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Detroit lender facing federal lawsuit

Business owners may end up in the court room for any number of reasons, such as fraud, copyright infringement and breach of contract. For companies that have to head to court over allegations of fraud or any other offense in Detroit, it is essential to take a close look at the details of the case. After all, the outcome of a lawsuit targeting a business can have significant consequences.

In Detroit, a U.S. district judge recently ruled that the Justice Department can go after a mortgage lender based in Detroit over allegations of fraud. The Justice Department accuses the lender of fraud between 2007 and 2011. However, the judge said that the Justice Department will only be able to pursue recovery for claims that were dated on April 23, 2009, or later, due to the statute of limitations.

The mortgage lender is facing a number of allegations, including miscalculating borrowers’ incomes and turning a blind eye to warning signs on loan applications. However, the loan company said that it is ready to face a jury and fight the accusations. At this time, it is believed that this case will head to trial during 2019.

For a business owner facing litigation, daily life can be quite stressful. However, it is crucial for people facing these obstacles to understand their rights and have confidence in the way they choose to handle their circumstances. Business owners have a number of options when they are hit with a lawsuit, such as contacting an experienced legal professional, and handling litigation properly could lead to a far more favorable outcome.

Source: The Detroit News, “Fed suit against Quicken Loans passes first test,” Jennifer Chambers, Mar. 9, 2017