members by providing an award equal to the damages incurred and/or offering a repair that will prevent future damages.

In some cases, there may be questionable release terms to be signed before coming to a fair class action settlement. These terms often mask more serious issues and prevent the class from bringing further suits.

For example, say that a bank has a class action lawsuit filed against them for improper debit card charges resulting in overdraft fees. They require class members to sign a waiver saying that the suit covers "all claims related to overdraft fees," knowing that probing into the debit card charges may reveal illegal rate hikes that would bring a more critical case to light.

In addition, the attorney fees involved in a case should be appropriate to the size and scope of the case. Your Massachusetts class action attorney should be upfront about their fees and never seek payment until after a settlement is reached.

A Massachusetts class action attorney should also be careful of the amount they demand. This is because the class may be responsible for paying these fees without receiving any monetary compensation of their own.

For more information about fair class action settlements, read our article, Determining a Fair Settlement in a Class Action Lawsuit. If you feel the need for professional consultation on your class action lawsuit settlement, contact the Massachusetts class action attorneys at Phillips & Garcia today for a FREE consultation - (877) 892-5620.

What to Do On The Day Of Your Independent Medical Exam

Thu, 08 Apr 2010 08:00:00 EST

Your Massachusetts personal injury lawyer has informed you that you must undergo an independent medical exam. The day of your IME has now arrived. How should you handle it?

Suggestions for Handling Your Independent Medical Exam

Stay calm and focused. Don't think of this as a test that you have to pass. Relax and treat the exam as you would any normal doctor's appointment.
Be punctual. Try to arrive at least 15 minutes early for your scheduled meeting. Being late for your independent medical exam may reflect poorly on you and your injury claim.
Bring documentation. Be sure to have with you all relevant medical documentation from your initial medical evaluation. This may include test results, X-rays, treatment recommendations, and any other notes from previous doctor visits concerning your accident injuries.
Be forthcoming. Tell the examining doctor all about your pain, injuries, and disabilities. Also point out the effects that they have on your daily routine and overall health.
Be truthful. Whatever happens, do not lie about your health or injuries or exaggerate their effects. This may lead the doctor to suspect fraud, which could have damaging implications for your Massachusetts personal injury lawsuit.
Be discreet. There are certain topics which should not be spoken about during your independent medical exam. These include previous discussions with your attorney, the status of your case or settlement talks, possible compensation amounts, and your thoughts on the fault or liability of the defendant.

Learn more about what to expect from an independent medical examination by visiting our library.

Legal Representation for your Massachusetts Personal Injury Lawsuit

The Massachusetts personal injury attorneys at Phillips & Garcia will fight for your rights in your personal injury case. We are committed to protecting your best interests and helping you collect the damages you need and deserve to move on with your life. If you have been injured in a Massachusetts accident, contact Phillips & Garcia today to schedule your FREE legal consultation - (877) 892-5620.

What can I expect during an independent medical exam?

Thu, 08 Apr 2010 08:00:00 EST

You have been instructed to undergo an independent medical examination as a condition of your personal injury lawsuit. Your attorney has probably told you to think of this exam as just another doctor's appointment. But what exactly will the IME physician be looking for?

Below are some key areas which the examining doctor will be studying.

Overall Appearance

This may include how you stand or move, how you maintain your personal hygiene, and how hard it is for you to climb up onto and dismount from the examining table.

Injury Documentation

This will typically encompass X-rays, CT scans, MRI reports, and EMG nerve conduction studies, as well as the results of any tests performed during your initial doctor's visit.

Subjective Injury Manifestations

The doctor may have you perform several simple movements (such as bending over or rotating your shoulder) to gauge the amount of pain or discomfort you are experiencing.

Additional Contributory Factors

The physician may attempt to discern any additional ailments, diseases, or other sources which may be causing your pain or injury symptoms - especially those which may have occurred before or after your accident.

Signs of Fraud

The examining doctor will be hyper-vigilant in watching for any signs of deception, exaggeration, or misinformation regarding your symptoms. This is why you should be completely honest and forthcoming throughout the examination. If you aren't, the doctor may conclude that your claim is fraudulent - which can dramatically affect the outcome of your personal injury lawsuit.

Learn more about what to expect from an independent medical examination by visiting our library.

The Massachusetts personal injury attorneys at Phillips & Garcia will fight for your rights in your personal injury case. We are committed to protecting your best interests and helping you collect the damages you need and deserve to move on with your life. If you have been injured in a Massachusetts accident, contact Phillips & Garcia today to schedule your FREE legal consultation - (877) 892-5620.

Retired Mass. Deputy Suffers Common Loan Modification Problems

Thu, 08 Apr 2010 08:00:00 EST

April 8, 2010 - A former Massachusetts resident, who served the public as a sheriff's deputy, is experiencing problems with the loan modification process similar to those suffered by homeowners across the country. According to reports at The Citizen of Laconia, 61-year-old Stephen Mann, who now lives in New Hampshire, is at risk of losing his home after a series of loan modification nightmares.

Mann's troubles began in March 2009, when he attempted to secure a loan modification through the federal government's Home Affordable Modification Program (HAMP). Under HAMP, homeowners at risk of foreclosure can see reduced monthly payments or principal as long as they agree to certain conditions. It had become hard for Mann to make his payments after he encountered medical problems and his wife left.

Like many homeowners, Mann submitted the proper paperwork to his mortgage lender and waited. When he still hadn't received a response six weeks later, he called the bank, which told him they never received the forms. He faxed the forms again. Six weeks later, he received the same response from the bank -- they didn't receive the paperwork.

In the meantime, he received a notice of foreclosure on his home. Stephen Mann's story is incredibly common around the country, and reports indicate that banks commonly say they didn't receive paperwork as a delay or stall tactic. If you are encountering the same behavior, contact an experienced Massachusetts consumer protections attorney right away.

BOA Failing to Credit Mortgage Payments?

Thu, 08 Apr 2010 08:00:00 EST

We are receiving more and more calls to our office from borrowers regarding the failure of banks to honor loan modification agreements. We have also started to receive calls complaining that BOA has been failing to timely and properly credit borrower loan payments. Borrowers loans have been sold off within the banking industry so many times, servicers can no longer perform the simple task of processing a mortgage payment.

Given the terrible customer service at BOA, other banks and their servicers, borrowers are having a difficult time getting a hold of anyone at the servicer who will listen and then fix the problem. The complaints we have been hearing involve servicers failing to credit payments on time and the failing to credit payments at all. In one case the borrower had two loans with but the bank only credited payments to one loan sending one into foreclosure.

These failures of the bank's servicers have dire consequences for borrowers. Borrowers are assessed late fees month after month and the bank makes negative reports to the credit bureaus. In extreme cases where the bank fails to credit payments made, it can lead to a wrongful foreclosure. Borrowers have to spend hours in phone hell with the bank's servicers with little relief.

Borrowers have rights under RESPA, the FCRA and the FDCPA. It is important that borrowers document their problems by sending letters (certified is best) to the servicer. Do not rely solely on the phone calls you make to the servicer. Borrowers need to also exercise their rights under RESPA, the FCRA and the FDCPA. The servicers and the credit bureaus may not properly respond to notices sent under these federal laws, however, borrowers always have the right to file a federal lawsuit to enforce these federal consumer protection laws.

JPMorgan Chase Facing Wrongful Foreclosure Lawsuit in Federal Court

Thu, 08 Apr 2010 08:00:00 EST

April 8, 2010 - JPMorgan Chase is facing a lawsuit from a homeowner who claims they were a victim of wrongful foreclosure. According to reports at the Courthouse News Service, the homeowners allege that representatives at JPMorgan Chase told them that they would not be eligible for a loan modification unless they were behind on their mortgage. The bank representative then instructed them to stop making payments on their home loan for 3 months, which would then qualify them for a loan modification.

The plaintiffs in the lawsuit, Faiz and Khadua Jahani, followed those instructions and stopped paying their mortgage for 3 months. Shortly after the Jahanis missed their first mortgage payment, Chase reported their delinquencies to the credit reporting agencies, which severely damaged their credit.

