Motto Mortgage, the mortgage brokerage franchise, recently filed a lawsuit against uMortgage, a consumer-direct lender. The lawsuit claims uMortgage engaged in tortious interference with an express and implied contract between Motto Mortgage franchises and members of the Motto Mortgage network.
Motto Mortgage claims uMortgage has a targeting campaign apparently intended to cause members of the Motto Mortgage network to breach their contractual obligations and cut ties with the Motto brand. This has resulted in Motto Mortgage franchises experiencing harm and losses of good faith and business opportunities. Motto Mortgage believes uMortgage’s actions are in direct violation of tortious interference laws.
The lawsuit further claims uMortgage instigated its tortious interference campaign in an attempt to disrupt the Motto Mortgage network and gain access to its members. This has caused numerous Motto Mortgage franchises to reduce advertising and promotional activities causing Motto Mortgage financial losses.
The lawsuit seeks compensatory damages including lost profits, damages, attorney’s fees and costs, and other appropriate relief. In response to the allegations, uMortgage stated it was confident the court will not grant the relief requested by Motto Mortgage. Motto Mortgage strongly disagrees, and has stated its intentions to bring uMortgage to justice for its malicious marketing tactics.
Motto Mortgage, a national mortgage brokerage franchise, recently filed a lawsuit alleging uMortgage, a consumer-direct lender, of tortious interference with a contract between its franchises and members of the network. The lawsuit claims uMortgage has engaged in a campaign to interfere with the contractual obligations of the franchises, violating tortious interference laws. Motto Mortgage has sought damages from uMortgage including lost profits, damages, attorney’s fees and costs, and other appropriate relief, and stated it is prepared to see this case through to the end. uMortgage has responded to the allegations, stating a belief that the court will not grant the requested relief.
You can read this full article at: https://www.housingwire.com/articles/motto-sues-umortgage-for-tortious-interference-in-franchise-contract/(subscription required)
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