Curtis Thorns and Josie Thorns v. Sundance Properties, a Nevada Partnership

The Thorns appeal from summary judgment granted in favor of defendant Sun-dance Properties in an action brought under the provisions of the Truth In Lending Act (TILA), 15 U.S.C. § 1601 , et seq. The district court, 562 F.Supp. 882 , held that the transaction at issue was exempt from Truth in Lending disclosure. We reverse and remand because there exist triable issues of fact in the case.

FACTS

The Thorns obtained a loan secured by deed of trust on their personal residence from Sundance Properties. The purpose of the loan was to invest in a limited partnership, formed to purchase an apartment building. Sundance did not make disclosure to the Thorns of the right to rescind the loan, which was required pursuant to 15 U.S.C. § 1635 (a) if the transaction fell within the coverage of the TILA. The Thorns brought suit seeking rescission of the loan transaction, an injunction and other relief. The district court granted summary judgment for Sundance.

STANDARD OF REVIEW

In reviewing a grant of summary judgment, our task is identical to that of the trial court. State ex rel. Edwards v. Heimann, 633 F.2d 886 , 888 n. 1 (9th Cir. 1980). Viewing the evidence in the light most favorable to…