Practice Areas

Blog

News

Library

Testimonials

View All

Breaking Legal News & Current Events

Bank of America Admits Mistake About Arizona Wrongful Foreclosure


Posted on Sep 18, 2010

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.

back to top