Betty Eby, a Widow v. Reb Realty, Inc., an Arizona Corporation, and Don Dailey Realty, an Arizona Corporation

Betty Eby brought an action in two counts under the Truth in Lending Act, 15 U.S.C. §§ 1601-1665 , seeking (1) rescission of a secured real estate credit transaction under section 1635 of the Act and (2) twice the amount of the finance charge paid by her in the same transaction under section 1640. The suit was based on the admitted failure of the defendant, Reb Realty, to make certain disclosures of credit terms and rescission rights normally required by the Act. The parties filed cross motions for summary judgment, and the district court granted Eby both forms of relief she requested. Reb Realty appeals. We affirm.

Background

In October of 1969 Eby purchased a home from appellant for $16,700. The contract of sale provided that $600 would be paid as a down payment, that Eby would assume an existing Veterans’ Administration mortgage for $11,900, and that a second mortgage would be executed in Reb Realty’s favor for the balance of $4,200 payable in installments with 8% simple interest. Eby paid a total of $1,252 under the agreement: the down payment of $600, closing costs of $51, and $601 under the first mortgage, $239.41 of which represented interest. Nothing was paid…