The Jahanis then received a foreclosure notice from Chase, even though they allege that the bank had specifically instructed them not to make their payments. When the Jahanis attempted to rectify the problem, Chase told them that it had not received their paperwork. This is a common stall tactic encountered by homeowners seeking loan modifications.

If you think you may be the victim of wrongful foreclosure, it's essential to contact an experienced Massachusetts consumer protection attorney who will fight for your rights.

Bank of America Promises Faster HAMP Processing

Thu, 08 Apr 2010 08:00:00 EST

April 8, 2010 - Consumers have reported a number of problems with the federal government's home loan modification program, known as the Home Affordable Modification Program (HAMP). Many homeowners at risk of foreclosure have reported that lending institutions delay or stall the process, which puts these consumers in a more precarious situation than they were before.

According to reports at The Charlotte Observer, Bank of America announced on Tuesday that they would speed up their processing of HAMP applications and respond more quickly to homeowners with questions about the process. The bank pledges to respond to homeowners at risk of foreclosure within 72 hours, although that will only be after unrolling the 72-hour response time to mortgage counselors. There's no word on when the 72-hour pledge will go into effect for consumers.

Bank of America is the largest bank in the United States, and it handles more than 20% of all mortgages in the country. While this effort to be more responsive is a step in the right direction, there are numerous problems with the HAMP program, many of them stemming from delays and stall tactics on behalf of the banking industry.

New Foreclosure Prevention Program Launched on Monday

Thu, 08 Apr 2010 08:00:00 EST

April 8, 2010 - Washington - The federal government launched its newest foreclosure prevention program on Monday, the Home Affordable Foreclosure Alternatives (HAFA) program. This initiative, which was originally announced back in 2009, is separate from the government's loan modification program, which has a similar name -- the Home Affordable Modification Program (HAMP).

Unlike HAMP, the Home Affordable Foreclosure Alternatives program focuses on getting homeowners out from under excessive mortgages rather than modifying those mortgages to make them more affordable. Under the HAFA program, homeowners at risk of foreclosure are encouraged to sell their home through a short sale or deed-in-lieu of foreclosure.

A short sale is when you take a loss on your home, essentially selling it for less than what you owe on your mortgage. In a deed-in-lieu of foreclosure, the homeowner transfers the deed to the lending institution, which can then sell the home to recoup its costs.

If an at-risk homeowner participates in the HAFA program, they may be eligible to receive $3,000 in relocation assistance, according to Realtor.org. Lenders who approve short sales or deed-in-lieu's can receive $1,500 per homeowner for their participation. The HAFA program will be active until the end of 2012.

New Foreclosure Statistics Released

Thu, 08 Apr 2010 08:00:00 EST

April 8, 2010 - Washington, D.C. - The foreclosure statistics for February of this year demonstrate that foreclosure continues to be a problem in the United States, despite the various federal programs that were designed to prevent foreclosures from happening.

According to PRWeb, there were about 6% more foreclosures in February 2010 than in February of 2009. On the plus side, this is the smallest comparative year-to-year increase in foreclosures since 2006.

Additionally, February's rate is actually 2% lower than that of January's foreclosure rate, which may signal a slow recovery in the housing market. Surprisingly, some states with the highest foreclosure rates in the nation have seen a decrease in borrowers losing their property, including Nevada, Arizona, and California.

On the other hand, the rate of foreclosure has risen in some states, including, Michigan, Florida, Illinois, Maryland and Utah.

These statistics do not clarify the numbers of homeowners who have suffered illegal or wrongful foreclosure, such as when a bank or lender forecloses on the wrong property, or forecloses on a property where the homeowner is current with loan payments.

The Massachusetts wrongful foreclosure attorneys at Phillips & Garcia will fight for your rights in your foreclosure case. We are committed to protecting your best interests and your family's home and helping you collect the damages you need and deserve to move on with your life. Contact Phillips & Garcia today to schedule your FREE legal consultation - (877) 892-5620.

Couple Sues Chase for Wrongful Bank Foreclosure

Wed, 07 Apr 2010 08:00:00 EST

April 7, 2010 - Washington, D.C. - Following in the footsteps of lenders like Bank of America, JPMorgan Chase is now being sued for wrongful bank foreclosure.

The Huffington Post reports that a California couple contacted Chase in December 2008 to let the lender know they were having trouble paying their loan. A representative reportedly told the homeowners to stop paying on their mortgage for at least 3 months, since the loan needed to be in default before they could qualify for a loan modification.

Three weeks after that conversation, the couple received a letter in the mail informing them of the pending foreclosure. When contacted again, Chase asked the couple to send paperwork over several months, leading the homeowners to believe they were working with the couple to resolve the issue. Meanwhile, people were knocking on the couple's door, asking about the house, which was being auctioned off unbeknownst to the homeowners.

The couple finally sought legal help in order to protect their home and property. They have filed a lawsuit, seeking $150,000 for fraud, breach of contract, violation of the Fair Credit Reporting Act, and predatory lending practices.

The plaintiffs are still unsure if the bank actually did foreclose on the property, as it is the lender's word against public records. The latter shows that the bank already foreclosed, but Chase officials maintain that they were working with the couple to prevent foreclosure.

If you have experienced anything like what happened to this couple, you may have the grounds for a bank foreclosure lawsuit. The Massachusetts wrongful foreclosure attorneys at Phillips & Garcia will fight for your rights in your foreclosure case. We are committed to protecting your best interests and your family's home and helping you collect the damages you need and deserve to move on with your life. Contact Phillips & Garcia today to schedule your FREE legal consultation - (877) 892-5620.

Subprime Loans Aren't the Only Cause for Home Foreclosure

Wed, 07 Apr 2010 08:00:00 EST

April 7, 2010 - Florida - One of the hardest-hit states for foreclosures has been Florida. Homeowners in the Sunshine State have dealt with a range of problems, from predatory lending practices to rising unemployment, both of which led to a rise in foreclosures across the board.

According to The Miami Herald, most struggling homeowners in Florida are the victims of more than one bad circumstance. While it's easy to assume that those considering foreclosure are simply locked into a subprime loan, in fact, many homeowners have lost a job and now have to contend with other issues, ranging from major illness to divorce. Recent reports show the unemployment rate and number of foreclosures have both risen steadily since 2007.

New statistics shed some light on the types of homeowners that have recently foreclosed in Florida. One quarter of them are college graduates, while almost 1/3 of the rest of homeowners have some college education. Almost 75% have children, and all but 8% are married.

The statistics did not specify whether the people experiencing foreclosure had done so because of organic reasons (job loss, buying more house than they can afford, etc.) or because of deceitful or illegal loan practices.

If you live in Florida, or anywhere in the United States, and you believe that your bank or lender has taken advantage of you, you may have the grounds for a bank foreclosure lawsuit. The Massachusetts wrongful foreclosure attorneys at Phillips & Garcia will fight for your rights in your foreclosure case. We are committed to protecting your best interests and your family's home and helping you collect the damages you need and deserve to move on with your life. Contact Phillips & Garcia today to schedule your FREE legal consultation - (877) 892-5620.

The Fair Debt Collection Practices Act Prohibits Illegal Debt Collection

Wed, 07 Apr 2010 08:00:00 EST

If you are being contacted by a lender or debt collection agency trying to collect a false debt-or any debt-you do have certain legal rights. The Fair Debt Collection Practices Act (FDCPA) spells out the regulations that must be followed by any entity that is trying to collect a debt from you.

Information about the Fair Debt Collection Practices Act

The FDCPA is enforced by the Federal Trade Commission, which is entrusted with protecting the rights of all American consumers. It protects you from illegal debt collection and covers debts incurred through:

Credit cards
Mortgages
Loans for automobiles or other expensive assets
Medical bills

The FDCPA does not oversee debts amassed by businesses.

