Kamala Harris, California's Attorney General, has sued three law firms, four lawyers and 14 other companies for what inducing struggling homeowners across the nation to pay thousands of dollars in fees to file mass lawsuits against mortgage lenders. Harris said the entities took advantage of homeowners' frustration with both lenders and mortgage servicers. Many states, including Florida, have laws banning the charging of advanced fees for loan modification services.
According to Attorney General officials, the defendants solicited homeowners in 17 states with fees of up to $10,000 from each of the 2,500 borrowers to participate in the "mass joinder" lawsuit. The defendants misled borrowers into believing hiring them would help avoid foreclosures or obtain loan modifications. Instead of getting good legal advice, once a homeowner paid the retainer, the defendants were uncommunicative and homeowners were unable to get answers to even the simplest questions.
Hopefully, other state AG's will take a page from Mrs. Harris' book and stand up to the predators trying to take advantage of the desperation of struggling homeowners. If you are facing a Florida Foreclosure Lawsuit, contact a Jacksonville Foreclosure Lawyer today to determine what foreclosure avoidance options may be available to you.
