Homeowner says lender has no right to foreclose

Debra Berg is suing her lender, Countrywide Home Loans, for attempting to foreclose on her home when they promised not to.

According to Berg's petition, which was filed with the Jefferson County District Court on April 25, in September of 2005 she entered into a forbearance program with Countrywide, suspending payments on her notes.

"Specifically, Countrywide initiated a region wide forbearance program due to the destruction caused by Hurricane Rita," the suit said.

It's been nearly two years since the hurricane blew through the Golden Triangle and Countywide has begun collecting on its debts. The lender informed Berg that she would have to pay $15,000 in back payments or the company was going to foreclose on her home.

She is claiming Countrywide misrepresented the terms of the agreement. "Defendant's actions are not only in violation of the Texas Deceptive Trade Practices Act and a breach of contract, but are a patently deceptive."

She is requesting a temporary restraining order to stop Countrywide from foreclosing on her home and a permanent injunction.

She is suing for actual, consequential, incidental and special damages in the form of loss of value of property, court costs and mental anguish.

She is represented by the Snider & Byrd law firm.

Judge Donald Floyd, 172nd Judicial District, will preside over the case.

Case No. E179-191