SANDERS v. MOUNTAIN AMERICA FEDERAL CREDIT UNION

No. 11-4008.

689 F.3d 1138 (2012)

Scott SANDERS; Lisa Sanders, Plaintiff-Appellant, v. MOUNTAIN AMERICA FEDERAL CREDIT UNION, Defendant-Appellee. Bruce Ethington, Defendant.

United States Court of Appeals, Tenth Circuit.

July 30, 2012.


Attorney(s) appearing for the Case

Matt Wadsworth ( Brian E. Arnold with him on the brief), of Arnold & Wadsworth, South Ogden, UT, for Plaintiff-Appellant.

Joseph A. Skinner of Scalley Reading Bates Hansen & Rasmussen, P.C., Salt Lake City, UT, for Defendant-Appellee.

Before KELLY, McKAY, and O'BRIEN, Circuit Judges.


O'BRIEN, Circuit Judge.

For certain mortgage loans covered by the Truth-in-Lending Act (TILA), a timely written notice of rescission triggers the creditors duty to release its security interest and refund any finance charges. Once the creditor satisfies this duty, the borrower must return the loan proceeds. Although we have not spoken authoritatively on the issue, several circuits allow district courts to equitably condition the creditor's duty on the borrower's ability...

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