BofA refuses to recognize bankruptcy discharge of mortgage debt, suit says

From Westlaw Journal Bank & Lender Liability:  A Missouri man claims in a lawsuit that Bank of America is falsely telling a credit reporting agency that his mortgage is delinquent even though the debt was discharged in bankruptcy.

Maurice Jerome Hughes also says in his complaint filed in the U.S. District Court for the Western District of Missouri that credit reporting agency Equifax Information Services failed to conduct an investigation after he provided notice that the mortgage debt is no longer valid and did not attempt to verify debt listed from a credit union when he disputed another discharged debt.

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U.S. joins lawsuit alleging contractor defrauded Navy of $10 million

From Westlaw Journal Government Contract:  The government is joining a federal court lawsuit claiming a U.K. company knowingly overcharged the Navy by more than $10 million for support services provided to vessels at overseas ports.

The Justice Department said in a Nov. 18 statement that the government has intervened in a U.S. District Court for the District of Columbia lawsuit filed by former employees of Inchcape Shipping Services Holdings Ltd. who allege the company and its subsidiaries violated the False Claims Act, 31 U.S.C. § 3729.

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Suit targets Massachusetts E-ZPass device vendor after alleged malfunction

From Westlaw Journal Government Contract: A Massachusetts man has alleged in a lawsuit that the company that supplied E-ZPass electronic toll collection transponders to the state’s transportation agency must pay the $19,000 he was fined after his device allegedly malfunctioned and did not cover $263 in highway tolls.

Doug Clendenin says in the suit, filed in the Suffolk County Superior Court, that Kapsch TrafficCom USA Inc. must pay any fees and fines for which he is ultimately held liable because it manufactured the allegedly defective transponder he used on his vehicle.

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Man says M&T Bank’s handling of loan payments led to loss of building

From Westlaw Journal Bank & Lender Liability: A Baltimore man is seeking more than $1.6 million in a state court lawsuit claiming he lost a commercial building to foreclosure because M&T Bank did not properly credit his timely mortgage payments.

Paul T. Brinkman also says the bank failed to set aside the correct amount of his loan payments to cover property taxes, resulting in a monetary shortage in his tax escrow account, according to the Baltimore City Circuit Court suit.

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Judge tosses contractor’s breach suit over federal helium deals

From Westlaw Journal Government Contract: A company that contracted with the Bureau of Land Management cannot pursue a lawsuit alleging the agency breached two agreements relating to its right to extract helium gas from federal lands, the U.S. Court of Federal Claims has ruled.

Judge Susan Braden said Rocky Mountain Helium LLC did not have standing to sue because it was in default before the alleged breach of its helium extraction contract occurred.

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Man sues servicer, credit reporting agency over mortgage debt status

From Westlaw Journal Bank & Lender Liability: An Illinois man says in a lawsuit that a loan servicer and a credit reporting agency continue to mark his mortgage as being in default even though the $520,000 debt was discharged in a bankruptcy proceeding.

In a complaint filed in the U.S. District Court for the Northern District of Illinois, Brian Smego says Select Portfolio Servicing Inc. and Equifax Information Services have not corrected his credit file to show he no longer owes any funds on his mortgage even though they had knowledge to the contrary.

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2nd Circuit says man can sue servicer for FDCPA violations

From Westlaw Journal Bank & Lender Liability: The 2nd U.S. Circuit Court of Appeals has ruled that a mortgage borrower can pursue claims that his servicer violated federal law by failing to provide him with certain information about his defaulted loan.

The three-judge panel said Matthew J. Hart’s amended complaint against FCI Lender Services Inc. sufficiently alleges the company’s letter triggered protections afforded by the Fair Debt Collection Practices Act, 15 U.S.C. § 1692.

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Debt collector must show it was OK to contact debtor’s neighbors

From Westlaw Journals Bank & Lender Liability:

A debt collector must prove it did not violate federal law by contacting a woman’s neighbors several times so it could find her to pursue mortgage payments, the 3rd U.S. Circuit Court of Appeals has ruled.

The case is one of first impression among the federal appellate courts.

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Journalist seeks additional Snowden info from Defense Department

From Westlaw Journal Government Contract: An investigative reporter with VICE News is seeking judicial intervention in his quest for government documents pertaining to fugitive former National Security Agency contractor Edward Snowden.

Jason Leopold, whose work on national security and other issues has been featured in news outlets, including The Guardian, The Wall Street Journal and Al Jazeera America, says the Defense Department has missed a deadline to act on his request for expedited documents processing in violation of the Freedom of Information Act, 5 U.S.C. § 552.

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Debt collector’s attorneys not liable for suing debtor in wrong court

From Westlaw Journal Bank & Lender Liability: A law firm did not violate the Fair Debt Collection Practices Act by filing a state court collection lawsuit against a debtor in a venue where he neither lived nor signed the underlying debt contract, a Chicago federal judge has ruled.

U.S. District Judge Elaine E. Bucklo of the Northern District of Illinois held in favor of Blatt, Hasenmiller, Leibsker & Moore, finding the firm made a “bona fide error” under the statute when it chose the venue of its debt collection lawsuit against Ronald Olivia.

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