The federal government is suing to overturn Chicago’s law requiring lenders to maintain properties they don’t own [WSJ editorial]:
Earlier this month the federal agency that oversees Fannie Mae and Freddie Mac sued Chicago for its vacant-buildings ordinance, which requires that a “mortgagee” register vacant properties, pay a $500 fee to the city, comply with onerous maintenance requirements and face a $1,000 daily fine for noncompliance. Any entity with a financial interest in the home—a bank, mortgage trust, mortgage servicer or Fan and Fred—is subject to the law, whether or not it has foreclosed on the home and owns the title….
The [Chicago enactment] came at the expense of small banks and mortgage servicers that can’t afford, for instance, to install “commercial-quality metal security panels” on windows or clean snow “from the walkway leading to the main entry door, and any public sidewalk adjoining the lot.” It’s legally dubious to impose these requirements on private owners of private property, and by doing so Chicago will raise the cost of mortgage loans to future homeowners.
More: Kevin Funnell, Bank Lawyer’s Blog; earlier here and here.
Tagged as:
mortgages
- “Ohio Attorney Sues Over Misleading Emails, Even Though He Wasn’t Misled” [Chris Danzig, Above the Law]
- Feds say new EPA-ordered fuel economy standards could add $2000 to price of new car [C.J. Ciamarella, Daily Caller] More: WSJ.
- Las Vegas considers following Chicago’s lenders-must-cut-grass folly [Kevin Funnell, earlier] “The Fed actually does impose, via legal risk, a de facto ceiling on mortgage rates.” [Mark Calabria, Cato]
- 2nd Circuit: Prison Litigation Reform Act curbs attorney fee shift at 150% of cash won, and yes, that applies to a $1 award [PoL] Panel on attorneys’ fees in class actions at Federalist Society convention [video, PoL]
- John McClaughry reviews Reckless Endangerment, Morgenson/Rosner book on financial crisis [Reason]
- Daniel Hannan on John Fonte’s new book on transnational law, Sovereignty or Submission [Telegraph, and see chapters 11-12 of Schools for Misrule] International human rights activism pushes into “economic rights” [James P. Kelly III, Federalist Society "Engage"] NGOs exercise oft-envied combination of power without responsibility [Anderson] UK attorney general Dominic Grieve takes on the European court of human rights [Joshua Rozenberg, Guardian] UN battle plan on non-communicable diseases aims to save us from ourselves;
- Sans statutory authority, EPA wanders into “environmental justice” [PowerLine]
Tagged as:
attorneys' fees,
autos,
Environmental Protection Agency,
Europe,
international human rights,
mortgages,
United Nations
- Sure, let’s subvert sound mortgage accounting in the name of energy efficiency. What could go wrong? [Mark Calabria, Kevin Funnell]
- California: fireworks shows are “development” and coastal commission can ban ‘em [Laer Pearce, Daily Caller]
- Trial lawyers’ lobbyist: I got Cuomo to bash Chevron in Ecuador case [John Schwartz, NYT]
- Politics of intimidation: “jobs bill” advocates occupy office of Sen. Minority Leader McConnell (R-Ky.) [ABC News] Union protesters invade Sotheby’s during big auction [NYObserver] “Occupy Denver protesters try to storm conference of conservative bloggers” [Denver Post] “What’s the matter with Oakland?” [Megan McArdle] Post-’08 downturn, not wealth of the few, at root of economic woes [Steve Chapman] “Bohm-Bawerk forget to include [Ms. Katchpole] in his commentaries on sundry theories of interest.” [Tyler Cowen]
- New breakthroughs in abundant energy aren’t welcome to some [NYT "Room for Debate"] Is GOP wrong to make EPA an issue? [Michael Barone]
- After extracting $450,000 settlement, employee admits falsifying whistleblower evidence in oil filter antitrust case; class action suits continue [Bloomberg, Abby Schachter/NYPost via PoL]
- Least surprising Washington-DC-datelined story of year: “Medical malpractice reform efforts stalled” [Politico]
Tagged as:
Andrew Cuomo,
antitrust,
California,
Chevron,
environment,
labor unions,
mortgages,
whistleblowers
With some help from Cato colleagues:
- As bailouts go, Fannie/Freddie’s is on track to cost more than TARP [Mark Calabria; related, Arnold Kling] “Engineering the Financial Crisis: Systemic Risk and the Failure of Regulation” [Cato forum this past Thursday]
