Heng v. Heavner, Beyers & Mihlar

Dist. Ct. did not err in dismissing for failure to state cause of action plaintiffs’ actions alleging that defendant violated provisions of FDCPA by filing foreclosure actions in state court against plaintiffs under circumstances where: (1) defaulted mortgages at issue in foreclosure actions were backed by Federal Housing Authority (FHA); and (2) FHA did not authorized defendant to bring instant foreclosure actions and had policy prohibiting defendants from bringing instant foreclosure actions under circumstances where plaintiffs had suffered financial hardship. While plaintiffs argued FDCPA violation occurred because defendant had not obtained FDA’s authorization to bring foreclosure actions, applicable FHA regulations did not require FHA authorization prior to bringing instant foreclosure actions and did not prohibit instant foreclosure actions.