{"id":37479,"date":"2018-09-27T22:24:25","date_gmt":"2018-09-27T22:24:25","guid":{"rendered":"https:\/\/one.sightlinemg.com\/marinecorpstimes\/uncategorized\/2018\/09\/27\/company-agrees-to-pay-750k-to-settle-allegations-of-illegal-foreclosures-on-service-members\/"},"modified":"2026-08-08T07:16:10","modified_gmt":"2026-08-08T07:16:10","slug":"company-agrees-to-pay-750k-to-settle-allegations-of-illegal-foreclosures-on-service-members","status":"publish","type":"post","link":"https:\/\/one.sightlinemg.com\/marinecorpstimes\/pay-benefits\/2018\/09\/27\/company-agrees-to-pay-750k-to-settle-allegations-of-illegal-foreclosures-on-service-members\/","title":{"rendered":"Company agrees to pay $750K to settle allegations of illegal foreclosures on service members"},"content":{"rendered":"\n<p class=\"wp-block-paragraph\">A foreclosure services company has agreed to pay up to $750,000 to service members who lost their homes due to alleged illegal foreclosure, <a href=\"https:\/\/www.militarytimes.com\/pay-benefits\/2016\/11\/02\/justice-department-beefs-up-scra-enforcement\/\" target=_blank>Justice Department<\/a> officials announced Thursday.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">According to the settlement agreement, Northwest Trustee Services Inc., of Bellevue, Washington, completed 28 foreclosures on homes owned by service members between January 2010 and July 31, 2017, without obtaining the required court orders, in violation of the Servicemembers Civil Relief Act (SCRA). The company will pay compensation of up to $125,000 to each of the service members. The amounts will vary, depending on the situation.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">The SCRA prohibits foreclosing on the home of a service member during military service, or for one year afterward, without a court order if the mortgage was originated prior to the service member\u2019s period of military service. In many cases this applies to reservists and Guard members called to active duty, but also to active-duty members who bought their home before entering active duty.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">This is the Justice Department\u2019s first <a href=\"https:\/\/www.militarytimes.com\/pay-benefits\/2018\/03\/05\/vehicle-leasing-company-to-pay-more-than-2-million-for-military-rights-allegations\/\" target=\"_blank\">SCRA<\/a> lawsuit against a foreclosure trustee company. \u201cWe hope this case sends a strong message to foreclosure trustee companies and others that all foreclosures must comply with the Servicemembers Civil Relief Act,\u201d said Acting Assistant Attorney General John Gore of the Civil Rights Division, in the announcement.<\/p>\n\n\n\t<aside class=\"smg-interstitial-link wp-block-smg-interstitial-link\">\n\t\t<a href=\"https:\/\/one.sightlinemg.com\/militarytimes\/management\/pay-benefits\/military-benefits\/2015\/10\/01\/1461-troops-to-get-money-for-wrongful-foreclosures\/\" class=\"smg-interstitial-link__inner\">\n\t\t\t\t\t\t\t<div class=\"smg-interstitial-link__media\">\n\t\t\t\t\t<img loading=\"lazy\" decoding=\"async\" width=\"300\" height=\"189\" src=\"https:\/\/one.sightlinemg.com\/wp-content\/uploads\/2026\/08\/635793186747495481-gettyimages-105488307jpg.jpg?w=300\" class=\"smg-interstitial-link__image wp-post-image\" alt=\"\" \/>\t\t\t\t<\/div>\n\t\t\t\t\t\t<div class=\"smg-interstitial-link__content\">\n\t\t\t\t<span class=\"smg-interstitial-link__kicker\">Related<\/span>\n\t\t\t\t<h3 class=\"smg-interstitial-link__title\">1,461 troops to get money for wrongful foreclosures<\/h3>\n\t\t\t\t\t\t\t\t\t<p class=\"smg-interstitial-link__excerpt\">Justice officials wrapping up work identifying troops whose homes were wrongfully foreclosed on<\/p>\n\t\t\t\t\t\t\t<\/div>\n\t\t<\/a>\n\t<\/aside>\n\t\n\n\n<p class=\"wp-block-paragraph\">According to the company\u2019s website, the business has closed its doors. Officials with the company could not be immediately reached for comment. The settlement agreement states that nothing in the settlement is to be construed as an admission of liability by Northwest Trustee Services for any of the allegations.