This action arises out of one of the thousands of "surprise" foreclosures in California which result from horribly one-sided California foreclosure laws. Specifically, in California, personal notice of a trustee's sale is only required for the first scheduled sale. No further notice is required for any continued or postponed sales dates thereafter (except for a verbal announcement at the scheduled sale date that the sale has been postponed). Thus, banks always continue the first sale date so they never have to give notice again. Thereafter, they tell the borrower not to worry as nothing will happen as long as their loan modification is being considered. The next event is the knock on the door by the new owner. The lender/servicer will say that they have no idea what happened but that their loan mod is still being considered. I guess they still want you to pay after you've lost your house. How nice of them.

This action alleges Violation of the Security First Rule and Rosenthal Fair Debt Collection Practices Act based on JPMorgan Chase's receipt of cash while foreclosing and after the property was foreclosed, Fraud, Negligence, Conversion of Surplus Funds by Quality Loan Service for not returning the remaining cash proceeds (i.e., equity) remaining after the liens on the property were paid, Fraud, Negligence, Wrongful Foreclosure as none of the entities had standing or the legal authority to foreclose, Promissory Estoppel, Negligent Misrepresentation, Breach of Oral Contract, Breach of Written Forbearance Agreement, Breach of Written Contract, Violation of California Civil Code Sections 2924j and 2924k regarding the handling of surplus funds, Negligence Per Se, Negligent Hiring and Supervision, and Violation of Business and Professions Code Section 17200. It should be noted that I also added LPS Default Solutions to this complaint in light of the recent revelations that executed and recorded documents without any knowledge or authority.