Joint Intent Lawsuit Update
By Deb Jost
You may recall the article in our August newsletter about the Boesen case where the Court ruled the bank was in violation of the ECOA and wrongfully required Mrs. Boesen to sign a loan.
As promised, we have an update on "the Boesen case." The bank appealed the earlier ruling and received an out-of-court settlement for over $2.5 million in life insurance benefits. The bank felt important rights had been recognized in the settlement because Mrs. Boesen had co-signed documents claiming ownership of a non-existent $8.8 million Smith Barney account being used as collateral for the $3.5 million loan. Attorneys have declined to say how much of the life insurance proceeds each of their clients will receive in the settlement.
Several lawsuits are still pending over whether or not Mrs. Boesen is entitled to retain ownership of property she jointly owned with her husband, despite having defaulted on the loans. Her lawyers continue to argue that the mortgages held on the properties are invalid because her husband forged her name while either obtaining loans or improperly transferring title to a limited partnership operated by himself.
We'll keep you informed with future blogs and/or newsletter articles on this important issue.