- Just like Valley Forge out there in the snow? Are you sure? [Ann Althouse]
- Student loans have become more burdensome, especially given inability to discharge in bankruptcy. Who if anyone deserves blame? [Kenneth Anderson, Kling, Mystal/Above the Law] President’s proposed student loan revamp “won’t cost taxpayers” (and if you believe that one…) [Neal McCluskey]
- NY police union rep: we’ll sue protesters if they hurt us [USA Today]
- No new graphic ideas since, what, 1893? New Yorker envisions top-hatted capitalists in whiskers [David Boaz] Some demographics behind income inequality [Mark Perry, more, yet more, Will Wilkinson (PDF), Reihan Salam, Political Calculations]
- Unions rally some protesters to intimidate businesspeople at their homes; nothing new about that except the label [CNN, Business Insider, earlier]
Tagged as:
colleges and universities,
mortgages,
NYC,
Wall Street
- Not a parody: economics professor sets off debate on “ugly rights” with suggestion of making unattractiveness of appearance a protected discrimination-law category [Daniel Hamermesh/NYT, PoL, Eric Crampton, Jon Hyman] Apparently Niall Ferguson needn’t worry [Telegraph]
- Feds sue banks and more than 130 executives, demanding billions over their role in the mortgage crisis; new “tobacco/asbestos” predicted [Biz Insider, more, yet more] Takes some cheek to cast Fannie and Freddie as victims [John Berlau, CEI]
- Also on mortgages: Rahm Emanuel’s unsound new “lender must cut the grass” ordinance [Funnell] California AG sues lawyers, telemarketers over class action loan modification scheme; lawyer fires back with civil rights suit [AP, ABA Journal] New York chief judge wants state to fund more lawyers to resist enforcement of mortgages [PoL]
- Related to last, on Civil Gideon’s “‘impossible dream’ of giving every civil litigant a lawyer” [Benjamin Barton & Stephanos Bibos, SSRN via Instapundit]
- Fallen tree damage from all these storms? Think twice before taking your neighbor to court [Ilya Somin]
- Stories you read here first: wider coverage for EEOC suit against trucking company for not letting alcoholic drive [Fox, earlier]
- Illinois advocates plan push for punitive civil suits against johns, strip club owners, sex-ad websites [NYT]
Tagged as:
banks,
civil gideon,
discrimination law,
mortgages,
strippers and exotic dancers,
trees
The St. Petersburg Times explores the ethical issues raised by the practice of a Florida lawyer who “flies his six-seat Piper Malibu around Florida championing the cause of the little guy. His target: the big, bad banks.” The plan: charging upfront fees of up to $5,000, plus a contingency, for the privilege of enrolling in “mass joinder” suits demanding foreclosure relief.
Tagged as:
ethics,
Florida,
mortgages
- Per New Jersey court, overly sedentary home office job can result in valid worker’s comp claim [Courier-Post, NJLRA]
- Trial bar’s AAJ denies it played “direct” role in backing “Hot Coffee” [WaPo, some background]
- “Cop repeatedly harasses waitresses, never disciplined. Feds defend their civil rights by . . . suing the restaurant.” [Palm Beach Post via Radley Balko]
- On “unauthorized practice of law” as protective moat around profession’s interests, Britain does things differently [Gillian Hadfield via Andrew Sullivan; related, Larry Ribstein] Forthcoming book by Robert Crandall et al urges lawyer deregulation [Brookings]
- “The Treaty Clause Doesn’t Give Congress Unlimited Power” [Ilya Shapiro, Cato on Golan v. Holder case headed to Supreme Court]
- The small bank regulatory shakedown blues [Kevin Funnell] Why is the Department of Justice including gag orders as part of its enforcement decrees against banks on race and lending? [Investors Business Daily via PoL] “Emigrant fights back against mortgage-discrimination suits” [Fisher, Forbes] Dodd-Frank squeezing out community banks [Funnell]
- “North Carolina to Seize Speeding Cars That Fail to Pull Over” [The Newspaper] “With what, a tractor beam?” [James Taranto]
Tagged as:
AAJ,
banks,
constitutional law,
harassment law,
hot coffee,
international law,
mortgages,
New Jersey,
North Carolina,
traffic laws,
workers' compensation
