Real Estate & Property Law
New L.A. Suit Against Deutsche Bank Seeks to Hold ‘Slumlord’ Responsible for Foreclosures
Posted May 4, 2011 1:27 PM CDT
By Martha Neil
In the latest suit against Deutsche Bank, the city attorney of Los Angeles is pursuing an unusual case contending that the mortgage lender is a "slumlord" and seeking a court order requiring it to clean up foreclosed properties and comply with landlord-tenant law.
In response, a spokesman for the bank says the city has got it wrong, reports the L.A. Now blog of the Los Angeles Times.
"As we have repeatedly advised the Los Angeles city attorney’s office, loan servicers, and not Deutsche Bank as trustee, are contractually responsible for both the maintenance of foreclosed properties and any actions taken with respect to tenants of foreclosed properties," says John Gallagher in a written statement provided to the newspaper.
It says Deutsche Bank has offered to provide information to the city to identify the proper servicers to contact with its concerns, to no avail.
ABAJournal.com: "US Sues Deutsche Bank for Alleged Reckless Lending, Claims Unopened Reviews Stuffed in Closet"