Stone v. Real Estate Equity Exchange, Inc., Unison Agreement Corp., Odin New Horizon Real Estate Fund, and Unison Investment Management, LLC, No. 24-01181-MER (Bankr. D. Colo.)
This adversary proceeding against predatory mortgage lender Unison Agreement Corp. and its affiliates seeks a ruling that so-called “shared equity option products” are, in fact, usurious and unconscionable mortgage loans that illegally strip home equity for vulnerable homeowners in violation of Colorado consumer protection laws.
On July 30, 2025, the court denied Defendants’ motion to dismiss, finding that Ms. Stone stated claims for unconscionability; unfair and deceptive acts or practices; violations of Colorado mortgage lending laws; usury and violations of the Uniform Consumer Credit Code; and reverse mortgage lending laws. The court also denied the motion to dismiss the claim in bankruptcy that the product was an executory contract. The court relied on Ms. Stone’s “detailed allegations surrounding the agreement and its impact” as well as “allegations regarding Unison’s business model.” The court found that Ms. Stone adequately alleged facts that the product was a loan that had to be repaid, rejecting Defendants’ argument that it was an option contract.
Co-Counsel: Colorado Legal Services
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