CitiMortgage Debt Claims Survive Bankrupt Man’s Legal Challenges

An Illinois attorney who spent nearly five years litigating CitiMortgage Inc.'s claims and foreclosure on his home during and after his Chapter 13 bankruptcy lost his appeal before the Seventh Circuit.

Jerome Davis tried other legal options rather than appealing a bankruptcy court order that he couldn’t eliminate his mortgage debt. That decision effectively doomed his attempts to challenge CitiMortgage’s claims, the U.S. Court of Appeals for the Seventh Circuit said Friday.

Davis unsuccessfully sought to get CitiMortgage’s state-court foreclosure action transferred to the bankruptcy court. He also separately sued CitiMortgage in federal district court for unfair debt collection practices—ultimately ...