The mortgage frenzy-fueled flow of disciplinary cases against California attorneys charged with misconduct related to loan modification services has slowed and is giving the state’s client security fund time to replenish from record payouts.
California, with more than a quarter million licensed lawyers, has nearly 2,000 disciplinary cases against attorneys charged in loan modification schemes arising from last decade’s real estate and mortgage meltdown.
Some 222 attorneys were disciplined, including 99 lawyers disbarred, for rule violations that included collecting advance compensation for loan modification services after the legislature made pre-performance fees for such services illegal.
The California State Bar’s client ...
Learn more about Bloomberg Law or Log In to keep reading:
See Breaking News in Context
Bloomberg Law provides trusted coverage of current events enhanced with legal analysis.
Already a subscriber?
Log in to keep reading or access research tools and resources.