HUD Affiliated Business Law: A Case Study

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The affiliation between MSIII, Ocwen, & Selene was not recorded with the loan, which is a violation of RESPA's HUD Affiliated Business Arrangement Disclosure Statement. 12 USC § 2602(7). If a person directly or indirectly refers business to that provider or affirmatively influences the selection of the affiliated business, they must disclose the nature of the relationship they have with the provider of the settlement services and of an estimated range of charges made by the provider. The disclosure must be made no later than the time the referral is made. 24 CFR § 3500.15(b)(1).

11. The Plaintiffs received no notice of the alleged sale of our loan from MSIII to Allquest. Other than the Allonge that is not affixed to the loan docs, there is

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