How the FDCPA Protects You from Illegal Debt Collection

The FDCPA addresses numerous aspects of debt collection. But some of the rights you have under this legislation include protection from of illegal debt collection such as:

Being called at home before 8 a.m. or after 9 p.m.
Bill collectors continuing to hassle you after you have notified them in writing that the debt does not belong to you
Bill collectors continuing to harass you after you have demanded in writing that they cease all contact with you
Abusive or profane language by collection agencies (including threats of physical violence or harm)
False statements by collection agencies
Garnishment of wages without a court order
Garnishment of many types of federal benefits

If you feel that your rights have been violated under the Fair Debt Collection Practices Act, be sure to contact a consumer protection attorney or class action lawyer that specializes in fighting illegal debt collection. You may be able to file a debt collection class action lawsuit.

For more information about fighting false debt claims, visit our library.

The Massachusetts class action attorneys at Phillips & Garcia will fight for your rights in your false debt case. We are committed to protecting your best interests and helping you collect the damages you need and deserve to move on with your life. If you have been harassed by collection agencies over a false debt claim, contact Phillips & Garcia today to schedule your FREE legal consultation - (877) 892-5620.

Texas Man Sues Bill Collectors Who Commit Illegal Debt Collection

Wed, 07 Apr 2010 08:00:00 EST

Craig Cunningham is a Dallas man who has successfully sued numerous lenders and collection agencies for illegal debt collection practices. Cunningham has been so effective in his fight against illegal debt collection practices, that he has developed a strategy to address such consumer rights violations.

During the economic woes of the previous decade, Cunningham found himself being targeted by bill collectors and credit agencies. But after some research, he began educating himself about the rights and protections under the Fair Debt Collection Practices Act, the Fair Credit Reporting Act, and the Telephone Consumer Protection Act. Now, when collection agencies call him, he records the conversations and remains alert to any mistakes they make.

Cunningham's Successes

Cunningham has won compensation from bill collectors for violations including:

Threatening to garnish his wages or put a lien on his home (both of which are examples of illegal debt collection)
Misrepresenting the amount of debt he owes (accusing him of false debt)
Failing to investigate his claims of inaccurate information on his credit report
Using prerecorded or autodialed phone calls to collect debts

Many of these violations carry penalties of up to $1,500 per infraction. Altogether, Cunningham has filed 15 lawsuits in federal court which netted him a total of $20,000 in settlement compensation. All he did was learn the rules of the debt collection process and use existing legislation against illegal debt collection to protect his consumer rights.

For more information about fighting false debt claims, visit our library.

Contacting a Massachusetts Consumer Protection Lawyer

The Massachusetts consumer protection and class action attorneys at Phillips & Garcia will fight for your rights in your illegal debt collection case. We are committed to protecting your best interests and helping you collect the damages you need and deserve to move on with your life. If you feel you have been illegally harassed by collection agencies, contact Phillips & Garcia today to schedule your FREE legal consultation - (877) 892-5620.

Five Injured in Waltham Car Accident

Wed, 07 Apr 2010 08:00:00 EST

April 7, 2010 - Waltham - A serious car accident in Waltham left 5 people injured on Monday morning. According to reports at The Boston Channel, five people suffered personal injuries when 3 cars crashed into one another on Lexington Street.

The car accident occurred shortly before 8 a.m. on Monday. Police reports indicate that a driver in a Dodge Neon collided with a Jeep, which caused the Neon to crash into another car, causing multiple injuries. Two children, including a 14-year-old and 10-year-old, were among the injured, but their personal injuries are not considered non-life-threatening. The other victims are all adults. Several of the victims were treated for their accident injuries at Lahey Clinic. Newton-Wellesley Hospital also treated some of the crash victims. All of the injured are expected to survive.

Police have not released the identities of the victims, and their conditions are not immediately known. Troopers with the Waltham Police Department continue to investigate this serious crash to determine if any charges will be filed. More information about this car accident will be added when it becomes available.

HAFA Program Seeks to Prevent Foreclosure

Tue, 06 Apr 2010 08:00:00 EST

April 6, 2010 - San Diego, Calif. - The federal government has launched yet another program designed to prevent home foreclosures.

PRWeb reports Home Affordable Foreclosure Alternatives (HAFA) promotes short sales in lieu of home foreclosures, which may spare struggling homeowners from incurring the black mark on their credit report that is left by a foreclosure.

HAFA purportedly will offer lenders an incentive of $1,000 per short sale, and homeowners would get $1,500 for relocation purposes. Like any other foreclosure prevention program, there are some guidelines that every homeowner must meet.

The underwater property must be the primary residence, not an investment home. Additionally, the mortgage must have been initiated before 2009, the monthly payment must be at or greater than 31% of the homeowner's income, and the principal amount that is unpaid on it must not exceed $729,750. The home also has to either already be in default, or likely to be in default, such as when the homeowner is unemployed with no foreseeable income.

The program ends at the close of 2012, and any homeowner wishing to take advantage of it should find a realtor who has experience in short sales.

If your lender promised to work with you through one of the government sponsored foreclosure prevention programs, but then reneged on the deal and proceeded to file a wrongful foreclosure, you may need the help of an attorney. The Massachusetts wrongful foreclosure attorneys at Phillips & Garcia will fight for your rights in your foreclosure case. We are committed to protecting your best interests and your family's home and helping you collect the damages you need and deserve to move on with your life. Contact Phillips & Garcia today to schedule your FREE legal consultation - (877) 892-5620.

Thousands of Homeowners Seek Federal Flood Aid

Tue, 06 Apr 2010 08:00:00 EST

April 6, 2010 - Providence - Thousands of homeowners and businesses are hoping for assistance from the federal government after their communities were devastated by the recent flood. According to reports at The Boston Herald, more than 10,000 homeowners in Rhode Island have applied for assistance.

The number is lower in Massachusetts, where many residents escaped the severe flood damage seen in Rhode Island. Approximately 3,500 Massachusetts homeowners have applied for aid related to the flooding.

Assistance after a flood can take several forms. Most homeowners seek assistance from the Federal Emergency Management Agency, while businesses apply to the U.S. Small Business Administration.

The problem many flood victims are reporting, however, is that they need grants instead of loans in order to survive this latest round of flooding. Grants do not need to be paid back, while loans do. Some grants are available for home repairs, but most assistance comes in the form of low-interest loans.

Residents in the affected counties can begin the process of applying for flood aid by calling FEMA at 1-800-621-3362. Those with Internet access can sign up at FEMA.gov.

Route 44 Reopens in Taunton

Tue, 06 Apr 2010 08:00:00 EST

April 6, 2010 - Taunton - A major thoroughfare in Taunton that was closed for several days due to the flood has reopened. According to reports at Wicked Local Dighton, Route 44 and Dean Street were reopened late on Sunday after being closed for days.

This is good news for Taunton residents and others in the nearby area, who have been stranded at home and unable to get to work. Several local businesses told Wicked Local that they suffered extensive property damage in the flood. The damage was especially severe along Dean Street. These business owners report that they will need to replace nearly the entire contents of their offices, including office furniture, carpets and other fixtures.

Clean-up crews are also navigating the streets of Taunton to try to get things back to normal working order. Teams of sanitation workers are working on overflowed sewers and street sweepers are cleaning up debris on the roadways. Now that all the roads in Taunton are reopened, emergency management crews expect that the clean-up process will go smoothly.

More Than 3,000 Work to Clean Up Warwick Mall Damage

Tue, 06 Apr 2010 08:00:00 EST

April 6, 2010 - Warwick - Now that the flood waters have receded, clean-up teams are getting their first look at the work that awaits them at Warwick Mall in Rhode Island. According to reports at The Providence Journal, more than 3,000 people are working to clean up the mall and get it opened for consumers. That process will take weeks, if not months, due to the extensive damage sustained by the New England floods.

The management of Warwick Mall has enlisted the services of Servpro to manage the clean-up effort. Some retailers are using their own services. At the flood's peak, there were 22 inches of water inside the mall, according to Servpro estimates. Now the water has receded, but clean-up crews are faced with what was left behind -- mud, mold, and millions of dollars of damaged inventory that must be accounted for.

The mall hopes to be reopened within weeks, but management says that will depend on how soon the individual retailers are able to reopen. A few of those retailers were able to visit their stores on Monday.

