West v. JPMorgan Chase Bank, N.A.

Genevieve West (plaintiff) owned property subject to a mortgage held by JPMorgan Chase Bank, N.A. (Chase) (defendant). When West defaulted on the mortgage, she agreed to enter into a temporary trial period plan (TPP) under the Home Affordable Modification Program (HAMP), a loan reduction program. West’s TPP approval letter stated that if she complied with the program’s terms during the trial period, a permanent loan reduction solution would be considered. West made all required payments and complied with all HAMP terms during the trial period, but Chase declined to provide her with a permanent loan modification after the trial period ended. Chase’s denial was based on its calculation of West’s net present value (NPV). In the denial letter, Chase informed West that she could request the input values in Chase’s NPV calculation, and that Chase would reevaluate West’s NPV if she provided updated financial information to use in the calculation. West made a timely request for these inputs, but Chase never sent them. In a subsequent phone call, Chase reaffirmed that West could appeal the NPV and also stated that no foreclosure sale was scheduled for West’s home. During the phone call, West again requested the NPV input data, but she never received the inputs. Two days after the phone call, West’s home was sold at a trustee’s sale. West sued Chase, alleging fraud and breach of contract, among other things. The trial court sustained Chase’s demurrer to West’s complaint, finding that the complaint did not state facts sufficient to maintain West’s claims. West appealed.