Servicing

Judge dismisses MERS recording-fee case

MERSCORP Holdings, Inc. today announced that U.S. District Senior Judge Ortrie D. Smith of the U.S. District Court for the Western District of Missouri, Western Division, ruled yesterday in favor of Mortgage Electronic Registration Systems, Inc. (MERS) and other defendants, dismissing a recording fee suit filed by Jackson County, Missouri. 

In Jackson County v. MERS, Judge Smith dismissed a five-count, putative class action suit filed on behalf of Jackson County and all other similarly situated counties in the State of Missouri, ruling that “Plaintiff cannot recover for the failure to record.”   The suit – alleging unjust enrichment, civil conspiracy and prima facie tort – sought declaratory and injunctive relief under the primary allegation that MERS and its members failed to record deeds of trust assignments and therefore failed to pay the applicable county recording fees. 

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