PEOPLE of the STATE of CA v US Bank National Association as Trustee-Several Trust_LA CA-1

~~~ 1 CARMEN A. TRUTANICH, City Attorney (SBN 86629) {l()~FORMED COPY

TINA HESS, Assistant City Attorney (SBN 143900) sufii2~~JCk)~f~&~"-2 SUZANNE V. SPILLANE, Supervising Deputy City Attorney (SBN 1644765° NTvo•LosA GELEs

JANET KARKANEN, Deputy City Attorney (SBN 162173) JUl 1 6 2012 3 JULIA FIGUEIRA.-McDONOUGH, Deputy City Attorney (SBN 200452) ·

OFFICE OF THE LOS ANGELES CITY ATTORNEY 4 CRIMINAL BRANCH

1obnA. Clarke, Exitiv~ Officer/Clerk BY (/;,. ) 1.; ,t,,.,)Deputy

Cnstmidri[a va 200 North Main Street, 500 City Hall East 5 Los Angeles, California 90012-4131

Telephone (213) 978-7940/Facsimile (213) 978-8112 6

7 Attorneys for Plaintiff, The People of the State of California

8

9

10

11

12

13

14

15

16

17

18

19

20

21

22

23

24

25

26

27

28

SUPERIOR COURT OF THE STATE OF CALIFORNIA

COUNTY OF LOS ANGELES, CENTRAL DISTRICT

THE PEOPLE OF THE STATE OF CALIFORNIA,

Plaintiff,

vs.

U.S. BANK NATIONAL ASSOCIATION, a national banking association;

U.S. BANK NATIONAL ASSOCIATION, as trustee for Structured Asset Investment Loan Trust, series unidentified, relating to property located at 1562 West 226th Street, Los Angeles, California 9050 I;

U.S. BANK NATIONAL ASSOCIATION, as trustee for Structured Asset Securities Corporation Mortgage Pass-Through Certificates, Series 2006-BC2;

U.S. BANK NATIONAL ASSOCIATION, as trustee for LXS 2005-05N;

U.S. BANK NATIONAL ASSOCIATION, as trustee for MASTR Asset Backed Securities Trust 2006-WMC2;

U.S. BANK NATIONAL ASSOCIATION, as trustee for Harborview 2006-4;

U.S. BANK NATIONAL ASSOCIATION, as trustee for Doe I, Series 2006-HEI, relating to property located at 1547 West 11th Street, Los Angeles, California 90015;

U.S. BANK NATIONAL ASSOCIATION, as trustee for Structured Asset Investment Loan Trust2006-BNC1;

) Case No. : 8 C 4 8 S 4 3 6 ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) )

COMPLAINT TO ABATE PUBLIC NUISANCES, FOR INJUNCTIVE AND OTHER EQUITTABLE RELIEF AND FOR CIVIL PENALTIES FOR VIOLATION OF:

1) THE CALIFORNIA UNFAIR COMPETITION LAW (Business and Professions Code section 17200 et seq.)

2) THE LOS ANGELES MUNICIPAL CODE (Los Angeles Municipal Code section 11.00, subdivision (I))

[No Fee Required Pursuant to Government Code Section 6103)

COMPLAINT

I U.S. BANK NATIONAL ASSOCIATION, ) as trustee for Doe 2, relating to property )

2 located at 3573 West Florence Avenue, Los )

3 Angeles, California 90043; )

U.S. BANK NATIONAL ASSOCIATION, )

4 as trustee for Doe 3, relating to property ) located at I 0972 South Hickory Street, Los )

5 Angeles, California 90059; ) U.S. BANK NATIONAL ASSOCIATION, )

6 as trustee for C-Bass Mortgage Loan Asset )

7 Backed Certificates, Series 2006-CB8; )


8 as trustee for LXS 2005-7N; ) U.S. BANK NATIONAL ASSOCIATION, )

9 as trustee for Doe 4, relating to property )

10 located at 9210 South Figueroa Street, Los ) Angeles, California 90003; )

11 U.S. BANK NATIONAL ASSOCIATION, ) as trustee for MASTR Asset Backed )

12 Securities Trust 2006-NC2; ) U.S. BANK NATIONAL ASSOCIATION, )

13 as trustee for Structured Asset Securities )

14 Corporation Mortgage Pass-Through ) Certificates, Series 2006-BC4; )

15 U.S. BANK NATIONAL ASSOCIATION, ) as trustee for Structured Asset Securities )

16 Corporation Mortgage Pass-Through ) Certificates, Series 2006-EQI; )

17 U.S. BANK NATIONAL ASSOCIATION, ) as trustee for Bear Steams Asset Backed )

18 Securities I LLC, Series 2005-AC9; )


20 Securities Trust 2006-NC3; ) U.S. BANK NATIONAL ASSOCIATION, )

21 as trustee for CSAB Mortgage Backed Pass- )

22 Through Certificates, Series 2006-2; )


23 as trustee for MASTR Asset Backed ) Securities Trust 2007-HE!; )

24 U.S. BANK NATIONAL ASSOCIATION, ) as trustee for Citigroup Mortgage Loan Trust )

25 Inc., Mortgage Pass-Through Certificates, )

26 Series 2007-AR2; )


27 as trustee for Harborview 2006-4 Trust Fund; ) U.S. BANK NATIONAL ASSOCIATION, )

28 as trustee for JP AL T 2006-5; )

COMPLAINT

1 U.S. BANK NATIONAL ASSOCIATION, ) as trustee for JPMMAC 2005-FLD1; )

2 U.S. BANK NATIONAL ASSOCIATION, )

3 as trustee for Structured Asset Investment ) Loan Trust, 2006-BNC3; )

4 U.S. BANK NATIONAL ASSOCIATION, ) as trustee for Structured Asset Securities )

5 Corporation Trust 2005-WF3; )


as trustee for First Franklin Mortgage Loan )

7 Trust 2006-FF12; )


8 as trustee for SG Mortgage Securities Asset ) Backed Certificates, Series 2006-FRE2; )

9 U.S. BANK NATIONAL ASSOCIATION, ) as trustee for Structured Asset Investment )

10 Loan Trust, 2006-BNC2; )


as trustee for Structured Asset Securities )

12 Corporation Structured Asset Investment ) Loan Trust Mortgage Pass-Through )

13 Certificates, Series 2005-HE1; )


as trustee for Doe 5, relating to property )

15 located at 10334 South JUniper Street, Los ) Angeles, California 90002; )


17 Securities Trust 2006-HE5; )


as trustee for Structured Asset Mortgage )

19 Investments II Inc., Bear Stearns ALT-A ) Trust Mortgage Pass-Through Certificates, )

20 Series 2006-3P; ) U.S. BANK NATIONAL ASSOCIATION, )

21 as trustee for Bear Stearns Asset Backed )

22 Securities I Trust 2006-IM1; )


23 as trustee for C-Bass Mortgage Loan Asset ) Backed Certificates, Series 2006-CB4; )

24 U.S. BANK NATIONAL ASSOCIATION, ) as trustee for Lehman Brothers Structured )

25 Asset Investment Loan Trust SAIL 2006- )

26 BNC2; )


27 as trustee for BNC Mortgage Loan Trust ) 2006-2; )

28 )

COMPLAINT

1 U.S. BANK NATIONAL ASSOCIATION, ) as trustee for Doe 6, relating to property )

2 located at 3606 South Trinity Street, Los )



4 as trustee for Citigroup Mortgage Loan Trust, ) Asset Backed Pass-Through Certificates, )

5 Series 2006-AMCI; ) U.S. BANK NATIONAL ASSOCIATION, )

6 as trustee for Structured Asset Investment )

7 Loan Trust 2005-8; )

U.S BANK NATIONAL ASSOCIATION, )

8 as trustee for Lehman Brothers Securitization ) Name- Structured Asset Investment Loan )

9 Trust, series unidentified; )


as trustee for Citigroup Mortgage Loan Trust )

11 Inc., Asset Backed Pass-Through Certificates, ) Series 2007-AHL2; )

12 U.S. BANK NATIONAL ASSOCIATION, ) as trustee for Structured Asset Investment )

13 Loan Trust, 2005-9; )


as trustee for Structured Asset Investment )

15 Loan Trust, 2006-2; ) U.S. BANK NATIONAL ASSOCIATION, )

16 as trustee for CSAB Mortgage Backed Pass- ) Through Certificates, Series 2006-3; )


18 as trustee for Structured Asset Investment ) Loan Trust, 2005-HE3; )

19 U.S. BANK NATIONAL ASSOCIATION, ) as trustee for First Franklin Mortgage Loan )

20 Trust 2006-FF2; ) U.S. BANK NATIONAL ASSOCIATION, )

21 as trustee for Lehman Brothers Structured )

22 Asset Investment Loan Trust SAIL 2006-3; )


23 as trustee for Asset Backed Securities ) Corporation Home Equity Loan Trust, Series )

24 AMQ 2006-HE7; ) U.S. BANK NATIONAL ASSOCIATION, )

25 as trustee for Citigroup Mortgage Loan Trust )

26 2007-AMC2; )


27 as trustee for JPMAC 2006-H3; ) )

28 )

COMPLAINT

1 U.S. BANK NATIONAL ASSOCIATION, ) as trustee for Citi Mortgage Loan Trust Inc., )

2 for Asset Backed Pass-Through Certificates, )

3 Series 2006-WMCl; )


4 as trustee for Lehman Brothers Structured ) Asset Investment Loan Trust SAIL 2005-6; )

5 U.S. BANK NATIONAL ASSOCIATION, ) as trustee for Lehman Brothers Structured )

6 Asset Securities Corporation SASCO 2006- )

7 BC6; )


8 as trustee for CMLIT 2007-AR8; ) U.S. BANK NATIONAL ASSOCIATION, )

9 as trustee for JP Morgan Alternative Loan )

10 Trust 2006-A6; )


11 as trustee for Asset Backed Pass-Through ) Certificates, Series RFC 2007-HEl; )

12 U.S. BANK NATIONAL ASSOCIATION, ) as trustee for JP Morgan Acquisition )

13 Corporation 2005-FRE 1; )


as trustee for LXS 2007-4N Trust Fund; )

15 U.S. BANK NATIONAL ASSOCIATION, ) as trustee for Specialty Underwriting and )

16 Residential Finance Trust Mortgage Loan ) Asset Backed Certificates, Series 2007-BCl; )


18 as trustee for Lehman Brothers Structured ) Asset Securities Corporation SASCO 2007- )

19 BNCl; ) U.S. BANK NATIONAL ASSOCIATION, )

20 as trustee for Structured Asset Securities ) Corporation Trust 2007-EQl; )


22 as trustee for C-Bass Mortgage Loan Asset ) Backed Certificates, Series 2007-CB5; )

23 U.S. BANK NATIONAL ASSOCIATION, ) as trustee for MASTR Adjustable Rate )

24 Mortgages Trust 2007-2; ) U.S. BANK NATIONAL ASSOCIATION, )

25 as trustee for MASTR Adjustable Rate )

26 Mortgages Trust 2007-HF2; )


27 as trustee for Structured Asset Securities ) Corporation Trust 2007-GEL2; )

28 )

COMPLAINT


2 Securities Trust 2006-HE4; )

3 U.S. BANK NATIONAL ASSOCIATION, · )


4 Corporation Mortgage Pass-Through ) Certificates, Series 2006-BC5; )


6 as trustee for Adjustable Rate Mortgage Trust ) 2007-1; )


as trustee for Adjustable Rate Mortgage Trust )

8 2007-3; ) U.S. BANK NATIONAL ASSOCIATION, )

9 as trustee for Asset Backed Securities )

10 Corporation Horne Equity Loan Trust, Series ) MO 2006-HE6; )


as trustee for Citigroup Mortgage Loan Trust )

12 Inc., Asset Backed Pass-Through Certificates, ) Series 2007-AMC4; )


14 as trustee for Bane [sic] of America Funding ) Corporation Mortgage Pass-Through )

15 Certificates, Series 2006-H; ) U.S. BANK NATIONAL ASSOCIATION, )

16 as trustee for Bear Stearns ARM Trust, ) Mortgage Pass-Through Certificates, Series )

17 2005-1; )



19 Loan Trust, 2006-3; ) U.S. BANK NATIONAL ASSOCIATION, )

20 as trustee for Asset Backed Pass-Through ) Certificates, Series 2006-WFHE3; )


22 as trustee for Terwin Mortgage Trust 2006-3; )


23 as trustee for Structured Asset Investment ) Loan Trust, 2006-1; )


25 Securities Trust 2007-WMC 1; )



27 Loan Trust, 2005-3; ) U.S. BANK NATIONAL ASSOCITION, )

28 as trustee for RAMP 2006-NC2; )

COMPLAINT

1 U.S. BANK NATIONAL ASSOCIATION, ) as trustee for First Franklin Mortgage Loan )

2 Trust 2006-FF14; )


as trustee for MASTR Asset Backed )

4 Securities Trust 2006-WMC3; ) U.S. BANK NATIONAL ASSOCIATION, )

5 as trustee for W AMU Mortgage Pass- )

6 Through Certificates for WMALT 2007- ) OA2; )



8 Corporation Structured Asset mvestrnent ) Loan Trust Mortgage Pass-Through )

9 Certificates, Series 2005-11; )


as trustee for CSFB ARMT 2006-3; )


as trustee for W AMU Mortgage Pass- )

12 Through Certificates for WMALT 2007- ) OA3; )


14 as trustee for Doe 7, relating to property ) located at 514 West 59th Street, Los Angeles, )

15 California 90044; ) U.S. BANK NATIONAL ASSOCIATION, )

16 as trustee for BAFC 2007-A; ) U.S. BANK NATIONAL ASSOCIATION, )

17 as trustee for W AMU Mortgage Pass- )

18 . Through Certificates for WMAL T 2006- )

AR4; )

19 U.S. BANK NATIONAL ASSOCIATION, ) as trustee for LXS 2006-1 ON Trust Fund; )

20 U.S. BANK NATIONAL ASSOCIATION, ) as trustee for Bear Stearns ARM Trust )

21 Mortgage Pass-Through Certificates, Series )

22 2005-6; )


23 as trustee for SARM 2005-3; ) U.S. BANK NATIONAL ASSOCIATION, )

24 as trustee for CMLTI Asset Backed Pass- ) Through Certificates, Series 2007-AMC3; )


26 as trustee for Lehman XS Trust Mortgage ) Pass-Through Certificates, Series 2005-9N; )

27 U.S. BANK NATIONAL ASSOCIATION, ) as trustee for C-Bass Mortgage Loan Asset )

28 Backed Certificates 2007 -CB3; )

COMPLAINT

1 U.S. BANK NATIONAL ASSOCIATION, ) as trustee for GSAA Home Equity Trust )

2 2007-1; )


as trustee for LXS 2007 -7N; )

4 U.S. BANK NATIONAL ASSOCIATION, ) as trustee for Home Equity Asset Trust 2005- )

5 9; ) U.S. BANK NATIONAL ASSOCIATION, )

6 as trustee for LXS 2006-2N Trust Fund; )


as trustee for First Franklin Mortgage Loan )

8 Trust, Mortgage Loan Asset Backed ) Certificates, Series 2007-1; )


10 as trustee for Terwin Mortgage Trust 2006-7; )


11 as trustee for Harborview 2006-1 Trust Fund; )


12 as trustee for MASTR Adjustable Rate ) Mortgages Trust 2007-3; )


14 as trustee for MLMI Trust, Series 2006-RM2; )


15 as trustee for Citigroup Mortgage Loan Trust ) 2006-WFHE4; )

16 U.S. BANK NATIONAL ASSOCIATION, ) as trustee for LXS 2007-16N Trust Fund; )


18 as trustee for Asset Backed Funding ) Corporation Asset Backed Certificates, Series )

19 2007-WMCl; ) U.S. BANK NATIONAL ASSOCIATION, )

20 as trustee for LXS 2007-2N; ) U.S. BANK NATIONAL ASSOCIATION, )

21 as trustee for LXS 2006-12N; )


as trustee for SARM 2005-23; )

23 U.S. BANK NATIONAL ASSOCIATION, ) as trustee for C-Bass Mortgage Loan )

24 Certificates 2006-CB5; ) U.S. BANK NATIONAL ASSOCIATION, )

25 as trustee for Mortgage Pass-Through )

26 Certificates, Series 2006~AR3; )


27 as trustee for Doe 8, relating to property ) located at 327 Yz West 70th Street, Los )


COMPLAINT

1 U.S. BANK NATIONAL ASSOCIATION, ) as trustee for Merill Lynch Mortgage )

2 Investors Trust, Series 2010-NP1; )


as trustee for JP Morgan Mortgage )

4 Acquisition Trust 2006-NC1; ) U.S. BANK NATIONAL ASSOCIATION, )

5 as trustee for MARM 2007-3; ) U.S. BANK NATIONAL ASSOCIATION, )

6 as trustee for Credit Suisse First Boston )

7 CSFB 2005-2; )


8 as trustee for Servertis Fund I Trust 2009-2 ) Certificates, Series 2009-2; )

9 U.S. BANK NATIONAL ASSOCIATION, ) as trustee for MASTR Alternative Loan Trust )

10 2003-7; )

11 U.S. BANK NATIONAL ASSOCIATION, ) as trustee for Washington Mutual Mortgage )

12 Pass-Through Certificates WMALT, Series ) 2006-AR9; )

13 U.S. BANK NATIONAL ASSOCIATION, ) as trustee for Harborview 2005-16 Trust )

14 Fund; )

15 U.S. BANK NATIONAL ASSOCIATION, ) as trustee for BNC Mortgage Loan Trust )

16 2007-1, Mortgage Pass-Through Certificates, ) Series 2007-1; )


18 as trustee for Bane [sic] of America Funding ) Corporation Mortgage Pass-Through )

19 Certificates, Series 2007-D; ) U.S. BANK NATIONAL ASSOCIATION, )

20 as trustee for Bear Steams Asset Backed ) Securities, 2006-AC 1; )


22 as trustee for Credit Suisse First Boston ) ARMT 2005-5; )

23 U.S. BANK NATIONAL ASSOCIATION, ) as trustee for Citigroup Mortgage Loan Trust )

24 Inc., unidentified series; ) U.S. BANK NATIONAL ASSOCIATION, )

25 as trustee for Citigroup Mortgage Trust Inc. )

26 Asset Backed Pass-Through Certificates, ) Series 2007-AMC1; )

27 ) )

28 )

COMPLAINT

1 U.S. BANK NATIONAL ASSOCIATION, ) as trustee for Credit Suisse First Boston )

2 Mortgage Securities Corp. Home Equity )

3 Pass-Through Certificates, Series 2006-8; )


4 as trustee for C-Bass Mortgage Loan Asset ) Backed Certificates 2007 -CB 1; )


6 as trustee for CBASS 2006-SC1; )


7 as trustee for CSFB Home Equity Pass- ) Through Certificates, Series 2005-FIX1; )

8 U.S. BANK NATIONAL ASSOCIATION, ) as trustee for Specialty UnderWriting and )

9 Residential Finance Trust, Mortgage Loan )

10 Asset Backed Certificates, Series 2006-BC4; )


11 as trustee for MASTR Adjustable Rate ) Mortgages Trust, Series 2007-1; )

12 U.S. BANK NATIONAL ASSOCIATION, ) as trustee for BancCap Asset Securitization )

13 Issuance Corporation, Mortgage Loan Asset )

14 Backed Certificates, Series 2006-1; )


15 as trustee for Citigroup Mortgage Loan Trust, ) 2005-HE3; )

16 U.S. BANK NATIONAL ASSOCIATION, ) as trustee for WMALT 2007-0A5; )


18 as trustee for Doe 9, relating to property ) located at 5753 Yz South 8th Avenue, Los )

19 Angeles, California 90043; ) U.S. BANK NATIONAL ASSOCIATION, )

20 as trustee for WaMu Mortgage Pass-Through ) Certificates, Series 2007-HY5; )


22 as trustee for RAMP 2006-EFC2; )


23 as trustee for SAIL 2005-5; ) and )

24 DOES 1 through 2500, ) )

25 Defendants. )

26 ) )

27

28

COMPLAINT

1

2

TABLE OF CONTENTS

3 NATURE OF THE ACTION ................................................................................................... 1

4 THEPARTIES .......................................................................................................................... 3

5

6

7

A.