“Wells Fargo & Co. decided to exit reverse mortgages after federal officials insisted it foreclose on elderly customers who were behind on property tax and insurance payments, a Wells executive wrote in an email to business contacts Friday.” [American Banker]
Tagged as:
mortgages
Politics edition:
- Mother ship? White House staffers depart for Harvard Law School [Politico]
- New York: “Lawmakers consider lawyer-friendly med-mal bills,” even as many key legislators moonlight at personal injury firms [Reuters]
- David Brooks on explosive political potential of Fannie Mae scandal [NYTimes] After Kentucky bar panel’s vote to disbar Chesley, Ohio AG pulls him off Fannie Mae suit [Adler, Frank, Beth Musgrave/Lexington Herald-Leader]
- Alabama legislature removes Jim Crow language from state constitution — but black lawmakers oppose the idea [Constitutional Daily]
- AAJ lobbyist Andy Cochran works GOP turf, has convinced trial lawyers to sponsor Christian radio program [Mokhiber, "Seventh Amendment Advocate"]
- Centers for Disease Control funnels grants to allies for political advocacy on favored public-health causes [Jeff Stier, Daily Caller]
- Must have mistaken her for a jury: “John Edwards Sought Millions From Heiress” [ABC News] “One thing [worse than Edwards's] conduct is the government’s effort to put him in jail for it.” [Steve Chapman]
Tagged as:
Alabama,
Barack Obama,
Harvard,
John Edwards,
litigation lobby,
mortgages,
New York,
politics,
public health,
wrong right
- Study of how class action lawyers interact with their named clients [Stephen Meili via Trask]
- California releases numbers on how bounty-hunting lawyers did in 2010 under Prop 65 environmental-warning law [Cal Biz Lit]
- According to the tale, lender errors in foreclosure gave Florida borrower home free and clear. Actual story may be more complicated than that [Funnell]
- The very long discovery arm of the Philadelphia, and Pennsylvania, courts [Drug & Device Law, more]
- UK law firm “could face big bill” after sending thousands of file-sharing demand letters [ABA Journal]
- Goodbye to men’s track at U. of Delaware, and the women’s team is suffering too, as often happens with Title IX [Saving Sports]
- OSHA’s proposed “illness and injury prevention program” (I2P2) termed a “Super Rule” with potentially widespread economic impact [Kirsanow, NRO]
Tagged as:
class actions,
discovery,
forum shopping,
mortgages,
OSHA,
Pennsylvania,
Philadelphia,
Prop 65,
RIAA and file sharing,
Title IX
Some Florida judges are punishing improperly handled foreclosures by giving homes to borrowers free and clear [Palm Beach Post]
Tagged as:
Florida,
mortgages
New York chief judge Jonathan Lippman floats a highly dubious idea that would build toward that even more dubious program of full employment for lawyers known as Civil Gideon. [NY Times, Alkon]
Tagged as:
civil gideon,
mortgages,
New York
- EU imposes unisex insurance rates [BBC, Wright]
- Law blog on the offense? TechnoLawyer asserts trademark claim against Lawyerist over “Small Law” [Lawyerist]
- “Pro-business Supreme Court” meme strikes out yet again as SCOTUS backs “cat’s-paw” bias suit theory by 8-0-2 margin [Josh Blackman, Schwartz, Fox; Lithwick locus classicus]
- Subprime CDO manager sues financial writer Michael Lewis over statements in his book The Big Short [AW, Salmon, Kennerly]
- Police in Surrey, England, deny advising garden shed owners not to use wire mesh against burglars [Volokh, earlier]
- Patterns of intimidation: protesters swarm Speaker Boehner’s private residence [Hollingsworth, Examiner] Unions fighting Wal-Mart in NYC plan actions at board members’ homes [Stoll] Report: GOP lawmakers in Wisconsin fear for personal safety [Nordlinger, NRO] White House pushing street protests [Welch, Nordlinger] Age of Civility short lived [Badger Blogger, Althouse, Sullivan]
- In clash with trial lawyers, Cuomo proposes pain and suffering limits in med-mal suits [NYDN, more: NYT] “Bloomberg looks to Texas for ideas on changing medical malpractice laws” [City Hall News]
- Hey, should we seize his drum set? Infuriating video on cop raids and forfeiture laws [Institute for Justice, Michigan]
Tagged as:
Dahlia Lithwick,
Europe,
forfeiture,
insurance,
labor unions,
legal blogs,
libel slander and defamation,
medical malpractice,
mortgages,
New York,
sex discrimination,
Supreme Court,
trademarks
