Judge Denies Group’s Whistle-Blower Standing in Suit Against U.S. Bank

A federal judge this week dismissed an innovative lawsuit that had threatened to open a new front in the legal assault on the foreclosure practices of large banks.

News Story (Ohio)

Peter Eavis
New York Times (NYT)
May 13, 2015
Link to story

Tags: Housing: Foreclosure, Housing: Mortgage

Organizations mentioned/involved: Advocates for Basic Legal Equality (ABLE) (Ohio)


DETAILS

A legal aid group had taken the inventive step of assuming the role of a whistle-blower revealing abuses in the handling of a popular type of government-backed mortgage.

But Judge Jack Zouhary of Federal District Court for the Northern District of Ohio ruled on Tuesday that the group, Advocates for Basic Legal Equality, did not act as a whistle-blower in the way envisioned by the False Claims Act, the legislation that was the basis for the group’s action.