B.

c.

Plaintiff ................................................................................................................ 3

Defendant ............................................................................................................. 3

Doe Defendants .................................................................................................... 21

8 LEGAL DUTIES AND RESPONSIBILITIES OF RESIDENTIAL

9

10

11

12

13

14

15

16

17

18

19

20

21

22

23

24

25

26

27

28

PROPERTY OWNERS ............................................................................................................ 21

A.

B.

c.

D.

Legal Duties and Responsibilities Relating to Vacant Properties ..................... 22

1.

2.

3.

4.

California Public Nuisance Law ............................................................. 22

California Vacant Foreclosed Property Maintenance Law ................... 23

The Los Angeles Vacant Building Ordinance ........................................ 23

The Los Angeles Foreclosure Registry Ordinance ................................. 25

Legal Duties and Responsibilities Relating to Occupied Properties .................. 26

1.

2.

3.

4.

The California Health and Safety Code ................................................. 26

Statutory Warranty of Habitability ......................................................... 27

Common Law Warranty of Habitability ................................................. 29

The Covenant of Quiet Enjoyment .......................................................... 29

Tenant Protections ............................................................................................... 30

1.

2.

3.

4.

Section 8 of the United States Housing Act ............................................ 30

The Protecting Tenants at Foreclosure Act ........................................... 31

The Los Angeles Rent Stabilization Ordinance ...................................... 31

The Los Angeles Foreclosure Eviction Ordinance ................................ 32

Other Municipal Laws ......................................................................................... 33

1.

2.

3.

LAMC Zoning Code ................................................................................ 33

LAMC Building Code .............................................................................. 33

LAMC Electrical Code ............................................................................ 37

COMPLAINT

1

2

3

4

5 E.

4.

5.

TABLE OF CONTENTS (cont'd.)

Pages

LAMC Plumbing Code ........................................................................... 37

Mechanical Code ..................................................................................... 38

County Property Tax Laws .................................................................................. 38

6 DEFENDANT'S LIABILITY .................................................................................................... 39

7

8

9

10

11

12

A.

B.

c.

D.

DEFENDANT's Unlawful and Unfair Business Practices ............................... 39

DEFENDANT's Unlawful Practices ................................................................... 39

DEFENDANT US Bank National Association's Unfair and Deceptive Practices to Vacate Properties ..................................................... 66

DEFENDANT U.S. BANK's Individual Liability .............................................. 69

FIRST CAUSE OF ACTION .................................................................................................... 72

U niawful Business Acts and Practices in Violation of 13 California Business and Professions Code sections 17200 et seq.

14 (Against DEFENDANT in Its Individual and Representative Capacities)

15

16

17

18

A.

B.

The California Unfair Competition Law ............................................................ 72

1.

2.

Generally .................................................................................................. 72

"Unlawful" Business Acts and Practices ................................................ 74

DEFENDANT's Violations of the UCL ............................................................. 74

19 SECOND CAUSE OF ACTION ............................................................................................... 76

20 Unfair and Fraudulent Business Acts and Practices Under the California Business and Professions Code sections 17200 et seq.

21 (Against Defendant in Its Representative Capacity Only)

22

23

A.

B.

"Unfair" and "Fraudulent" Business Acts and Practices ................................. 77

DEFENDANT's Violations of the UCL ............................................................. 78

24 THIRD CAUSE OF ACTION ................................................................................................... 80

25 Violations of Los Angeles Municipal Code section 11.00, subdivision (I) (Against Defendants in Its Individual and Representative Capacities)

26

27

28

PRAYER FOR RELIEF ............................................................................................................ 83

ii

COMPLAINT

1 PLAINTIFF, the People of the State of California ("PEOPLE"), complaining of the above-

2 named DEFENDANT (DEFENDANT, U.S. Bank National Association, individually and as trustee

3 for these various trusts shall collectively be referred to as "DEFENDANT"), allege as follows:

4

5 1.

NATURE OF THE ACTION

This case concerns DEFENDANT U.S. Bank National Association, a national bank

6 that has become one of the largest slumlords in the City of Los Angeles ("City"). Since at least July

7 2008, DEFENDANT has become the owner of thousands of residential properties in the City,

8 through foreclosure of mortgages held in mortgage-backed securities trusts, which it has completely

9 failed to maintain in violation of municipal, state, and federal law. As a result, hundreds of

10 properties have fallen into disrepair, causing blight and destabilizing communities.

11 2. DEFENDANT U.S. Bank National Association, based in Minneapolis, Minnesota, is

12 the 5th largest commercial bank in the United States, with 3,000 branches in 25 states, 60,000

13 employees and assets totaling over $340 billion. DEFENDANT U.S. Bank National Association

14 acts as trustee for trusts composed of mortgage-backed securities and in this capacity holds title to

15 thousands of properties across the country.

16 3. DEFENDANT U.S. Bank National Association was, and continues to be, heavily

17 involved with mortgage backed securities. In some cases, it acquired large volumes of residential

18 mortgage loans from smaller banks and bundled them into securities, shares of which were then sold

19 to investors who received a portion of the monthly cash payments. In other cases, DEFENDANT

20 was and continues to be compensated for serving as trustee for the trusts.

21 4. Many of these trusts were comprised of sub-prime mortgages, made to individuals

22 who did not meet traditional underwriting guidelines. These individuals were under-qualified, with

23 insufficient capital and/or income to support the mortgages. Nonetheless, while the demand for

24 mortgage-backed securities grew, banks continued to issue sub-prime loans allowing borrowers to

25 refinance their original mortgages to avoid foreclosures.

26 5. Compensation for serving as trustee of mortgage-backed securities provided a

27 dependable, low-maintenance source of income for DEFENDANT U.S. Bank National Association.

28 I

COMPLAINT

1 By late 2006, interest rates began to rise, housing prices began to drop, and refinancing became more

2 difficult Consequently, the number of mortgages in default rose sharply, culminating in the

3 financial crisis of2007-2008. When mortgages held in the mortgage-backed securities trusts were

4 foreclosed upon, trustees such as DEFENDANT U.S. Bank National Association acquired title to the

5 foreclosed properties. As a result, DEFENDANT U.S. Bank National Association became large

6 scale residential property owner, a role whose responsibilities it eschews to this day.

7 6. In the past four years, DEFENDANT U.S. Bank National Association has, as trustee

8 for various mortgage-backed securities trusts, taken title to more than 1500 residential properties in

9 the City of Los Angeles (the "Foreclosed Properties").

10 7. Upon taking title to these properties, DEFENDANT U.S. Bank National Association

11 disregarded virtually every one of its legal duties and responsibilities as owner, resulting in the

12 creation and maintenance of an alarming number of vacant nuisance properties and substandard

13 occupied housing units. DEFENDANT U.S. Bank National Association has engaged in this

14 business practice since at least July 2008.

15 8. DEFENDANT U.S. Bank National Association has been repeatedly advised over the

16 course of several years of its failure to fulfill its legal duties as property owner in the City and other

17 jurisdictions. Despite this, DEFENDANT U.S. Bank National Association has made no efforts to

18 remedy the problems or reform its conduct in order to comply with the law, choosing instead to

19 continue its unlawful business practices.

20 9. This is a civil law enforcement action brought by the Los Angeles City Attorney's

21 Office on behalf of the PEOPLE to put an end to DEFENDANT U.S. Bank National Association's

22 unlawful, unfair and fraudulent business acts and practices relating to its neglect of hundreds of

23 residential properties within the City. Such unlawful, unfair and fraudulent business acts and

24 practices by DEFENDANT U.S. Bank National Association has resulted in the creation and

25 maintenance of hundreds of substandard, uninhabitable occupied and vacant nuisance properties;

26 public nuisances; and the unlawful eviction of hundreds of tenants throughout the City.

27

28 2

COMPLAINT

1 10. In this action, PLAINTIFF asserts its power to remedy this injury to the public under

2 the California Unfair Competition Law (Bus. & Prof. Code, § 17200 et seq.) and the Los Angeles

3 Municipal Code ("LAMC") by seeking to enjoin DEFENDANT U.S. Bank National Association's

4 ongoing and future violations oflaw, to obtain restitution for the victims of DEFENDANT U.S.

5 Bank National Association's conduct, and to assess civil penalties against DEFENDANT U.S. Bank

6 National Association to deter it and others from engaging in such conduct now and in the future.

7

8 A.

9

THE PARTIES

Plaintiff

11. PLAINTIFF PEOPLE is the sovereign power of the State of California designated by

10 the California Unfair Competition Law and California public nuisance laws to be the complaining

11 party in civil law enforcement actions brought under those statutes. PLAINTIFF has an interest in

12 ensuring that individuals and entities doing business in this state comply with all governing laws.

13 The PEOPLE act here through Carmen A. Trutanich, City Attorney for the City of Los Angeles,

14 under the authority granted to him by Business and Professions Code sections 17203, 17204 and

15 17206.

Defendant 16 B.

17 12. DEFENDANT U.S. Bank National Association is, and at all times relevant hereto

18 was, a national banking association organized and existing under the laws of the United States and

19 doing business throughout the State of California, including the City.

20 13. DEFENDANT U.S. Bank National Association is also named in its capacity as

21 trustee of each and every trust identified below that holds or held title to each corresponding

22 property identified below located within the City:

23 TRUST PROPERTY ADDRESS ASSESOR'S PARCEL

NUMBER 24 ~--------------------_,----------------------+-------------~

25

26

27

28

Structured Asset Investment Loan Trust (series unidentified)

1562 West 226th Street, Los Angeles, California 90501

("1562 West 226th Street'') 7347011013

~------------------------~------------------------~--------------~

3

COMPLAINT

1

2

3

4

5

6

7

8

9

10

11

12

13

14

15

16

17

18

19

20

21

22

23

24

25

26

27

28

TRUST

Structured Asset Securities Corporation Mortgage Pass-Through Certificates, Series

2006-BC2

LXS 2005-05N

MASTR Asset Backed Securities Trust 2006-WMC2

Harborview 2006-4

Doe I, Series 2006-HEI

Structured Asset Investment Loan Trust, 2006-BNCI

Doe2

Doe 3

C-BASS Mortgage Loan Asset Backed Certificates, Series 2006-CB8

LXS 2005-7N

PROPERTY ADDRESS ASSESOR'S PARCEL

NUMBER

925 North Virgil Avenue, Los Angeles, California 90029 5539C08003 ("925 North Virgil Avenue")

643 North Rossmore Avenue, 5523007003

Los Angeles, California 90004 ("643 North Rossmore Avenue")

I 008 East 4 I st Place, Los Angeles, California 90011 5115022011

("I 008 East 41st Place")

1341 West 51st Place, Los Angeles, California 90037 5017008020

(" 1341 West 51st Place")

1547 West lith Street, Los Angeles, California 90015 5137015019

("1547 West lith Street")

148 East 79th Street, Los Angeles, California 90003 6030001011

("148 East 79th Street")

3573 West Florence Avenue, Los Angeles, California 90043 4006035016

("3573 West Florence Avenue")

I 0972 South Hickory Street, Los Angeles, California 90059 6067008062 ("I 0972 South Hickory Street")

237 East I 03rd Street, Los Angeles, California 90003 6063010028

("237 East 103rd Street")

4502 West Olympic Boulevard, Los Angeles, California 90019 5082001011

("4502 West Olympic Boulevard")

4

COMPLAINT

1

2

3

4

5 .

6

7

8

9

10

11

12

13

14

15

16

17

18

19

20

21

22

23

24

25

26

27

28

TRUST

Doe4

MASTR Asset Backed Securities Trust 2006-NC2


2006-BC4

Structured Asset Securities Corporation Mortgage Pass-Through Certificates, 2006-

EQI

Bear Steams Asset Backed Securities I LLC, Asset Backed Securities, Series 2005-AC9

MASTR Asset-Backed Securities Trust 2006-NC3

CSAB Mortgage Backed Pass-Through Certificates, 2006-2

MASTR Asset Backed Securities Trust 2007-HE!

