Case: United States of America v. Suntrust Mortgage, Inc.

3:12-cv-00397 | U.S. District Court for the Eastern District of Virginia

Filed Date: May 31, 2012

Closed Date: 2016

Clearinghouse coding complete

Case Summary

On May 31, 2012, the United States Department of Justice ("DOJ"), on behalf of over 20,000 African American and Hispanic borrowers, filed this lawsuit under the Fair Housing and Equal Credit Opportunity Acts against SunTrust Mortgage in the United States District Court for the Eastern District of Virginia. The DOJ asked the court for injunctive and monetary relief, claiming that the defendant engaged in discriminatory lending practices that adversely affected African American and Hispanic borro…

On May 31, 2012, the United States Department of Justice ("DOJ"), on behalf of over 20,000 African American and Hispanic borrowers, filed this lawsuit under the Fair Housing and Equal Credit Opportunity Acts against SunTrust Mortgage in the United States District Court for the Eastern District of Virginia. The DOJ asked the court for injunctive and monetary relief, claiming that the defendant engaged in discriminatory lending practices that adversely affected African American and Hispanic borrowers. Specificlly, Plaintiffs claimed that from 2005 to 2009, Defendant engaged in a pattern or practice of discrimination on the basis of race and national origin in residential mortgage lending.

On September 14, 2012, the Court approved a consent order resolving the plaintiffs' claims. The settlement provided $21 million in compensation for African American and Hispanic borrowers who were charged higher fees based on their race or national origin. The settlement also required the defendant to continue using the new policies and practices that it adopted during negotiations leading up to the lawsuit and that avoided discriminatory practices by the mortgage lenders.

On November 4, 2016, Judge Robert E. Payne signed off on the parties Consent Order of Dismissal with Prejudice. The order stipulated that two organizations which received a portion of the settlement, The Up Center and Tallahassee Lenders' Consortium, and had not yet spent all of the money distributed to them. The order states that these organizations had until November 30, 2016 and January 15, 2017 respectively to spend those funds in accordance with the 2012 Consent Order, or they will return unutilized money to SunTrust.

The case is now closed.

Summary Authors

Gregory Pitt (7/16/2012)

Asma Husain (2/16/2016)

Edward Cullen (3/21/2019)

People

For PACER's information on parties and their attrorneys, see: https://www.courtlistener.com/docket/4406027/parties/united-states-v-suntrust-mortgage-inc/


Judge(s)

Payne, Robert E. (Virginia)

Attorneys(s) for Plaintiff

Holder, Eric H. Jr. (District of Columbia)

Macbride, Neil H (Virginia)

Mcintosh, Robert P (Virginia)

Mosteller, Daniel P. (District of Columbia)

Perez, Thomas E. (District of Columbia)

Rosenbaum, Steven H. (District of Columbia)

Seward, Jon M. (District of Columbia)

Attorneys(s) for Defendant

Jensen, Kirk D. (District of Columbia)

Kasmar, Caitlin Marie (District of Columbia)

Judge(s)

Payne, Robert E. (Virginia)

Attorneys(s) for Plaintiff

Holder, Eric H. Jr. (District of Columbia)

Macbride, Neil H (Virginia)

Mcintosh, Robert P (Virginia)

Mosteller, Daniel P. (District of Columbia)

Perez, Thomas E. (District of Columbia)

Rosenbaum, Steven H. (District of Columbia)

Seward, Jon M. (District of Columbia)

Attorneys(s) for Defendant

Jensen, Kirk D. (District of Columbia)

Kasmar, Caitlin Marie (District of Columbia)

Prieto, Liana (District of Columbia)

Sandler, Andrew L. (District of Columbia)

Documents in the Clearinghouse

Document

3:12-cv-00397

Docket

United States of America v. SunTrust Mortgage, Inc.

Nov. 4, 2016

Nov. 4, 2016

Docket
1

3:12-cv-00397

Complaint

United States of America v. Suntrust Mortgage, Inc.

May 31, 2012

May 31, 2012

Complaint
2-1

3:12-cv-00397

Consent Order

May 31, 2012

May 31, 2012

Order/Opinion

Press Release

United States of America v. Suntrust Mortgage, Inc.

