Outcome: $3,000,000 Settlement
Robinson, et al. v. Nationstar Mortgage LLC, Case No.: TDC-14-3667 in the United States District Court for the District of Maryland
Consumers and Nationstar Mortgage reached a significant class action lawsuit settlement in 2020. Read about the subsequent appeal here. The lawsuit contended that Nationstar did not comply with the Real Estate Settlement Procedures Act (RESPA) concerning customers’ loss mitigation applications and also failed to respond timely to mortgage servicing complaints.
Plaintiffs alleged violations of RESPA as well as violations of the Maryland Consumer Protection Act. The court certified a national class and a Maryland subclass. TZ was one of the law firms appointed as class counsel. Nationstar denied the allegations.
Settlement Terms
- Nationstar agreed to pay a total of $3,000,000 as relief.
- Funds were distributed among class members who submitted valid claim forms.
This settlement provides monetary relief to affected borrowers and serves as a reminder to lenders to comply with RESPA when servicing federally-related mortgage loans.