Citigroup Mortgage Loan Trust, Inc., Mortgage Pass-Through Certificates, Series .

2007-ARZ

Harborview 2006-4 Trust Fund


NUMBER

9210 South Figueroa Street, Los Angeles, California 90003 6039004003 ("921 0 South Figueroa Street")

5709 Hooper Avenue, Los Angeles, California 900 II 5104026001

("5709 Hooper Avenue")

9308 South Main Street, Los Angeles, California 90003 6052007013

("9308 South Main Street")

12745 North De Santis Avenue, Los Angeles, California 91342 2604020025

("12745 North DeSantis Avenue")

7002 Hazeltine Avenue, Los Angeles, California 91405 2216012018

("7002 Hazeltine Avenue")

-15430 West Parthenia Street,

Los Angeles, California 91343 2654020053 ("15430 West Parthenia Street")

223 West 90th Street, Los Angeles, California 90003 6040029007

("223 West 90th Street")

1408 South Burlington Avenue, Los Angeles, California 90006 5135019003

(" 1408 South Burlington A venue")

5955 North Corbin Avenue, Los Angeles, California 91326 2153020001 ("5955 North Corbin Avenue")

602 North Wilton Place, Los Angeles, California 90004 5522007024

("602 North Wilton Place")

5

COMPLAINT

1

2

3

4

5

6

7

8

9

10

11

12

13

14

1

1

1

1

1

5

6

7

8

9

2 0

2 1

2 2

2 3

2 4

2 5

2 6

2 7

2 8

TRUST

JPALT 2006-5

JPMorgan Investment Bank, JPMMAC 2005-FLDl

Structured Asset Investment Loan Trust, 2006-BNC3

Structures Asset Securities Corporation Trust 2005-WF3

First Franklin Mortgage Loan Trust 2006-FF12

SG Mortgage Securities Asset Backed Certificates, Series 2006-FRE2

Structured Investment Loan Trust 2006-BNC2

Structured Asset Securities Corporation Structured Asset Investment Loan Trust

Mortgage Pass-Through Certificates, Series 2005-HEl

DoeS

MASTR Asset Backed Securities Trust 2006-HE5


NUMBER

12806 West Oxnard Street, Los Angeles, California 91606 2341006014 ("12806 West Oxnard Street")

531 West 48th Street, Los Angeles, California 9003 7 5018027005




19525 West Bassett Street, Los Angeles, California 91335 2130009021 (" 19525 West Bassett Street")

716 South Bonnie Brae, Los Angeles, California 90057 5142006002

("716 South Bonnie Brae")

1653 South 5th Avenue, Los Angeles, California 90019 5072020010

("1653 South 5th Avenue")

517 West 79th Street, Los Angeles, California 90003 · 6020016015


14646 Erwin Street, Van Nuys, California 91411 2241014010

(" 14646 Erwin Street")

10334 South Juniper Street, Los Angeles, California 90002 6066018011 ("10334 South Juniper Street")

2606 North Vallejo Street, Los Angeles, California 90031 5204009003 ("2606 North Vallejo Street")

6

COMPLAINT

1

2

3

4

5

6

7

8

9

10

11

12

13

14

15

16

17

18

19

20

21

22

23

24

25

26

27

28

TRUST

Structured Asset Securities Corporation Mortgage Pass-Through Certificates 2006-

EQI

Structured Assets Mortgage Investments II Inc., Bear Stearns ALT-A Trust Mortgage Pass Through Certificates, Series 2006-3P

Bear Stearns Asset Backed Securities I Trust 2006-IMI

C-Bass Mortgage Loan Asset Backed Certificates, Series 2006-CB4

Lehman Brothers Structured Asset Investment Loan Trust SAIL 2006-BNC2

BNC Mortgage Loan Trust 2006-2

Doe6

Citigroup Mortgage Loan Trust, Asset Backed Pass-Through Certificates, Series

2006-AMCI

Structured Asset Investment Loan Trust 2005-8

Lehman Brothers Securitization Name-Structured Asset Investment Loan Trust


NUMBER

221 South Reno Street, Los Angeles, California 90057 5155006004

(''221 South Reno Street")

401 East 83rd Street, Los Angeles, California 90003 6030030001


1422 South Carmona Avenue, Los Angeles, California 90019 5069029007

("1422 South Carmona Avenue")

2834 West Martin Luther King Jr. Boulevard,

5023003011 Los Angeles, California 90008 ("2834 West MLK Boulevard")

8047 North Louise Avenue, Los Angeles, California 91325 2201019009 ("8027 North Louise Avenue")

10424 Lou Dillon Avenue, Los Angeles, California 90002 6066012063 ("10424 Lou Dillon Avenue")

3606 South Trinity Street, Los Angeles, California 900 II 5121014019 ("3606 South Trinity Street")

5700 South 3rd Avenue, Los Angeles, California 90043 5005001001

("5700 South 3rd Avenue")

3915 Walton Avenue, Los Angeles, California 90037 5037020033

("3915 Walton Avenue")

7819 South Hoover Street, · Los Angeles, California 90044 6020014018 ("7819 South Hoover Street")

7

COMPLAINT

1

2

3

4

5

6

7

8

9

10

11

12

13

14

1 5

1 6

1 7

1 8

1 9

2 0

2 1

2 2

2 3

2 4

2 5

2 6

2 7

2 8

TRUST

Citigroup Mortgage Loan Trust Inc., Asset Backed Pass Through Certificates, Series

2007-AHL2

Structured Asset Investment Loans Trust 2005-9

MASTR Asset Backed Securities Trust 2007-HE!

Structured Investment Loan Trust, 2006-2

CSAB Mortgage Backed Pass-Through Certificates, Series 2006-3

MASTR Asset Backed Security Trust 2006-HE5

Structured Asset Investment Loan Trust, 2005-HE3


Structured Asset Investment Loan Trust 2006-BNC2

First Franklin Financial Loan Trust, Mortgage Pass-Through Certificates, Series 2006cFF2


NUMBER

236 South Columbia Avenue, Los Angeles, California 90026 5153016002

("236 South Columbia Avenue")

901 West 81st Street, Los Angeles, California 90044 6032004030

("901 West 81st Streef')

4313 South Crocker Street, Los Angeles, California 900 II 5113009023 ("43 13 South Crocker Street")

6300 East Monterey Road, Los Angeles, California 90042 53!2028025 ("6300 East Monterey Road")

6321 South Hoover Street, Los Angeles, California 90044 6004018021 ("6321 South Hoover Street")

621 East 83rd Street, Los Angeles, California 9000 I 6029016008


8116 North Laramie Avenue, Los Angeles, California 91306 2107016088

("8116 North Laramie Avenue")

6061 4th Avenue, Los Angeles, California 90043 4007005033

("6061 4th Avenue")

8312 South San Pedro Street, Los Angeles, California 90003 6030023004

("8312 South San Pedro Street")

13521 North Norris Avenue, Los Angeles, California 91342 2501024018 ("13521 North Norris Avenue")

8

COMPLAINT

1

2

3

4

5

6

7

8

9

10

11

12

13

14

15

16

17

18

19

20

21

22

23

24

25

26

27

28

TRUST

Lehman Brothers Structured Asset Investment Loan Trust SAIL 2006-3

Asset Backed Securities Corporation Home Equity Loan Trust, Series AMQ 2006-HE7

Citigroup Mortgage Loan Trust 2007-AMC2

JPMAC 2006-H3

Citi Mortgage Loan Trust Inc. for Asset Backed Pass-Through Certificates, Series

2006-WMC1

Lehman Brothers Structured Asset Investment Loan Trust SAIL 2005-6

Lehman Brothers Structured Asset Securities Corporation SASCO 2006-BC6

JP Morgan Alternative Loan Trust 2006-A6

CMLIT 2007-AR8

Asset Backed Pass-Through Certificates, Series RFC 2007-HEI


NUMBER

419 West 103rd Street, Los Angeles, California 90003 6054035016

("419 West 103rd Street")



219 North Grand Avenue, Los Angeles, California 90731 7448031012 ("219 North Grand Avenue")


("83 5 East I 09th Street")



145 South Dacotah Street, Los Angeles, California 90063 5179003024 (" 14 5 South Dacotah Street")

1917 West 73rd Street, Los Angeles, California 90047 6017002025

("1917 West 73rd Street")

18309 West Keswick Street, Los Angeles, California 91335 2102021043 ("18309 West Keswick Street")

8953 Cayuga Avenue, Los Angeles, California 91352 2631019041

("8953 Cayuga Avenue")

13240 West Aztec Street, Los Angeles, California 91342 2511026010 ("13240 West Aztec Street")

9

COMPLAINT

1

2

3

4

5

6

7

8

9

10

1

1

1

1

1

1

1

1

1

2

2

1

2

3

4

5

6

7

8

9

0

1

2 2

2 3

2 4

2 5

2 6

2 7

2 8

TRUST

JPMorgan Acquisition Corporation 2005-FREI

LXS 2007-4N Trust Fund

Specialty Underwriting and Residential Finance Trust Mortgage Loan Asset Backed

Certificates, Series 2007-BCI

Lehman Brothers Structured Asset Securities Corporation SASCO 2007-BNCI

Structured Asset Securities Corporation Trust 2007-EQI

C-Bass Mortgage Loan Asset Backed Certificates, Series 2007-CB5

MASTR Adjustable Rate Mortgages Trust 2007-2

MASTR Adjustable Rate Mortgages Trust 2007-HF2

Structured Asset Securities Corporation Trust 2007-GEL2

MASTR Asset Backed Securities, Trust 2006-HE4

PROPERTY ADDRESS ASSESOR'S PARCEL NUMBER

3503 South Cimarron Street, Los Angeles, California 90018 5042031011

{"3503 South Cimarron Street")

2129 Scott Avenue, Los Angeles, California 90026 5424001025

("2129 Scott Avenue")

10526 Lou Dillon A venue, Los Angeles, California 90002 6066013021 ("10526 Lou Dillon Avenue")

2860 South Holt Avenue, Los Angeles, California 90064 4312003014 ("2860 South Holt Avenue")

2518 East Chelsea Street, Los Angeles, California 90033 5202008020 ("2518 East Chelsea Street")

312 West Gage Avenue, Los Angeles, California 90003 6005002005

("312 West Gage Avenue")

5152 North Lindley Avenue, Los Angeles, California 91316 2181003011

("5152 North Lindley Avenue")

4915 South 2nd Avenue, Los Angeles, California 90043 5015039026

("4915 South 2nd Avenue")



1651 West Gage A venue, Los Angeles, California 90047 6002028003 ("1651 West Gage Avenue")

10

COMPLAINT

1.

2

3

4

5

6

7

8

9

10

11

12

13

14

15

16

17

18

19

20

21

22

23

24

25

26

27

28

TRUST

Structured Asset Securities Corporation Mortgage Pass-Tirrough Certificates, Series

2006-BC5

Adjustable Rate Mortgage Trust 2007-1

Adjustable Rate Mortgage Trust 2007-3

Asset Backed Securities Corporation Home Equity Loan Trust, Series MO 2006-HE6

Citigroup Mortgage Loan Trust Inc, Asset Backed Pass Tirrough Certificates, Series

2007-AMC4

Bane [sic] of America Funding Corporation Mortgage Pass-Tirrough Certificates, Series

2006-H

Bear Stearns ARM Trust, Mortgage Pass-Tirrough Certificates, Series 2005-1

Structured Asset Securities Corporation Mortgage Pass-Tirrough Certificates, Series

2006-BC4

Structured Asset Investment Loan Trust, 2006-3

Asset Backed Pass-Tirrough Certificates, Series 2006-WFHE3

ASSESOR'S PARCEL PROPERTY ADDRESS

NUMBER



12739 North Bradley Avenue, Los Angeles, California 91342 2506032022

("12739 North Bradley Avenue")

715 South Saint Louis Street, Los Angeles, California 90023 5183021009

("715 South Saint Louis Street")

3029 North Eva Terrace, Los Angeles, California 90031 5209002010

("3029 North Eva Terrace")

9200 North Haddon Avenue, Los Angeles, California 91352 2629033021

("9200 North Haddon Avenue")

2803 South Victoria Avenue, Los Angeles, California 90016 5050016016

("2803 South Victoria Avenue")

6118 West Horner Street, Los Angeles, California 90035 5068006004 ("6118 West Horner Street")



527 South Bernal Avenue, Los Angeles, California 90023 5186007053 ("527 South Bernal Avenue")

8822 Reading A venue, Los Angeles, California 90045 4125017012

("8822 Reading Avenue")

11

COMPLAINT

1

2

3

4

5

6

7

8

9

10

1 1

12

1 3

1 4

1 5

1 6

1 7

1 8

1 9

2 0

2 1

2 2

2 3

2 4

2 5

2 6

2 7

2 8

TRUST

Terwin Mortgage Trust 2006-3, Asset Backed Certificates, Series 2006-3


Citigroup Mortgage Loan Trust Inc., Asset Backed Pass-Tirrough Certificates, Series

2007-AMC4


Structured Asset Investment Loan Trust 2005-3

RAMP 2006-NC2

JP Morgan Acquisition Corporation 2005-FREI

First Franklin Mortgage Loan Trust 2006-FF14

MASTR Asset Securities Trust 2006-WMC3

W AMU Mortgage Pass-Tirrough Certificates fur WMALT 2007-0A2


NUMBER

4507 West Rosewood Avenue, Los Angeles, California 90004 5521020005

("4507 West Rosewood Avenue")

6742 North Beck Avenue, Los Angeles, California 91606 2320016004 ("6742 North Beck Avenue")

84 7 West 41st Drive, Los Angeles, California 90067 5019003007

("84 7 West 41st Drive")

11505 North Fellows Avenue, Los Angeles, California 91331 2533025010

("11505 North Fellows Avenue")



1512 East I 06th Street, Los Angeles, California 90002 6065015014


1261 North Island Avenue, Los Angeles, California 90744 7420011011 ("1261 North Island Avenue")

20552 West Acre Street, Los Angeles, California 91306 2780012002

("20552 West Acre Street")

2008 East Hollenbeck Drive, Los Angeles, California 90023 5183021001

("2008 East Hollenbeck Drive")

737 North Heliotrope Drive, Los Angeles, California 90029 5538016022 ("737 North Heliotrope Drive")

12

COMPLAINT

1

2

3

4

5

6

7

8

9

10

1 1

12

1

1

1

1

1

1

1

2

2

2

2

3

4

5

6

7

8

9

0

1

2

3

2 4

2 5

2 6

2 7

2 8

TRUST

BNC Mortgage Loao Trust 2006-2

MASTR Asset Backed Securities Trust 2007-WMCI

Structured Asset Securities Corporation Structured Asset Investment Loao Trust

Mortgage Pass-Through Certificates, Series 2005-11

Structured Asset Investment Loao Trust Mortgage Pass-Through Certificates, Series

2006-2

Structured Asset Investment Loao Trust, 2006-3

CSFB ARMT 2006-3

Structured Asset Investment Loao Trust, 2006-3

W AMU Mortgage Pass-Through Certificates for WMALT 2007-0A3

Citigroup Mortgage Loao Trust Inc., Mortgage Pass-Through Series 2007-ARZ

Doe?


