Dunn v. Bank of America N.A.

Plaintiffs filed suit against Bank of America, alleging that Bank of America failed to provide necessary disclosures in violation of the Truth in Lending Act (TILA), 15 U.S.C. 1601 et seq. The district court agreed with defendants that the loan at issue was a residential mortgage transaction to which section 1635(a) did not apply. Therefore, the notice of rescission plaintiffs sent to Bank of America in February 2011 could not cancel the loan or provide a basis for wrongful foreclosure and quiet title actions. The district court determined that even if defendants had been required to provide disclosures under the TILA, any claim for damages would have been barred by its one-year statute of limitations. The court concluded that, based on the plain language of the statute, a residential mortgage transaction is not entitled to the right of rescission under section 1635(a). The court rejected plaintiffs' remaining claims and affirmed the judgment. View "Dunn v. Bank of America N.A." on Justia Law