Has NAMB Caused the Fed LO Comp Rule To Go Into Effect?

<span class=”Apple-style-span” style=”color: #333333; font-family: ‘lucida grande’, tahoma, verdana, arial, sans-serif; font-size: 11px;”>This is a comment posted by NAIHP President Marc Savitt about the destructive actions that NAMB has taken trying to play with the Federal Courts and possibly making the Fed Rule take effect.</span><br /><span class=”Apple-style-span” style=”color: #333333; font-family: ‘lucida grande’, tahoma, verdana, arial, sans-serif; font-size: 11px;”><br /></span><br /><span class=”Apple-style-span” style=”color: #333333; font-family: ‘lucida grande’, tahoma, verdana, arial, sans-serif; font-size: 11px;”>On March 11, 2011, the U.S. District Court in Washington, D.C. consolidated the <a href=”http://naihp.org/”>NAIHP</a> and NAMB <a href=”http://usloans.com/fredsuit.pdf”>lawsuit</a>s. Many of you have called for the two organizations to work together for the good of the industry. </span><br /><span class=”Apple-style-span” style=”color: #333333; font-family: ‘lucida grande’, tahoma, verdana, arial, sans-serif; font-size: 11px;”><br /></span><br /><span class=”Apple-style-span” style=”color: #333333; font-family: ‘lucida grande’, tahoma, verdana, arial, sans-serif; font-size: 11px;”>As you’ve heard sever</span><span class=”Apple-style-span” style=”color: #333333; font-family: ‘lucida grande’, tahoma, verdana, arial, sans-serif; font-size: 11px;”><span class=”text_exposed_show” style=”display: inline;”>al times, NAIHP has been trying to work with NAMB for over a year on this issue. NAMB has consistently refused to cooperate and join forces.</span></span><br /><span class=”Apple-style-span” style=”color: #333333; font-family: ‘lucida grande’, tahoma, verdana, arial, sans-serif; font-size: 11px;”><span class=”text_exposed_show” style=”display: inline;”><br />On March 12, I once again reached out to NAMB’s President, in an attempt to bring our two sides together. Having been ignored by NAMB, I instructed our legal team to contact NAMB’s lead attorney. What he discovered was NAMB’s attorney had motioned the court to de-consolidate our two cases. </span></span><br /><span class=”Apple-style-span” style=”color: #333333; font-family: ‘lucida grande’, tahoma, verdana, arial, sans-serif; font-size: 11px;”><span class=”text_exposed_show” style=”display: inline;”><br /></span></span><br /><span class=”Apple-style-span” style=”color: #333333; font-family: ‘lucida grande’, tahoma, verdana, arial, sans-serif; font-size: 11px;”><span class=”text_exposed_show” style=”display: inline;”>They did so, without any notification to our counsel. Notifying co-counsel is more than just a courtesy, it’s SOP! This type of child’s play has the potential to jeopardize both cases.</span></span><br /><span class=”Apple-style-span” style=”color: #333333; font-family: ‘lucida grande’, tahoma, verdana, arial, sans-serif; font-size: 11px;”><span class=”text_exposed_show” style=”display: inline;”><br />The FRB is scheduled to respond to NAMB’s motion by this Thursday. The Judge will then decide whether to keep the cases together, or grant NAMB’s motion. In all likelihood NAMB’s motion will be denied.</span></span><br /><span class=”Apple-style-span” style=”color: #333333; font-family: ‘lucida grande’, tahoma, verdana, arial, sans-serif; font-size: 11px;”><span class=”text_exposed_show” style=”display: inline;”><br />As a broker, I’m concerned about NAMB’s actions. When you’re involved in litigation, it’s never a good idea to keep defying the court. Sooner or later they will come down on you.</span></span><br /><span class=”Apple-style-span” style=”color: #333333; font-family: ‘lucida grande’, tahoma, verdana, arial, sans-serif; font-size: 11px;”><span class=”text_exposed_show” style=”display: inline;”><br />Should NAMB’s motion be denied, what can we expect from NAMB, as far as cooperation in a consolidated suit?<br />The Judge has set a briefing schedule, which gives the FRB until March 18th to respond. Our team then has until the 25th to respond. The Judge should rule immediately after.</span></span><br /><span class=”Apple-style-span” style=”color: #333333; font-family: ‘lucida grande’, tahoma, verdana, arial, sans-serif; font-size: 11px;”><span class=”text_exposed_show” style=”display: inline;”><br />NAIHP and other trade groups have met with countless agencies and Congressional Representatives over the past 15 months. You haven’t heard about most of them, because we’re interested in fixing the problem, not looking for credit.</span></span><br /><span class=”Apple-style-span” style=”color: #333333; font-family: ‘lucida grande’, tahoma, verdana, arial, sans-serif; font-size: 11px;”><span class=”text_exposed_show” style=”display: inline;”><br />NAIHP will continue moving forward with our lawsuit, with or without NAMB. Our hope is NAMB won’t somehow derail all our efforts in an attempt for their own personal glory. This is a time for our industry to work together like never before.</span></span>

Leave a Reply

Your email address will not be published. Required fields are marked *