How Massachusetts' Seat Belt Laws Differ from Other States' Laws

Tue, 06 Apr 2010 08:00:00 EST

Massachusetts is like almost every other state in that it has seat belt laws on its books. But how do Massachusetts' seat belt laws stack up against the rest of the country?

Primary vs. Secondary Seat Belt Laws

Before we explore this topic, we must identify the difference between primary and secondary seat belt laws. Primary laws mean that drivers can be pulled over for seat belt infractions. Secondary laws on the other hand, only allow police officers to issue seat belt citations if they have first ticketed a driver for a different infraction.

Massachusetts seat belt laws are secondary laws. A total of 30 states, the District of Columbia, and most U.S. territories have primary seat belt laws. Only Massachusetts' northern neighbor, New Hampshire, does not enforce any seat belt laws pertaining to adults.

Massachusetts seat belt laws state that the driver and all passengers in the vehicle must be wearing a seat belt or child restraint. In Massachusetts, any person 16 years and older may be ticketed for a seat belt violation (if anyone younger is unbelted, the driver can be fined). The maximum offense for a first-time seat belt violation is $25.

Only 15 other states have lower fines for violating seat belt laws. Conversely, initial fines are at least 3 times higher in 6 states, with Texas topping the list with a $200 maximum fine.

Learn more about Massachusetts seat belt laws by visiting our library.

Contacting a Massachusetts Car Accident Lawyer

If you have been seriously injured in a Massachusetts car accident, it's important to speak with a qualified attorney about your legal rights. Phillips & Garcia P.C., a law firm based in the SouthCoast of Massachusetts, takes time when speaking with you about your case and works with you on a contingent fee basis so there are NO FEES unless our trained personal injury lawyers wins your case. Call now to schedule a FREE evaluation of your case - 1-877-892-5620.

Effort to Strengthen Massachusetts Seat Belt Laws Stalls

Tue, 06 Apr 2010 08:00:00 EST

Currently under Massachusetts seat belt laws, anyone 16 years of age or older can be ticketed for failing to wear a seat belt while in a moving passenger vehicle. But some lawmakers in the Commonwealth are trying to strengthen the seat belt law even further.

State Senate Bill 950

Legislators wishing to strengthen Massachusetts seat belt laws are not targeting the fine amount or citation age requirements. Instead, State Senate Bill 950 would change the Massachusetts seat belt laws from a secondary enforcement status to one of primary enforcement.

Right now, the state's secondary seat belt law only permits law enforcement officials to issue seat belt tickets if another citable offense has already been written. But changing Massachusetts seat belt laws' enforcement status to primary would allow authorities to pull over drivers simply for not wearing a seat belt.

Progress of the Bill

In March of 2010, S 950 was sent to a study committee in the Senate. This development occurred after the bill was defeated in the Massachusetts House in 2006 by a vote of 80-76 after it was passed by the Senate on a 24-15 vote. Many bills shuffled off to these types of study committees end up stuck there.

Supporters of S 950 say that strengthening Massachusetts seat belt laws will help reduce injuries in accidents and save lives. Opponents counter that the bill would lead to random "seat belt roadblocks" and open the door to random stops and racial profiling.

Learn more about Massachusetts seat belt laws by visiting our library.

Contacting a Massachusetts Personal Injury Attorney

If you have been injured in a car crash in the SouthCoast area, you should contact a Massachusetts personal injury attorney to learn about your rights and determine liability.

Phillips & Garcia P.C., a law firm based in the SouthCoast of Massachusetts, takes time when speaking with you about your case and works with you on a contingent fee basis so there are NO FEES unless our trained personal injury lawyers wins your case. Call now to schedule a FREE evaluation of your case - 1-877-892-5620.

California Couple Says Chase Foreclosed During Loan Mod Process

Tue, 06 Apr 2010 08:00:00 EST

We just read that the Huffington Post reported a California couple sued Chase for foreclosing during the loan modification process. We have been reporting that problem for quite some time here in our blogs. We are starting to see the first wave of lawsuits from frustrated borrowers who have had enough with servicers who cannot timely process a loan modification in compliance with the HAMP guidelines.

Borrowers need to keep in mind that the foreclosure business can be analogized to the lending boom. The law firms and "trash-out" companies, euphemistically called "property preservation" companies are having record years. Whenever a market, with no exception, enjoys such boom times there is always a lack of legitimate checks and balances.

We will be filing more lawsuits as borrowers have to seek out the help of federal and state court judges. Borrowers need to be concerned about many issues that are not being properly addressed or explained by servicers. How is the servicer and lender reporting their loan modification status to the credit reporting agencies? Are late fees really being waived? Are the fees being capitalized into their loans during the loan modification process accurate?

We are seeing a lot of recurring problems when we review the paperwork that borrowers have been sending to our office. Borrowers need the loan modifications in order to save their homes however, borrowers also need to analyze their loan statements and loan modification agreements for compliance with HAMP.

Program Seeks to Reduce Foreclosures by Promoting Short Sales

Mon, 05 Apr 2010 08:00:00 EST

April 5, 2010 - Washington, D.C. - Many struggling homeowners who want to avoid foreclosure are denied the opportunity for a short sale, another option available to those who cannot get a loan modification. Unfortunately, many banks and lenders have not historically cooperated with that option because it affects their bottom line.

According to The Washington Post, a new White House program will encourage lenders to offer a short sale to struggling borrowers, which may help bring down the foreclosure rate.

This program is an alternative to other federal foreclosure prevention plans which attempt to persuade banks to offer loan modifications. Many lenders and banks have chosen to not cooperate with those programs, leaving homeowners in the lurch or subjecting them to wrongful foreclosure.

For homeowners who can't get a loan modification, a short sale is often the next best option, as it doesn't lower someone's credit score as much as a foreclosure. Some lenders are hesitant to allow short sales as they lose money on the deal because they are required to accept a smaller amount than the original loan.

The new foreclosure prevention program rewards lenders for allowing short sales, which will ideally encourage lenders to be more open to the practice.

If your bank is refusing to cooperate with you on any of the federal foreclosure prevention programs, or they have sent you a foreclosure notice despite your being current with mortgage payments, you may need the help of an attorney.

The Massachusetts wrongful foreclosure attorneys at Phillips & Garcia will fight for your rights in your foreclosure case. We are committed to protecting your best interests and your family's home and helping you collect the damages you need and deserve to move on with your life. Contact Phillips & Garcia today to schedule your FREE legal consultation - (877) 892-5620.

I-95 Reopens After Extensive Rhode Island Flooding

Mon, 05 Apr 2010 08:00:00 EST

April 5, 2010 - Warwick - Interstate 95, one of the nation's busiest freeways and the main thoroughfare between New York and Boston, was shut down for several days during New England's massive flooding. According to reports at Transport Topics Online, Interstate 95 was closed near Warwick on Tuesday because of nearly 3 feet of water on the roadway.

Most of the I-95 bridges escaped serious damage, but the Rhode Island Department of Transportation needs to inspect at least 12 bridges to make sure they didn't sustain minor damage that could cause a problem later on. By Thursday, both the northbound and southbound lanes of Interstate 95 were reopened to traffic, but the two-day closure caused serious headaches for commuters.

Most traffic was diverted to Route 1 in Warwick, and motorists tell NECN.com that the detour created severe traffic problems. Many local residents were unable to get to work on time -- or at all -- and gridlock caused a mess for people traveling through New England.

While I-95 has been reopened, the Department of Transportation has not put a dollar figure on the damage or discussed how many repairs will be needed along the freeway.

Flood Damage Strands Freetown Residents

Mon, 05 Apr 2010 08:00:00 EST

April 5, 2010 - Freetown - Flooding from the Assonet River caused a host of problems for Freetown residents last week. Even though the rain has ended, severe damage to roads and bridges around the Assonet River has made the recovery process a slow one.

According to reports at The Herald News, numerous bridges in Freetown are still closed, including the Elm Street Bridge and Forge Road Bridge. Some residents on Beach Bluff Road are completely stranded. Before the flooding began, sandbags were set up along the road to help control the rising river water, but they were no match for the powerful floodwaters. Even now, there is at least 4 feet of floodwaters remaining along Beach Bluff Road.

