A plaintiff sued a bank in federal court (based on diversity) for “harm she suffered in connection with the foreclosure of her home.” The bank moved to dismiss for failure to state the claim. The motion was granted in part and denied in part.

In 2000, the plaintiff borrowed $110,000 from “A,” secured by a mortgage on the plaintiff’s home (“A” mortgage). “A” commenced foreclosure proceedings after the plaintiff defaulted. In 2009, the plaintiff obtained a “home equity conversion mortgage” (reverse mortgage) from the defendant bank, which was secured by the same home.