July 2013

HUD rule prohibits LGBT discrimination in mortgage lending and other programs it administers

In 2012, HUD adopt an Equal Access Rule that prohibits lenders from discriminating on the basis of actual or perceived sexual orientation, gender identity or marital status in granting mortgages insured by the Federal Housing Administration (FHA). 24 C.F.R.Parts 5, 200, 203, 236, 400, 570, 574, 882, 8991, 982 (77 Fed. Regis. 5662 (Feb. 3, 2012). The rule applies to all housing programs administered by the department. In January 2013, HUD entered a...

Read more about HUD rule prohibits LGBT discrimination in mortgage lending and other programs it administers

Court holds that a seller has no duty to reveal that a murder/suicide took place in the house

A Pennsylvania trial court held that a seller had no duty to reveal that a murder/suicide took place in the house. Milliken v. Jacono, 60 A.3d 133 (Pa. Super. Ct. 2013). The court interpreted a state statute that required sellers to reveal "material defects" and found that events that had happened in the house were not a "material defect" in the physical structure of the property. The court declined to find any common law duty to reveal the information on the ground "an expansion of required...

Read more about Court holds that a seller has no duty to reveal that a murder/suicide took place in the house

Woman with muscular dystrophy may use Segway in Walt Disney World unless such use can be demonstrated to be unsafe

The Ninth Circuit held that the Americans with Disabilities Act grants a woman the right to use a Segway in Walt Disney World unless the park owners can show that its use is dangerous. Baughman v. Walt Disney World, Inc., 685 F.3d 1131 (9th Cir. 2012). The court found that allowing Segway use might constitute a reasonable modification of the park's policies that were "necessary" to allow her to enjoy the facilities on an equal basis with others. Such modifications are not required if they cannot...

Read more about Woman with muscular dystrophy may use Segway in Walt Disney World unless such use can be demonstrated to be unsafe

Lawyers held to be "debt collectors" that can be held liable for false statements in connection with a foreclosure

In Glazer v. Chase Home Finance, 704 F.3d 453 (6th Cir. 2013), the Six Circuit found lawyers who initiated a foreclosure may be "debt collectors" subject to the Federal Debt Collection Practices Act (FDCPA), 15 U.S.C. §§1692 to 1692p, if they regularly perform this function, and thus may be liable for making "false, deceptive or misleading representations" in connection with the foreclosure.

Court uses equitable considerations to give legal force to a forged deed to protect one of two innocent victims who had less ability to prevent the harm

In Pasqualino v. Washington Mutual Bank, 982 N.E.2d 72 (Mass. App. Ct. 2013), the court was forced to decide which of two innocent parties should bear the financial burden of a forged deed. Although the normal rule is that a forged deed is a nullity and conveys nothing, in this case, the court protected the party that relied on the forged deed because the original owner contributed to the problem by making the forger the trustee of the property. The property was originally conveyed by Salvatore Pasqualino to a trust controlled by his son Ronald. The father Salvatore knew his son used...

Read more about Court uses equitable considerations to give legal force to a forged deed to protect one of two innocent victims who had less ability to prevent the harm

Massachusetts court enjoins company from preparing and selling deeds because it constitutes the unauthorized practice of law

The superior court in the Commonwealth of Massachusetts granted a preliminary injunction against a company called ANADeeds, Inc. to stop it from preparing and selling deeds and other legal instruments for the conveyance of property in Massachusetts. Real Estate Bar Ass'n v. ANAdeeds, 2012 Mass. Super. LEXIS 380 (Mass. Super. Ct. 2012). Judge Lauriat explained that "[i]n Massachusetts, drafting a deed constitutes the practice of law," citing ...

Read more about Massachusetts court enjoins company from preparing and selling deeds because it constitutes the unauthorized practice of law

Same-sex marriages resume in California

In 2008, by a 4-3 vote, the Supreme Court of California held that its state constitutional right to equal protection of the laws grants same-sex couples the same right to marry as is enjoyed by opposite-sex couples, using strict scrutiny to come to this conclusion. In re Marriage Cases, 183 P.2d 384 (Cal. 2008). The court held that the right to marry is a basic civil right whose denial impinges upon same-sex couples' fundamental privacy interests in having official family...

Read more about Same-sex marriages resume in California

Section 3 of DOMA struck down

Section 3 of the federal Defense of Marriage Act (DOMA), 1 U.S.C. §7, Pub. L. No. 104-199, §3, 110 Stat. 2419, passed in 1996, denied federal recognition to same-sex marriages. This meant, for example, that for such purposes as calculating federal income tax, same-sex couples were not recognized as married and entitled to the tax advantages (and disadvantages) of marriage even if they were validly married under state law. A same-sex couple validly married in Massachusetts under Massachusetts law would file state tax returns as a married couple but would then have to file...

Read more about Section 3 of DOMA struck down