Elm Street Bridge will likely be closed for some time due to extensive damage, and Christy Lane, which is often used an alternate road, is closed to personal traffic.

Making things worse for Freetown residents is the Monument Dam, which was also heavily damaged in the flood. Even passable roads and bridges are still dangerous, including the Narrows Road Bridge, where local authorities have resorted to placing stones on the bridge to fill in the numerous craters and potholes.

Floodwaters Submerge Warwick Mall in Rhode Island

Mon, 05 Apr 2010 08:00:00 EST

April 5, 2010 - Warwick - Rhode Island suffered extensive property damage during the rains and flooding last week, and one popular shopping mall was almost completely underwater. According to reports at NECN.com, the flooding was particularly severe at Warwick Mall, a popular shopping center on Bald Hill Road in Warwick, Rhode Island.

Pictures provided by NECN.com show floodwaters nearly reaching the mall's roof. Warwick Mall measures one million square feet and it contains approximately 80 stores, most of which saw extensive inventory and property damage. Store managers described the scene as the worst flooding they've ever seen in Rhode Island, with water that was strong enough to move 200-pound furniture around the stores.

Now that the floodwaters are beginning to recede, the mall's staff and employees will have a better idea of just how much damage has been caused at Warwick Mall. Some estimate that the clean-up process from these devastating floods will take at least 2 months, if not more. Fortunately, those who worked at Warwick Mall are eligible for unemployment benefits from the Federal Emergency Management Agency until the mall reopens.

Negligence and Lead Poisoning in Children

Sun, 04 Apr 2010 08:00:00 EST

Every year, according to statistics from KidsHealth, there are 310,000 children in the United States from ages 1 to 5 who are found to have dangerously high amounts of lead in their blood. If you have a child suffering from lead poisoning, you may already know the challenges that you and your child will face as you cope with this devastating child injury.

When your child is in pain, you want it to stop, and to find out who's responsible. Lead poisoning can come from a number of sources. Some recent high-profile cases involved Chinese toys contaminated with unsafe levels of lead. Buildings coated with lead-based paint are another example.

The effects of lead poisoning are often long-term, and can result in problems such as:

Nausea and constant fatigue
Headaches and stomachaches
Weakness in the muscles
ADHD
Difficulty Learning
Decreased coordination
Seizures
Paralysis and coma (in severe cases where lead poisoning affects the nervous system)

Pay attention to your child's medical and school records, and consult with your SouthCoast child injury attorney when trying to figure out the time and cause of your child's lead poisoning.

While a financial settlement won't make the pain of child poisoning go away, it can at least help you with the medical bills that accompany your child's injury. It also provides a sense of closure, knowing that the people responsible for your child's poisoning have been forced to take responsibility for their actions, and that other families may be spared from having to endure such tragedy.

The SouthCoast child injury attorneys at Phillips & Garcia will fight for your rights in your child poisoning case. We are committed to protecting your best interests and helping you collect the damages you need and deserve to move on with your life. If your child has been poisoned due to another party's negligence, contact Phillips & Garcia today to schedule your FREE legal consultation - (877) 892-5620.

Massachusetts Wrongful Death Lawsuit After a Child Poisoning Death

Sun, 04 Apr 2010 08:00:00 EST

If you've lost a child to accidental poisoning in Massachusetts, you have suffered every parent's worst nightmare. A child's death is the worst thing that can happen to a family and you have every reason to want to take legal action against those responsible for your child's poisoning.

Too often, child poisoning occurs because of carelessness. This could take the form of contaminated products, or someone simply leaving poison-such as cleaning solvents, drain openers, prescription drugs-out in the open where a child could easily reach them.

These types of child injury cases are why Massachusetts negligence laws are so important. Negligence laws exist to protect all of us, and when they are ignored, people get hurt. Those who ignore such rules should be held accountable in a Massachusetts court of law.

If you believe your child died because of someone else's negligence, you have the right to seek compensation in the form of a Massachusetts wrongful death claim on behalf of your child.

Nothing can bring your child back, but you can at least get a sense of closure by going after the guilty party in a court of law. A Massachusetts wrongful death lawsuit will also send a message that this type of extreme negligence will not be tolerated and ideally will prevent the negligent parties from causing harm to any other families.

The Massachusetts wrongful death attorneys at Phillips & Garcia will fight for your rights in your child poisoning case. We are committed to protecting your best interests and helping you collect the damages you need and deserve to move on with your life. If your child died due to another party's negligence, contact Phillips & Garcia today to schedule your FREE legal consultation - (877) 892-5620.

Preventing Massachusetts Child Burn Injuries

Sat, 03 Apr 2010 08:00:00 EST

Supplemental home heating is a common, and often effective, way to augment your primary heating system during a cold Massachusetts winter. Fireplaces and portable heaters offer cheaper ways to keep your family warm while avoiding high oil prices. When using these devices it's important to adhere to all safety instructions in order to avoid fire hazards and child burn injuries.

Wood Stove Safety

Creosote is a flammable by-product of wood burning that builds up in chimney flues and causes chimney fires. Chimneys for wood stoves need to be both inspected and cleaned by a professional chimney sweep every year.

Kerosene Heater Safety

Always refill a kerosene heater outdoors. This way, if there is any spillage it will not fall onto carpeting or other items near the kerosene heater inside your home. This will reduce the likelihood of the area around the heater catching fire. Never fill the heater while it is running.

Gas-fired Space Heater Safety

Carefully follow the manufacturer's instructions on where and how to operate the gas heater. Pay special attention to the directions on how to light the pilot. Running the pilot without lighting it will allow dangerous gases to accumulate and could result in burn injuries to the face and/or hands.

Portable Electric Heater Safety

Do not leave a portable electric heater running at night while you are asleep. Treat an electric heater with the same care you would any other small heating device, like a set of electric rollers or a portable electric stove. Another concern with electric heaters is the use of extension cords, which should be avoided. If you feel they are necessary, be sure they provide the adequate amount of current required by the heating device.

If your child suffered a burn injury because of someone's negligence when using supplemental home heating methods, you may be able to pursue compensation for your child's injuries with a Massachusetts child injury lawsuit.

For more information on protecting children from painful child burn injuries and what to do in the event that your child is injured in such an accident, visit our library.

The Massachusetts child injury attorneys at Phillips & Garcia will fight for your rights in your child's burn injury case. We are committed to protecting you and your child's best interests and helping your family collect the damages you need and deserve to move on with your life. Contact Phillips & Garcia today to schedule your FREE legal consultation - (877) 892-5620.

Child Burn Injuries and Personal Injury Lawsuits

Sat, 03 Apr 2010 08:00:00 EST

If your child has been burned due to negligence on the part of another person or company in Massachusetts, you have the right to file a Massachusetts personal injury lawsuit. There are certain requirements that you must fulfill in order to build a winning case and a Massachusetts child injury attorney can help you do just that.

First, you will need to prove that the defendant was negligent in their actions (or lack thereof). This means that based on the standards of a reasonable person, the defendant either should have refrained from acting, or acted differently, than they did in the situation that caused the harm to your child.

For example, if your child's babysitter or daycare provider was not on the premises when your child was burned, this would count as acting negligently. The babysitter was paid to provide supervisory care for your child and they did not fulfill this obligation.

Second, you will need to prove that the defendant acted inappropriately in the context of this legal obligation and that is what caused the harm. So, if the babysitter went outside to smoke a cigarette and she left a pot of boiling water on the stove within easy reach of your child and your child was injured by the hot water, then this would qualify as negligence.

Third, a Massachusetts court will need proof that your child's burn injury could have been prevented. In this case, the circumstantial evidence would prove that there was no need for the babysitter to leave your child alone. Also, as part of the babysitter's training as a child care provider, she should know the basic safety hazards posed to children in residential settings.

To support these claims you can bring in expert testimonies and federal and state statutes as proof. For more information on child burn injuries, visit our library.

