Illinois v. First Alliance Mortgage Co. (In re First Alliance Mortgage Co.)
Opinion
Lead Opinion
Carter, J.
ORDER GRANTING INDIVIDUAL DEFENDANT’S MOTION TO DISMISS COUNT II OF ILLINOIS’S COMPLAINT AND DENYING INDIVIDUAL DEFENDANTS’ MOTION TO COMPEL ARBITRATION
Before the Court is Defendants Brian Chisick, Patricia Sullivan, and Salah Basta-way’s (the Individual Defendants) 1 motion to dismiss Count II as it relates to the individual defendants, for a more definite statement with respect to Counts III-V, and to compel arbitration. After reviewing the moving, opposing, and replying papers, after oral argument on January 7, 2002, and for the reasons set forth below, the Court GRANTS the Individual Defendants’ motion to dismiss, DEEMS the opposition by the State of Illinois a more definite statement, and DENIES the motion to compel.
I.
BACKGROUND
Defendants First Alliance Mortgage Company of California, First Alliance Corporation of Delaware, First Alliance Mortgage Company of Minnesota, and First Alliance Portfolio Services of Nevada (collectively, First Alliance) have been in the business of subprime mortgage lending since 1971. First Alliance’s customers generally were borrowers who would have had difficulty obtaining loans from conventional sources because of poor credit ratings or…