Consumer complaint received 2024-10-08
Product: Mortgage — Other type of mortgage
Issue: Closing on a mortgage — Closing disclosure or other related disclosures
Company: The Orange Coast Company, LLC (CA)

XXXX XXXX loaned funds to a borrower, XXXX XXXX XXXX, secured by deeds of trust on the Grant Property and Oneanta property. 
OCTC, through its escrow XXXX XXXX XXXX, facilitated the improper release of the XXXX XXXX 's security interests ( deeds of trust ) under the false pretense that she would be immediately re-recorded after a refinancing. This assurance was never fulfilled, causing the XXXX XXXX 's financial position to be seriously compromised. 
Fraudulent and Negligent Conduct : OCTC ignored explicit instructions from the XXXX XXXX that any refinancing must not dilute her security interests. Instead, XXXX allowed significantly larger loans to be placed on both properties without the XXXX XXXX 's informed consent. 
Fraudulent notarization : OCTC recorded a deed of reconveyance on the XXXX XXXX with a false notarization. This document wrongfully removed the XXXX XXXX 's XXXX, contributing to her financial losses. 
OCTCs actions were motivated by maintaining their profitable relationship with XXXX, who conducted numerous high-value transactions with the title company. 
As a result of OCTCs misconduct, XXXX XXXX received a judgement against XXXX. XXXX XXXX is owed over {$2.00} XXXX dollars, representing unpaid principal, interest, and fees on the loans secured by the properties. 
Request for Licensing Action : Given OCTCs fraudulent and negligent behavior, we request the Department of Financial Protection and Innovation ( DFPI ) take disciplinary action, including revocation of OCTCs license and any other enforcement actions deemed appropriate. 

Summary of XXXX XXXX XXXX on XXXX ( XXXX XXXX. XXXX ) In the lawsuit involving XXXX XXXX and Orange Coast Title Company ( OCTC ) along with XXXX XXXX, the XXXX and court have ruled in favor of XXXX XXXX on several counts , including intentional misrepresentation, concealment, breach of fiduciary duty, and negligence. The court has entered the following judgment : Principal Amount Awarded : The court has ordered that Orange Coast Title and XXXX XXXX pay {>= $1,000,000} as the principal amount for the damages incurred. 

Accrued Interest : An additional {$90000.00} in interest has been awarded on the principal amount. 

XXXX XXXX : Prejudgment interest, calculated at 7 % per annum from XX/XX/XXXX, through XX/XX/XXXX, amounts to {$520000.00}, with an additional {$340.00} per day accruing from XX/XX/XXXX, until the judgment is fully entered. 

Total Amount Owed : As of XX/XX/XXXX, the total judgment is {>= $1,000,000}, which includes the principal, accrued interest, and prejudgment interest. 

Costs : The court has further ordered that Orange Coast Title and XXXX XXXX pay the costs of the suit. 

This judgment seeks to resolve the damages resulting from the negligence and fraud committed by Orange Coast Title and XXXX XXXX in connection with the fraudulent removal of XXXX security interests in real estate transactions. The judgment also includes ongoing interest calculations until full payment is made. 

This resolution is intended to fully compensate XXXX XXXX for the financial harm suffered due to the misrepresentations and negligent actions of the defendants.