The Massachusetts child injury attorneys at Phillips & Garcia will fight for your rights in your personal injury case. We are committed to protecting you and your child's best interests and helping your family collect the damages you need and deserve to move on with your life after a devastating child burn accident. Contact Phillips & Garcia today to schedule your FREE legal consultation - (877) 892-5620.

Who Can File a Wrongful Death Lawsuit in Massachusetts?

Sat, 03 Apr 2010 08:00:00 EST

Before you contact a Massachusetts wrongful death attorney about filing in claim in regards to the death of your loved one, it's important for you to know who is and who is not allowed to file the claim.

Filing a Wrongful Death Lawsuit in Massachusetts

Massachusetts law only allows immediate family members to make wrongful death claims. These specific family members include:

Spouse
Children (both biological and/or adopted)
Parents (biological or adoptive)
Same-sex partners in a civil union
Estate executor or executrix

There may be some exceptions to these rules if the deceased did not have a surviving spouse, child, or living parent.

Learn more about Massachusetts wrongful death claims by visiting our library.

The Massachusetts wrongful death attorneys at Phillips & Garcia will fight for your rights in your wrongful death case. We are committed to protecting your best interests and helping you collect the damages you need and deserve to move on with your life. Contact Phillips & Garcia today to schedule your FREE legal consultation - (877) 892-5620.

How is Compensation Determined in a Massachusetts Wrongful Death Claim?

Sat, 03 Apr 2010 08:00:00 EST

Though we often hold the belief that one cannot place any monetary value on human life, it is also a fair reaction to want to take legal action against a person responsible for the death of a loved one. If you have suffered the wrongful death of a loved one, you have every right to seek compensation. But just how is the exact amount of compensation determined?

Monetary Compensation in a Massachusetts Wrongful Death Claim

Basically, Massachusetts wrongful death compensation is estimated by looking at the economic and non-economic damages incurred as a result of your loved one's death. It is difficult to predict the amount of compensation you will receive, as each case is unique and every individual has different applicable life circumstances. However, the following factors will almost always be considered when estimating your final compensation:

The age and marital status of the victim
The number of children the victim had
The prior health of the victim
Loss of future wages and benefits
Loss of companionship
Medical bills associated with the accident, prior to death
Funeral expenses incurred by the family
The severity of pain suffered by the victim
The insurance coverage of the defendant
Punitive damages (if applicable)

Learn more about Massachusetts wrongful death claims by visiting our library.

The Massachusetts wrongful death attorneys at Phillips & Garcia will fight for your rights in your wrongful death case. We are committed to protecting your best interests and helping you collect the damages you need and deserve to move on with your life. Contact Phillips & Garcia today to schedule your FREE legal consultation - (877) 892-5620.

Colorado Program May Indirectly Prevent Foreclosure

Fri, 02 Apr 2010 08:00:00 EST

April 2, 2010 - Colorado - Creative programs are popping up around the country in response to the national foreclosure crisis. While some of these programs aren't specifically intended to help victims of foreclosure, they may provide some relief to struggling homeowners that are concerned about the effect that foreclosure has had on their property value.

According to TheDenverChannel.com, a new program in Aurora, Colorado, called the Neighborhood Stabilization Program, was created to prevent the issue of foreclosed homes bringing down the value of surrounding homes, a trend that has contributed to the overall housing crisis.

Program administrators find the lowest-priced foreclosed homes in an area, purchase them, fix them up, and then flip them, selling them for a nice profit in most cases. Any money made from the sales goes back into the program so that more homes can be purchased. So far, about 26 homes have been bought and flipped.

The low value of foreclosed homes often brings down surrounding home values, so even a few empty houses on a street can make it nearly impossible for neighbors to sell their home for the maximum value. Thus, homeowners who need to sell, either because of a job transfer or simply not being able to afford the home anymore, may indirectly avoid foreclosure because of the program.

If you've been on the receiving end of a foreclosure notice, even though you've never missed a housing payment, you may be the victim of a wrongful foreclosure. The Massachusetts wrongful foreclosure attorneys at Phillips & Garcia will fight for your rights in your foreclosure case. We are committed to protecting your best interests and your family's home and helping you collect the damages you need and deserve to move on with your life. Contact Phillips & Garcia today to schedule your FREE legal consultation - (877) 892-5620.

Foreclosure Rates Dropping In Some Parts of the Country

Fri, 02 Apr 2010 08:00:00 EST

April 2, 2010 - Tennessee - With thousands of struggling homeowners across the country attempting to avoid foreclosure, some industry and government officials have forecasted good news on the horizon. And some parts of the country are already experiencing a slight decline in the number of foreclosures reported.

For example, according to News Channel 9, in Tennessee's Hamilton County, nearly 30 fewer homes have been foreclosed this spring as compared to the spring of 2009. Hopefully, this localized trend is something that will be observed in more areas of the country as homeowners work with federal loan modification and foreclosure prevention programs.

Sadly, these foreclosure prevention programs aren't an option for every homeowner. Though plenty of homeowners have sought help to work with their lenders, the fact remains that not every bank or lending organization is willing to participate in such programs. Additionally, there are plenty of cases wherein banks will agree to work with homeowners to help prevent foreclosure, only to renege on their promises.

If you have been treated unfairly by a deceptive bank or lender and are finding yourself in a wrongful foreclosure situation, you may be entitled to taking legal action against the offending parties.

The Massachusetts wrongful foreclosure attorneys at Phillips & Garcia will fight for your rights in your foreclosure case. We are committed to protecting your best interests and your family's home and helping you collect the damages you need and deserve to move on with your life. Contact Phillips & Garcia today to schedule your FREE legal consultation - (877) 892-5620.

Helmet Safety and Preventing Child Head Injuries

Fri, 02 Apr 2010 08:00:00 EST

One of the best ways that you, as a concerned parent, can prevent child head injury, including traumatic brain injury, is to teach your children about the importance of using helmets and enforce helmet use when your child engages in any activity that carries a risk of head injury.

Children and adults should always wear helmets when engaging in any of the activities listed below:

Riding in all-terrain vehicles
Mopeds or scooters
Motorcycles
Snowmobiles
Jet skis
Bicycles
Skateboards
Skiing or snowboarding
Horseback riding

How to Choose a Well-Fitted Helmet

There's no hope of a helmet preventing child head injury if you do not adhere to fitting standards. A good fit is one of the most important attributes of a helmet. If the helmet tilts at all when your child is wearing it, then the helmet needs to be tighter. It should be parallel to the ground when your child is looking straight ahead and standing.

In terms of fit, if your child can slide a finger between the helmet and their head, it is too big. If you cannot find a smaller size then you should purchase "fit pads" which are small pads that attach to the inside of the helmet and create a more snug fit.

To properly adjust the chin straps, pull both ends so that the Y fitting on each side aligns underneath each ear, forming an "x." The chin strap should be flush with your child's lower jaw and cause the helmet to pull down a bit when they open their mouth.

In the interest of preventing child head injuries, your child's helmet should fit well enough so that they forget it is there. A proper helmet can give you the comfort of knowing that you have done your best to ensure your child's safety while letting them explore the world.

If your child has sustained a head injury, whether while engaging in a contact sport, riding a bicycle or in a Massachusetts accident of any sort, visit our library to learn more about coping with traumatic brain Injuries in children.

The Massachusetts personal injury attorneys at Phillips & Garcia will fight for your rights in your child's head injury case. We are committed to protecting your best interests and helping you and your child collect the damages you need and deserve to move on with your life. If your child has been injured in a Massachusetts accident, contact Phillips & Garcia today to schedule your FREE legal consultation - (877) 892-5620.

Spinal Cord Injuries After a Massachusetts Accident

Fri, 02 Apr 2010 08:00:00 EST

If your child was injured when he or she received severe trauma to the head during a Massachusetts accident, it's likely that more than just the head was injured. Spinal cord injuries are serious secondary injuries that can occur when the head is strongly jolted. Paralysis and/or loss of mobility are 2 possible side effects of a spinal cord injury.

If you think that someone may have a spinal cord injury, the most important thing to remember is to avoid moving them at all costs. Call 911 immediately and ensure that the person's head stays in the same position that you found it.

