In a precedent-setting decision that could have widespread implications for lenders, the Third Circuit has ruled that a rescission action, filed by borrowers more than three years after the closing on their loan, was timely. The court held that a borrower's sending of a notice of rescission to the lender within the statutory required three-year period is all that is required to exercise the right to rescind under the Truth in Lending Act. Sherzer v. Homestar Mortgage Services.
Borrower Need Not File Suit
New Jersey Law Journal
March 14, 2013
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