December 27th, 2018

US Court of Appeals for the Fifth Circuit Opinions
Christiana Trust v. Riddle

Docket: 17-11429
Opinion Date: December 21, 2018
Judge: Jennifer Walker Elrod
Areas of Law: Banking, Real Estate & Property Law

The Fifth Circuit affirmed the district court's dismissal of plaintiff's claim that the bank was vicariously liable for the failure of the bank's loan servicer to comply with the Real Estate Settlement Procedures Act (RESPA). The court held that plaintiff did not plead an agency relationship between the bank and the loan servicer, an essential element of a vicarious liability claim. Furthermore, even if the bank had an agency relationship with the loan servicer, the bank cannot be held vicariously liable, as a matter of law, for the servicer's alleged RESPA violations.

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