A group of 14 homeowners have filed a class-action lawsuit in Massachusetts against a Roxbury based non-profit, called BlueHub Capital. Most victims have claimed that BlueHub Capital has been engaging in a practice called shared appreciation mortgage. That means as the property appreciates, if the homeowner refinances or sells, they must in some cases pay BlueHub more than 50 percent of the appreciation of the property.
The homeowners alleged that they were victims of the predatory lending practices while facing foreclosure or financial hardship. The lawsuit, which is being financed by the Neighborhood Assistance Corporation of America (NACA) was hand delivered to the offices of BlueHub Capital. The class action suit is seeking injunctive relief for the plaintiffs from their BlueHub contracts.
Despite the claims from homeowners, BlueHub claims that they have tried their best to keep homeowners in their houses and have worked to keep communities together. Despite those remarks from BlueHub, there is belief that around 1,100 other homeowners could join this case before too long.
You might be asking yourself, “what is a class action lawsuit?”. A class action lawsuit is a type of lawsuit where one of the parties is a group of people who are represented collectively by a member of that group. In the case mentioned here, the group of people are the Neighborhood Assistance Corporation of America.
Maginnis Law’s consumer law attorneys are experienced when it comes to handling class action lawsuits and cases. As recent as 2019, Ed two of our attorneys resolved a class action case for $1,200,000.00. Our consumer law attorneys are committed to helping individuals and groups like who have been wronged by big companies or corporations.
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