Metropolitan Money Store Foreclosure Rescue Civil Litgation Continues Kicking Around

The class action plaintiffs/homeowners who were victims of the Metropolitan Money Store sale leaseback, foreclosure rescue scam were hit with something of an unfavorable ruling in a U.S. Bankruptcy Court in Maryland recently in a matter involving the Chapter 7 bankruptcy proceeding of Sussex Title, LLC, a title and closing agent involved in many of the deals resulting in the draining of any equity the financially strapped plaintiffs had in their homes.

The court overruled an objection by the class action homeowners to an application by Special Counsel for the Chapter 7 Trustee seeking an allowance of $178,868.48 for the period January 4, 2008, through March 31, 2010. The homeowners unsuccessfully claimed that the amount of the attorney fees being charged by the attorney for the Chapter 7 trustee was excessive. As a result, less money is available for the homeowners to recover by way of damages resulting from the screwing over that they took.

For the ruling, see In Re Sussex Title, LLC, Case No. 07-22878PM (Bankr. D. Md., September 22, 2010).