CALHOMELAW.ORG: Federal Court Awards Damages to Homeowners

CCHAL
January 10, 2016

The US Central District Court is in the process of
identifying association homeowners – like (David) Stauber – who
have been impacted by the “deceptive and abusive” business
practices of SBS Lien Services. The company is based in
Westlake Village, California (Los Angeles County.)

Homeowners victimized by SBS Lien Services will be awarded
monetary damages under a settlement recently reached in
the Central District federal court of Los Angeles.

SBS is one of dozens of firms hired by California
associations to do assessment collection on accounts
claimed to be delinquent.

Homeowner David Stauber of Los Angeles County sued SBS for
“engaging in abusive and unfair business practices” under
both state and federal fair debt collection laws.

He also sued for violations of California’s Business and
Professions Code (§17200) and violations of the
Davis-Stirling Act governing assessment collection and
foreclosure.

He also sued his association, Sand Castle HOA of Torrance,
California.

The lawsuit was triggered by a demand letter from SBS
telling Stauber to pay his account balance in full within
30 days – otherwise SBS would proceed to record a Notice
of Default (NOD) against his home. The NOD starts the
official foreclosure clock.

Stauber sued SBS under the federal Fair Debt Collections
Practices Act (FDCPA, 15 U.S.C. §1692 et seq.)

http://www.calhomelaw.org