Dembowski v. Washington Mutual
What is this case about?
A class action lawsuit has been filed on behalf of borrowers for whom Washington Mutual performed mortgage loan servicing. The complaint alleges that defendants engaged in deceptive, unfair and oppressive business practices directed at mortgage loan borrowers, and breached the in mortgage loan contracts which govern their mortgage loan servicing transactions. The unfair practices include failing to post payments received from borrowers in a timely manner and then charging the borrower a "late charge;" losing payments; failing to properly draft electronic mortgage payments; failing to maintain accurate account records; failing to respond to borrower complaints or remove improper charges assessed to borrowers and making erroneous negative reports to credit reporting agencies.
Frequently Asked Questions- What is Green Welling LLP trying to achieve in the lawsuit?
- What is a class action?
- What is the "Dembowski" class period? Who is in the "Dembowski" class?
- How much will this cost me/What is your fee?
- What would be my involvement in the lawsuit? What is my legal obligation?
- What is a lead plaintiff/class representative?
- How do I participate in a class action? How do I join?
- What does "opting out" mean?
- If I'm not a named plaintiff or class representative and the court granted some kind of homeowner recovery, would I receive something?
- If I "sign-up" with one law firm, does it exclude me from sharing settlements won by other law firms?
- Why should I join with Green Welling?
- If I refinance with another company, will that effect participation in the suit?
- How much of my losses might realistically be returned?
- How long will it take to receive a return?
- I haven't incurred that many unfair fees, will this be a waste of time?
- Who can I contact for more information?
What is Green Welling LLP trying to achieve in the lawsuit?
The complaint seeks an order requiring defendants to pay back charges improperly assessed to or paid by borrowers, to correct erroneous negative reports to credit bureaus, and to comply with proper mortgage servicing practices.
What is a class action?
A class action is a legal device allowing one person to sue as a plaintiff on behalf of all persons likely to have experienced the same injury. Class actions are often brought against corporations, such as mortgage companies and credit card banks, that overcharge or otherwise mistreat many customers in the same way. They are brought against the manufacturers of defective products. They may also be brought against a company or its officers on behalf of a class of shareholders in the company. Examples include:- thousands of consumers purchase or use the same defective product;
- a telephone company or credit card bank overcharges thousands of customers pursuant to the same policy;
- employees experience age, sex or race discrimination;
- a drug or medicine used by many patients is suspected of having dangerous side effects;
- purchasers of a company's stock or securities are injured because the company made fraudulent representations about its products or business prospects;
- consumers pay higher prices because of the anti-trust activities of large corporations;
What is the "Dembowski" class period? Who is in the "Dembowski" class?
The class is defined as "All persons who have or had mortgage loans for which Washington Mutual obtained the servicing rights from another loan servicing institution, regardless of how the servicing rights were acquired, during the time period from 1/1/00 through the present, excluding persons whose mortgage loans were serviced by Bank United of Texas as of February 13, 2001, and all members of the Class who were enrolled in the Bi-Saver Mortgage Cost Reduction System at the time Washington Mutual began servicing their loan." We have a separate action on file for borrowers whose mortgage loans were previously serviced by Bank United.
How much will this cost me/What is your fee?
Green Welling LLP usually operates on a contingency basis. For this case it means the homeowner does not have to pay legal fees up front. Our firm will seek to obtain a successful result for the class. If we are successful in obtaining a recovery for the class we will apply to the court to have our fees and costs paid from the recovery. The Court will determine the amount of fees that are reasonable in light of the benefit obtained for the class.
What would be my involvement in the lawsuit? What is my legal obligation?
As a member of the class who is not a lead plaintiff, you have no obligations. If the action is resolved in favor of the plaintiff class, members will be sent a notice and a claim form which provides instructions on how to receive a share of the settlement or verdict.
What is a lead plaintiff/class representative?
A lead plaintiff/class representative is a person named in the complaint as the plaintiff and who has been determined by the court to be a legally "adequate" person to represent the interests of the class as contrasted with "absent" class members who are not individually named, but in the class by virtue of having suffered a similar injury as the lead plaintiff.
