Facts

The plaintiffs filed a fair-lending class action suit against Sand Canyon Mortgage Corp., alleging violations of the Equal Credit Opportunity Act and the Fair Housing Act. The plaintiffs alleged that African American mortgage borrowers paid more for their loans than white borrowers. The plaintiffs argued that this disparate pricing resulted from the companies' delegation of discretion regarding loan pricing to unaffiliated mortgage brokers.

While the class was initially certified, the defendants later moved to decertify the class, arguing that the mere delegation of decision-making authority is not a uniform policy sufficient to establish commonality for the purposes of a class action suit.

Result

The Court decertified the class.