AFSA v. CITY OF OAKLAND

No. S119869.

23 Cal.Rptr.3d 453 (2005)

34 Cal.4th 1239

104 P.3d 813

AMERICAN FINANCIAL SERVICES ASSOCIATION, Plaintiff and Appellant, v. CITY OF OAKLAND et al., Defendants and Appellants.

Supreme Court of California.

January 31, 2005.


Attorney(s) appearing for the Case

Severson & Werson, Mark Joseph Kenney, Jan T. Chilton and Donald J. Querio, San Francisco, for Plaintiff and Appellant.

Arnold & Porter, Laurence J. Hutt, Los Angeles, Dennis G. Lyons, Howard N. Cayne, Michael C. O'Brien and Nancy L. Perkins, Washington, D.C., for California Bankers Association as Amicus Curiae on behalf of Plaintiff and Appellant.

Horvitz & Levy, Lisa Perrochet and Bradley S. Pauley, Encino, for National Home Equity Mortgage Association as Amicus Curiae on behalf of Plaintiff and Appellant.

John A. Russo, City Attorney, Barbara J. Parker, Chief Assistant City Attorney, John Truxaw and Daniel Rossi, Deputy City Attorneys; Cotchett, Pitre, Simon & McCarthy, Joseph W. Cotchett, Burlingame, Marie Seth Weiner, Redwood City, Steven N. Williams, Burlingame and Jamie N. Gonzalez, Los Angeles, for Defendants and Appellants.

Norma P. Garcia for Consumers Union of U.S., Inc., as Amicus Curiae on behalf of Defendants and Appellants.

Kevin D. Stein for California Reinvestment Committee as Amicus Curiae on behalf of Defendants and Appellants.

Maeve Elise Brown for the National Housing Project, AARP, Association of Community Organizations for Reform Now (ACORN), Congress of California Seniors, Consumer Credit Counseling Service of the East Bay, Lao Family Community Development, Inc., and Spanish Speaking Unity Council of Alameda County, Inc., as Amicus Curiae on behalf of Defendants and Appellants.

Paul S. Cohen for Centro Legal de la Raza and La Raza Centro Legal as Amicus Curiae on behalf of Defendants and Appellants.

Robert Gnaizda, San Francisco, for Greenling Institute as Amicus Curiae on behalf of Defendants and Appellants.

Patricia G. Price for Legal Assistance for Seniors as Amicus Curiae on behalf of Defendants and Appellants.

John T. Fellows III, City Attorney (Torrance) for The League of California Cities as Amicus Curiae on behalf of Defendants and Appellants.


BROWN, J.

"Predatory lending" is a term generally used to characterize a range of abusive and aggressive lending practices, including deception or fraud, charging excessive fees and interest rates, making loans without regard to a borrower's ability to repay, or refinancing loans repeatedly over a short period of time to incur additional fees without any economic gain to the borrower. Predatory lending is most likely...

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