Case: Edwards v. Flagstar Bank

2:95-cv-73844 | U.S. District Court for the Eastern District of Michigan

Filed Date: Sept. 21, 1995

Clearinghouse coding complete

Case Summary

Plaintiffs, rejected loan applicants, loan recipients who alleged that they had received less than favorable terms of credit, and a housing non-profit, filed suit in the U.S. District Court for the Eastern District of Michigan on September 21, 1995, against Flagstar Bank, alleging violations of the Fair Housing Act, 42 U.S.C. 3605, 3617; HUD Regulations, 24 C.F.R. 100.120-100.130; federal civil rights statutes, 42 U.S.C. 1981, 1982; and Michigan's state civil rights act, M.C.L. 37.2504. The ind…

Plaintiffs, rejected loan applicants, loan recipients who alleged that they had received less than favorable terms of credit, and a housing non-profit, filed suit in the U.S. District Court for the Eastern District of Michigan on September 21, 1995, against Flagstar Bank, alleging violations of the Fair Housing Act, 42 U.S.C. 3605, 3617; HUD Regulations, 24 C.F.R. 100.120-100.130; federal civil rights statutes, 42 U.S.C. 1981, 1982; and Michigan's state civil rights act, M.C.L. 37.2504. The individual plaintiffs each alleged that they had been rejected for a loan, or had received a loan on less favorable terms than received by white loan applicants, because of their race.

The non-profit entered into a settlement agreement with the Defendant on November 13, 1998, which resolved all its claims. On January 20, 2004, the settling parties reported that the settlement agreement had been successfully implemented. The report indicated that the Defendant had exceeded its commitments under the settlement agreement and provided more than $300 million in credit to minority borrowers during the period covered by the settlement agreement.

At trial on the individual plaintiffs' damages suits, the Court (District Court Judge Avern Cohn) denied the Defendant's motion for a directed verdict, finding that the plaintiffs had produced sufficient evidence for a jury to find against the Defendant on all counts. Edwards v. Flagstar Bank, 109 F. Supp. 2d 691 (E.D. Mich. 2000). After the jury found in favor of the two of the five plaintiffs, the bank appealed, and the Sixth Circuit upheld the verdict in favor of one of plaintiffs but reversed the award in favor of the other, finding that their suit was barred by the statute of limitations. Paschal v. Flagstar Bank, FSB, 295 F.3d 565 (6th Cir. 2002). The Sixth Circuit also reversed the grant of attorneys' fees as excessive, finding that the District Court could not order the Defendant-bank to pay for the attorneys' fees of unsuccessful Plaintiffs. Paschal v. Flagstar Bank, FSB, 297 F.3d 431 (6th Cir. 2002).

Summary Authors

Joshua Arocho (6/27/2012)

People


Judge(s)

Cohn, Avern Levin (Michigan)

Gilman, Ronald Lee (Tennessee)

Heyburn, John Gilpin II (Kentucky)

Siler, Eugene Edward Jr. (Kentucky)

Attorneys(s) for Plaintiff

Tomkowiak, Steve (Michigan)

Attorneys(s) for Defendant

Bernard, Paul R. (Michigan)

Haberman, Rick A. (Michigan)

Lang, Kathleen A. (Michigan)

Ortiz, Francis R. (Michigan)

Phifer, Randolph D. (Michigan)

Judge(s)

Cohn, Avern Levin (Michigan)

Gilman, Ronald Lee (Tennessee)

Heyburn, John Gilpin II (Kentucky)

Siler, Eugene Edward Jr. (Kentucky)

Attorneys(s) for Plaintiff

Tomkowiak, Steve (Michigan)

Attorneys(s) for Defendant

Bernard, Paul R. (Michigan)

Haberman, Rick A. (Michigan)

Lang, Kathleen A. (Michigan)

Ortiz, Francis R. (Michigan)

Phifer, Randolph D. (Michigan)

Other Attorney(s)

Marshall, Thomas E. (Michigan)

Reddy, Pramada (Michigan)

Roberts, Victoria A. (Michigan)

Documents in the Clearinghouse

Document

2:95-cv-73844

Docket (PACER)

Fair Housing Center v. Flagstar Bank, et al

April 21, 2004

April 21, 2004

Docket
230

2:95-cv-73844

Decision on Post-Trial Motions

Edwards, et al v. Flagstar Bank, et al

109 F.Supp.2d 691

July 19, 2000

July 19, 2000

Order/Opinion

00-02164

[Opinion]

Paschal v. Flagstar Bank, FSB

U. S. Court of Appeals for the Sixth Circuit

297 F.3d 431

July 17, 2002

July 17, 2002

Order/Opinion

00-01634

Opinion

Paschal, et al v. Flagstar Bank, et al

U. S. Court of Appeals for the Sixth Circuit

295 F.3d 565

July 17, 2002

July 17, 2002

Order/Opinion

02-00961

Order [Denying Writ of Certiorari]

Paschal v. Flagstar Bank, FSB

Supreme Court of the United States

537 U.S. 1227, 123 S.Ct. 1287, 154 L.Ed.2d 1089

Feb. 24, 2003

Feb. 24, 2003

Order/Opinion
310

2:95-cv-73844

Report to the U.S. District Court on [] Implementation of the Settlement Agreement and Extended Settlement Agreement

Carson, et al v. Flagstar Bank, et al

Jan. 21, 2004

Jan. 21, 2004

Pleading / Motion / Brief

Resources

Docket

Last updated July 21, 2022, 3:17 a.m.

Docket sheet not available via the Clearinghouse.

Case Details

State / Territory: Michigan

Case Type(s):

Fair Housing/Lending/Insurance

Key Dates

Filing Date: Sept. 21, 1995

Case Ongoing: No

Plaintiffs

Plaintiff Description:

Eight pairs of African Americans prospective home mortgagors who allege racially discriminatory mortgage lending.

Plaintiff Type(s):

Private Plaintiff

Public Interest Lawyer: No

Filed Pro Se: No

Class Action Sought: No

Class Action Outcome: Not sought

Defendants

Flagstar Bank, Private Entity/Person

Case Details

Causes of Action:

42 U.S.C. § 1981

Fair Housing Act/Fair Housing Amendments Act (FHAA), 42 U.S.C. §§ 3601 et seq.

42 U.S.C. § 1982

Availably Documents:

Trial Court Docket

Any published opinion

Outcome

Prevailing Party: Plaintiff

Nature of Relief:

Injunction / Injunctive-like Settlement

Damages

Source of Relief:

Settlement

Litigation

Form of Settlement:

Court Approved Settlement or Consent Decree

Order Duration: 1998 - 2007

Issues

General:

Funding

Discrimination-area:

Lending

Discrimination-basis:

Race discrimination

Race:

Race, unspecified