Countrywide Loan, LandSafe Appraisal Class Action Lawsuit Certified

UPDATE: On Oct. 10, 2020, Top Class Actions viewers started receiving checks in the mail from the Countrywide class action settlement worth as much as $127. Congratulations to everyone who filed a claim and got PAID!

A website has been created for a recently certified Class of consumers allegedly affected by an appraisal scheme carried out by Countrywide, Bank of America, and LandSafe.

The website has been established for Class Members to read about the class action lawsuit and consider their rights.

While the website is live, it is not accepting claims yet. Top Class Actions will provide claim filing instructions as soon as they become available.

Meanwhile, viewers will receive an email notice when this article is updated with more information by using a free Top Class Actions account and clicking the “Follow Article” button at the top of the post.

Plaintiffs Barbara Waldrup, Elizabeth Williams, Becky Reaster, and Rebecca Murphy filed two class action lawsuits against Countrywide and Bank of America alleging that the mortgage lenders failed to meet legal requirements and appraisal standards such as the Uniform Standards of Professional Appraisal Practice (USPAP).

USPAP requires appraisals to be conducted independently and competently, and for the results of appraisals to be communicated truthfully and in a manner that is not misleading. This means that reporting a predetermined result for compensation is unethical under USPAP appraisal requirements.

Countrywide allegedly entered into an unlawful scheme with LandSafe Appraisal Services Inc., which allowed LandSafe to charge $300 to $500 for their residential real property appraisals despite never completing these appraisals.

Plaintiffs argue that Countrywide entered the scheme in an attempt to close as many loans as possible to maintain “heavy profit margins.”

“Because the legally-mandated USPAP appraisal had the potential to delay or terminate a prospective loan transaction and, thus, limit Countrywide’s ability to securitize and sell such loans to Wall Street, Countrywide opted for a different course of action,” plaintiffs claim in their Countrywide class action lawsuit.

“Countrywide and LandSafe agreed to knowingly, fraudulently, systematically and uniformly produce phony so-called USPAP ‘appraisals’ on home loans originated by Countrywide which were not performed in accordance with required USPAP standards.”

The court recently certified a Class of consumers who received an appraisal from LandSafe in connection with a Countrywide loan between Jan. 1, 2003 and Dec. 31, 2008. A state Class of the same consumers from Texas was also certified.

The Classes were found to comply with federal Class certification requirements of predominance and superiority, prompting the federal court to certify the two Classes.

Class certification is important in these cases because this allows the class action lawsuit to move forward to pre-trial procedures. The closer a class action moves to trial, the more likely it is that they will be able to collect compensation for Class Members.

Countrywide and LandSafe deny any wrongdoings detailed in the class action lawsuit. They contend that their mortgage loan appraisals were completely legal and in compliance with USPAP and other regulations.

Consumers with further questions can contact the settlement administrator by calling 1-877-835-0768.

Plaintiffs and Class Members are represented by Daniel Alberstone, Roland Tellis, Mark Pifko, and Isaac Miller of Baron & Budd PC, and by Steve Berman, Thomas Loeser, and Christopher Pitoun of Hagens Berman Sobol Shapiro LLP.

The Countrywide Loan, LandSafe Appraisal Class Action Lawsuits are Waldrup v. Countrywide Financial Corporation, Case No. 2:13-cv-08833-CAS, and Williams v. Countrywide Financial Corporation, Case No. 2:16-cv-04166-CAS, in the U.S. District Court for the Central District of California.