On September 30, 2011, the United States Department of Justice Civil Rights Division filed a lawsuit in the United States District Court for the Eastern District of Virginia against C&F Mortgage Corporation. The suit was brought on behalf of African-American and Hispanic borrowers against C&F ...
read more >
On September 30, 2011, the United States Department of Justice Civil Rights Division filed a lawsuit in the United States District Court for the Eastern District of Virginia against C&F Mortgage Corporation. The suit was brought on behalf of African-American and Hispanic borrowers against C&F Mortgage Corporation, alleging that it had engaged in a pattern or practice of discrimination on the basis of race and/or national origin against black and Hispanic borrowers. Specifically, the complaint alleged that C&F Mortgage Corporation, on average, charged both black and Hispanic borrowers approximately 20 basis points more than it charged to similarly-situated whites.
The plaintiff also filed a motion for approval of a consent order on September 30, 2011.
The Court (Judge Robert E. Payne) entered a final consent order on October 4, 2011 and maintained that it would retain jurisdiction over the case to enforce the terms of the Order. Under the provisions of the order, C&F agreed to implement policies and procedures designed to ensure that the prices charged for C&F's residential loan products, including the portion of the price that reflects the discretion of the loan officer or any other employee, are set in a nondiscriminatory manner consistent with the requirements of the FHA and the ECOA. In addition, C&F agreed to compensate certain black and Hispanic borrowers.
The terms of the Order ended on January 17, 2014 and the Court (Judge Robert E. Payne) dismissed the case with prejudice.
Megan Richardson - 11/07/2014
compress summary