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Jeffrey Naimon Quoted in Law360 Article, "Supreme Court Sets Lenders Up for More Rescission Fights"Jeffrey P. Naimon
Jeffrey Naimon was quoted in Evan Weinberger's Law360 article, "Supreme Court Sets Lenders Up For More Rescission Fights," on Tuesday, January 13, 2015.
In a unanimous decision, the high court ruled that the Truth In Lending Act gives homeowners three years from the time they close on their mortgage to send written notice to their creditors that they intend to rescind their home loan due to alleged misrepresentations at the time the mortgage was issued.
The Supreme Court’s ruling brings more clarity to the process borrowers, lenders and mortgage servicers have to follow when moving forward with a mortgage rescission. However, any borrowers who took out subprime mortgages prior to the 2008 financial crisis will have had to file their rescission notification already, and the number of foreclosures has gone down steadily as bad mortgages move their way out of the system.
That means that the Supreme Court’s decision on mortgage rescissions could become more important in the event of another housing slump, said Jeffrey Naimon, a partner atBuckleySandler LLP.
“Everyone is going to have to be ready for it,” he said.