Gyapomaa Kosei Inc. Sues Over 100 Named and Unnamed Defendants Alleging “Wrongful Foreclosure”; Seeks Damages
April 27, 2022, California – Gyapomaa Kosei Inc., a California debtor, has sued Select Portfolio Servicing, Inc., U.S. Bank National Association, Quality Loan Service Corporation and a hundred (100) unnamed defendants in a lawsuit alleging “wrongful foreclosure” among other claims.
In its complaint, Gyapomaa alleges, inter alia, that one Edna Kuffour purchased a home which is the subject real property in this case and obtained a mortgage loan on it for $427,500. Kuffour later transferred the title of the property to Gyapomaa which resulted in substitution of U.S. Bank as the trustee for the subject loan. Plaintiff alleged that initially Kuffour had no difficulty in making the loan repayments, however, later due to “financial difficulties” she contacted Select Portfolio Servicing to explore the possibility of modifying the loan terms with the aim of keeping the home.
As per allegations in the filed complaint, Quality Loan Service Corporation, as the successor of U.S. Bank “executed a notice of default” alleging “arrearages on the subject loan of $40,386.17” and later executed “a Notice of Trustee’s Sale” against the subject property. Upon received these notices, Kuffour obtained a loan modification from Select Portfolio Servicing.
Gyapomaa contends in its complaint that “despite Defendant’s offer of a loan modification and its acceptance by Kuffour, “Quality had foreclosed on the subject property by proceeding with the sale.” By way of filing this complaint, Gyapomaa seeks judgment against the defendants for damages claiming that the alleged foreclosure was “wrongful” and “in violation of California Homeowner Bill of Rights” and suing the defendants for “breach of contract”, “breach of implied covenant of good faith and fair dealing”, and “unfair, unlawful fraudulent and deceptive business practices.”
Gyapomaa Kosei Inc. v. Select Portfolio Servicing, Inc. et al. (In re Gyapomaa Kosei Inc.), Adversary Proceeding Number 2:22-ap-01105-DS, Bankruptcy Court for the Central District of California.