Applying the standards for determining if mediation is conducted in good faith, a federal bankruptcy court held a lender in contempt and required payment of the borrowers’ attorney’s fees in a loss mitigation negotiation because the lender kept “moving the goalposts” by failing to provide timely information, failing to obtain a timely appraisal, failing to provide written terms following an oral modification, and failing to appear as ordered.
In re Bambi, No. 11-36861 (U.S. Bankr. S.D.N.Y., May 9, 2013).