No Court

May 31, 2012

May 31, 2012

Press Release
15

3:12-cv-00397

Consent Order

United States of America vs. Suntrust Mortgage, Inc.

Sept. 14, 2012

Sept. 14, 2012

Order/Opinion
24

3:12-cv-00397

Order of Dismissal with Prejudice

Nov. 4, 2016

Nov. 4, 2016

Order/Opinion

Resources

Docket

See docket on RECAP: https://www.courtlistener.com/docket/4406027/united-states-v-suntrust-mortgage-inc/

Last updated July 21, 2022, 3:19 a.m.

ECF Number Description Date Link Date / Link
1

COMPLAINT against SunTrust Mortgage, Inc. filed by United States Of America(Attachments: # 1 Exhibit A, # 2 Civil Cover Sheet)(lsal) (Entered: 05/31/2012)

May 31, 2012

May 31, 2012

PACER
2

MOTION and Memorandum In Support for Entry of Consent Order by United States Of America (Attachments: # 1 Consent Order)(lsal) (Entered: 05/31/2012)

May 31, 2012

May 31, 2012

PACER
3

Motion for Attorney Daniel Paul Mosteller to appear Pro Hac Vice as to United States Of America; no filing fee required; (lsal) (Entered: 05/31/2012)

May 31, 2012

May 31, 2012

PACER
4

So Ordered 3 Motion for Attorney Daniel Paul Mosteller to appear Pro Hac Vice as to United States Of America. Signed by District Judge John A. Gibney, Jr on 6/5/12. (lsal) (Entered: 06/05/2012)

June 5, 2012

June 5, 2012

PACER

Set/Reset Hearings: Hearing set for 6/26/2012 at 11:00 AM in Richmond Courtroom 7400 before District Judge Robert E. Payne re: Consent Decree (sneal, )

June 8, 2012

June 8, 2012

PACER
5

TRANSCRIPT of proceedings for June 11, 2012, before Judge Robert E. Payne, Court Reporter Diane Daffron, Telephone number 804 916-2267. NOTICE RE REDACTION OF TRANSCRIPTS:The parties have thirty(30) calendar days to file with the Court a Notice of Intent to Request Redaction of this transcript. If no such Notice is filed, the transcript will be made remotely electronically available to the public without redaction after 90 calendar days. The policy is located on our website at www.vaed.uscourts.gov Transcript may be viewed at the court public terminal or purchased through the court reporter before the deadline for Release of Transcript Restriction. After that date it may be obtained through PACER Redaction Request due 7/11/2012. Redacted Transcript Deadline set for 8/13/2012. Release of Transcript Restriction set for 9/10/2012.(daffron, diane) (Entered: 06/11/2012)

June 11, 2012

June 11, 2012

PACER
6

ORDER that a hearing on the JOINT MOTION FOR ENTRY OF CONSENT ORDER (Docket No. 2 ) is scheduled for 11:00 a.m. June 26, 2012. It is so ORDERED. Signed by District Judge John A. Gibney, Jr on 6/12/12. (tdai, ) (Entered: 06/12/2012)

June 12, 2012

June 12, 2012

PACER
7

Motion to appear Pro Hac Vice by Andrew L. Sandler and Certification of Local Counsel Caitlin M. Kasmar Filing fee $ 75, receipt number 0422-3080047. by SunTrust Mortgage, Inc.. (Kasmar, Caitlin) (Entered: 06/14/2012)

June 14, 2012

June 14, 2012

PACER
8

Motion to appear Pro Hac Vice by Liana R. Prieto and Certification of Local Counsel Caitlin M. Kasmar Filing fee $ 75, receipt number 0422-3080111. by SunTrust Mortgage, Inc.. (Kasmar, Caitlin) (Entered: 06/14/2012)

June 14, 2012

June 14, 2012

PACER
9

So Ordered 8 Motion for Liana Raquel Prieto to appear Pro Hac Vice as to SunTrust Mortgage, Inc. Signed by District Judge John A. Gibney, Jr on 6/19/12 (lsal) (Entered: 06/19/2012)