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">\u201cNorthwest Trustee may have shuttered its foreclosure business, but that does not end its obligation to do right by service members,\u201d said Annette L. Hayes, U.S. Attorney for the Western District of Washington, in the announcement.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">\u201cThose who serve in our military deserve zealous representation of the rights,\u201d she said. \u201cWe are working to ensure that service members whose homes were illegally foreclosed on by Northwest Trustee receive up to $125,000 in compensation.\u201d<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">The agreement covers non-judicial foreclosures initiated or completed by Northwest Trustee or any of its related businesses, from Jan. 1, 2010, through July 31, 2017.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">Justice officials began their investigation into Northwest Trustee\u2019s practices after Marine Corps veteran Jacob McGreevey of Vancouver, Washington, submitted a complaint to the Justice Department\u2019s Servicemembers and Veterans Initiative in May 2016. Northwest had foreclosed on McGreevey\u2019s home in August 2010, less than two months after he was released from active duty in Operation Iraqi Freedom.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">Since 2011, Justice officials have obtained more than $468 million in monetary relief for service members through its enforcement of the SCRA, which provides protections in areas such as evictions, rental agreements, security deposits, civil judicial proceedings, installment contracts, credit card interest rates, mortgage interest rates, mortgage foreclosures, automobile leases, life insurance, health insurance and income tax payments.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">Service member and their dependents who believe their rights may have been violated under the SCRA should contact their <a href=\"http:\/\/legalassistance.law.af.mil\/content\/locator.php?utm_medium=email&#038;utm_source=govdelivery\" target=_blank>nearest Armed Forces Legal Assistance Program Office<\/a>.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Amounts vary, but individual service members will get up to $125,000.<\/p>\n","protected":false},"author":7,"featured_media":30527,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"_yoast_wpseo_meta-robots-noindex":"","_yoast_wpseo_meta-robots-nofollow":"","_yoast_wpseo_canonical":"","_acf":"","_yoast_wpseo_primary_category":15,"_jetpack_feature_clip_id":0,"_jetpack_memberships_contains_paid_content":false,"footnotes":"","_smg_distribution_targets":[]},"categories":[101,82,12,25,15,67],"tags":[],"coauthors":[3302],"class_list":["post-37479","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-daily-news-roundup","category-mil-money","category-news","category-newsletters","category-pay-benefits","category-pentagon-congress"],"acf":{"subheadline":"","legacy_arc_id":"MZB3DZUYYNC47BT4UQQ4A4GQPI","arc_canonical_url":"\/pay-benefits\/2018\/09\/27\/company-agrees-to-pay-750k-to-settle-allegations-of-illegal-foreclosures-on-service-members\/","remove_feature_photo":false,"is_sponsored":false,"subtype":"","redirect_url":"","disable_inline_ads":false,"native_logo_pretext":"Presented By:"},"yoast_head":"<!-- This site is optimized with the Yoast SEO Premium plugin v26.0 (Yoast SEO v28.1) - https:\/\/yoast.com\/product\/yoast-seo-premium-wordpress\/ -->\n<title>Company agrees to pay $750K to settle allegations of illegal foreclosures on service members - Marine Corps Times<\/title>\n<meta name=\"description\" content=\"Amounts vary, but individual service members will get up to $125,000.\" \/>\n<meta name=\"robots\" content=\"noindex, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"Company agrees to pay $750K to settle allegations of illegal foreclosures on service members\" \/>\n<meta property=\"og:description\" content=\"Amounts vary, but individual service members will get up to $125,000.\" \/>\n<meta property=\"og:url\" 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