Connect with us

Hi, what are you looking for?

The American GeniusThe American Genius

Housing News

FDIC suing CoreLogic’s eAppraiseIT unit for $129 million

FDIC files against CoreLogic

The Federal Deposit Insurance Corporation (FDIC) has filed against CoreLogic for $129 million and demanded a jury trial regarding allegedly faulty appraisals provided to Washington Mutual Bank (WaMu) which the FDIC seized in 2008 prior to facilitating its sale to JP Morgan Chase. The FDIC has also filed suit against CoreLogic competitor Lender Processing Services, Inc. for $154.5 million.

The FDIC, acting as WaMu’s receiver, alleges that they found negligence in 194 appraisals out of 259 they sampled which were performed between 2006 and 2007 in CoreLogic’s eAppraiseIT unit.

The suit alleges “repeated breaches of contractual provisions” specifically regarding competent and legal appraisals which the FDIC claims CoreLogic did not provide, also allegingthat eAppraisalIT had inadequate “quality control” and often “inflated” appraisals.

CoreLogic points out “desk reviews”

CoreLogic has said they have begun their own review of the 194 cases, noting that over 85% of the loans cited in the suit involved “desk reviews” which indicates no physical exterior or interior inspection was performed. As with the LPS lawsuit, the $129 million sought is to cover loans the FDIC says WaMu would not have made without the “inflated appraisals” by CoreLogic’s eAppraiseIT.

Advertisement. Scroll to continue reading.

In a recent SEC filing, it was noted that CoreLogic “continues to believe the FDIC’s factual allegations, legal theories and damage calculations have many flaws, and the Company intends to defend itself vigorously. Given the early stage of this litigation, the Company cannot yet predict the ultimate outcome of the matter or the potential range of damages, if any.”

All parties named

The suit specifically names CoreLogic Valuation Services, LLC (fka eAppraiseIT), CoreLogic, Inc. (fka The First American Corporation; The First American Financial Corporation; CoreLogic Real Estate Solutions), as the FDIC said that they “controlled and directed the actions” of eAppraiseIT leaving them “directly liable.”

Click here for the full FDIC vs. Core Logic lawsuit.

The American Genius is news, insights, tools, and inspiration for business owners and professionals. AG condenses information on technology, business, social media, startups, economics and more, so you don’t have to.

5 Comments

5 Comments

  1. Elliott W

    May 16, 2011 at 12:58 pm

    Has anybody compared the fee schedules of the Corelogic complaint with the LSI complaint? How could they be so similar and there not be a restraint of trade that ended up putting the screws to appraisers?

    LSI Complaint:

    appraisersforum.com/leaving.php?url=https://www.scribd.com/doc/55423067/FDIC-v-LSI-Appraisal

  2. bán bi?t th? ?à n?ng

    January 7, 2017 at 2:30 pm

    Hi, I would like to subscribe for this webpage to obtain most up-to-date updates, so where can i do it please help.

    bi?t th? ?à n?ng
    mua bi?t th? ?à n?ng
    bán bi?t th? ?à n?ng
    biet thu da nang
    tìm hi?u bi?t th? ?à n?ng
    thông tin bi?t th? ?à n?ng
    Bi?t th? Furama ?à N?ng
    Bi?t th? The Sunrise Bay ?à N?ng
    bi?t th? premier village ?à n?ng

  3. Jamaal

    October 16, 2018 at 11:23 pm

    Thank you for another magnificent post. The place else could anyone get that type of information in such a perfect means of
    writing? I have a presentation next week, and I am on the search
    for such info.

  4. Vapor-pens.com

    July 15, 2020 at 2:14 pm

    I do believe all of the ideas you have introduced in your post.
    They’re really convincing and can certainly work.
    Still, the posts are too brief for newbies. Could you
    please prolong them a little from next time? Thanks for the post.

  5. bandarqq agency

    August 20, 2020 at 12:55 pm

    Good article. I am facing some of these issues as well..

Leave a Reply

Your email address will not be published.

The
American Genius
news neatly in your inbox

Subscribe to our mailing list for news sent straight to your email inbox.

Advertisement

KEEP READING!

Business News

(Business News) The FTC recently got involved in the proposed acquisition of DataQuick by CoreLogic, but who alerted the FTC and why?

Business News

(Business News) When a well known Realtor and his loan officer wife get rich off of $50 million in falsified loans and wash profits...

Housing News

(Housing News) Foreclosures have been a sore spot for the housing market, but 2013 was a turnaround year, with levels dipping dramatically.

Housing News

(AGENT/GENIUS) - Completed foreclosures have fallen dramatically in the last year, with 2.3% of all homes with a mortgage now in foreclosure compared to...

The American Genius is a strong news voice in the entrepreneur and tech world, offering meaningful, concise insight into emerging technologies, the digital economy, best practices, and a shifting business culture. We refuse to publish fluff, and our readers rely on us for inspiring action. Copyright © 2005-2022, The American Genius, LLC.