According to WBRZ, Wells Fargo says a company mistake contributed to hundreds of foreclosures because it miscalculated customers’ eligibility for mortgage modifications.
The bank said in a filing Friday the error caused about 625 customers to be denied, or not offered, loan modifications they otherwise qualified for. Foreclosures were completed in about 400 of the cases.
The customers had been using federal programs that helped families at risk of losing homes. Spokesman Tom Goyda says there’s no breakdown of where the foreclosures occurred.
The error in the bank’s underwriting tool lasted from 2010 until it was fixed in late 2015, an internal review found.
The bank said it set aside $8 million this year to help the affected customers.
What is a class action?
In Louisiana, in order to bring a law suit on behalf of a class: (1) the class must be so numerous that joinder of all members is impracticable, (2) there must be questions of law or fact common to the class, (3) the claims or defenses of the representative parties must be typical of claims or defenses of the class, (4) the representative parties must fairly and adequately protect the interests of the class, and (5) the class must be objectively definable in terms of ascertainable criteria.
When litigation involves injuries to numerous consumers, the amount of issues and the scope of managing all of the various parties, documents, and proceedings is often staggering.
Not surprisingly, not all attorneys are capable of handling these high stake and high stress complex litigation cases. Whaley Law firm has been handling complex and high stakes litigation cases such as these, since its inception. Whaley Law Firm’s experience spans every phase of the litigation process including discovery, negotiations, class-certifications, and complicated class action claim processes.