June 19, 2012

June 19, 2012

PACER
10

So Ordered 7 Motion for Attorney Andrew L. Sandler to appear Pro Hac Vice as to SunTrust Mortgage, Inc. Signed by District Judge John A. Gibney, Jr on 6/19/12 (lsal) (Entered: 06/19/2012)

June 19, 2012

June 19, 2012

PACER
11

RESPONSE in Support re 2 MOTION for Leave to File (UNOPPOSED SUPPLEMENTAL BRIEF IN SUPPORT OF JOINT MOTION FOR ENTRY OF CONSENT ORDER filed by United States Of America. (Attachments: # 1 Exhibit A, # 2 Exhibit B, # 3 Exhibit C, # 4 Exhibit D, # 5 Exhibit E, # 6 Exhibit F)(McIntosh, Robert) (Entered: 06/25/2012)

June 25, 2012

June 25, 2012

PACER
12

Minute Entry for proceedings held before District Judge Robert E. Payne: Hearing held on 6/26/2012 re: Approval of a Consent Decree. Counsel for the United States and the Defendant made statements to the Court. The Court instructed counsel to prepare a Consent Decree consistent with instructions the Court gave to counsle and submit it to the Court for review and/or approval. (Court Reporter Diane Daffron, OCR.)(sneal, ) (Entered: 06/26/2012)

June 26, 2012

June 26, 2012

PACER
13

TRANSCRIPT of proceedings for dates of June 26, 2012, before Judge Robert E. Payne, Court Reporter Diane Daffron, Telephone number 804 916-2267. NOTICE RE REDACTION OF TRANSCRIPTS:The parties have thirty(30) calendar days to file with the Court a Notice of Intent to Request Redaction of this transcript. If no such Notice is filed, the transcript will be made remotely electronically available to the public without redaction after 90 calendar days. The policy is located on our website at www.vaed.uscourts.gov Transcript may be viewed at the court public terminal or purchased through the court reporter before the deadline for Release of Transcript Restriction. After that date it may be obtained through PACER Redaction Request due 7/30/2012. Redacted Transcript Deadline set for 8/29/2012. Release of Transcript Restriction set for 9/27/2012.(daffron, diane) (Entered: 06/29/2012)

June 29, 2012

June 29, 2012

PACER
14

NOTICE by United States Of America re 12 Motion Hearing, "Unopposed Motion for Entry of Revised Consent Order and Brief in Support" with proposed Consent Order attached (original paper copy with signatures to be lodged in Clerk's Office) (Attachments: # 1 Proposed Order)(McIntosh, Robert) (Entered: 07/10/2012)

July 10, 2012

July 10, 2012

RECAP
15

CONSENT ORDER (See Order for details). Signed by District Judge Robert E. Payne on 9/14/12 (lsal) (Entered: 09/14/2012)

Sept. 14, 2012

Sept. 14, 2012

RECAP
16

Joint MOTION FOR ENTRY OF DISBURSEMENT ORDER by United States Of America. (Attachments: # 1 Proposed Order)(McIntosh, Robert) (Entered: 09/15/2015)

Sept. 15, 2015

Sept. 15, 2015

PACER
17

DISBURSEMENT ORDER - SEE ORDER FOR DETAILS. Signed by District Judge Robert E. Payne on 09/29/2015. (tjoh, ) (Entered: 09/29/2015)

Sept. 29, 2015

Sept. 29, 2015

PACER
18

ORDER - Having reviewed the file and entered the DISBURSEMENT ORDER requested by the parties, and it appearing that nothing further remains to be done herein, the Court requires the parties, by October 30, 2015, to advise why this case should not now be dismissed with prejudice. Signed by District Judge Robert E. Payne on 10/01/2015. (tjoh, ) (Entered: 10/01/2015)

Oct. 1, 2015

Oct. 1, 2015

PACER
19

Response to 18 Order, JOINT RESPONSE TO COURTS OCTOBER 1, 2015 ORDER filed by United States Of America. (McIntosh, Robert) (Entered: 10/29/2015)

