The borrower is deceased. Can the check be made payable to a non-borrower?
The Settlement Agreement states in the case of a deceased Class Member, the person(s) authorized by probate court to act on behalf of the estate of any deceased Class Member should provide to the Settlement Administrator reasonable proof or other evidence or documentation showing that the class member is deceased and that the representative is authorized to act on behalf of the estate of the deceased class member. The original check and any documentation should be sent to Settlement Administrator, TFSB-Genuine Title Settlement, PO Box 201, Lightfoot, VA 23090-0201. The Settlement Administrator may be reached at 410.774.1343 or by email at [email protected]
One of the co-borrowers has passed away. Can the check be reissued in one borrower’s name?
In the case where one of the borrowers has passed away, the Settlement Agreement allows for the settlement check to be reissued to the surviving borrower. Please send the original check, a death certificate and a statement requesting the check be reissued in the surving borrower’s name to: Settlement Administrator, TFSB-Genuine Title Settlement, PO Box 201, Lightfoot, VA 23090-0201. The Settlement Administrator may be reached at 410.774.1343 or by email at [email protected]
I am not in touch with the joint payee. Can the check be made payable to only one borrower?
The Settlement Agreement requires the settlement check to be made payable jointly to the co-borrowers on the related loan. The lawsuit relates to the settlement of the mortgage with TFSB and each borrower’s rights are not affected by subsequent events. Any co-borrower may request the settlement check be split evenly between/among each co-borrower. Please send the original check along with a statement requesting separate checks for each borrower to the Settlement Administrator, TFSB-Genuine Title Settlement, PO Box 201, Lightfoot, VA 23090-0201. The Settlement Administrator may be reached at 410.774.1343 or by email at [email protected]
What is the purpose of the Notice?
You received this Notice because The Federal Savings Bank’s records show that you are a member of the The Federal Savings Bank (“TFSB”) Class approved by the Court on September 19, 2023. A Class Action Settlement has been reached in the Lawsuit. This Notice is intended to generally describe the nature of the Lawsuit, the general terms of the proposed Settlement, and your legal rights and obligations.
The Court in charge of the Lawsuit is the United States District Court for the District of Maryland, and the Lawsuit is known as Baugh, et al. v. The Federal Savings Bank , Civil Action No: 1:17-cv-01735-SAG.
What is this lawsuit about?
The Plaintiffs in the Lawsuit allege that between January 1, 2009 and December 31, 2014, Genuine Title provided unlawful benefits to TFSB, in exchange for its agreement to refer borrowers to Genuine Title for the settlement of their TFSB residential mortgage loans (“the alleged referral scheme”), and that TFSB should be held liable for the alleged referral scheme.
TFSB disputes the allegations in the Lawsuit and denies that it is or may be liable for any of the claims or alleged conduct asserted therein.
The Court has not made any judgment or other determination of the liability of TFSB in the Lawsuit.
The Court has preliminarily approved the Settlement and will decide later whether to give final approval to the Settlement. The relief provided to TFSB Class Members will be provided only if the Court gives final approval to the Settlement and only after any appeals, if any are filed, are resolved in favor of the Settlement. Please be patient.
What is a class action?
In a class action lawsuit, one or more people called Plaintiffs sue on behalf of themselves and all others who may have similar claims. On September 19, 2023, the Court certified a class for purposes of this lawsuit.
How do I know if I am part of the Class?
The Court has decided that everyone who fits this description is a Class Member:
All individuals in the United States who were borrowers on a federally related mortgage loan (as defined under the Real Estate Settlement Procedures Act, 12 U.S.C. § 2602) originated or brokered by the Federal Savings Bank for which Genuine Title provided a settlement service, as identified in Section 1100 on the HUD-1, between January 1, 2009 and December 31, 2014. Exempted from this class is any person who, during the period of January 1, 2009 through December 31, 2014, was an employee, officer, member and/or agent of the Federal Savings Bank, Genuine Title LLC and/or Competitive Advantage Media Group, LLC, Brandon Glickstein Inc., and/or Dog Days Marketing LLC.
Subclass 1 is comprised of all The Federal Savings Bank Class members whose federally related the Federal Savings Bank loan closed on or before May 22, 2013.
Subclass 1 is comprised of all The Federal Savings Bank Class members whose federally related the Federal Savings Bank loan closed on or after May 23, 2013.
Who represents the Class in the Lawsuit?
The TFSB Class is represented by Class Representatives, who are the Plaintiffs in the Lawsuit. The appointed Class Representatives are D’Alan Baugh, William and Sharon Johnson, and Michael and Jane Walsh.
The Court has also appointed Plaintiffs’ Counsel to serve as Class Counsel for the TFSB Class: Michael Paul Smith and Melissa L. English, of the law firm Smith Gildea & Schmidt, LLC, and Timothy F. Maloney and Veronica B. Nannis, of the law firm Joseph, Greenwald & Laake, P.A.
If you desire, you may also appear by your own attorney at your own expense. You may also seek to intervene individually and may advise the Court if at any time you consider that you are not being fairly and adequately represented by Plaintiffs and Class Counsel.
How do I get paid Settlement Benefits under the Settlement?
If you are a Subclass 1 TFSB Class Member and do not timely exclude yourself from the Settlement, you (jointly with your co-borrower, if any) will be paid $1,655.62 by the Settlement Administrator from the Common Fund approximately 10 days after the Settlement obtains Final Approval and the approval of the Settlement is upheld on appeal (if any are filed).
Only Subclass 2 TFSB Class Members (and their co-borrower, if any) who submit a timely Claim Form that are deemed Allowed Claims by the Settlement Administrator will be eligible to receive $846.02. The benefits will be paid to such Subclass 2 TFSB Class Members with Allowed Claims by the Settlement Administrator from the Common Fund approximately 10 days after the Settlement obtains Final Approval and the approval of the Settlement is upheld on appeal (if any appeals are filed).
