Developments of Interest

New Cases of Interest - August 14, 2012

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Skov v. U.S. Bank National Association (2012) 207 Cal.App.4th 690.  This was a nonjudicial foreclosure case on a principal residence.  While the trial court sustained a bank's demurrer to the borrower's complaint without leave to amend, the court of appeal reversed, concluding that the second amended complaint sufficient pleaded a violation of Civil Code §2923.5, which requires that the lender or lender's agent must contact the borrower in person or by telephone in order to assess the borrower's financial situation and explore options for the borrower to avoid foreclosure before a notice of default is filed.  In that there was a factual issue as to whether the bank had done this which was adequately pled by the plaintiff, sustaining the demurrer without leave to amend the court found to be improper.

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