You are viewing a free summary from Descrybe.ai. For citation checking, legal issue analysis, and other advanced tools, explore our Legal Research Toolkit — not free, but close.

Bigsby v. Barclays Capital Real Estate, Inc.

Citation: 391 F. Supp. 3d 336Docket: 14-cv-1398 (JGK)

Court: District Court, S.D. Illinois; July 20, 2019; Federal District Court

Narrative Opinion Summary

This case involves allegations by plaintiffs against a real estate company concerning wrongful foreclosure fees and alleged misconduct during foreclosure proceedings. The plaintiffs, mortgagors from various states, initially brought claims under the RICO Act and common law, which were partially dismissed in earlier stages. The remaining claims included breach of contract, unjust enrichment, conversion, and violations of California's Unfair Competition Law and Civil Code § 2924c. The defendant sought summary judgment, arguing that no genuine dispute of material facts existed, while the plaintiffs attempted to strike certain documents submitted by the defendant. The court applied summary judgment standards, focusing on the absence of unresolved material facts and ultimately granted the defendant's motion. The court dismissed the plaintiffs' claims for lack of privity between the plaintiffs and the defendant regarding breach of contract, unjust enrichment, and conversion. Furthermore, the court found that the claims were time-barred by the statute of limitations and that no fee-splitting violations under California professional conduct rules were proven. Consequently, all claims against the defendant were dismissed, and the plaintiffs' motion to strike was denied. The court ordered the entry of judgment, dismissing the case and closing all pending motions.

Legal Issues Addressed

Breach of Contract Claims

Application: The court dismissed breach of contract claims due to lack of privity between the plaintiffs and the defendant.

Reasoning: Consequently, the plaintiffs cannot pursue breach claims against the defendant due to the absence of privity with the loan owner.

Dismissal of RICO Claims

Application: The court dismissed the plaintiffs' RICO claims against the defendant in earlier proceedings.

Reasoning: The Court partially granted the defendant's motion to dismiss, dismissing the RICO claims in Bigsby I (2016) and later in Bigsby II (2018).

Fee Splitting Violations

Application: Plaintiffs failed to prove that the defendant's fee-splitting arrangements violated California Rule of Professional Conduct 1-320.

Reasoning: Plaintiffs fail to provide evidence that intermediaries received anything but administrative fees or legal authority suggesting that such payments violate Rule 1-320.

Statute of Limitations in Breach of Contract

Application: Grimes's breach of contract claim was dismissed as time-barred under California's statute of limitations.

Reasoning: Grimes's breach of contract claim is barred by the statute of limitations.

Summary Judgment Standards

Application: The court applied summary judgment standards, requiring no genuine dispute of material fact for the defendant's motion to be granted.

Reasoning: The standard for summary judgment requires the movant to demonstrate that no genuine dispute exists regarding material facts.

Unjust Enrichment and Conversion Claims

Application: Plaintiffs' claims for unjust enrichment and conversion were dismissed for lack of evidence that the defendant retained a benefit at their expense.

Reasoning: The plaintiffs have not shown that the fees retained by the defendant exceeded those it disbursed to intermediaries or counsel.