Your primary goal is to maintain the positioning of the neck because any movement could cause irreparable damage to the nerves in the spinal cord which control movement. If you are unsure as to whether a person has a spinal cord injury, just assume that they do and act accordingly

Loss of mobility is one of the most difficult outcomes from any Massachusetts accident, both for an injured child and their family. In the interest of preventing traumatic head injuries and spinal cord injuries, consider the safety tips listed below:

Exercise due diligence when riding in all-terrain vehicles (ATVs), bicycles or skateboards, and the like
Check the depth of water before diving into bodies of water
Always wear a seatbelt

Wearing a helmet during risky activities is another way to keep your child safe from traumatic brain and spinal cord injuries.

If your child has sustained a head injury, whether while engaging in a contact sport, riding a bicycle or in a Massachusetts accident of any sort, visit our library to learn more about coping with traumatic brain Injuries in children.

The Massachusetts personal injury attorneys at Phillips & Garcia will fight for your rights in your child's personal injury case. We are committed to protecting your best interests and helping you and your child collect the damages you need and deserve to move on with your life. If your child has been injured in a Massachusetts accident, contact Phillips & Garcia today to schedule your FREE legal consultation - (877) 892-5620

More than 11 Million Mortgages are Underwater

Fri, 02 Apr 2010 08:00:00 EST

April 2, 2010 - Washington - New numbers show that more homeowners in the United States are underwater than was previously predicted. What is an underwater home loan? In effect, you are "underwater" on your mortgage if you owe more on your home loan than your house is worth.

According to a report in the USA Today, 11.3 million homes in the United States can currently be defined as underwater. Not only does being underwater put these homeowners at risk for foreclosure if their payments keep rising -- a real problem for those with adjustable-rate loans -- but it obviously wipes out any equity they had in their home.

USA Today asked First American CoreLogic to estimate when homeowners could begin to emerge from negative equity, based on historical housing price increases and trends. For Boston, Massachusetts, First American CoreLogic estimates that most underwater homeowners won't see positive equity return to their homes until 2017. The numbers are even worse for areas like Las Vegas, Detroit and Pittsburgh, who may not see their equity become positive until 2020 or later.

Last week, the Obama administration announced new plans to help underwater homeowners reduce the principal and interest rate on their home loans.

Most Common Loan Modification Delay Tactics

Fri, 02 Apr 2010 08:00:00 EST

April 2, 2010 - Lending institutions have many tricks up their sleeves when it comes to loan modifications. Many homeowners follow the loan modification process in good faith, anticipating that their banking institution will do the same. However, your lender may have reasons for not wanting to modify your home loan, and may use delay tactics to stall the process.

Under the federal government's program, the Home Affordable Modification Program (HAMP), every homeowner must go through a 3-month trial period. Delay and stall tactics are common during this process, and can be encountered even before the trial period begins. Whether you are modifying your mortgage through HAMP or the private HOPE NOW program, these are the 2 most common delay tactics:

The lender says deadlines were missed. In applying for a loan modification, there are several deadlines that must be met on time. Forms must be filled out and filed on time with your lender. In some cases, banks say they didn't receive the forms at all, even though the homeowner has met the target deadlines.
The lender doesn't credit payments. During the HAMP trial period, homeowners must pay a reduced payment on time, every month. If they don't, they may not quality for a permanent loan modification. The bank may not properly credit the payments, which puts the whole process in jeopardy.

Some Mass. Homeowners Will Avoid Foreclosure Due to Floods

Fri, 02 Apr 2010 08:00:00 EST

April 2, 2010 - Boston - President Obama has declared Massachusetts a federal disaster area earlier this week due to extensive flooding, which has implications for homeowners in foreclosure. According to reports in The Boston Globe, the severe flooding in Massachusetts will temporarily spare some homeowners from losing their homes.

Under guidelines used for areas that are declared federal disaster areas, homeowners in Massachusetts will not be able to lose their homes in a foreclosure for the next 90 days. However, this only applies to mortgage loans insured by the Federal Housing Administration. Contact your lender if you're not sure if your mortgage is backed by the FHA.

Some Massachusetts residents will also have extra time to file their taxes, and some individuals and businesses may qualify for monetary assistance from the Federal Emergency Management Agency (FEMA).

This is one of the worst incidents of flooding in New England's history. Many cities in Massachusetts have reported more than 7 inches of rain this week, and several bridges and rivers are impassable. The Massachusetts National Guard has been called in to assist with relief efforts.

How to Prevent Wrongful Foreclosure

Fri, 02 Apr 2010 08:00:00 EST

April 2, 2010 - Recent studies show that foreclosures in Massachusetts are still incredibly high, even though the pace is slowing from 2008 and 2009. Wrongful foreclosure is a serious situation in which a banking institution takes advantage of a homeowner and initiates the foreclosure process or sells the home at a foreclosure auction, even though it may not be legal to do so.

The homeowner may have paid their mortgage payments and they were not credited by the bank, or maybe the homeowner thinks they are in a loan modification process while the lender is quietly pursuing the foreclosure process anyway.

Here are some of the best ways you can prevent becoming a victim of wrongful foreclosure:

Keep detailed records of every transaction with your lender. Make photocopies of every payment you send to the bank and keep copies of letters exchanged with your lender. When you speak with someone at the bank, note the name of the person you spoke to and the date. If you do become a victim of wrongful foreclosure, these records will be incredibly helpful.
Keep a close eye on your credit report. If the bank has not properly credited your mortgage payments, those late payments may show up on your credit report. That may be the first piece of evidence that something is amiss.
Contact an experienced foreclosure attorney. As soon as you suspect a wrongful foreclosure action, it is essential to contact a consumer protection lawyer who can stand up for your rights.

Despite your best efforts you still may find yourself facing a wrongful foreclosure. If you find yourself in this situation you need to contact a Massachusetts wrongful foreclosure attorney at Phillips & Garcia as soon as possible to learn about your legal options.

Most Common Wrongful Home Seizures and Foreclosures

Fri, 02 Apr 2010 08:00:00 EST

We have been reporting about wrongful foreclosures and seizures of American homes for a while now. Some media people even use the term "accidental foreclosure." Every time we think we have heard it all, a homeowner calls with a story we can hardly believe. We represent homeowners whose stories and troubles with banks and servicers are the stuff of fiction. Unfortunately for these homeowners, these stories are true. In all of these cases, the bank or its contractors had no legal right to step foot on the property and proceed against the property in foreclosure.

In our continuing effort to let America know how this foreclosure crisis is affecting hard working Americans, I will highlight some stories we have heard:

-- The bank forecloses on a homeowner's house and throws out his possessions instead of the house ten house lots away that it had a mortgage on.

-- The borrower, who has a current and paid-up loan modification agreement with the bank, arrives back at her house after the Christmas holidays only to learn that the bank's contractors have broke in, changed the locks, winterized her house and ruined her boiler unit.

-- The homeowner bought the foreclosed property from the bank but the bank's contractors came back a couple of weeks after the sale to break into the house and steal possessions in the house.

-- The homeowner (not the same one as above) buys a foreclosed house for cash from the bank and seven months later the bank's contractors break in two times stealing possessions in the house and winterizing the house.

-- The homeowner refinanced and paid off her prior loan. The bank buys the paid off loan as one loan in a pool of securitized loans and insists that the loan is active and proceeds with foreclosure against the homeowner, with debt collection firms calling to harass the homeowner at all times of the day and night.

-- A homeowner is current on two loans to the bank, the bank processes the payments wrong by putting all payments towards one loan and proceeds to foreclose on the other loan requiring the borrower to pay over $3,500 to get her home out of foreclosure and off the auction block, only to have the bank admit later that the payments were being processed wrong.

Homeowners, now more than ever, need to watch what their banks are doing and cannot sit back and wait for their bank or servicer to take care of any problems that come up. In many of the above stories, the homeowners fought for months with the bank and its servicers and their complaints fell on deaf ears.