NUMBER

525 West !lith Street, Los Angeles, California 90044 60750220!8

("525 West !lith Street")

3152 East Folsom Street, Los Angeles, California 90063 5178021025 ("3152 East Folsom Street")

8755 North Matilija Avenue, Los Angeles, California 91402 2637003022

("8755 North Matilija Avenue")



8144 North Lorna Verde Avenue, Los Angeles, California 91304 2109004007

("8144 North Lorna Verde Avenue")

5910 East Echo Street, Los Angeles, California 90042 5492016027

("5910 East Echo Street")

8923 South Menlo A venue, Los Angeles, California 90044 6038020040 ("8923 South Menlo A venue")



9809 West Melinda Drive, Los Angeles, California 90210 4385009017 ("9809 West Melinda Drive")



13

COMPLAINT

1

2

3

4

5

6

7

8

9

10

1 1

12

1

1

1

1

1

1

1

3

4

5

6

7

8

9

2 0

2 1

2 2

2 3

2 4

2 5

2 6

2 7

2 8

TRUST


BAFC2007-A

W AMU Mortgage Pass-Through Certificates for WMALT 2006-AR4


LXS 2006-1 ON Trust Fund

Bear Stearns ARM Trust Mortgage Pass-Through Certificates, Series 2005-2006

SARM2005-3

CML TI Asset Backed Pass-Through Certificates, Series 2007-AMC3

Lehman XS Trust Mortgage Pass-Through Certificates, Series 2005-9N



1768 South Hayworth Avenue, Los Angeles, California 90035 5066018017

("1768 South Hayworth Avenue")

514 West 62nd Street, Los Angeles, California 90044 6004022004

("514 West 62nd Street")







255 East 49th Street, Los Angeles, California 900 II 5109009036


7235 North Katherine Avenue, Los Angeles, California 91405 2217025005

("7235 North Katherine Avenue")

3732 South Ruthelen Street, Los Angeles, California 90018 5042016029 ("3732 South Ruthelen Street")

17000 West Cantara Street, Los Angeles, California 91406 2204031020 ("17000 West Cantara Street")



14

COMPLAINT

1

2

3

4

5

6

7

8

9

10

11

12

13

14

15

16

17

18

19

20

21

22

23

24

25

26

27

28

TRUST

C-Bass Mortgage Loan Asset Backed Certificates 2007-CB3

GSAA Home Equity Trust 2007-1

LXS 2007-7N

Home Equity Asset Trust 2005-9

LSX 2006-2N Trust Fund

First Franklin Mortgage Loan Trust, Mortgage Loan Asset Backed Certificates,

Series 2007 -I

Terwiu Mortgage Trust 2006-7, Asset Backed Certificates



Asset Backed Securities Corporation Home Equity Loan Trust, Series MO 2006-HE6


NUMBER

9120 South Vennont A venue, Los Angeles, California 90044 6039001022

("9120 South V ennont A venue")



4621 West Pickford Street, Los Angeles, California 900 19 5071023017 ("4621 West Pickford Street")

13147 North Gladstone Avenue, Los Angeles, California 91342 2512001028

("13147 North Gladstone Avenue")

3990 South Nonnandie Avenue, Los Angeles, California 90037 5037001013

("3990 South Nonnandie Avenue")

1254 West 40th Place, Los Angeles, California 90037 5020015014

(" 1254 West 40th Place")



1126 South Lake Street, Los Angeles, California 90006 5136018005

("1126 South Lake Street")

I 027 North Mark Street, Los Angeles, California 90033 5201018018

("1027 North Mark Street'')

3971 North Murietta Avenue, Los Angeles, California 91423 2272010043

("3971 North Murietta Avenue")

15

COMPLAINT

1

2

3

4

5

6

7

8

9

10

11

12

13

14

15

16

17

18

19

20

21

22

23

24

25

26

27

28

TRUST

MLMI Trust Series 2006-RM2

Citigroup Mortgage Loan Trust 2006-WFHE4


Asset Backed Funding Corporation Asset Backed Certificates, Series 2007-WMCI


2006-BC4

LXS2007-2N

LXS 2006-12N


SARM 2005-23

C-Bass Mortgage Loan Certificates 2006-CB5


NUMBER

786 East 41st Street, Los Angeles, California 90011 5115001027

("786 East 41st Street")

909 South Fedora Street, Los Angeles, California 90006 5094022030

("909 South Fedora Street")

1234 South Manhattan Place, Los Angeles, California 90019 5080005005

("1234 South Manhattan Place")

2132 West Fargo Street, Los Angeles, California 90039 5422020014

("2132 West Fargo Street")

2253 South Bronson Avenue, Los Angeles, California 90018 5060005024

("2253 South Bronson Avenue")

1618 East 27th Street, Los Angeles, California 900 II 5117004029


1720 South Union Avenue, Los Angeles, California 90015 5135025003 ("1720 South Union Avenue")



1385 West 22nd Street, Los Angeles, California 90007 5055018041

("1385 West 22nd Street")

5243 Blackwelder Street, Los Angeles, California 90016 5043015018 ("5243 Blackwelder Street")

16

COMPLAINT

1

2

3

4

5

6

7

8

9

10

11

12

13

14

1 5

1 6

1 7

1 8

1 9

2 0

2 1

2 2

2 3

2 4

2 5

2 6

2 7

2 8

TRUST

Bear Stearns Asset Backed Securities I Trust 2006-IM1

Mortgage Pass-Through Certificates, Series 2006-ARJ

Doe 8

Merrill Lynch Mortgage Investors Trust, Series 2010-NP1

JP Morgao Mortgage Acquisition Trust 2006-NC1

MARM2007-3

Credit Suisse First Boston CSFB 2005-2

Servertis Fund I Trust 2009-2 Certificates, Series 2009-2

MASTR Alternative Loao Trust 2003-7

Washington Mutual Mortgage Pass-Through Certificates WMALT Series 2006-AR9


NUMBER

1008 North Mark Street, Los Angeles, California 90033 5201017005

("1 008 North Mark Street")

16840 West McCorrilick Street, Los Angeles, California 91436 2259022014

("16840 West McCormick Street")

327 Y, West 70th Street, Los Angeles, California 90003 6012008028

("327 Y, West 70th Street")

23830 West Vaoowen Street, Los Angeles, California 91307 2034001004

("23830 West Vaoowen Street")

7035 North Claire Avenue, Los Angeles, California 91605 2129005018 ("7035 North Claire Avenue")

529 North Saint Louis Street, Los Angeles, California 9003 3 5175029009

("529 North Saint Louis Street")

7240 North Irondale Avenue, Los Angeles, California 91306 2113015031

("7240 North Irondale Avenue")

11515 North Balboa Boulevard, Los Angeles, CalifOrnia 91406 2607019037

("11515 North Balboa Boulevard")

1219 East 51st Street, Los Angeles, California 90011 5107028028

("1219 East 51st Street")

12983 West Montague Street, Los Angeles, California 91331 2626009014

("12983 West Montague Street")

17

COMPLAINT

1

2

3

4

5

6

7

8

9

10

11

12

13

14

15

16

17

18

19

20

21

22

23

24

25

26

27

28

TRUST

MARM2007-3


Structured Asset Investment Loan Trust 2006-BNC3

CSAB Mortgage-Backed Pass-Through Certificates, Series 2006-3


LXS 2007-!6N Trust Fund


BNC Mortgage Loan Trust 2007-1, Mortgage Pass-Through Certificates, Series 2007 -I

Bane [sic] of America Funding Corporation Mortgage Pass-Through Certificates, Series

2007-D

Structur.ed Asset Securities Corporation Mortgage Pass-Through Certificates, Series

2006-BC2


11536 West Cumpston Street, North Hollywood, California 91601 2350002030

("11536 West Cumpston Street")

12771 West Filmore Street, Pacoima, California 91331 2527030018

("12771 West Filmore Street")

13984 West Terra Bella Street, Los Angeles, California 91331 2642001005

("13984 West Terra Bella Street")

829 North Sycamore Avenue, Los Angeles, California 90038 5525005016

("829 North Sycamore Avenue")

1152 North Wilton Place, Los Angeles, California 90038 5536007029 ("1152 North Wilton Place")

2339 South Lucerne Avenue, Los Angeles, California 90016 5061024017

("2339 South Lucerne Avenue")



3986 South Denker Avenue, Los Angeles, California 90047 5036030004 ("3986 South Denker Avenue")



1190 Y, East 47th Street, Los Angeles, California 900 II 5107015001

(" 1190 Y, East 47th Street")

18

COMPLAINT

1

2

3

4

5

6

7

8

9

10

11

12

13

14

15

16

17

18

19

20

21

22

23

24

25

26

27

28

TRUST

MASTR Asset-Backed Securities Trust 2006-NC3 Mortgage Pass-Through Certificates,

Series 2006-NC3

Bear Steams Asset Backed. Securities, 2006-ACl

Credit Suisse First Boston ARMT 2005-5

Citigroup Mortgage Loan Trust Inc.

LXS 2006-1 ON Trust Fund

Citigroup Mortgage Trust Inc. Asset Backed Pass-Through Certificates, Series 2007-

AMCl

Credit Suisse First Boston Mortgage Securities Corp. Home Equity Pass-Through

Certificates, Series 2006-8

C-Bass Mortgage Loan Asset Backed Certificates, Series 2007-CBl

CBASS 2006-SCl

CSFB Home Equity Pass-Through Certificates, Series 2005-F!Xl


NUMBER

13483 West Brownell Street, Los Angeles, California 91340 2524015027

("13483 West Brownell Street")

.

213 North Windsor Boulevard, Los Angeles, California 90004 5515032008

("213 North Windsor Boulevard")



13720 North Gladstone Avenue, Los Angeles, California 91342 2503001038

("13720 North Gladstone Avenue")

1257 South Plymouth Boulevard, Los Angeles, California 90019 5082009025

("1257 South Plymouth Boulevard")

1525 East 0 Street, Los Angeles, California 907 44 7426021024

(" 1525 East 0 Street")


(" 1517 West 228th Street")



5630 South Broadway, Los Angeles, California 9003 7 5101028028

("5630 South Broadway")

4228 East Abner Street, Los Angeles, California 90032 5215001011

("4228 East Abner Street")

19

COMPLAINT

1

2

3

4

5

6

7

8

9

10

11

12

13

14

15

16

17

18

19

20

21

22

23

24

25

26

27

28

TRUST

C-Bass Mortgage Loan Asset Backed Certificates, Series 2007 -CB I

Credit Suisse First Boston Mortgage Securities Corp. Home Equity Pass-Through


Specialty Underwriting and Residential Finance Trust, Mortgage Loan Asset Backed

Certificates, Series 2006-BC4

MASTR Adjustable Rate Mortgages Trust, Series 2007 -I

CitiGroup Mortgage Loan Trust 2007-AMC2

BancCap Asset Securitization Issuance Corporation, Mortgage Loan Asset Backed


Citigroup Mortgage Loan Trust, 2005-HE3

WMALT 2007-0A5

Doe9

WaMu Mortgage Pass-Through Certificates, Series 2007-HY5


NUMBER

2326 North Alta Street, Los Angeles, California 90031 5208031011

(''2326 North Alta Street")

12731 West Rajah Street, Los Angeles, California 91342 2580009015 ("12731 West Rajah Street")

7650 North Oak Park Avenue, Los Angeles, California 9!406 2203010012

("7650 North Oak Park Avenue")

846 West Santa Cruz Street, Los Angeles, California 90731 7447011025 ("846 West Santa Cruz Street")



224 West 71 st Street, Los Angeles, California 90003 6012013039

("224 West 71 st Street")



1920 South Sherbourne Drive, Los Angeles, California 90034 4302025005

(" 1920 South Sherbourne Drive")

5753 Y, South 8th Avenue, Los Angeles, California 90043 5006016012 ("5753 Y, South 8th Avenue")

1412 South 4th A venue, Los Angeles, California 90019 5072026013


20

COMPLAINT

1

2

3

4

5

6

7

8

TRUST


RAMP 2006-EFC2

SAIL 2005-5

PROPERTY ADDRESS

326 West 13th Street, San Pedro, California 90731


9206 South Hoover Street, Los Angeles, California 90044 ("9206 South Hoover Street")

4110 Compton A venue, Los Angeles, California 90011

("4110 Compton Avenue")

ASSESOR'S PARCEL NUMBER

7456009014

6039014026

5116012036

9 ~--------------------~--------------------~----------~ 10

11 14. DEFENDANT U.S. Bank National Association, named in its individual capacity, is

personally liable for the unlawful practices committed in its capacity as trustee of the above-12

13 referenced trusts, through the acts and omissions of its officers, employees and agents, who

participated in, controlled, approved, aided, abetted, encouraged, facilitated, ratified, and otherwise 14

15 intentionally or negligently acted or failed to act with respect to the unlawful conduct described

herein. Accordingly, DEFENDANT U.S. Bank National Association is personally at fault with 16

respect to its obligations arising from ownership or control of each trust property identified above. 17

18

19

20

21

(Cal. Prob. Code, § 18001.)

c Doe Defendants

15. PLAINTIFF is ignorant of the true names and capacities of DEFENDANTS DOES 1

through 2500, inclusive, and therefore sues these DEFENDANTS by fictitious names. PLAINTIFF

will amend this Complaint under Code of Civil Procedure section 4 7 4 to insert the true names and 22

23

24

25

capacities of these DEFENDANTS, when ascertained.

LEGAL DUTIES AND RESPONSIBILITIES OF RESIDENTIAL PROPERTY OWNERS

16. An extensive regulatory framework of federal, state, county and municipal building,

fire, health, safety and housing laws govern the condition and operation of residential buildings in 26

27

28 21

COMPLAINT

1 the City. Owners who fail to comply with those laws may be cited by the relevant agencies, and, if

2 they fail to comply, may be subject to the imposition of civil sanctions and/or criminal prosecution.

3 17. DEFENDANT U.S. Bank National Association has acquired and held title to more

4 than 1,500 residential properties in the City during the four years preceding the filing of this

5 Complaint. DEFENDANT U.S. Bank National Association, as the owner of these properties,

6 assumes the same legal duties and responsibilities to maintain these properties as any other owner

7 A.

8

9

Legal Duties and Responsibilities Relating to Vacant Properties

I.

18.

California Public Nuisance Law

A nuisance is defined as including"[ a]nything which is ... offensive to the senses, or

10 an obstruction to the free use of property, so as to interfere with the comfortable enjoyment oflife or

11 property .... " (Civ. Code, § 3479.)

12 19. A public nuisance is "one which affects at the same time an entire community or

13 neighborhood, or any considerable number of persons, although the extent of the annoyance or

14 damage inflicted upon individuals may be unequal." (Civ. Code, § 3480.)

15 20. The concept of a nuisance per se arises when a legislative body with appropriate

16 jurisdiction, in the exercise of police power, expressly declares a particular object or substance,

17 activity, or circumstance, to be a nuisance. In California, city legislative bodies are empowered to

18 declare what constitutes a nuisance. (Gov. Code, § 38771.)

19 21. The City has declared any violation of any provision of the Los Angeles Municipal

20 Code ("LAMC") a public nuisance. (LAMC, § 11.00(1).)

21 22. Nuisances per se are so regarded because no proof is required, beyond the actual fact

22 of their existence, to establish the nuisance. Where the law expressly declares something a nuisance,

23 then no inquiry beyond its existence need be made and in this sense its mere existence is said to be a

24 nuisance per se. No ill effects need to be proved.

25 23. All parties to a nuisance per se, he who creates it and he who maintains it, are

26 responsible for its effect, without limitations of conditions or time.

27

28 22

COMPLAINT

1 24. As owner, DEFENDANT was required to maintain its properties free of any and all

2 nuisance conditions. DEFENDANT neglected this duty in violation of California public nuisance

3 law.

