Castillo v. Americash, et al.
Published: Nov. 18, 2003 | Result Date: Sep. 30, 2003 | Filing Date: Jan. 1, 1900 |Case number: BC279021 Verdict – $177,000
Judge
Court
L.A. Superior Central
Attorneys
Plaintiff
David C. Smith
(Manatt, Phelps & Phillips, LLP)
Defendant
Facts
In June 2001, the plaintiffs entered into a home mortgage loan with the defendants. Almost immediately after they had entered into the loan agreement, the plaintiffs were advised by the defendant that their loan had been sold to Equicredit. The plaintiffs were given a new address to which to send their monthly mortgage payments, and they began making monthly payments to Equicredit commencing on Sep. 1, 2001. At all times, the plaintiff made timely, monthly payments pursuant to their Loan Agreement. On Jan. 31, 2002, the plaintiffs mailed their mortgage payment to Equicredit. This payment was mailed to Equicredit at the same address to which the plaintiffs had made their prior monthly payments as directed by Equicredit. Equicredit received and cashed the plaintiffs' check on Feb. 14, 2002. On Feb. 25, the plaintiffs were contacted by Equicredit and were advised that Equicredit had not received their February 2002 mortgage payment. The plaintiffs immediately contacted their bank and received confirmation that their check had been cashed. On March 6, the plaintiffs provided Equicredit with a copy of the cancelled check as proof that their February 2002 payment was timely received by Equicredit. Despite this, Equicredit refused to credit the plaintiffs' February 2002 payment and refused to acknowledge they had timely received the plaintiffs' payment for February. Instead, Equicredit started a collection campaign. Equicredit's collection attempts included letters to the plaintiffs threatening foreclosure and at least six telephone calls. Fairbanks officially took over the servicing of the plaintiffs' loan in April 2002. Fairbanks collection attempts included near daily telephone calls and multiple dunning letters. In late May 2002, the plaintiffs provided Fairbanks with a copy of the cancelled check as proof that their February 2002 payment had been timely made. Nonetheless, Fairbanks did not stop attempting to collect the payment until after the plaintiffs filed and served their complaint. In November 2002, the plaintiffs dismissed Americash as a defendant and proceeded against Equicredit and Fairbanks for violations of the California Fair Debt Collection Practices Act, intentional infliction of emotional distress and the negligent infliction of emotional distress.
Settlement Discussions
The plaintiffs demanded $150,000; the defendants offered $30,000. At a prior arbitration, the plaintiffs had demanded $200,000 and the defendants had offered $30,000.
Damages
Emotional distress.
Other Information
The plaintiffs have filed a motion for fees of $156,000 and costs of $21,000.
Deliberation
2.5 days
Poll
9-3
Length
3.5 days
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