Lawsuit Brought Against Wells Fargo for Wrongfully Foreclosing on House of Realtor

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Julie Parker

Julie Parker was born in March 19, 1983, in Lancaster – Los Angeles County, California. Her father is an experienced economist and businessman, who motivate her taste for the real estate market. Recently, graduated in Economics and now focus her studies in a PhD. Now she’s a consultant and webwritter of ForeclosureListings.com

Ron Ward has been a licensed realtor for long fifteen years. He is now embroiled in a fight with his lender Wells Fargo Home Mortgage against whom he has brought a lawsuit. His allegation is that Well Fargo resorted to wrong foreclosure to take away his dream houses that he had constructed in Aptos (Santa Cruz County, California).

The pueblo style house is five years old having a view of the ocean close to Seacliff State Beach. Ward estimates its worth to be $1.5 million. He said, “With so many people being taken advantage of by the banks and it becoming more public everyday, we feel this will be an important story and case, setting precedence for the people, against the injustices of the banks”.

Michele Ashley, the spokesperson of Wells Fargo did not comment on the plea that the matter was pending in court.

Last 29th April the case was filed. Judge Jeff Almquist granted an injunction that was temporary last May to prevent the house from being sold off. At the core of the issue is a “special forbearance agreement” that 43 year old Ward together with his 40 year old wife Marianna had inked about a year previously. Marianna is marketing manager in the field of high technology.

The couple contend that they had paid three modified payments – each amounting to $3,247 when the lender, without any prior notice sold off their house in an auction (foreclosure) on 26th March. $910,412 was paid by US Bank trustee on behalf of Banc of America Funding Corporation 2006-G – an investor group.

The Wards came to know of it after one week of the sale when a “cash for keys” notice was dangled on their door; in other words they were threatened with eviction.

Wells Fargo is represented by lawyer Jarlath Curran II of Irvine. He said that the couple is not eligible for modification of their loans because their income ($7,797 per month) was insufficient to meet all their requirements. In the court papers Curran noted, “If plaintiffs cannot keep their loan current now, they are unlikely to be willing or able to pay a much larger delinquency later”. He argued that the lender had given notice to the couple regarding this decision. To support this Curran presented a document (computer generated) dated 19th March from Ben Windust the senior vice president.

But lawyer Kenneth Ingber said on behalf of his clients, the Ward that the operations undertaken by the lender tantamounted to breach of agreement. He further claimed that the letter of 19th March was neither actually sent nor received by the couple.