4 2. California Vacant Foreclosed Property Maintenance Law

5 25. The legal owner of a vacant residential property acquired through foreclosure is

6 required to maintain the property. (Civ. Code,§ 2929.3(a)(l).) A governmental entity may impose

7 a civil fine of up to $1,000 per day on the owner for failure to comply, but may not impose fines

8 under both this section and a local ordinance. (Civ. Code,§ 2929.3(e).) Failure to maintain means

9 failure to care for the exterior of the property, including, but not limited to: permitting excessive

10 foliage growth, failing to keep the property free of trespassers or squatters, failing to prevent

11 mosquito larvae from growing in standing water or other conditions that create a public nuisance.

12 · (Civ. Code, § 2929.3(b).)

13 26. As owner of vacant residential property acquired through foreclosure, DEFENDANT

14 US Bank National Association failed to maintain the exterior of vacant residential properties in

15 violation of California Civil Code§ 2929.3(a)(1).

16 3. The Los Angeles Vacant Building Ordinance

17 27. Unoccupied properties in the City are subject to the Los Angeles Vacant Building

18 Ordinance ("VBO"), which went into effect on September 30, 1999. (LAMC, § 98.0701 et seq.) A

19 "Vacant Structure" is defined by the VBO as any structure or building that is unoccupied, or

20 occupied by unauthorized persons, and is unsecured or barricaded. (LAMC, § 98.0702.)

21 28. It is unlawful for the owner of a Vacant Structure to fail to remove any waste,

22 rubbish, debris, flanunable, combustible, or hazardous materials from the interior of the vacant

23 structure. (LAMC, §§ 98.0706 (a) and 91.8904.1.)

24 29. As owner of a Vacant Structure, DEFENDANT U.S. Bank National Association

25 failed to remove any waste, rubbish, debris, flammable, combustible, or hazardous materials from

26 the interior of a Vacant Structure in violation of LAMC, §§98.0706 (a) and 91.8904.1.

27

28 23

COMPLAINT

I 30. It is unlawful for the owner of a Vacant Structure to fail to remove any waste,

2 rubbish, debris, excessive vegetation, inoperable vehicles, trailers, appliances, and any other similar

3 materials from the yards surrounding the Vacant Structure. (LAMC, §§ 98.0706 (b) and 91.8904.1.)


5 failed to remove waste; rubbish, debris, excessive vegetation, inoperable vehicles, trailers,

6 appliances, and any other similar materials from the yards surrounding the Vacant Structure in

7 violation ofLAMC, §§ 98.0706 (b) and 91.8904.1.

8 32. It is unlawful for the owner of a Vacant Structure to fail to lock, barricade or secure

9 all doors, windows, damaged walls, roofs, foundations and other openings of the Vacant Structure.

10 (LAMC, §§ (98.0706 (c) and 91.8904.1.)


12 failed to lock, barricade or secure all doors, windows, damaged walls, roofs, foundations and other

13 openings of a Vacant Structure in violation ofLAMC, §§ 98.0706 (c) and 91.8904.1.

14 34. It is unlawful for the owner of a Vacant Structure to fail to fence the entire lot

15 containing the Vacant Structure. (LAMC, §§ 98.0706 (c) and 91.8904.1.)

16 35. As owner of a vacant structure, DEFENDANT U.S. Bank National Association failed

17 to fence the entire lot containing a Vacant Structure in violation of LAMC, § § 98.0706 (c) and

18 91.8904.1.

19 36. The owner of a vacant lot that is open to unauthorized entry is required to secure all

20 openings by installing a ten-foot-high, chain-link fence complete with lockable gates. (LAMC, §

21 91.8904.1.)

22 37. As owner of a vacant lot, DEFENDANT U.S. Bank National Association failed to

23 secure all openings accessible for entry and/or failed to properly fence the property in violation of

24 LAMC, § 91.8904.1

25 38. The owner of a Vacant Structure must post the name, address and telephone number

26 of both the owner and any agent in control of the property on a Vacant Structure as well as a "No

27 Trespassing" sign. (LAMC, §§ 91.8904.1, 98.0706(e), and 98.0714.)

28 24

COMPLAINT

I 39. As owner of a Vacant Structure, DEFENDANT U.S. Bank National Association

2 failed to post a Vacant Structure as required in violation ofLAMC, §§ 91.8904.1, 98.0706 (e), and

3 98.0714.

4 40. The owner of a Vacant Structure must provide the Los Angeles Police Department

5 with written authorization to arrest trespassers on the property. (LAMC, §§ 41.24 and 98.0706 (f).)

6 41. As owner of a Vacant Structure, DEFENDANT US Bank National Association failed

7 to provide written authorization to arrest trespassers in violation ofLAMC, §§ 41.24 and 98.0706

8 (f).

9 42. An owner of a Vacant Structure with a swimming pool must fence the pool and

10 remove all water from it. (LAMC, § 91.8904.1.)

II 43. As owner of a Vacant Structure, DEFENDANT U.S. Bank National Association

12 failed to fence and remove all water from a swimming pool in violation ofLAMC, § 91.8904.1.

13 4. The Los Angeles Foreclosure Registry Ordinance

14 44. The Los Angeles Foreclosure Registry Ordinance ("FRO") went into effect on July 8,

15 20 I 0. The FRO establishes "an abandoned residential property registration program as a mechanism

16 to protect residential neighborhoods from becoming blighted through the lack of adequate

17 maintenance and security of abandoned properties as a result of the foreclosure crisis." (LAMC,

18 § 164.Ql.) The FRO requires that foreclosed properties within the City be registered with the Los

19 Angeles Housing Department. The registrant must provide the name, the street and/or office mailing

20 address, and a contact name and telephone number for the beneficiary and/or trustee and the local

21 property management company responsible for the security, maintenance and marketing of the

22 property. Said contact persons must be empowered to comply with code enforcement orders issued

23 by the City, provide a trespass authorization to law enforcement authorities if the property is vacant,

24 conduct timely inspections of the property, and accept rental payments from tenants if no

25 management company is otherwise employed for such purpose.

26 45. As owner, DEFENDANT U.S. Bank National Association failed to register its

27 properties with the Los Angeles Housing Department in violation ofLAMC, § 164.01.

28 25

COMPLAINT

1 B.

2

3

Legal Duties and Responsibilities Relating to Occupied Properties

1. The California Health and Safety Code

46. Section 17920.3 of the California Health and Safety Code designates a building as

4 substandard where any of the following conditions exist "to an extent that endangers life, limb,

5 health, property, safety or welfare of the public or the occupants":

6

7

8

9

10

11

12

13

14

15

16

17

18

19

20

21

22

23

24

25

26

27

28

A. Inadequate sanitation, which is defined to include, but is not limited to: Jack of hot

and cold running water in a dwelling unit (id., subd. (a)(5)), lack of adequate heating

(id., subd. (a)(6)), Jack of or improper operation of required ventilating equipment

(id., subd. (a)(7)), dampness of habitable rooms (id., subd. (a)(ll)), and general

dilapidation or improper maintenance (id., subd. (a)(l3)).

B. Structural hazards, which are defined to include, but are not limited to, members of

walls, partitions, or other vertical supports that split, lean, list, or buckle due to

defective material or deterioration. (ld., subd. (b)(4).)

C. Any nuisance. (Id., subd. (c).)

D. Plumbing that does not conform with all applicable Jaws in effect at the time of

installation, has not been maintained in good condition, or involves cross connections

or siphonage between fixtures. (I d., subd. (e).)

E. Faulty weather protection, including, but not limited to: deteriorated or ineffective

waterproofing of exterior walls, roof, foundations or floors, including broken

windows or doors (id., subd. (g)(2)), defective or Jack of weather protection for

exterior wall coverings, including Jack of paint or other approved protective covering

(id., subd. (g)(3)), and broken, rotted, split or buckled exterior wall coverings or roof

coverings (id., subd. (g)( 4)).

F. Accumulation of weeds, vegetation, junk, dead organic matter, debris, garbage, offal,

rodent harborages, stagnant water, combustible materials and similar materials or

conditions constituting fire, health, or safety hazards. (I d., subd. G).)

G. A building or portion thereof that is determined to be unsafe due to inadequate

26

COMPLAINT

1

2

3

4

5

6

7

8

9

10

11

12

13

14 47.

maintenance, in accordance with the latest edition of the Uniform Building Code.

(/d., subd. (k).)

H. A building or portions thereof not provided with the required adequate exit facilities,

except a building or portion thereof whose exit facilities conformed with all

applicable laws at the time of their construction and that have been adequately

maintained and increased in relation to any increase in occupant load, alteration, or

addition, or any change in occupancy. (/d., subd. (!).)

I. A building or portion thereof that lacks fire-resistive construction or fire

extinguishing systems or equipment required by state law, except a building or

portion thereof that conformed with all applicable laws at the time of its construction

and whose fire-resistive integrity and fire-extinguishing system or equipment have

been adequately maintained and improved in relation to any increase in occupant

load, alteration, or addition, or any change in occupancy. (/d., subd. (m).)

As owner DEFENDANT U.S. Bank National Association was required to eliminate

15 and remedy all substandard conditions at the residential properties it owned. DEFENDANT U.S.

16 Bank National Association neglected these duties and responsibilities, in violation of section

17 17920.3 of the California Health and Safety Code.

18 2. Statutory Warranty of Habitability

19 48. Owners and operators of residential properties have a statutory duty to ensure that

20 their buildings are in a condition fit for human occupation and "for repairing all subsequent

21 dilapidations of the building that render the building untenantable." (Civ. Code, § 1941.) Tenants

22 cannot waive these rights by agreement.

23 49. A dwelling is deemed "untenantable" if it substantially lacks any of the following:

24

25

26

27

28

A. Effective waterproofing and weather protection of roof and exterior walls, including

unbroken windows and doors;

B. Plumbing or gas facilities that conformed to applicable law in effect at the time of

installation and that have been maintained in good working order;

27

COMPLAINT

1

2

3

4

5

6

7

8

9

10

11

12

13

14

15

16

17

18

C. A water supply approved under applicable Jaw that is either under the control of the

tenant and capable of producing hot and cold running water, or a system that is under

the control of the landlord and which produces hot and cold running water connected

to a sewage disposal system approved under applicable law;

D. Heating facilities that conformed with applicable law at the time of installation and

that have been maintained in good working order;

E. Electrical lighting, with wiring and electrical equipment that conformed with

applicable law at the time of installation and that have been maintained in good

working order;

F. Building, grounds, and appurtenances at the time of the commencement of the lease

or rental agreement in every part maintained as clean, sanitary and free from all

accumulations of debris, filth, rubbish, garbage, rodents and vermin, and all areas

under control of the landlord kept in every part maintained as clean, sanitary and free

from all accumulations of debris, filth, rubbish, garbage, rodents and vermin;

G. An adequate number of appropriate receptacles for garbage and rubbish, in clean

condition and good repair at the time of the commencement of the lease or rental

agreement, with the landlord providing appropriate serviceable receptacles thereafter

and being responsible for the clean condition and good repair of those receptacles

19 under his or her control; and

20 H. Floors, stairways and railings maintained in good repair. (Civ. Code, § 1941.1.)

21 50. · A dwelling is also deemed untenantable if it is a residential unit that meets the

22 definition of a "substandard building" as set forth in California Health and Safety Code section

23 17920, or if it contains lead hazards .as set forth in California Health and Safety Code section

24 17920.10. (Civ. Code, § 1941.1.)

25 51. As owner, DEFENDANT U.S. Bank National Association was required to ensure

26 that its residential buildings were in a condition fit for human occupation and "for repairing all

27 subsequent dilapidations of the building that render the building untenantable." (Civ. Code,§ 1941

28 28

COMPLAINT

1 and Health & Saf. Code, § 17920.) DEFENDANT U.S. Bank National Association neglected these

2 duties and responsibilities, in violation of California Civil Code section 1941.

3 3. Common Law Warranty of Habitability

4 52. In addition to the statutory warranty of habitability, a warranty of habitability is

5 implied by law in every residential lease in California. An owner must maintain a dwelling in

6 substantial compliance with those applicable building and housing code standards that materially

7 affects a tenant's health and safety to meet the obligations under the common law implied warranty

8 ofhabitability.

9 53. As owner, DEFENDANT U.S. Bank National Association violated the implied

10 warranty ofhabitability.

11 54. Tenants are entitled to monetary damages for breach of the warranty of habitability.

12 Such damages are generally measured by the difference between the fair rental value of the premises

13 if they had been as warranted, and the fair rental value of the premises as they were during a tenant's

14 occupancy in the unsafe and unsanitary condition in which they were maintained.

15 55. As owner, DEFENDANT U.S. Bank National Association failed to provide tenants

16 with monetary damages for breach of the warranty of habitability, in violation of the common law

17 warranty of habitability.

18 4. The Covenant of Quiet Enjoyment

19 56. There is an implied covenant of quiet enjoyment in every lease in California,

20 requiring that the tenant shall not be disturbed in his or her possession by the landlord. (Civ. Code, §

21 1927.)

22 57. The implied covenant of quiet enjoyment has been expanded beyond the traditional

23 right of physical possession of the premises to a guarantee of the tenant's beneficial enjoyment of the

24 premises. A landlord is bound to refrain from any action which interrupts a tenant's beneficial

25 enjoyment of the rental property.

26 58. A constructive eviction occurs when the landlord, by act or omission, renders the

27 premises unfit for the purposes for which they were leased. Permitting untenantable conditions as

28 29

COMPLAINT

1 defined by Civil Code section 1941.1 to exist amounts to constructive eviction, which is a breach of

2 the tenant's right to quiet enjoyment.

3 59. Harassment of a tenant by a landlord with the intent of causing the tenant to vacate

4 the premises also amounts to constructive eviction and breach of the tenant's right to quiet

5 enjoyment.

6 60. As owner, DEFENDANT U.S. Bank National Association violated the covenant of

7 quiet enjoyment of its tenants by permitting untenantable conditions to exist at its residential

8 properties.

9 c. 10

11

Tenant Protections

I.

61.

Section 8 of the United States Housing Act

Section 8 of the United States Housing Act of 193 7 ("Section 8") (24 C.F .R. § 982.1

12 et seq.) is funded and overseen by the United States Department of Housing and Urban Development

13 ("HUD"). It authorizes the payment of rental housing assistance to private landlords on behalf of

14 extremely low and very low-income individuals, f3milies, senior citizens and persons with

15 disabilities. (42 U.S.C. § 1437f(o)(7).)

16 62. Section 8 operates through several programs, the largest of which is the Housing

17 Choice Voucher Program ("Voucher Program"). (42 U.S.C. § 1437 et seq.) Under the Voucher

18 Program, HUD pays rental subsidies to eligible families so that they can afford decent, safe and

19 sanitary housing. (24 C.P.R. § 982.1(a).)

20 63. The Housing Authority of the City of Los Angeles ("HACLA") is the municipal

21 agency responsible for the local administration of HUD programs. HAC LA first implemented the

22 Section 8 Program in 1975, providing rent subsidies in the form of housing assistance payments to

23 private landlords on behalf of eligible families.

24 64. Pursuant to HACLA requirements, ifthe tenant consents to the termination of the

25 lease and moves, the Housing Assistance Payments ("HAP") contract will be terminated. If the

26 owner intends to terminate the lease without the tenant's consent, however, then the tenant must be

27 evicted in accordance with state and local laws.

28 30

COMPLAINT

1 65. HAC LA also requires that the owner immediately provide HAC LA with a copy of all

2 eviction documents served on the tenant. HACLA will continue to make rental assistance payments

3 on behalf of the tenant until the HAP contract is terminated until which time, the tenant is required to

4 pay only the amount of rent determined by HACLA. (24 C.F.R. § 982.310.)

