BofA agrees to pay $8.5 billion in mortgage claims
The settlement will contribute to a second-quarter loss of $8.6 billion to $9.1 billion, or 88 cents to 93 cents a share, the bank said in a statement. Bank of America also said it's adding $5.5 billion to a liability reserve for future loan-repurchase demands and will record $6.4 billion in other charges including legal costs and a write-down of mortgage-unit goodwill... Investors, which also include Pacific Investment Management Co. and the Federal Reserve Bank of New York, demanded in October that Bank of America repurchase home loans that had been packaged into bonds by Countrywide Financial Corp., which it acquired in 2008. The settlement covers 530 mortgage trusts with an original loan balance of $424 billion, the bank said.

Bank Of America 'Significantly Hindered' Federal Investigation, U.S. Official Says
Bank of America, the largest U.S. bank by assets, "significantly hindered" a federal investigation into the firm's faulty foreclosure practices on potentially billions of dollars worth of taxpayer-backed loans, a federal auditor told an Arizona court. The bank withheld key documents and data, prevented investigators from interviewing bank employees... Federal investigators found one bank employee who signed more than 75,000 foreclosure documents over the two-year period. If the employee worked every day during those two years, that amounts to about 103 documents signed per day, or one every five minutes. Another Bank of America employee was found to have signed nearly 47,000 foreclosure documents over the examined period, which amounts to about 64 documents signed per day, or one every seven minutes.

Documentary Gives Hot Issue Caffeinated Jolt
“Everybody knows — or thinks they know — the McDonald’s case,” said Susan Saladoff, who put her legal practice aside to direct and produce the film. “But they really don’t know it at all. I didn’t do this to become a filmmaker. I made this movie because I had something to say that needed to be said, and nobody else was saying it, at least to regular folks, to the public.” That message may be getting across. Ann Hornaday of The Washington Post, reviewing the film at the Sundance Festival, wrote that it provided “the kind of narrative that sends audiences out of the theater thinking in a brand-new way about something they thought they understood.” ... One of several strands in the film, Ms. Liebeck’s story shows how tort reformers deftly spun her case and others to nudge public opinion and argue for the need to shut down what industry advocates called “jackpot justice.” The film also lays out facts of the case that are rarely heard.  89 related articles

HBO Documentary Films: Summer Series - Hot Coffee (HBO)
HOT COFFEE examines the dangers of so-called “tort reform” and its threat to our civil justice system. Using the now-infamous legal battle over a spilled cup of McDonald’s coffee as a springboard, the film follows four families, including McDonald’s plaintiff Stella Liebeck and KBR/Halliburton plaintiff Jaime Leigh Jones, whose lives have been profoundly affected by their inability to access the courts, and examines the role of corporations and a complicit media in promoting “tort reform.” 89 related articles

Southborough couple have a $1 million money pit
Ever since they moved into the house at 22A Lovers Lane in 2005, Kathryn and Christian Culley say their long-awaited "dream home" has been nothing but a nightmare. The garage was too small to fit their car. Weeks later, water began flooding the basement. Over time, doors couldn't be shut, and floors started creaking. The Culleys didn't know it, but their house was shifting... During the course of the legal proceedings, builder Gary Cato lost his license, as did two engineers, John Greendale and Carlos Ferreira, who both admitted to stamping plans improperly. After a monthlong trial, a jury awarded the Culleys $1.1 million in damages, an amount that was to be tripled automatically because of the fraud and building code violations... A year later, though, the Culleys haven't seen a cent. They are still looking for resolution.  That's because Middlesex Superior Court Judge Thomas Murtagh threw out the jury's verdict, saying it went "against the weight of the evidence and was likely due to misapprehension, confusion or passion."

Texas HOA demands green grass in a drough
...this HOA, he said, that suggested it, after they found patches of dirt amongst the withered blades in his front yard...SAWS officials say they have yet to see any homeowner deed restrictions that demand homeowners keep their lawns green. And as a public water utility, SAWS has no jurisdiction over HOAs. But the utility is asking all associations to think of brown grass as the new green, at least for now in stage-2 restrictions.

'Hot Coffee:' Facts, Fiction, and Corporate Greed
...did you know that the coffee served to Stella Liebeck was 50 to 60 degrees hotter than what you brew in your coffeemaker at home? That Ms. Liebeck received third-degree burns over 16 percent of her body: the worst burns her treating physician had even seen? That over a ten-year period before Ms. Liebeck was horribly burned more than 700 people reported burns from McDonald's coffee? That McDonald's representatives admitted at trial that its coffee was so hot it was "not fit for consumption" when sold? That the judge who presided over the trial described McDonald's conduct as "callous" and "willful, wanton, and reckless"? Probably not.

Ousted HOA president demands millions
Former Ventura HOA president Lisa Pfeiffer is at it again. She's filed a multi-million dollar claim against the homeowners association after being ousted from office last year after a News 4 WOAI Trouble Shooters investigation. Pfeiffer was forced to resign last November after I reported she had closed all board meetings, spent more than $100,000 to sue several homeowners and then rigged her own re-election.

Bank of America Gets Pad Locked After Homeowner Forecloses On It
Instead of Bank of America foreclosing on some Florida homeowner, the homeowners had sheriff's deputies foreclose on the bank. It started five months ago when Bank of America filed foreclosure papers on the home of a couple, who didn't owe a dime on their home. The couple said they paid cash for the house. The case went to court and the homeowners were able to prove they didn't owe Bank of America anything on the house. The case went to court and the homeowners were able to prove they didn't owe Bank of America anything on the house. In fact, it was proven that the couple never even had a mortgage bill to pay.

HOA threatens to sue Possum Kingdom wildfire survivor
When raging wildfires destroyed 54 homes in the Possum Kingdom Lake residential area known as Sportsman's World last month, one of those houses belonged to Jim Brumbelow. Now, more than a month later — as he surveys what's left of his world — the 77-year-old cancer survivor faces new challenges in his life... The recreational vehicle and camper he is living and working out of until his home can be rebuilt is violating Article 8, Section 3(e) of the Sportsman's World Property Owners Association covenant, according to a letter Brumbelow received from a Dallas law firm. Related Report: Sen. John Carona defends controversial HOA rule

HOA Reform: stalemate means checkmate
The death of the HOA bill is a prime example of how special interests work in Austin. Particularly telling is that Solomons and homeowner reform groups lay the blame at the feet of homebuilder and powerbroker Bob Perry. It reflects a lot of frustration with the influence of special interests in Austin; all one has to do is suggest that pending legislation would hurt business and that the odds immediately favor bad legislation passing or reform stalling.

WFAA News Report: Senator John Carona Featured
When asked what the "priority of payment" should be, Carona said it should be like it is with most associations...
schedule they highlighted that the last item to be paid was "Sixth - Regular Assessments," but the first item to be paid was, "First - Cost of Collection, including Attorneys fees." After this insert was shown, Shipp asked Carona, "So attorneys should be paid first?" Carona replied, "No I'm not saying that." To which Shipp responded, "You're not saying that?" Carona said, "No." Shipp persisted, "Isn't that the policy of your property management association?" To which, Carona held his hand up, turned sharply, and said, "end of interview."  See Associa Priority of Payment Contract