Demurrer reversed based on allegations of modification agreement alleging formation of contract

22 Aug

From: Charles Cox [mailto:charles@bayliving.com]
Sent: Wednesday, August 22, 2012 10:47 AM
To: Charles Cox
Subject: Demurrer reversed based on allegations of modification agreement alleging formation of contract

In a homeowner’s suit for breach of contract arising from the failed loan modification and eventual foreclosure sale of her home, trial court’s order sustaining a demurrer is reversed to the extent it is based on allegations regarding the parties’ modification agreement, as plaintiff alleged formation of a valid contract to modify her loan documents and sufficiently alleged breach of that modification agreement. Further, plaintiff should be permitted to allege a cause of action for breach of covenant and good faith and fair dealing based on breach of the modification agreement and also be permitted to amend the complaint to allege a cause of action for common law wrongful foreclosure based on the valid modification agreement.

Barroso v. Ocwen_Cal.App.4th.docx

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