5 66. As owner participating in the Section 8 Program, DEFENDANT U.S. Bank National

6 Association failed to comply with HACLA's requirements and violated HACLA's Section 8

7 Program regulations by attempting to evict tenants in violation of state and local laws.

8 2. The Protecting Tenants at Foreclosure Act

9 67. The Federal Protecting Tenants at Foreclosure Act ("PTFA") went into effect on

10 May 20, 2009. The PTF A applies to foreclosure on any "federally related mortgage loan" and

11 protects tenants from eviction by an immediate successor in interest in a foreclosed property. Under

12 the PTF A, a landlord who has acquired a property through foreclosure may not evict tenants on the

13 basis of foreclosure alone. Tenants must be permitted to stay in the residence until the end of their

· 14 lease agreement, with two exceptions: when the property is sold after foreclosure and the purchaser

15 occupies the residence; or, whenever the tenant has no lease or the lease is terminable under state

16 law. Tenants may only be evicted where allowed by state, local, and federal law and must be

17 provided with at least 90 days' notice prior to eviction. (12 U.S.C. § 5220.)

18 68. DEFENDANT U.S. Bank National Association violated the PTFA by attempting to

19 evict tenants in violation of state and local laws and with less than 90 days' notice.

20 3. The Los Angeles Rent Stabilization Ordinance

21 69. Multi-unit residential properties in the City with an initial certificate of occupancy

22 issued prior to October 1, 1978, are subject to the Los Angeles Rent Stabilization Ordinance

23 ("RSO"). (LAMC, § 151.02.) The RSO limits the amount landlords may increase rent each year to

24 between three and five percent, depending on whether the landlord pays for utilities. (LAMC, §

25 151.06.)

26 70. Under the RSO, the rent for a rental unit may be increased without the permission of

27 the Rent Adjustment Commission if twelve months or more have elapsed since the last such rent

28 31

COMPLAINT

1 increase, and by no more than the allowable annual increase percentage. (LAMC, § 151.06, subd.

2 (D).)

3 71. Pursuant to the RSO, a landlord may not terminate or fail to renew a rental assistance

4 contract with HACLA and then demand that the tenant pay rent in excess of the tenant's portion of

5 the rent under the rental assistance contract. (LAMC, § 151.04.)

6 72. The RSO also restricts the grounds upon which tenants may be evicted. Under the

7 RSO, tenants may only be evicted: (A) for failure to pay rent; (B) for breach of the lease terms; (C)

8 for committing or permitting a nuisance; (D) for using the premises for an illegal purpose; (E) for

9 refusing to execute a written renewal or extension of an expired lease; (F) for refusing to grant

10 reasonable access to the unit for the purpose of making repairs or improvements; (G) for being a

11 subtenant not approved by the landlord; (H) if the landlord seeks to recover possession for the

12 landlord's personal use and occupancy; (I) for refusing to temporarily relocate or to honor a

13 permanent relocation agreement so that the landlord may undertake Primary Renovation Work; (J) if

14 the landlord seeks to demolish the unit or permanently remove it from rental housing use (as

15 required under the E!Iis Act, California Government Code, section 7060 et seq.); (K) if the landlord

16 seeks possession to comply with a governmental agency's order that requires the unit to be vacated;

17 or (L) if the unit is owned by HUD and it seeks to recover possession of the unit prior to selling it.

18 (LAMC, § 151.09.) Foreclosure is not among the lawful grounds for eviction.

19 73. As owner, DEFENDANT U.S. Bank National Association violated the RSO by

20 unlawfully increasing rents and unlawfully evicting tenants on grounds other than those enumerated

21 in the RSO.

22 4. The Los Angeles Foreclosure Eviction Ordinance

23 74. On December 23, 2008, the Los Angeles City Council enacted the Los Angeles

24 Foreclosure Eviction Ordinance ("FEO") "to prevent the displacement of tenants and the loss of

25 rental units in the City of Los Angeles due to the foreclosure of the property, and to prevent

26 homelessness and nuisances and blight caused by vacant foreclosed properties." (LAMC, § 49.90.)

27 The FEO applies to all properties located in the City, including those not regulated under the RSO.

28 32

COMPLAINT

1 75. The FEO provides that a landlord obtaining title to rental property through

2 foreclosure may evict tenants and take possession of the property only for one of the twelve reasons

3 specified in the RSO. It further provides that a landlord must comply with all of the provisions of

4 LAMC section 151.09, including, without limitation, the payment of relocation fees required

5 pursuant to the provisions ofLAMC section 151.09, subdivision (G). (LAMC, § 49.92.)

6 76. DEFENDANT U.S. Bank National Association violated the FEO by evicting tenants

7 on grounds other than those enumerated in the FEO based on foreclosure.

8 D. Other Municipal Laws

9 1. LAMC Zoning Code

10 77. , The Los Angeles Zoning Code regulates the uses of property within the City,

11 restricting the activities that may be conducted on residential property, including a prohibition on

12 conducting major automobile repair, the open storage of inoperable automobiles and the parking of

13 automobiles on front yards of residential properties. (LAMC, §§ 12.2l.A.8, subd. (a), 12.21, subd.

14 (A)(8)(b) and 12.21, subd. (C)(l)(g).)

15 78. As owner, DEFENDANT U.S. Bank National Association permitted the repair,

16 storage and parking of automobiles on the front yards of residential properties in violation of the Los

17 Angeles Zoning Code.

18 2. LAMC Building Code

19 79. Section 91.1000 of the LAMC adopts, by reference, Chapter 10 of the California

20 Building Code. Chapter 10 requires, among other things, that:

21 A. Exit doors must be readily openable without the use of a key or special knowledge or

22 effort. (Cal. Code Regs., tit. 24, § 1 008.1.9.)

23

24

25

26

27

28

B. Bars, grilles, grates or similar devices must not be placed over emergency escape and

rescue openings if the minimum net clear opening is less than five square feet and

such devices are not releasable without the use of a key, tool, special knowledge, or

effort or force greater than that which is required for normal operation of the escape

and rescue opening. (ld., § 1029.4.)

33

COMPLAINT

1 80. Section 91.900 of the LAMC adopts, by reference, Chapter 9 ofthe California

2 Building Code, regulating the design, installation and operation of fire protection systems. Chapter

3 9 requires, among other things, that:

4 A. Smoke alarms must be installed in residential buildings at all of the following

5 locations: on the ceiling or wall outside of each separate sleeping area in the

6 immediate vicinity of bedrooms, in each room used for sleeping purposes, and in each

7 story within a dwelling unit, including basements. (Cal. Code Regs., tit. 24, §

8 907.2.11.2.)

9 B. Smoke alarms must receive their primary power from the building wiring and must be

10 equipped with a battery backup, or be connected to an emergency electrical system.

11 Smoke alarms must emit a signal when the batteries are low, and their wiring must be

12

13 81.

permanent. (ld., § 907.2.11.4.)

Section 91.1200 of the LAMC adopts by reference Chapter 12 of the California

14 Building Code, which governs the ventilation of interior spaces of buildings. Chapter 12 requires,

15 among other things, that:

16 A. Buildings have natural or mechanical ventilation. (Cal. Code Regs., tit. 24 § 1203.1.)

17

18

19

20

21

22

23

24

25 82.

B. Natural ventilation of an occupied space may be through windows, doors, louvers, or

other openings to the outdoors, and the operating mechanism for such openings must

be readily accessible so that the openings are readily controllable by the building's

occupants. (ld., § 1203.4.)

C. The space between the bottom of floor joists and the earth under any building, except .

spaces occupied by basements or cellars, have ventilation openings through

foundation or exterior walls, and that these openings must be placed so as to provide

cross-ventilation of the under-floor space. (Id., § 1203.3.)

Section 91.3109 of the LAMC which adopts, by reference, California Building Code

26 § 3109.4.3 regulates the safety and maintenance of swimming pools requiring that swimming pool

27 enclosures be located so as to prohibit permanent structures, equipment, or similar objects from

28 34

COMPLAINT

1 being used to climb the barriers. Additionally, the recirculation and purification system of any

2 swimming pool, fish pond, or any other body of water that is required to be fenced must be operated

3 and maintained so as to keep the water of reasonable clarity. (LAMC, § 91.8118.)

4 83. Section 91.3401.2 of the LAMC requires that buildings shall be maintained in a safe

5 and sanitary condition, and specifies that the owner or the owner's designated agent shall be

6 responsible for such maintenance. (LAMC, § 91.3041.2.)

7 84. Section 91.8104 of the LAMC requires that every existing building be maintained in

8 safe and sanitary condition and good repair, and that the premises of every existing building be

9 maintained in good repair and free from graffiti, debris, rubbish, garbage, trash, overgrown

I 0 vegetation, or other similar material. The following maintenance is required in all existing

II buildings:

12

13

14

15

16

17

18

19

20

21

22

23

24

25

26

27

28

A. All physical elements must be cleaned, painted, stained, refinished, or restored to a

condition as close as reasonably feasible to their originally required and approved

state. (LAMC, § 91.8104.1.)

B. Interior and exterior wall surfaces must be maintained clean and free from

accumulation of debris, rubbish, garbage, trash, overgrown vegetation and other

similar material. (!d.,§ 91.8104.2.)

C. Roofs must be waterproof and all gutters must be maintained in working order. (!d.,

§ 91.8104.3.)

D. The walls and ceilings of every room must be finished, sealed, coated, painted or

covered, and loose wall paper or other surfacing must be removed so as to provide a

smooth, clean and sanitary surface. (!d.,§ 91.8104.4.)

E. Doors, windows, cabinets, frames and similar finishes must be finished, sealed,

coated, painted, or covered, broken or cracked glass or plastics must be replaced, and

tom, worn or broken screens must be repaired, replaced or removed. (!d., §

91.8104.5.1.)

35

COMPLAINT

1

2

3

4

5

6

7

8

9

10

11

12

13

14

15

16

17

18

19

20

21

22

23

24

25

26

27

28

F. Legally required insect screens must not be removed other than for repair or

replacement. (!d.,§ 91.8104.5.2.)

G. Floors and floor covering must be maintained free from defects, holes, loose, worn or

missing portions that could present a safety hazard to occupants. (!d.,§ 91.8104.6.)

H. Plumbing fixtures, shower enclosures, wastewater drain lines, water supply lines,

counters, drain boards and adjoining wall and floor areas provided to protect against

water damage must be kept free of cracks, chips, defects, missing portions, dirt or

foreign materials. Leaking drain or supply lines and cracked, chipped, or damaged

fixtures must be repaired or replaced. (!d.,§ 91.8104.7.)

I. Broken, loose, frayed, inoperative portions of electric service, lines, switches, outlets,

fixtures and fixture coverings must be repaired or replaced, and fixtures, fixture

coverings, switches and outlets must be kept free of dirt or foreign materials. (!d., §

9.8104.8.1.)

J. Flexible cords and cables (extension cords) may not be used as a substitute for fixed

wiring. (!d.,§ 91.8104.8.2.)

K. Plumbing and waste drain lines must be kept clear of blockages that would cause any

fixture to overflow. (!d.,§ 91.8104.9.)

L. Water supply lines to kitchen and bathroom fixtures must provide at least one gallon

per minute of water flow, of at least 100 degrees Fahrenheit (id., §91.8104.10.1), hot

water must be provided to each residential kitchen and bathroom fixture at all times

(id., § 91.8104.10.2), and no time clock or other device may be installed to prevent

the supply ofrequired hot water at any time. (!d.,§ 91.8104.10.3.)

M. Heating units must be operable and in good repair. (!d.,§ 91.8104.11.)

N. Exterior wall surfaces must be weather tight. (!d.,§ 9.8104.12.)

0. Fences must be straight, uniform and structurally sound, and wooden fences must be

painted or sealed to prevent their becoming a nuisance from weathering or

deterioration (id., § 91.8104.13.); and,

36

COMPLAINT

1

2

3 85.

P. Exterior walls and fences must be kept free of graffiti visible from a public street or

alley (id., § 91.8104.15).

As owner, DEFENDANT U.S. Bank National Association failed to maintain these

4 minimum requirements and failed to abate nuisance, hazardous or substandard residential conditions

5 at its residential properties, in violation of the California Building Code and the LAM C.

6 3. LAMC Electrical Code

7 86. The Los Angeles Electrical Code provides minimum standards for electrical

8 installations in the City to reduce fire hazards from electrical causes. (LAMC, § 93.0102.)

9 87. The installation, operation and/or maintenance of electrical systems or equipment that

10 do not comply with all applicable provisions of the Electrical Code is prohibited. (LAMC, §

11 93.0104.) Any person who installs, alters, repairs, uses or maintains electric wiring shall be

12 responsible for compliance with the Electrical Code. (/d., § 93.0314.) Abandoned wiring is

13 prohibited and the conductors of abandoned or discontinued circuits must be removed from the

14 raceways, or be insulated and maintained in wiring enclosures as if in use. (/d., § 93.0312.)

15 88. As owner, DEFENDANT U.S. Bank National Association failed to maintain

16 electrical systems and equipment to minimum standards to reduce fire hazards in violation of the Los

17 Angeles Electrical Code and LAMC § 93.0104.

18 4. LAMC Plumbing Code

19 89. Section 94.300.0 of the LAMC adopts, by reference, Chapter 3 of the California

20 Plumbing Code, which requires that:

21

22

23

24

25

26

27

28

A. All pipes, pipe fittings, traps, fixtures, material and devices used in a plumbing

system shall be free from defects and submitted to the authority having jurisdiction

for approval. (California Plumbing Code,§ 301.1.1.)

B. Vent pipes may not be used as waste pipes, nor vice-versa, and single-stack drainage

and venting systems with unvented branch lines are prohibited. (/d., § 311.4.)

C .. Sewage, human excrement, and other liquid wastes must be disposed of by means of

an approved drainage system. (/d., § 303.0.)

37

COMPLAINT

1 90. Section 94.500 ofthe LAMC adopts, by reference, Chapter 5 of the California

2 Plumbing Code, which governs the construction, location and installation of water heaters.

3 (California Plumbing Code, § 501.0.) Chapter 5 requires that water heaters must be anchored or

4 strapped to resist horizontal displacement due to earthquakes and, if operated by gas, must be

5 connected to venting systems. (ld., §§ 508.2 and 510.2.1.)

6 91. As owner, DEFENDANT U.S. Bank National Association failed to maintain the

7 plumbing in its residential buildings free from defects, in violation of the California Plumbing Code

8 and the LAMC.

9 5. Mechanical Code

10 92. Section 95.104 of the LAMC adopts, by reference, the California Mechanical Code

11 § 104.4. The purpose of the Mechanical Code is to safeguard life, health, property and public

12 welfare by regulating the design, construction, installation, alteration, repair, quality of materials,

13 location, operation and maintenance of heating, ventilating, air-conditioning and refrigeration

14 equipment and other miscellaneous heat-producing appliances installed in buildings located within

15 the City. (LAMC, § 95.1 02.) Generally, mechanical systems, materials and appurtenances must be

16 maintained in safe, proper and hazard-free condition, and the owner or owner's designated agent is

17 responsible for such maintenance.

18 93. As owner, DEFENDANT U.S. Bank National Association failed to maintain

19 mechanical systems at its properties in safe, proper and hazard-free condition, in violation of the

20 California Mechanical Code and the LAMC.

21 E. County Property Tax Laws

22 94. All real property is taxable. (Cal. Const., art. XIII, § 1.) Annual taxes on real

23 property are payable in two installments to the County, with the first half due November 1st of each

24 year. (Rev. & Tax. Code, § 2605.) The second half of real property taxes are due February 1st of

25 each year, and, if unpaid, are subject to a delinquent penalty often percent attaching to them

26 beginning April lOth. (Id., §§ 2606 and 2618.)

27

28 38

COMPLAINT

1 95. As owner, DEFENDANT U.S. Bank National Association failed to timely pay

2 required annual property taxes to the County of Los Angeles in violation of the California

3 Constitution and the California Revenue and Taxation Code.

4 DEFENDANT'S LIABILITY

5 A.

6

DEFENDANT's Unlawful and Unfair Business Practices

96. Over the past four years, DEFENDANT U.S. Bank National Association in its

7 individual and representative capacities was repeatedly notified of the unlawful conditions existing

8 at properties it acquired and owned across the country. Community groups and city governments in

9 several jurisdictions contacted DEFENDANT U.S. Bank National Association in its corporate and

10 representative capacities, with the goal of getting DEFENDANT U.S. Bank National Association to

11 improve conditions at its neglected properties. LAHD and the Los Angeles Department of Building

12 and Safety ("LADBS") have repeatedly advised DEFENDANT U.S. Bank National Association of

13 the unlawful conditions existing at the Foreclosed Properties, to no avail.

