Kuhl v. U.S. Bank Trust National Association
- Vincent Briccetti
- 7:19-cv-08403-VB-PED
- U.S. District Court · Southern District of New York
- 2
In Kuhl v. U.S. Bank, Judge Briccetti denied Kuhl’s requests to amend his complaint to add a Real Estate Settlement Procedures Act claim.
Jonathan Kuhl’s proposed amendment was barred from being filed in this action. U.S. Bank Trust National Association and Rushmore Loan Management Services LLC were the defendants the court identified as potentially prejudiced by the amendment; MTGLQ Investor, LP took no position. The pending motions to dismiss were unaffected by this order and remained pending.
What happened
Kuhl v. U.S. Bank Trust National Association involved Jonathan Kuhl’s request to amend his complaint and add a claim under the Real Estate Settlement Procedures Act. The case was pending in the Southern District of New York.
Kuhl had previously asserted claims involving the Truth in Lending Act, breach of fiduciary duty, and failure to pay insurance proceeds. He asked to add a Real Estate Settlement Procedures Act claim. U.S. Bank and Rushmore opposed the request, while MTGLQ Investor, LP took no position.
Judge Vincent L.Briccetti denied both Kuhl’s request to seek permission to amend and, to the extent he had already moved to amend, the request to amend itself. The court found no connection between the proposed claim and the existing claims and concluded that amendment would unfairly prejudice U.S. Bank and Rushmore. The pending dismissal motions remained undecided.
The detailed version
- Kuhl v. U.S. Bank Trust National Association · No. 7:19-cv-08403-VB-PED
- Vincent Briccetti
- Aug. 18, 2020
Background
Jonathan Kuhl faxed the court a letter on July 31, 2020. The letter alternatively requested permission to file a motion to amend his complaint under Federal Rule of Civil Procedure 15 and sought permission to amend the complaint to add a claim under the Real Estate Settlement Procedures Act (RESPA), 12 U.S.C. § 2605.
Kuhl’s existing claims were against U.S. Bank Trust National Association and MTGLQ Investor, LP for alleged violations of the Truth in Lending Act. He also asserted claims against Rushmore Loan Management Services LLC for breach of fiduciary duty and equitable relief based on an alleged failure to pay insurance proceeds. The court had pending motions to dismiss filed by defendants.
Parties’ Positions
The court directed defendants to respond to Kuhl’s request and address the effect of amendment on the pending motions to dismiss. MTGLQ took no position. U.S. Bank and Rushmore opposed the request to amend.
Court’s Analysis
Rule 15 provides that courts should freely allow amendment when justice requires. The court noted that amendment may be denied for reasons including undue delay, bad faith, repeated failure to correct deficiencies, undue prejudice, or futility.
The court found no connection between Kuhl’s existing claims and the proposed RESPA claim. It concluded that allowing the amendment at that point would cause undue prejudice to U.S. Bank and Rushmore.
Disposition
Judge Vincent L.Briccetti ordered that Kuhl’s request to file a motion to amend the complaint was denied. To the extent Kuhl separately moved to amend the complaint, that request was also denied. The court stated that the pending motions to dismiss would be decided later. It also certified that an appeal from the order would not be taken in good faith and denied permission to proceed without paying the usual filing fees for purposes of an appeal.
Read the full 2-page opinion on CourtListener, the free public archive maintained by the Free Law Project.