How do I participate in a class action? How do I join?
The class in this case has not yet been certified by the court as a "class action"; officially been certified yet; however, when the definition of the class is made, class members do not "join" into the litigation, but decide to participate by not "opting-out."
What does "opting out" mean?
To "opt out" means an individual class member wants to pursue individual actions against the defendant. If a person opts-out, he or she is not bound by any judgment or settlement of the class action.
If I'm not a named plaintiff or class representative and the court granted some kind of homeowner recovery, would I receive something?
As long as you are a homeowner in the stated class period who has not "opted-out," yes. In most consumer and investor class actions, after the court certifies the case as a class action, members of the defined class are given an opportunity to "opt out" and pursue individual actions against the defendant, if they so prefer. A person who opts-out, is not bound by any judgment or settlement of the class action. Class members choose not to opt out, however, are bound to the results of the case and automatically share in any recovery obtained for the class. There are exceptions to this general rule, such as when the relief sought is primarily injunctive and not monetary, or where the Court certifies the class on a "non-opt-out" basis.
If I "sign-up" with one law firm, does it exclude me from sharing settlements won by other law firms?
Generally, no, because the settlement is obtained for the entire class, not the law firms. The entire class will share the same settlement regardless of what law firm they "sign up" with. Moreover, most class members do not technically "sign up" with a law firm, but decide to participate in the lawsuit itself simply by not "opting-out." If the action is resolved in favor of the plaintiff class, members will be sent a notice and a claim form that provides instructions on how to receive a share of the settlement or verdict.
Why should I join with Green Welling?
Complementing its highly-skilled legal practitioners and support staff, Green Welling LLP employs cutting-edge technology to investigate, prosecute and bring cases to a successful conclusion. We pride ourselves in providing the highest quality legal representation to consumer clients who would not be able to obtain an effective remedy for their injuries, but for the availability of the class action device. We also represent institutional investors and other high net worth investors in securities fraud litigation, and complex litigation concerning abusive corporate governance practices, breaches of fiduciary duty and proxy violations. The cases we litigate are generally taken on contingency, at no cost to the client, with our fee tied to the benefit obtained for the class. Our lawyers bring an outstanding set of skills and experiences to the practice of law. As their personal biographies demonstrate, in additional to their law degrees, several attorneys have post graduate degrees in such fields as business administration and public policy, while others have high-level work experience in fields encompassed by the firm's practice, such as in securities and technology.
If I refinance with another company, will that effect participation in the suit?
Not necessarily. As long as you meet the class definition above and your loan was serviced by Washington Mutual during the class period, you will be able to participate in any recovery that includes your overcharges. If you refinanced prior to the beginning of the class period, you will not be able to participate.
How much of my losses might realistically be returned?
Homeowners should not expect to receive all monies lost due to Washington Mutual's conduct. Rather, most class action settlements return a percentage of the amount lost. There are a couple of reasons for this: First, a company has no incentive to settle a law suit if plaintiffs seek the highest amount of damages possible. Defendants would just as soon fight the lawsuit and take their chances in front of a jury. Second, attorneys fees and costs associated with the litigation are paid out of any settlement. Ultimately, each homeowner has to keep in mind the purpose of this action -- to retrieve a loss, punish the company for mistreating its customers, prevent them from doing it again and to set an example for other companies.
How long will it take to receive a return?
The time it takes to litigate a class action varies from case to case. However, most class actions take between two to three years to reach a conclusion.
I haven't incurred that many unfair fees, will this be a waste of time?
If you are an unnamed member of the class, you have no active obligations in this lawsuit. The time involved in participating in the lawsuit would be nothing more than filling out a claim form after a recovery is made. Based on that, each decision to file a claim is solely up to the class member.
Who can I contact for more information?
Feel free to call us toll-free at 1-888-610-4768. You may also send an email to gw@classcounsel.com.
(The attorneys of Green Welling LLP will be glad to answer any additional questions you may have. Please contact us.)
-TOP-