The U.S. District Court for the Southern District of Texas ruled that a reverse mortgage holder asserted claims in the original complaint for upfront insurance premiums and for forced place insurance premiums, abandoned the force placed claims in the first amended complaint, and then reasserted the force placed insurance premiums in a second amended complaint, which was then filed in a state court action and then removed and consolidated with the prior action. The court found that there was nothing in the Federal Rules of Civil Procedure barring the reassertion of formerly abandoned claims in subsequent filings. Nasser v. Finance of America Reverse LLC, 2021 WL 966007, CIVIL ACTION NO. 4:18-CV-4695 (S.D. Tex Mar. 15, 2021). Dr. Elie Nassar filed an action in federal court against Reverse Mortgage Solutions, Inc.; Finance of America Reverse LLC; and First National Bank of Layton (collectively "Defendants"), alleging that they assessed insurance premiums and related fees against his account that were not owed and at- tempted to foreclose on his property that was subject to a reverse mortgage, in violation of Texas state and federal law. His original complaint alleged a $2,766 assessment for force-placed insurance and the related fees. He also alleged a $7,780 assessment for an upfront mortgage insurance premium and related fees.
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