Sheen v. Wells Fargo Bank, NA, 2022 DJDAR 2345 (California Supreme Court 3/7/22)
Sheen v. Wells Fargo Bank, NA, 2022 DJDAR 2345 (California Supreme Court 3/7/22): In this landmark decision of the California Supreme Court—the highest court in the California State court system, in a decision that is amazingly BAD for property owners, the California Supreme Court held that lenders/loan servicers do NOT owe borrowers a duty of care in the loan modification process. Borrowers seeking loan modifications always had trouble dealing with lenders/loan servicers who were supposed to be processing the loan modification applications submitted to the lenders/loan servicers by the borrowers. Now it will be functionally impossible to get lenders/loan servicers to process loan modification applications, because they will have no liability if they fail to process the loan modifications.