Bookout

FACTS

First Amended Complaint Bookout’s first amended complaint alleges as follows: Bookout obtained a loan from a predecessor in interest to MUFG Union Bank, N.A. (MUFG Union Bank and its predecessors herein collectively “Bank”.) The loan was secured by Bookout’s residential and business real properties. Bookout defaulted on the loan. In June 2007, Bookout and the Bank entered into a forbearance agreement. Bookout alleges that the Bank immediately breached the agreement by using an improper amortization schedule to calculate monthly payments. Bookout further alleges: In 2011, the Bank recorded improper notices of default against the properties that secured the loan. Also in 2011, the Bank improperly added $45,171.20 to the loan and falsified loan documents. The Bank did not have the right to add $57,676.17 for attorney fees to its proof of claim in Bookout’s bankruptcy. The Bank did not have the right to set the minimum bid price for the trustee’s sale of the Oceano property at $189,000. The Bank foreclosed on Bookout’s rock inventory without giving credit for the sale proceeds. Demurrer The Bank demurred to Bookout’s first amended complaint based on res judicata and statute of…