Lansburg v. Federal Home Loan Mortgage Corp.

MEMORANDUM

Jeanette K. Lansburg and Larry J. Enemas (“Plaintiffs”) appeal a summary judgment entered by the district court on their contract claims against Saxon Mortgage Services, Inc. and the Federal Home Loan Mortgage Corporation. We have jurisdiction under 28 U.S.C. § 1291 ; we vacate and remand.

1. Plaintiffs contend that they entered into a Trial Period Plan (“TPP”) with Saxon’s predecessor-in-interest that promised an eventual permanent loan modification, that they- complied with the terms of the TPP, but that Saxon nonetheless refused to permanently modify the loan and foreclosed on their home. The district court granted summary judgment to the defendants, finding that the TPP did “not guarantee that the lender will provide the borrower with a loan modification agreement even if the borrower” complied with its terms.

2. In Corvello v. Wells Fargo Bank, NA, which involved claims similar to those here, we held that a lender may be contractually obligated to offer a permanent loan modification if the borrower complies with the terms of a TPP. 728 F.3d 878, 883-85 (9th Cir.2013). Because the district court did not have the benefit of our later opinion when it granted…