Ohio Supreme Court Certifies Questions Regarding GMAC Robo-signing Issues and Ohio Consumer Sales Practices Act

Ohio Supreme Court Certifies Questions Regarding GMAC Robo-signing Issues and Ohio Consumer Sales Practices Act

By Daniel Edstrom
DTC Systems, Inc.

On August 24, 2011, the Ohio Supreme Court agreed to hear the following questions:

MOTION AND PROCEDURAL RULING

On review of preliminary memoranda pursuant to S.Ct.Prac.R. 18.6. The court will answer the following questions:
1. “Does the servicing of a borrower’s residential mortgage loan constitute a `consumer transaction’ as defined in the Ohio Consumer Sales Practices Act., R.C. 1345.01(A)?”

2. “Does the prosecution of a foreclosure action by a mortgage servicer constitute a `consumer transaction’ as defined in the Ohio Consumer Sales Practices Act., R.C. 1345.01(A)?”

3. “Is an entity that services a residential mortgage loan, and prosecutes a foreclosure action, a `supplier . . . engaged in the business of effecting or soliciting consumer transactions’ as defined in the Ohio Consumer Sales Practices Act., R.C. 1345.01(C)?'”

O’DONNELL, J., dissents.

Ruling: http://dtc-systems.net/wp-content/uploads/2011/12/State-ex-rel-DeWine-v.-GMAC-Mtge-LLC.pdf

Presentation regarding Mortgage Servicing Origination and Foreclosure Issues: http://dtc-systems.net/wp-content/uploads/2011/12/08-Mortgage-Servicing-Origination-and-Foreclosure-Issues-Jeff-Loeser-presentation.pdf