14 97. Despite repeated notifications, DEFENDANT U.S. Bank National Association has

15 failed and continues to fail to abate or ensure the abatement of the unlawful conditions at its

16 Foreclosed Properties.

17 98. The DEFENDANT U.S. Bank National Association's policy of inaction, combined

18 with the geographic concentration of its foreclosed properties in already economically disadvantaged

19 neighborhoods within the City, have resulted in decreased property values on such a large scale that

20 neighborhoods have been destabilized and communities harmed.

21 B. DEFENDANT's Unlawful Practices

22 99. The following chart details one hundred fifty eight (158) examples of Foreclosed

23 Properties where DEFENDANT U.S. Bank National Association caused or permitted unlawful

24 conditions to exist, was issued notices ordering that the violations be remedied, and failed to timely

25 remedy the cited violations.

26 100. A number of the abandoned Foreclosed Properties open to unauthorized entry,

27 provided as examples below, were boarded, fenced, cleaned and/or had graffiti removed by City

28 39

COMPLAINT

1

2

3

4

5

6

7

8

9

10

11

12

13

14

15

16

17

18

19

20

21

22

23

24

25

26

27

28

contractors due to the hazardous nature of the nuisance conditions present and DEFENDANT U.S.

Bank National Association's failure to abate the violations.

PROPERTY PERIOD OF UNLAWFUL CONDITIONS

DEFENDANT ADDRESS OWNERSHIP MAINTAINED BY DEFENDANT

U.S. Bank as trustee for In or around January 2007 Substandard conditions including,

Structured Asset Investment 1562 West 226th

through in or about among others, (A) damp room

Loan Trust (series unidentified) Street January 2009. conditions and (B) the presence

of mold.

U.S. Bank as trustee for Substandard conditions including, Structured Asset Securities 925 North Virgil

In or around April 2007 among others, the unapproved Corporation Mortgage Pass- Avenue

through in or about use of the building or structure Through Certificates, Series January 2009. without a valid Certificate of

2006-BC2 Occupancy.

U.S. Bank as trustee for LXS 643 North Rossmore In or around May 2007 Abandoned structure open to

2005-0SN Avenue through in or about June unauthorized entry and other

2009. substandard conditions.

Substandard conditions including,

U.S. Bank as trustee for In or around May 2007 among others, (A) unsafe and

MASTR Asset Backed 1008 East 41st Place through in or about unsanitary deteriorated floor

Securities Trust 2006-WMC2 August 2009. covering and (B) defective and damaged leaking faucets and

valves. Substandard conditions including,

U.S. Bank as trustee for In or around June 2007 among others, (A) lack of

Harborview 2006-4 1341 West 51st Place through in or about required maintenance to building,

December 2009. structure, and premises and (B) lack of required stairway railing.

In or around July 2007 Substandard conditions including, U.S. Bank as trustee for Doe I, 1547 West lith

through in or about May among others, (A) lack of hot Series 2006-HEI Street 2009. water and (B) unsafe, unsanitary

and deteriorated flooring.

U.S. Bank as trustee for In or around July 2007 Abandoned structure open to Structured Asset Investment 148 East 79th Street through in or about June unauthorized entry and other

Loan Trust, 2006-BNCI 2009. substandard conditions.


In or around August 2007 among others, (A) lack of

U.S. Bank as trustee for Doe 2 3573 West Florence

through in or about required weatherproofmg of Avenue exposed surfaces; and (B)

February 2010. missing front cover at electrical

panel.

I 0972 South Hickory In or around August 2007 Abandoned structure open to

U.S. Bank as trustee for Doe 3 Street

through in or about unauthorized entry and other January 2009. substandard conditions.

40

COMPLAINT

1 PROPERTY PERIOD OF

UNLAWFUL CONDITIONS DEFENDANT

ADDRESS OWNERSHIP MAINTAINED BY

DEFENDANT 2

U.S. Bank as trustee for C- In or around September Substandard conditions including,

BASS Mortgage Loan Asset 237 East I 03rd Street 2007 through in or about

among others, (A) damp room Backed Certificates, Series February 2009.

conditions and (B) defective and 2006-CB8 deteriorated wall covering.

3

4

5

U.S. Bank as trustee for LXS 4502 West Olympic In or around September Abandoned structure open to

2005-?N Boulevard 2007 through in or about unauthorized entry and other

October 2009. substandard conditions.

6

7 Abandoned structure with

substandard conditions including, 8

9210 South Figueroa In or around September among others, (A) excessive and

U.S. Bank as trustee for Doe 4 2007 through in or about overgrown vegetation on the Street

February 2009. premises and (B) unsanitary accumulation of rubbish, trash

9

10 and debris.

11 U.S. Bank as trustee for In or around November Abandoned structure open to

12 MASTR Asset Backed 5709 Hooper Avenue 2007 through in or about unauthorized entry and other Securities Trust 2006-N C2 September 2009. substandard conditions.

13 U.S. Bank as trustee for

Structured Asset Securities 9308 South Main

In or around December Abandoned structure open to Corporation Mortgage Pass-

Street 2007 through in or about unauthorized entry and other

Through Certificates, Series July 2008. substandard conditions. 2006-BC4

14

15

U.S. Bank as trustee for Substandard conditions including,

Structured Asset Securities In or around December Corporation Mortgage Pass-

12745 North De 2007 through in or about

among others, lack of require

Through Certificates, 2006-Santis A venue

April2009. maintenance to building, structure

EQI and premises.

U.S. Bank as trustee for Bear In or around December Substandard conditions including,

Stearns Asset Backed Securities 7002 Hazeltine I LLC, Asset Backed Securities, Avenue

2007 through in or about among others, (A) lack of hot

Series 2005-AC9 April2009. water and (B) leaking water.

16

17

18

19

20

U.S. Bank as trustee for In or around December Substandard conditions including,

MASTR Asset Backed 15430 West

2007 through in or about among others, (A) illegal

Securities Trust 2006-N C3 Parthenia Street

September 2009. occupancy and (B) unpermitted

construction.

21

22

U.S. Bank as trustee for CSAB In or around January 2008 Substandard conditions including,

Mortgage Backed Pass-Through 223 West 90th Street through in or about July among others, (A) defective

foundation vent screening and (B) Certificates, 2006-2 2009.

damaged deck surface material.

23

24

U.S. Bank as trustee for In or around February Substandard conditions including,

MASTR Asset Securities Trust 1408 South

2008 through in or about among others, (A) exposed

2007-HEI Burlington Avenue

June 2010. wiring and (B) defective, unsafe

and inoperative plumbing system.

25

26

27

28 41

COMPLAINT

1

2

3

4

5

6

7

8

9

10

11

12

13

14

15

16

17

18

19

20

21

22

23

24

25

26

27

28

DEFENDANT

U.S. Bank as trustee for Citigroup Mortgage Loan Trust,

Inc., Mortgage Pass-Through Certificates, Series 2007-AR2

U.S. Bank as trustee for Harborview 2006-4 Trust Fund

U.S. Bank as trustee for JPALT 2006-5

U.S. Bank as trustee for JPMorgan Investment Bank,

JPMMAC 2005-FLDI

U.S. Bank as trustee for Structured Asset Investment

Loan Trust, 2006-BNC3

U.S. Bank as trustee for Structured Asset Securities

Corporation Trust 2005-WF3

U.S. Bank as trustee for First Franklin Mortgage Loan Trust

2006-FF12

U.S. Bank as trustee for Structured Investment Loan

Trust 2006-BNC2

U.S. Bank as trustee for SG Mortgage Securities Asset Backed Certificates, Series

2006-FRE2

PROPERTY PERIOD OF ADDRESS OWNERSHIP

In or around February 5955 North Corbin

2008 through in or about Avenue

March2009.

In or around February 602 North Wilton

2008 through in or about Place

April2010.

In or around February 12806 West Oxnard

2008 through in or about Street

January 201 t.

In or around March 2008 531 West 48th Street through in or about

February 2009.

In or around March 2008 732 West 97th Street through in or about

November 2009.

19525 West Bassett In or around March 2008

Street through in or about

December 2008.

716 South Bonnie In or around March 2008

Brae through in or about

September 2009

In or around Apri12008 517 West 79th Street through in or around April

2011.

1653 South 5th In or around April2008

Avenue through in or about September 2009.

42

COMPLAINT

UNLAWFUL CONDITIONS MAINTAINED BY

DEFENDANT

Abandoned structure open to unauthorized entry and other

substandard conditions.

Substandard conditions including, among others, (A) unapproved

security bars obstructing emergency egress and (B) lack of required water heater strapping

and anchorage.

Substandard conditions including, among others, (A) unapproved

exit door latch and (B) unapproved unit.

Substandard conditions including, among others, (A) damp room

condition and (B) buckled, split, decayed exterior walls.

Abandoned structure open to unauthorized entry and other

substandard conditions.

Abandoned structure with substandard conditions including, among others, (A) excessive and

overgrown vegetation on the premises and (B) rubbish,

garbage, trash and debris on the premises.

Substandard conditions including, among others, (A) unpermitted

electrical work and (B) deteriorated and falling, water

damaged ceiling plaster.

Substandard conditions including, among others, (A) exposed wiring and (B) damp room

conditions.

Substandard conditions including. among others, (A) chipped and

damaged plumbing fixture surface and (B) unapproved

heating system.




DEFENDANT 2

3 U.S. Bank as trustee for Structured Asset Securities Substandard condiiions including,

Corporation Structured Asset 14646 Erwin Street

In or around April 2008 among others, (A) unpermitted Investment Loan Trust ihrough ihe present. plumbing work and (B)

Mortgage Pass-Through unapproved unit.

4

5 Certificates, Series 2005-HE I

6 Substandard conditions including, U.S. Bank as trustee for

2606 North Vallejo In or around April 2008 among oihers, (A) unapproved

MASTR Asset Backed Street through ihe present.

gas appliance venting system and Securities Trust 2006-HE5 (B) defective, missing and

7

8 inoperable smoke detector. U.S. Bank as trustee for

Structured Assets Mortgage In or around April 2008

Substandard conditions including, Investments II Inc., Bear

401 East 83rd Street ihrough in or about June among oihers, (A) unapproved

Stearns ALT-A Trust Mortgage 2009.

exit door latch and (B) defective Pass-Through Certificates, and deteriorated wall covering.

9

10

11 Series 2006-3P

U.S. Bank as trustee for Bear 1422 Souih Carmona

In or around April 2008 Substandard conditions including, Stearns Asset Backed Securities Avenue ihrough in or about among oihers, unpermitted

I Trust 2006-IM I October 2009. construction.

12

13

U.S. Bank as trustee for BNC l 0424 Lou Dillon In or around April 2008 Abandoned structure open to

Mortgage Loan Trust 2006-2 Avenue ihrough in or about unauihorized entry and oiher October 2009. substandard conditions.

14

15

U.S. Bank as trustee for In or around April 2008 Abandoned structure open to

Lehman Brothers Structured 8047 North Louise Asset Investment Loan Trust Avenue ihrough in or about unauihorized entry and oiher

SAIL 2006-BNC2 February 2009. substandard conditions.

16

17


Citigroup Mortgage Loan Trust, 5700 Souih 3rd In or around May 2008 among oihers, (A) sewage

Asset Backed Pass-Through Avenue ihrough in or about leaking into unit and (B)

Certificates, Series 2006-AMCI January 2010. defective, missing, and

inoperative smoke detectors.

18

19

20

U.S. Bank as trustee for In or around May 2008 Substandard conditions including,

Structured Asset Investment 901 West 81st Street ihrough in or about July among oihers, (A) open waste

Loans Trust 2005-9 2009. line and (B) missing and broken

water shut-off valve handles.

21

22


Citigroup Mortgage Loan Trust In or around May 2008 among oihers, (A) defective

Inc., Asset Backed Pass-236 South Columbia

ihrough in or about April plumbing trap, trap arm, and

Through Certificates, Series Avenue

2011. tailpiece and (B) broken,

deteriorated and missing window 2007-AHL2

glass.

23

24

25

26

27

28 43

.

COMPLAINT

1 PROPERTY PERIOD OF UNLAWFUL CONDITIONS


2

3 Substandard conditions including, U.S. Bank as trustee for

4313 South Crocker In or around June 2008 among others, (A) maintaining a MASTR Asset Backed

Street through the present. nuisance condition and (B) lack Securities Trust 2007-HEI of required maintenance of

building, structure, and premises.

4

5

U.S. Bank as trustee for 6300 East Monterey

In or around June 2008 Abandoned structure open to Structured Investment Loan

Road through in or about June unauthorized entry and other

Trust, 2006-2 2009. substandard conditions.

6

7

8 Substandard conditions including, U.S. Bank as trustee for CSAB 6321 South Hoover

In or around June 2008 among others, (A) use of Mortgage Backed Pass-Through Street

through in or about May extension cords for permanent Certificates, Series 2006-3 2010. wiring and (B) structurally

9

10 unsound and deteriorated fence.

U.S. Bank as trustee for In or around June 2008 Abandoned structure open to MASTR Asset Backed 621 East 83rd Street through in or about July unauthorized entry and other 11

Securities Trust 2006-HES 2009. substandard conditions. 12

Abandoned structure with

U.S. Bank as trustee for In or around June 2008 substandard conditions including,

Structured Asset Investment 8116 North Laramie

through in or about March among others, improperly

Loan Trust, 2005-HE3 Avenue

2009. operated and maintained swimming pool with unclean

13

14

15 water. Substandard conditions including,

U.S. Bank as trustee for 8312 South San

In or around June 2008 among others, (A) unapproved Structured Asset Investment

Pedro Street through in or about unit and (B) unapproved

Loan Trust, 2006-BNC2 September 2009. conversion of garage to dwelling

16

17 space.

U.S. Bank as trustee for First In or around July 2008 Abandoned structure open to Franklin Financial Loan Trust, 13521 North Norris

Mortgage Pass-Through Avenue through in or about April unauthorized entry and other

Certificates, Series 2006-FF2 2010. substandard conditions.

18

19

U.S. Bank as trustee for In or around July 2008 Substandard conditions including.

Lehman Brothers Structured 419 West !03rd through in or about May among others, (A) hazardous

Asset Investment Loan Trust Street 2009. electrical wiring and (B)

SAIL2006-3 unapproved occupancy.

20

21

22 U.S. Bank as trustee for Asset Substandard conditions including, .

Backed Securities Corporation In or around July 2008 among others, (A) unapproved

Home Equity Loan Trust, 837 West 50th Street through in or about May unit and (B) unapproved

Series AMQ 2006-HE7 2009. conversion of garage to dwelling

space.

23

24

U.S. Bank as trustee for 219 North Grand

In or around July 2008 Abandoned structure open to Citigroup Mortgage Loan Trust

Avenue through in or about unauthorized entry and other

2007-AMC2 February 2009. substandard conditions.

25

26

27

28 44

COMPLAINT


DEFENDANT ADDRESS OWNERSHIP MAINTAINED BY

DEFENDANT 2

3

U.S. Bank as trustee for In or around August 2008 Abandoned structure open to

JPMAC 2006-H3 835 East I 09th Street through in or about April unauthorized entry and other

2009. substandard conditions. 4


In or around August 2008 Substandard conditions including,

Lehman Brothers Structured 145 South Dacotah through in or about among others, (A) unpermitted

Asset Investment Loan Trust Street September 2010.

constrnction and (B) unpermitted SAIL2005-6 plumbing work.

6

7 Substandard conditions including,

U.S. Bank as trustee for In or around August 2008 among others, (A) inoperative,

Lehman Brothers Structured 1917 West73rd through in or about May

defective and unapproved Asset Securities Corporation Street

2009. electrical receptacles and (B)

SASCO 2006-BC6 buckled, split and decayed exterior walls.