Illegal Bank Foreclosures May Be Initiated By Third Parties

Thu, 01 Apr 2010 08:00:00 EST

April 1, 2010 - Washington, D.C. - Banks and lenders aren't the only ones who can play a decisive role in instituting a wrongful bank foreclosure on an unsuspecting homeowner.

According to Rismedia, uninvolved third parties may be able to record a notice of default on a home loan. Once that is done, they can file a notice of sale, present those documents at a court, and receive an unlawful detainer. In other words, even homeowners who are up-to-date on their payments may be at risk of illegal foreclosure from unknown third parties.

Unfortunately, there is no sufficient review process in place and unless the borrower puts up a fight and takes legal action, a home could be taken right out from under a homeowner who has no delinquent payments.

In an overburdened legal system, many homeowners aren't being given a fair shake, which is unfathomable, as no one should be subjected to the inconvenience and indignity of having their property taken away illegally.

It's no wonder that wrongful foreclosure is so prevalent. It is simply too easy for lenders to enact an illegal foreclosure on any borrower they choose.

The Massachusetts wrongful foreclosure attorneys at Phillips & Garcia will fight for your rights in your foreclosure case. We are committed to protecting your best interests and your family's home and helping you collect the damages you need and deserve to move on with your life. Contact Phillips & Garcia today to schedule your FREE legal consultation - (877) 892-5620.

How Comparative Negligence Can Affect Your Claim

Thu, 01 Apr 2010 08:00:00 EST

If you have been injured due to someone else's negligence and are seeking compensation from their insurance company, you may consider writing a demand letter. A demand letter could help you in your Massachusetts personal injury claim in many ways, such as providing evidence in court or starting the negotiating process for an out-of-court settlement.

Comparative Negligence and How it Can Affect Your Personal Injury Claim

Comparative negligence is the percentage each party involved in an accident is at-fault and liable for in relation to the resulting injuries and damages. In Massachusetts, the courts look at the comparative fault of each party to determine overall negligence and the amount of restitution owed to the victim. If you are found to be less than 51% responsible for your accident, you can seek compensation.

Your demand letter is your chance to deny any comparative negligence and assert that the other party was entirely at-fault for your accident. Without comparative negligence, you can claim a larger settlement.

It is in your best interest to consult with a Massachusetts personal injury lawyer to help you draft a demand letter that outlines your claim and the other party's liability (via their insurance company) if you decide to seek compensation. Your attorney can also discuss how to go about creating a demand letter if you were partially at-fault for your accident and what damages to ask for.

The Massachusetts personal injury attorneys at Phillips & Garcia will fight for your rights in your personal injury case. We are committed to protecting your best interests and helping you collect the damages you need and deserve to move on with your life. If you have been injured in a Massachusetts accident, contact Phillips & Garcia today to schedule your FREE legal consultation - (877) 892-5620.

How Much Should I Demand in My Personal Injury Lawsuit?

Thu, 01 Apr 2010 08:00:00 EST

When you have been involved in a serious accident, you have every right to seek a fair settlement from those responsible for your injuries. Writing a demand letter can help you communicate more effectively with the other party's insurance company and start the process of negotiating your claim.

A demand letter is a clear, concise and declarative letter stating the specific amount you are owed and why. But how are you to know how much this amount should be? This is where a Massachusetts personal injury lawyer can help. An experienced lawyer can look at your medical bills and how your accident has impacted your life to help you provide exact estimations of your:

short-term and long-term medical expenses
lost wages
property damage
pain and suffering
accident-related expenses
other considerations specific to your case

Being Specific in Your Demands

It is very important that you be very specific in your demand letter. A letter asking for "some amount of money" at "some point in the near future" will never get you the settlement you deserve.

Instead, be sure to include:

The exact amount you wish to be paid
The exact date by which you wish to be paid
The exact loss you have suffered
The exact reason you deserve the amount requested

Learn more about how to draft a demand letter by visiting our library.

The Massachusetts personal injury attorneys at Phillips & Garcia will fight for your rights in your personal injury case. We are committed to protecting your best interests and helping you collect the damages you need and deserve to move on with your life. If you have been injured in a Massachusetts accident, contact Phillips & Garcia today to schedule your FREE legal consultation - (877) 892-5620.

Unemployed? You May Quality for Mortgage Assistance

Thu, 01 Apr 2010 08:00:00 EST

April 1, 2010 - Boston - Reactions around Massachusetts are mixed when it comes to the Obama administration's new plan to give more housing assistance to unemployed homeowners. Last week, the federal government announced that it would extend mortgage assistance to unemployed homeowners for three to six months.

According to reports in The Boston Globe, unemployed homeowners would receive a reduction in their mortgage payment for three to six months as long as their mortgage is less than $729,000 and they are receiving federal unemployment benefits. The new payment must be less than 31% of their monthly income. Some community groups in Massachusetts, including the Massachusetts Communities Action Network, tell The Boston Globe that three to six months isn't long enough.

There's no word on when the assistance will take effect. Like any plan administered by a banking institution, there will also be opportunities for delays and stall tactics that may prevent homeowners from taking advantage of this new assistance. If you are experiencing any of these delays or think you may be a victim of wrongful foreclosure, you should contact an experienced Massachusetts class action attorney right away.

Massachusetts Misses Out on $600 Million in Loan Modification Aid

Thu, 01 Apr 2010 08:00:00 EST

April 1, 2010 - Washington - Five states will be receiving a total of $600 million in housing assistance from the federal government, but unfortunately, Massachusetts will not be among them.

According to reports by The Associated Press, the Obama administration is giving $600 million to 5 states, which will be in addition to any assistance given to banking institutions through the Home Affordable Modification Program (HAMP). The assistance was announced on Monday.

Ohio, North Carolina, South Carolina, Oregon and Rhode Island will all receive a portion of the assistance because they have high unemployment and meet other criteria set by the government. The money will be used to develop loan modification programs directly in the states, administered by the state housing agencies. States with the highest foreclosure rates, including California, Arizona, Florida and Nevada, are already set to receive $1.5 billion in similar assistance.

According to The Boston Globe, the unemployment rate in Massachusetts rose to 9.5% in January 2010, which represents the highest rate since 1976.

Private Banking Program Modifies More Loans than HAMP

Thu, 01 Apr 2010 08:00:00 EST

April 1, 2010 - Washington - Banking institutions are patting themselves on the back for the performance of their private home-loan modification program, HOPE NOW. According to reports at HousingWire.com, the banking industry released new information on Wednesday showing that their private program has helped more homeowners than the federal program, Home Affordable Modification Program (HAMP).

Their numbers show that 95,586 homeowners across the country received loan modifications through HOPE NOW in February, compared to only 52,905 from the federal government's HAMP program. The numbers also show that most of the homeowners who received modifications through the HOPE NOW program received reductions in their principal, in addition to general interest reductions.

The HAMP program, on the other hand, has focused mainly on interest reductions since its start in March 2009. Last week, the Obama administration announced that the program would focus more on principal reductions to encourage more homeowners to participate.

Given the fact that more loan modifications were completed through HOPE NOW than HAMP, it raises questions about why banking institutions are more willing to grant mortgage modifications using HOPE NOW instead of the government's program.

Watchdog Group Questions Fairness-in-Lending Under HAMP

Thu, 01 Apr 2010 08:00:00 EST

April 1, 2010 - Washington - A new survey conducted by a consumer watchdog group raises questions about whether or not banks are following fairness-in-lending laws while administrating the government's Home Affordable Modification Program (HAMP). According to reports at The Washington Independent, a survey conducted by the National Community Reinvestment Coalition (NCRC) showed that there are severe disparities in who is benefiting from the loan modification program.

The NCRC data shows that only 24% of eligible black homeowners who've applied to the program have received a permanent loan modification, compared to 36% of white homeowners. While this finding could be explained by a variety of factors, the National Community Reinvestment Coalition thinks this may be yet another problem with the Home Affordable Modification Program, which has failed to stem the tide of foreclosures in Massachusetts and around the country.

Given the data uncovered in the survey, the National Community Reinvestment Coalition is urging the federal government to investigate whether or not banking institutions are following fairness-in-lending laws. The president of the NCRC gave testimony to Congress last week.