Judge Guts Counties' Filing Fee Suit Against Merscorp, BofA

Law360, New York (December 13, 2012, 11:02 PM EST) -- A Texas federal judge on Thursday granted a motion by Merscorp Inc., Bank of America NA, Stewart Title Co. and others to strike classwide allegations in a suit by three Texas counties claiming the companies submitted fraudulent mortgage records to avoid county filing fees.

Judge Reed O'Connor cited a recent federal appeals court decision in ruling that the requirements for Texas counties to retain counsel would make any class of counties an "opt-in" class, which is prohibited under federal law. 

"In the present case, only the...
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