What do TFSB Class Members give up to obtain relief under the Settlement?
If the Settlement receives final approval, the Court will enter a Final Order and Judgment dismissing the Action “with prejudice” (i.e., meaning that it cannot be filed again).
Upon the entry of the Final Order and Judgment, the Settlement provides that the Class Representatives, for themselves and all TFSB Class Members who do not timely exclude themselves from the Settlement and all of their respective heirs, executors, personal representatives, successors, and assigns (together “the Releasors”), shall by virtue of this Settlement and its Final Approval be deemed to have released, remised, resolved, waived, acquitted, and forever discharged TFSB, its predecessors, successors, assigns, parents, subsidiaries, affiliates, and all of their respective past and present agents, directors, officers, employees, shareholders, insurers, representatives, and attorneys (together “the Releasees”) of and from any and all the Released Claims (as defined below).
The term “Released Claims” means any and all claims, causes of action, suits, obligations, debts, demands, agreements, promises, liabilities, damages, losses, controversies, costs, expenses, and attorneys’ fees of any nature whatsoever, whether based on any federal law, state law, common law, territorial law, foreign law, contract, rule, regulation, any regulatory promulgation (including, but not limited to, any opinion or declaratory ruling), common law or equity, and whether known or unknown, suspected or unsuspected, asserted or unasserted, foreseen or unforeseen, actual or contingent, liquidated or unliquidated, punitive or compensatory, as of the date of the Final Approval Order, that any of the Releasors have, had, and/or may have against any of the Releasees related to: (a) the matters alleged and claims asserted in the Litigation and/or claims that could have been alleged therein based in whole or in part on the facts alleged in the complaints filed in the Litigation; (b) Genuine Title’s closing of and/or provision of settlement and/or title services on the TFSB mortgage loans that are the subject of the Settlement; (c) the Alleged Referral Scheme; (d) any benefit(s), payment(s), and/or thing(s) of value received by TFSB and/or any of its employees or agents from Genuine Title and/or any of its related or affiliated entities; and (e) any benefit(s), payment(s), and/or thing(s) of value received by Genuine Title from TFSB and/or any of its employees or agents (collectively the “Released Claims”). The Parties shall request that this Release be included in the Final Approval Order and Final Judgment Order entered in these cases.
The Released Claims also release, waive, and relinquish, to the fullest extent permitted by law the rights, protections, and benefits under Section 1542 of the California Civil Code, and any law or legal principle of similar effect in any jurisdiction, whether federal or state. Section 1542 of the California Civil Code provides that:
A GENERAL RELEASE DOES NOT EXTEND TO CLAIMS WHICH THE RELEASING PARTY DOES NOT KNOW OR SUSPECT TO EXIST IN HIS OR HER FAVOR AT THE TIME OF EXECUTING THE RELEASE, WHICH IF KNOWN BY HIM OR HER MUST HAVE MATERIALLY AFFECTED HIS OR HER SETTLEMENT WITH THE DEBTOR.
As part of the Settlement, the Class Representatives, for themselves and all TFSB Class Members who do not timely exclude themselves from the Settlement, have agreed and acknowledged the significance of these waivers of California Civil Code Section 1542 and similar federal and state statutes, case law, rules, or regulations relating to limitations on releases. In connection with the release, waivers and relinquishment stated above, the Class Representatives also acknowledge that they are aware that they may hereafter discover facts in addition to, or different from, those facts that they now know or believe to be true with respect to the subject matter of the Settlement, but that it is their intention to release fully, finally and forever, all Released Claims with respect to the Releasees and, in furtherance of such intention, the releases of the Released Claims will be and remain in effect notwithstanding the discovery or existence of any such additional or different facts at a later time.
If you exclude yourself from the TFSB Class, you will retain the right to bring a claim against Genuine Title and TFSB relating to the Released Claims, but you would not have representation provided for you through this lawsuit, and you would be responsible for hiring your own attorney, at your own expense.
How do TFSB Class Members exclude themselves from the Settlement?
The deadline to request exclusion has passed.
How do I tell the Court that I do not like (object to) the Settlement?
The deadline to object to the Settlement has passed.
When and where will the Final Fairness Hearing occur?
The Final Fairness Hearing was held at 9:30 am on August 26, 2024 in Courtroom 7C of the United States Courthouse, 101 West Lombard St, Baltimore, MD 21201.
How do I obtain additional information about the Settlement?
To see a copy of the Settlement Agreement (which defines capitalized terms used in this notice and provides a brief summary of what has happened in the Lawsuit), the Court’s preliminary approval order, Class Counsel’s application for attorneys’ fees and costs, the operative complaint filed in the Lawsuit, and other filings regarding the Settlement, please go to the Courts Documents page.
If you have questions concerning the Lawsuit, including any corrections or changes of name or address, you should not contact the Court, but should contact, in writing, Class Counsel at:
Class Counsel
Genuine Title-TFSB Settlement
600 Washington Avenue, Suite 200
Towson, MD 21204.
If you decide to remain a member of the Settlement and wish to communicate with Class Counsel as your attorney in this litigation, you may do so by writing or calling the following:
Michael Paul Smith, Esq. (Email: [email protected])
Melissa L. English, Esq. (Email: [email protected])
Smith, Gildea & Schmidt, LLC
600 Washington Avenue, Suite 200, Towson, MD 21204
telephone: (410) 821-0070
Timothy F. Maloney, Esq. (Email: [email protected])
Veronica B. Nannis, Esq. (Email: [email protected])
Joseph, Greenwald & Laake, P.A.
6404 Ivy Lane, Suite 400, Greenbelt, MD 20770
telephone: (301)220-2200