First Niagara Bank Mortgage Satisfaction Class Action Settlement

First Niagara Bank has agreed to pay $2.2 million to settle a class action lawsuit alleging they failed to timely present to the county clerks of New York state proof that mortgages had been satisfied.

Plaintiff Jeffrey Fink filed the putative class action lawsuit against First Niagara Bank in July 2013, alleging “systematic failure to timely present to the county clerks of New York proof that mortgages have been satisfied.”

Specifically, Fink claimed that First Niagara failed to present his mortgage satisfaction for 135 days and alleges that First Niagara failed to timely file mortgage satisfactions for thousands of other mortgagors.

New York Real Prop. Acts. Law § 1921 and § 275 provide that a lender who fails to present to the proper county clerk a satisfaction of mortgage when a borrower has paid the entire principle and interest due on a mortgage within 30 days is liable to the mortgagor for $500, if a mortgagee fails to do so within 30 days; $1000, if a mortgagee fails to do so for more than 60 days; or $1500, if a mortgagee fails to do so for more than 90 days.

Pursuant to the settlement reached on Apr. 15, 2015, First Niagara will make available $2,200,000 to pay claims by Class Members and the cost of notice and claims administration.

The maximum award for each Class Member will be $250, $500, or $750, depending on how late the respective satisfaction of mortgage was presented. Depending on how many Class Members make claims, those amounts may be reduced so that the maximum First Niagara will pay is $2,200,000.

First Niagara has denied and continues to deny it did anything wrong.

Class Members who wish to be excluded from the settlement must do so by Oct. 8, 2016. Those who wish to object to the terms of the settlement must do so by Oct. 27, 2016.

Who’s Eligible

Under the terms of the First Niagara settlement if you paid off or satisfied a residential mortgage in New York state between July 19, 2010 and Nov. 14, 2014 that was held or serviced by First Niagara Bank, N.A. and First Niagara did not present a satisfaction of mortgage to the county clerk within 30 days, you may be an eligible Class Member.

If you received a Summary Notice that informed you that you are a member of the Class, then you are a member of the class. If you did not receive a Summary Notice and you think you are a member of the class, you can contact the Settlement Administrator at 1-888-509-2659.

Potential Award

$250 – $750.

The maximum award for each Class Member will be $250, $500, or $750, depending on how late the respective satisfaction of mortgage was presented. Authorized Claimants shall be entitled to receive a distribution from the Net Settlement Fund as follows:

1. Authorized Claimants for whom a certificate of discharge or satisfaction of mortgage was presented more than 30 days, but not more than 60 days, after satisfaction are entitled to receive up to $250.
2. Authorized Claimants for whom a certificate of discharge or satisfaction of mortgage was presented more than 60 days, but not more than 90 days, after satisfaction are entitled to receive up to $500.
3. Authorized Claimants for whom a certificate of discharge or satisfaction of mortgage was presented more than 90 days after satisfaction are entitled to receive up to $750.

Depending on how many Class Members make claims, those amounts may be reduced so that the maximum First Niagara will pay is $2.2 million.

Proof of Purchase

Class Members will need to provide mortgage information, the address of the home that had a First Niagara mortgage that was paid off or otherwise satisfied, and the last four numbers of their SSN, in order to confirm they are eligible to receive a distribution from the Settlement Fund.

Claim Form

CLICK HERE TO FILE A CLAIM »

Claim Form Deadline

10/08/2016

Case Name

Jeffrey Zink v. First Niagara Bank N.A., Case No. 1:13-cv-01076-RJA, in the U.S. District Court for the Western District of New York

Final Hearing

11/10/2016

Settlement Website

www.ZinkFirstNiagaraSettlement.com

Claims Administrator

Zink First Niagara Settlement
c/o Epiq Class Action & Claims Solutions Inc.
PO Box 3230
Portland, OR 97208-3230
888-509-2659
Email: info@ZinkFirstNiagaraSettlement.com

Class Counsel

Todd S. Garber
Gregory Blankinship
FINKELSTEIN BLANKINSHIP FREI-PEARSON & GARBER LLP

Defense Counsel

Jodyann Galvin
HODGSON RUSS LLP