Michigan Woman Fears Loss Of Business Due To Typo; Foreclosing Lender's Screw-Up With Wrong Property Leads To $35K Loss, Says Victim

In Clio, Michigan, WJRT-TV Channel 12 reports:

• A well-known master gardener in Mid-Michigan says her business could be headed for closure, all because of a paperwork error. She is speaking out and warning others to beware. After 12 years of doing business as Jenny B's Garden Party on Clio Road near Clio, Jenny Burrows says there's a chance her once-thriving business might not survive past next year because of a typo. "I just wanted a simple address changed, and that snowballed into a catastrophe for my business," she said.

• Because of the typo in a foreclosure address, her business instead of her neighbor's house was posted for foreclosure, even though she owns the property outright. So in the cold of January when the store was closed, a company hired by a California bank moved in to seize the property and winterize the building.

• "When they left they didn't lock the doors, the gates were left open in month of January," Burrows said. "They all froze, my seedlings. Right now, just physical property, I've lost $35,000 worth of stuff."

• Even though the property was never seized, she remains with the massive loss, and if there's no resolution with the bank for reimbursement, Burrows doesn't see how she'll survive. "I've actually started paperwork for discontinuance with the state of Michigan," she said. "It's hard to do."

• Burrows says she's spent the past seven months fighting with the California bank, hiring a lawyer and trying to let customers know she's still in business. In the meantime, she's still fighting to stay around for another 12 years. But part of her fight is a warning to others to not take what you may think is junk mail from a bank lightly. "If you get information from a bank, open it up," she said. "See if you have been a victim of a typographical error. It can cost you your home. It has almost cost me my business."

• For the business to stay afloat, Burrows says she'll need someone to reimburse her for damages by December. A spokeswoman for One West Bank in California says, quote: "Unfortunately, things like this happen from time to time. We would like to rectify it."(1)

Source: Typo could cost longstanding local business.

(1) A recent court ruling found a lender liable for $150,000 in exemplary (punitive) damages (in addition to $5,000+ in actual damages) in a trespassing case involving an improper padlocking by a foreclosing lender. In that case, the lender actually padlocked the right property, but was found to be a bit premature in entering the premises since the delinquent borrower was still the legal owner of the property. See Long Island Judge Hammers Wells w/ $155K Tab For Oppressive, Heavy Handed, Egregious Conduct For Pre-Sale Lockout Of Homeowner In Foreclosure.