Home Builder in Legal Dispute with Attorney General’s Office of Two States.
The Arizona State Attorney General’s Office and the Nevada State Attorney General’s Office are conducting an investigation on the lending practices and operations of new home builder Pulte Homes. This investigation started in 2009 after the Attorney General’s Offices from both states relieved multiple complaints from homeowners about the new home loans they acquired through Pulte.
While the investigation is ongoing, the Attorney General’s office will not give any details publicly concerning the aspects of the case.
However, Pulte Homes is suing the Attorney General’s of both Arizona and Nevada over the law firm that was hired to handle the case and over the way the lawyers are paid for their services. Because Pulte is suing we are able to gain some information regarding the state’s investigations into the new home builder. For instance, both Pulte Mortgage Company and Pulte Homes are named in the lawsuit and they have handed over 70,000 pages of documents to the Attorney General’s Offices.
Pulte filed their lawsuit in the U.S. District Court in Washington D.C., and in their lawsuit they stated that the lawyers hired by the Attorney General’s Offices have connections with the Laborers International Union of North America. The lawsuit states that a “harassment campaign” was used by that union to try to make the subcontractors employed by Pulte to join the union. Pulte also states that the union has been trying to find Pulte homeowners that ate unhappy with their Pulte home loans.
The law firm that the investigation has been outsourced to is the District of Columbia law firm of Cohen, Milstein, Sellers, & Toll. The law firm has assured the Attorney General’s Offices of both states that they no longer represent the Laborers’ International Union of North America (LIUNA).
Pulte also has alleged that the payment method for the law firm is illegal because their payment is based on contingency fees, meaning that their payment comes from financial penalties that Pulte must pay if the investigation states they are warranted.
Pulte’s lawsuit currently has no hearing date set and the Attorney General’s Office investigation for both states is still ongoing.
While the investigation is ongoing, the Attorney General’s office will not give any details publicly concerning the aspects of the case.
However, Pulte Homes is suing the Attorney General’s of both Arizona and Nevada over the law firm that was hired to handle the case and over the way the lawyers are paid for their services. Because Pulte is suing we are able to gain some information regarding the state’s investigations into the new home builder. For instance, both Pulte Mortgage Company and Pulte Homes are named in the lawsuit and they have handed over 70,000 pages of documents to the Attorney General’s Offices.
Pulte filed their lawsuit in the U.S. District Court in Washington D.C., and in their lawsuit they stated that the lawyers hired by the Attorney General’s Offices have connections with the Laborers International Union of North America. The lawsuit states that a “harassment campaign” was used by that union to try to make the subcontractors employed by Pulte to join the union. Pulte also states that the union has been trying to find Pulte homeowners that ate unhappy with their Pulte home loans.
The law firm that the investigation has been outsourced to is the District of Columbia law firm of Cohen, Milstein, Sellers, & Toll. The law firm has assured the Attorney General’s Offices of both states that they no longer represent the Laborers’ International Union of North America (LIUNA).
Pulte also has alleged that the payment method for the law firm is illegal because their payment is based on contingency fees, meaning that their payment comes from financial penalties that Pulte must pay if the investigation states they are warranted.
Pulte’s lawsuit currently has no hearing date set and the Attorney General’s Office investigation for both states is still ongoing.
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