CARAMICO v. SECRETARY OF THE DEPT. OF HOUS. & URB. DEV.

Nos. 181, 182, Dockets 73-2538, 73-2539.

509 F.2d 694 (1974)

Jean CARAMICO et al., Plaintiffs-Appellants-Appellees, v. The SECRETARY OF THE DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT et al., Defendants-Appellees-Appellants.

United States Court of Appeals, Second Circuit.

Decided December 16, 1974.


Attorney(s) appearing for the Case

Susan B. Seel, Brooklyn, N. Y. (John C. Gray, Jr., Douglas J. Kramer, Brooklyn Legal Services Corp. B, Brooklyn, N. Y., on the brief), for plaintiffs-appellants-appellees.

Edward J. Shawaker, Atty., Dept. of Justice, Washington, D. C. (Wallace H. Johnson, Asst. Atty. Gen., George R. Hyde, Atty., Dept. of Justice, Washington, D. C., Edward J. Boyd, U. S. Atty. for the Eastern District of New York, Harold J. Friedman, Asst. U. S. Atty., on the brief), for Federal appellees-appellants.

John J. Walsh, New York City (Cadwalader, Wickersham & Taft, W. Mowry Connelly, New York City, on the brief), for defendant-appellee Federal National Mortgage Association.

Before DANAHER, FEINBERG and MULLIGAN, Circuit Judges.


FEINBERG, Circuit Judge:

Plaintiffs are or were non-owner occupants of two-to-four family dwellings located in low income areas of Brooklyn, the mortgages of which were insured by the Federal Housing Administration (FHA).1 Under FHA regulations, for a mortgagee to recover on his mortgage insurance after default he must tender possession of the property, unoccupied, to the FHA. Thus, after plaintiffs' landlords defaulted and the properties...

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