Embattled servicer Ocwen is facing still more legal woes, this time over automated calling.
Consumers have requested a preliminary injunction against the company for the way it uses automated dialing to call their cell phones, according to a Reuters report. US District Judge Matthew Kennelly said on Wednesday that he might grant “at least some” of the plaintiffs’ requests, but he wants more information from Ocwen about the costs and feasibility of granting the injunction.
Of course, that’s just the tip of the legal iceberg for the servicer at the moment. Last week, a judge ruled that Ocwen would have to face a proposed class-action lawsuit, Reuters reported. The suit claims that Ocwen, along with Morgan Stanley Private Bank and Citizens Bank, failed to notify county land offices when California borrowers paid off their mortgages.
And the company is still battling it out with numerous states that have accused it of servicing violations. In April, the Consumer Financial Protection Bureau sued Ocwen, while more than 20 states issued cease-and-desist orders that effectively crippled its ability to do business within their borders. In the weeks that followed, several more states jumped on the bandwagon.
Ocwen has promised to vigorously defend itself against the states’ accusations.