Oct. 29, 2015

Oct. 29, 2015

PACER
20

ORDER re 19 Response filed by United States Of America. It is hereby ORDERED that the parties shall submit a Consent Order of Dismissal With Prejudice not later than October 31, 2016, and, to that end, counsel shall follow up with distribution to expedite the filing of reports required by paragraph 22 of the Disbursement Order. Signed by District Judge Robert E. Payne on 11/16/2015. (tjoh, ) (Entered: 11/16/2015)

Nov. 16, 2015

Nov. 16, 2015

PACER
21

ORDER The Court having received a request by the United States for an extension of time to submit the Consent Order as required by the ORDER 20 filed herein on November 16, 2015, it is hereby ORDERED that the request for an extension is granted. It is further ORDERED that the parties shall submit a Consent Order of Dismissal With Prejudice not later than November 4, 2016. Signed by District Judge Robert E. Payne on 10/31/2016. (tjoh, ) (Entered: 10/31/2016)

Oct. 31, 2016

Oct. 31, 2016

PACER
22

Joint MOTION to Dismiss With Prejudice by United States Of America. (Attachments: # 1 Proposed Order)(McIntosh, Robert) (Additional attachment(s) added on 11/2/2016: # 2 Exhibit A) (tjoh, ). (Entered: 11/02/2016)

Nov. 2, 2016

Nov. 2, 2016

PACER
23

DISREGARD - DOCKETED IN ERROR EXHIBIT A to Joint Motion for Entry of Consent Order of Dismissal With Prejudice by United States Of America.. (McIntosh, Robert) Modified on 11/2/2016 (tjoh, ). (Entered: 11/02/2016)

Nov. 2, 2016

Nov. 2, 2016

PACER
24

CONSENT ORDER OF DISMISSAL WITH PREJUDICE - It is ORDERED that the Defendant will require The Up Center and Tallahassee Lenders' Consortium Inc. to return any funds they have not spent by January 15, 2017 to provide credit and housing counseling (including assistance in obtaining loan modification and preventing foreclosure), legal representation of borrowers seeking to obtain a loan modification or to prevent foreclosure, financial literacy, or other related programs targeted at African-American and Hispanic potential and former homeowners; it is further ORDERED that the Defendant will redistribute any returned funds to one or more of the other 13 organizations named in the Disbursement Order entered on September 29, 2015 to be spent toward the purposes specified in that Order; it is further ORDERED that this case is DISMISSED WITH PREJUDICE. Signed by District Judge Robert E. Payne on 11/03/2016. (tjoh, ) (Entered: 11/04/2016)

Nov. 4, 2016

Nov. 4, 2016

RECAP

Case Details

State / Territory: Virginia

Case Type(s):

Fair Housing/Lending/Insurance

Special Collection(s):

Multi-LexSum (in sample)

Key Dates

Filing Date: May 31, 2012

Closing Date: 2016

Case Ongoing: No

Plaintiffs

Plaintiff Description:

African-American and Hispanic borrowers who obtained loans between 2005 and 2009 through SunTrust Mortgage’s regional retail offices and national network of mortgage brokers.

Plaintiff Type(s):

U.S. Dept of Justice plaintiff

Attorney Organizations:

U.S. Dept. of Justice Civil Rights Division

Public Interest Lawyer: Yes

Filed Pro Se: No

Class Action Sought: No

Class Action Outcome: Not sought

Defendants

SunTrust Mortgage, Private Entity/Person

Defendant Type(s):

Bank or credit provider

Case Details

Causes of Action:

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

Equal Credit Opportunity Act (ECOA), 15 U.S.C. § 1691

Availably Documents:

Trial Court Docket

Complaint (any)

Monetary Relief

Injunctive (or Injunctive-like) Relief

Outcome

Prevailing Party: Plaintiff

Nature of Relief:

Injunction / Injunctive-like Settlement

Damages

Source of Relief:

Settlement

Form of Settlement:

Court Approved Settlement or Consent Decree

Amount Defendant Pays: $21 million

Order Duration: 2012 - 2016

Content of Injunction:

Develop anti-discrimination policy

Discrimination Prohibition

Implement complaint/dispute resolution process

Monitoring

Recordkeeping

Reporting

Issues

General:

Predatory lending

Discrimination-area:

Lending

Discrimination-basis:

Race discrimination

Race:

Black

National Origin/Ethnicity:

Hispanic