Faubion

I. FACTUAL ALLEGATIONS AND PROCEDURAL BACKGROUND1

18 In March 2019, Veronica Faubion and her husband, Brandon 19 Hintz (“Plaintiffs”), obtained a loan from PS Funding, Inc. 20 (“Defendant”) for real property known as 6350 Carolinda Drive, 21 Granite Bay, California. First Am. Compl. (“FAC”) ¶¶ 5, 41, ECF 22 No. 15. On July 3, 2019, Defendant PS Funding, sent a letter 23 indicating it considered Plaintiffs to be in default. Id. ¶ 46. 24 A day before the property was to be sold at foreclosure, Mr. 25 Hintz filed a voluntary chapter 13 petition in the United States

1 This motion was determined to be suitable for decision without oral argument. E.D. Cal. L.R. 230(g). The hearing was scheduled for May 18, 2021. Bankruptcy Court for the Eastern District of California. Order at 5, ECF No. 30. This Bankruptcy Case was dismissed on June 6, 2020. Id. Three days later, On June 9, 2020, Mr. Hintz filed a chapter 7 petition in the Bankruptcy Court. Id. On July 13, 2020, the Bankruptcy stay expired, allowing PS Funding to proceed with the foreclosure. Id. On July 21, 2020, Plaintiffs filed suit against FCI and PS Funding asserting: (1)…