Defend against Lender Liability

As a lender, lender liability has become a real cause for concern. For years, lenders were the ones who typically sued borrowers for breach of loan agreements. Today however, borrowers are just as likely to sue lenders for those breaches.

Presently lenders are inundated with lender liability suits typically based on purported promises, such as to extend the maturity dates of loans, alter the terms of loan agreements, or to forbear from foreclosing on real property collateral. 

A loan agreement is like any other contract. If the agreement was fraudulently induced or there was an absence of mutual consent, the agreement cannot be enforced. If the loan contract was breached, the lender can be sued if it was the breaching party.

The most common remedy pursued by borrowers when a breach of a loan agreement has occurred is the recovery of damages. This can include both the difference between the loan amount and the costs for obtaining a replacement loan, and any lost opportunity or lost profit damages.

Even if these suits lack merit, lenders are required to spend time and money defending against them. As a result, it is imperative for lenders to aggressively defend lender liability suits to minimize the time and expense incurred. 

These cases, in particular, involve a great deal of complicated rules and guidelines by which both parties initially agreed upon. In the court of law, understanding all the parameters that factor into these cases can be especially hard to follow. That's where the help of a litigation support specialist comes in.

Litigation support specialist Michael F. Richards draws upon his more than 30 years’ experience in the banking industry to help lenders in there litigation. He has acted as a financial expert witness in many trials involving lender liability, helping the judge and jury to better understand the terms of the agreement and helping to bring favorable results for the lender.

Key Reasons to Use a Financial Expert Witness

In high-stakes litigation, expert witness testimony is often a necessary and critical part of litigation strategy. Experts can offer testimony to address unique questions or facts that are central to liability issues. 

In cases involving banking, the details often become complicated and highly technical, with the density of the subject matter too difficult for jury members to understand. As such, lawyers often find that by utilizing a litigation support specialist, their extra level of expertise can help make sense of the subject matter. 

Neither the defendant nor the plaintiff’s attorneys want to drag a court case on indefinitely. This is where an expert witness can help. Expert witnesses can explain complex ideas clearly and in a way that helps jurors understand the facts quickly and effectively. The expert’s history, experience and in-depth knowledge of the topics allow them to break down the details in layman's terms, not legalese.

Because expert witness testimony can be such an important factor, there can be much at stake for litigators in the process of finding and selecting an expert. When the insight and knowledge of someone in the financial field is exactly what is needed to help the jurors understand the client’s point of view, the best way to achieve this is with an expert witness. Having a sound, professional financial expert witness on your side can help prove your case. 

Call the office of Michael F. Richards today to book your consultation. We can help whether or not your case goes to trial and at virtually any stage of the proceedings.