Lender Tells 9th Circ. Hartford Must Cover $1.5M Deal
Law360 (June 16, 2020, 7:24 PM EDT) — A California-based lender urged the Ninth Circuit on Tuesday to find that a unit of The Hartford must cover its $1.5 million settlement of a lawsuit over the lender’s alleged practice of charging illegal fees for mortgage modification services, arguing the deal did not constitute an uninsurable restitution payment.
In an opening appellate brief, First One Lending Corp. contended U.S. District Judge Andrew J. Guilford erred last December when he ruled that Hartford Casualty Insurance Co. is not liable to cover its settlement of the underlying action filed by nonprofit organization Neighborhood Assistance Corp. of America.
NACA accused First One and…