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Volume 2019 - Number 2

January 10, 2019

Lender Not Liable for Servicer’s RESPA Violation

Lenders are not liable for a servicer’s failure to comply with the Real Estate Settlement Procedures Act, according to a recent ruling by the U.S. Court of Appeals for the Fifth Circuit. Such claims by borrowers have seen some success in district courts and this was the first time an appeals court considered the issue.

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