Mitchell Stein, Esq. Files Mass Joinder Lawsuit Against Ally Bank/GMAC

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Consumer Advocate Leading Landmark Cases against Banks Alleges Massive Fraud By Lender

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"We are representing thousands of homeowners who as a result of the Bank’s practices are facing wrongful foreclosure" - Mitchell J. Stein, Esq.

M.J. Stein & Associates has filed a mass joinder lawsuit on behalf of aggrieved consumers against Ally Bank and its affiliates, formerly GMAC, another of potentially the most significant and precedent-setting legal actions taken against lenders as a result of the national foreclosure crisis, it was announced today by Mitchell J. Stein, Esq. of Mitchell J. Stein & Associates.

The Firm has filed suit on behalf of plaintiffs seeking damages and injunctive relief as a result of the Lender’s alleged fraud. The case is Locker v. Ally Bank, Superior Court of Los Angeles, BC409444.

The lawsuit alleges Ally Bank perpetrated a massive fraud, also constituting unfair competition upon borrowers that devastated the values of their residences, resulting in the loss of net worth, and that Ally Bank intended to deprive numerous rights and remedies for the problems they caused the borrowers.

“Ally Bank and its affiliates did not care about the borrowers who would suffer from their actions and our lawsuit alleges that they blatantly disregarded the law,” said Mitchell J. Stein, Esq. According to Mitchell J. Stein, Esq., the fraud resulted in a mortgage meltdown which has lead to decreased home values.

Mitchell J. Stein & Associates is also leading the landmark lawsuit, Ronald v. Bank of America, Los Angeles Superior Court Case No. BC409444, the first mass joinder case filed against the banks following the bank fraud and economic "meltdown" of 2008, in which the Firm is representing more than one thousand California consumers against attempted foreclosures by Bank of America. In October 2010, Mitchell J. Stein & Associates obtained an order in favor of all clients and against the Bank from Federal Judge Manuel Real who referred to one of the Bank's arguments as "absurd" and threw the Bank out of Federal District Court with respect to the case. On January 11, 2011, a Los Angeles Superior Court Judge ruled that the Ronald case states valid causes of action against Bank of America allowing for discovery and depositions that are now being conducted as the case moves forward in California State and Appellate Court. The case is rapidly moving forward in California State and Appellate Court. The Firm is unaware of any mass joinder case in which the Court has accepted the complaint and allowed Plaintiffs to proceed.

M.J. Stein & Associates has also filed a mass joinder case against the J.P. Morgan Group on behalf of dozens of citizens and homeowners. Carlson v. J.P. Morgan, Superior Court of Los Angeles, BC452262.

According to court documents, the lawsuit against Ally Bank claims the Bank implemented a massive fraud that was concealed from borrowers and other mortgagees. The lawsuit alleges that, as a result of the Bank’s actions, borrowers lost equity in their homes, their credit ratings and histories were destroyed and they incurred unnecessary costs and expenses.

Ally Bank has already filed a removal motion to transfer the case to Federal Court. That motion was defeated in favor of Mitchell J. Stein, Esq. and his clients.

“In this case, we are representing thousands of homeowners who as a result of the Bank’s practices are facing wrongful foreclosure,” said Mitchell J. Stein, Esq. “These Lenders must be held responsible for the irreparable and massive damage done to people’s lives they have caused due to their greed.”

About Mitchell J. Stein & Associates
Mitchell J. Stein & Associates is a California-based law firm founded by M.J. Stein, Esq. a 25-year award-winning litigator, trial lawyer, financier, and entrepreneur who has represented many of the world's largest companies and has been involved in some of the highest profile cases in the Nation's history. The Firm’s philosophy is based on the belief that their clients’ needs are of the utmost importance and, as a result, a high percentage of the Firm’s business has been from repeat customers and referrals. The Firm’s practice areas include Complex Litigation, Bank Problems, Mergers & Acquisitions, Commercial and Residential Foreclosures , and Bankruptcy Litigation. Mr. Stein is also the founder of VIPS Foundation (Victims of Injustice Pain and Suffering), through which victims nationwide, over the last 15-years, have received assistance following unfortunate events that subjected them to oppression or mistreatment. In that regard, Mr. Stein received the inaugural Mitchell J. Stein Benefactor Award from the National Organization for Victims Assistance (NOVA) for his work in protecting victims’ rights. Visit http://www.mjsteinassociates.com or http://www.dobielaw.org for more information.

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