8

9

10 Abandoned structure with

11 substandard conditions including,

U.S. Bank as trustee for JP In or around September among others, (A) inadequate

Morgan Alternative Loan Trust 183 09 West Keswick

2008 through in or about pool enclosure and (B)

2006-A6 Street

June 2010. accumulated debris, dead organic matter, garbage, rat harborages,

12

13 stagnant water and combustible

14 materials.

U.S. Bank as trustee for Asset In or around September Abandoned structure open to

Backed Pass-Through 13240 West Aztec Certificates, Series RFC 2007- Street

2008 through in or about unauthorized entry and other

HE! March2009. substandard conditions.

15

16

U.S. Bank as trustee for 3503 South Cimarron

In or around September Substandard conditions including

JPMorgan Acquisition 2008 through in the Corporation 2005-FREl

Street present. lack of approved water supply.

17

18


In or around September among others, (A) lack of U.S. Bank as trustee for LXS

2129 Scott A venue 2008 through in or about required structural support and 2007-4N Trust Fund

June2009. (B) lack of required frre

separation between garage and

20

21 dwelling.

U.S. Bank as trustee for In or around September

Substandard conditions including, Lehman Brothers Structured 2860 South Holt

2008 through in or about among others, (A) lack of

Asset Securities Corporation Avenue June2009.

. required off-street parking and SASCO 2007-BNCl (B) unpermitted construction.

22

23

U.S. Bank as trustee for In or around September Substandard conditions including,

Structured Asset Securities 2518 East Chelsea

2008 through in or about among others, (A) damp room

Corporation Trust 2007-EQl Street

November 2009. conditions and (B) loose

plumbing fixture.

24

25

26

27

28 45

COMPLAINT




DEFENDANT 2

3 Abandoned structure with substandard conditions including,

U.S. Bank as trustee for 5152 North Lindley

In or around October among others, (A) improperly MASTR Adjustable Rate 2008 through in or about operated and maintained Mortgages Trust 2007-2

Avenue August 2009. swimming pool with unclean

4

5

6 water and (B) accumulated

rubbish, garbage, and debris. Substandard conditions including,

U.S. Bank as trustee for 4915 South 2nd

In or around October among others, (A) hazardous MASTR Adjustable Rate

Avenue 2008 through in or about electrical receptacles and (B)

Mortgages Trust 2007-HF2 June 2010. broken, deteriorated and missing

7

8 window glass.

9 Substandard conditions including, U.S. Bank as trustee for In or around October among others, (A) decayed, dry-

10 Structured Asset Securities 216 West 47th Street 2008 through in or about rotted and termite-damaged wood Corporation Trust 2007-GEL2 December 2009. and (B) damaged and missing

11 electrical conduit. U.S. Bank as trustee for

Structured Asset Securities In or around November Abandoned structure open to Corporation Mortgage Pass- 146 East 89th Street 2008 through in or about unauthorized entry and other

12

Through Certificates, Series February 20 I 0. substandard conditions. 2006-BC5

13

Substandard conditions including, U.S. Bank as trustee for

1651 West Gage In or around November among others, (A) missing

MASTR Asset Backed Avenue 2008 through in or about electrical receptacle covers and Securities Trust 2006-HE4 April2011. (B) defective and deteriorated

14

15

16 wall covering.

U.S. Bank as trustee fur Asset In or around November Abandoned structure open to

Backed Securities Corporation 3029 North Eva Home Equity Loan Trust, Terrace

2008 through in or about unauthorized entry and other

Series MO 2006-HE6 September 2009. substandard conditions.

17

18


Adjustable Rate Mortgage Trust 12739 North Bradley In or around November among others, (A) defective and

2007-1 Avenue 2008 through the present. improperly installed lighting

fixtures and (B) open waste line.

19

20

U.S. Bank as trustee for In or around November Substandard conditions including,

Adjustable Rate Mortgage Trust 715 South Saint

2008 through in or around among others, (A) deteriorated

2007-3 Louis Street

May 2011. roofing material and (B) broken

stairs at rear of building.

21

22

23 U.S. Bank as trustee for Substandard conditions including, Citigroup Mortgage Loan Trust

9200 North Haddon In or around November among others, (A) unapproved

Inc., Asset Backed Pass- Avenue 2008 through in or about conversion of garage to dwelling Through Certificates, Series July2009. space and (B) unapproved

24

25 2007-AMC4 occupancy. U.S. Bank as trustee for Bane

Abandoned structure with [sic] of America Funding

2803 South Victoria In or around November

substandard conditions including, Corporation Mortgage Pass- 2008 through in or about Through Certificates, Series

Avenue August 2009.

among others, excessive and

2006-H . overgrown vegetation .

26

27

28 46

COMPLAINT



2

U.S. Bank as trustee for Bear Substandard conditions including,

Stearns ARM Trust, Mortgage 6118 West Homer In or around November among others, (A) damp room

Pass-Through Certificates, Street 2008 through in or about condition and (B) inoperative,

Series 2005-1 February 20 I 0. defective and unapproved

electrical receptacles.

3

4


Substandard conditions including, Structured Asset Securities In or around December

Corporation Structured Asset 1159 East 33rd Street 2008 through in or about among others, (A) damp room

Investment Loan Trust, Series May2010. condition and (B) exposed

2006-BC4 wiring.

6

7


U.S. Bank as trustee for In or around December among others, (A) unsafe and

Structured Asset Investment 527 South Bernal

2008 through in or about unsanitary deteriorated floor

Loan Trust, 2006-3 Avenue

March 2010. covering and (B) chipped and

damaged plumbing fixture

9

10 surface.

U.S. Bank as trustee for Terwin Substandard conditions including,

Mortgage Trust 2006-3, Asset 4507 West Rosewood In or around January 2009 among others, (A) amp room

Backed Certificates, Series Avenue through in or about condition and (B) unsafe and

2006-3 December 2009. unsanitary deteriorated floor

covering.

11

12


U.S. Bank as trustee for 6742 North Beck

In or around January 2009 among others, (A) defective, Structured Asset Investment Avenue through in or about damaged, broken, and inoperative

Loan Trust, 2006-1 November 20 I 0 .. windows and (B) water leak at roof.

14

15

U.S. Bank as trustee for Substandard conditions including, Citigroup Mortgage Loan Trust In or around January 2009 among others, (A) broken,

16 Inc., Asset Backed Pass- 847 West 41st Drive through in or about May deteriorated and missing window

Through Certificates, Series 2010. glass and (B) loose plumbing 17 2007-AMC4 fixture.

Abandoned structure with 18

U.S. Bank as trustee for In or around January 2009 substandard conditions including,

MASTR Asset Backed 11505 North Fellows

through in or about among others, (A) unapproved

Securities Trust 2007-WMCI Avenue

October 2009. construction and (B) unapproved conversion of garage to dwelling

19

20 space.

Substandard conditions including, 21 U.S. Bank as trustee for

In or around February among others, (A) decayed, dry-

Structured Asset Investment 653 West 99th Street 2009 through the present.

rotted and termite-damaged wood Loan Trust 2005-3 and (B) lack of operable

22

23 emergency egress doors. Substandard conditions including,

U.S. Bank as trustee for RAMP 1512 East 106th In or around February among others, (A) unsafe or

2006-NC2 Street 2009 through in or around unsanitary accumulation of debris

September 2009. and (B) decayed, dry rotted,

24

25 termite damage wood

26

27

28 47

COMPLAINT




DEFENDANT 2

3 Substandard Cl)nditions including, U.S. Bank as trustee for JP

1261 North Island In or around February among others, (A) lack of

Morgan Acquisition Avenue 2009 through the present required over current protection

Corporation 2005-FRE 1 and (B) defective, missing, and inoperable smoke detectors.

4

5

10334 South Juniper In or around April2008 Abandoned structure open to

U.S. Bank as trustee for Doe 5 Street

through in or about unauthorized entry and other February 2009. substandard conditions.

6

7

Abandoned structure with U.S. Bank as trustee for First 20552 West Acre

In or around April 2009 substandard conditions including, Franklin Mortgage Loan Trust

Street through in or about April among others, (A) accumulated

2006-FF14 2010. rubbish, trash and debris and (B)

8

9

open storage. Substandard conditions including,

10

U.S. Bank as trustee for 2008 East

In ·or around April 2009 among others, (A) failure to MASTR Asset Securities Trust

Hollenbeck Drive through in or about maintain required bathroom

2006-WMC3 January 2010. ventilation and (B) unapproved gas appliance venting system.

11


U.S. Bank as trustee for In or around April 2009

among others, (A) extensive W AMU Mortgage Pass- 737 North Heliotrope

through in or about May plumbing leaks in the crawl space

Through Certificate for Drive 2010.

under the building and (B) WMALT2007-0A2 defective and missing insect

screens.

13

14


U.S. Bank as trustee for BNC 525 West !11th In or around May 2009 among others, (A) lack of

Mortgage Loan Trust 2006-2 Street through in or about maintenance of building and

November 20 l 0. premises and (B) unpermitted

16

17 construction.

U.S. Bank as trustee for In or around May 2009 Substandard conditions including,

MASTR Asset Backed 3152 East Folsom

through in or around June among others, (A) accumulated

Securities Trust 2007-WMC! Street

2012. rubbish, trash and debris and (B)

open storage.

U.S. Bank as trustee for Abandoned structure with

Structured Asset Securities substandard conditions including,

Corporation Structured Asset 8755 North Matilija In or around May 2009 among others, (A) improperly

Investment Loan Trust Avenue through in or about operated and maintained

Mortgage Pass Through December 2010. swimming pool with unclean

water and (B) accumulated Certificates, Series 2005-11

rubbish, trash and debris.

18

19

20

21

22


Substandard conditions including, Structured Asset Investment In or around May 2009

among others, (A) missing Loan Trust Mortgage Pass- 421 West 56th Street through in or about March

handrail or guardrail and (B) Through Certificates, Series 2011.

defective electrical service. 2006-2

24

25

26

27

28 48

COMPLAINT

1

2

3

4

5

6

7

8

9

10

1 1

1 2

1 3

1 4

1 5

1 6

1 7

I 8

I 9

2 0

2 1

2 2

2 3

2 4

2 5

2 6

2 7

2 8

DEFENDANT


Loan Trust, 2006-3

U.S. Bank as trustee for CSFB ARMT2006-3


Loan Trust, 2006-3

U.S. Bank as trustee for W AMU Mortgage Pass-Through Certificates for

WMALT 2007-0A3

U.S. Bank as trustee for Citigroup Mortgage Loan Trust Inc., Mortgage Pass-Through,

Series 2007-AR2

U.S. Bank as trustee for Doe 7

U.S. Bank as trustee for MASTR Asset Backed

Securities Trust 2006-H£4

U.S. Bank as trustee for BAFC 2007-A

U.S. Bank as trustee for W AMU Mortgage Pass-Through Certificate for

WMALT 2006-AR4

U.S. Bank as trustee for MASTR Asset Backed

Securities Trust 2006-H£4

PERIOD OF UNLAWFUL CONDITIONS PROPERTY

MAINTAINED BY ADDRESS OWNERSHIP

DEFENDANT

Substandard conditions including, 8923 South Menlo In or around May 2009 among others, (A) hazardous

Avenue through the present. electrical wiring and (B) hazardous plumbing.

Abandoned structure with In or around May 2009 substandard conditions including,

5910 East Echo through in or about among others, (A) unapproved

Street January 2010. electrical work and (B)

unapproved plumbing work. Abandoned structure with

In or around May 2009 substandard conditions including, 8144 Nortb Lorna

through in or about March among others, (A) accumulated Verde Avenue

2010. rubbish, trash and debris and (B) open stor'!,ge.

Substandard conditions including, In or around June 2009 among others, (A) defective,

1435 East 48th Street through in or about May missing and inoperable smoke 2010. detectors and (B) unapproved gas

appliance venting_system. Abandoned structure with

9809 West Melinda In or around June 2009

substandard conditions including Drive (A) failure to maintain pool water

through the present clarity and (B) pool enclosure not

constructed to code. Substandard conditions including,

In or around July 2009 among others, (A) open waste

514 West 59th Street line and (B) defective and through the present.

improperly installed lighting fixtures.

In or around July 2009 Abandoned structure open to 1768 South

through in or about July unauthorized entry and other Hayworth A venue

2010. substandard conditions.

Substandard conditions including, In or around August 2009 among others, (A) unsafe and

514 West 62nd Street through in or around April unsanitary accumulation of debris 2012. and (B) defective foundation vent

screenin_g, Substandard conditions including,

In or around August 2009 among others, (A) lack of 742 East 84th Street through in or about July maintenance of building and

2010. premises and (B) overgrown vegetation.

Substandard conditions including, 1349 West 49th In or around August 2009 among others, (A) defective and

Street through the present. deteriorated drywall and (B) lack of required landscape irrigation.

49

COMPLAINT


DEFENDANT ADDRESS OWNERSHIP

MAINTAINED BY DEFENDANT

2


U.S. Bank as trustee for LXS 5311 South 7th In or around September among others, (A) unapproved

2006-1 ON Trust Fund Avenue 2009 through the present. occupancy and (B) lack of

required maintenance of building and premises.

4


U.S. Bank as trustee for Bear among others, (A) failure to 6 Stearns ARM Trust Mortgage

255 East 49th Street In or around September provide access for inspection and

Pass-Through Certificates, 2009 through the present. (B) lack of required 7 Series 2005-2006 weatherproofmg of exposed

8 surfuces. Abandoned structure with

U.S. Bank as trustee for SARM 7235 Nortb Katherine In or around October substandard conditions including,

2005-3 Avenue 2009 through in or about among others, excessive and September 2010. overgrown vegetation on the

9

10 premises.

U.S. Bank as trustee for CMLTI In or around October Substandard conditions including,

Asset Backed Pass-Through 3732 South Ruthelen

2009 through in or about among others, (A) hazardous

Certificates, Series 2007-AMC3 Street

March 2011. electrical wiring and (B)

hazardous plumbing.

11

12

13 Abandoned structure with U.S. Bank as trustee for

In or around October substandard conditions including,

Lebman XS Trust Mortgage 17000 West Cantara 2009 through_ in or about among others, improperly

Pass-Through· Certificates, Street June 2010.

operated and maintained Series 2005-9N swimming pool with unclean

14

15 water.

U.S. Bank as trustee for In or around October Substandard conditions including,

MASTR Asset Backed 4416 South 6th

2009 through in or about among others, (A) defective

Securities Trust 2006-HE4 Avenue

May 2011. under floor supports and (B)

damp room condition.

16

17


19 U.S. Bank as trustee for GSAA 1645 West 89th In or around November among others, (A) open waste Home Equity Trust2007-l Street 2009 through the present. line and (B) defective and

20 deteriorated wall covering.


U.S. Bank as trustee for LXS 4621 West Pickford In or around November among others, (A) unapproved

2007-?N Street 2009 through the present gas appliance venting system and

(B) unsafe and unsanitary

21

22 deteriorated floor covering.

23 Abandoned structure with substandard conditions including,

24 U.S. Bank as trustee for Home 13147 Nortb In or around November among others, (A) rubbish, trash Equity Asset Trust 2005-9 Gladstone Avenue 2009 through the present. and debris on the premises and

25 (B) open storage of inoperable vehicles.

26

27

28 50

COMPLAINT

1 PERIOD OF

UNLAWFUL CONDITIONS PROPERTY

MAINTAINED BY DEFENDANT ADDRESS OWNERSHIP

DEFENDANT 2


3990 South In or around November among others, (A) deteriorated

U.S. Bank as trustee for LSX 2009 through in or about roofmg material and (B)

2006-2N Trust Fund Nonnandie Avenue October 2010. defective, missing and

inoperative smoke detectors.

4


U.S. Bank as trustee for Terwin 3514 South 7th

In or around November among others, (A) defective and Mortgage Trust 2006-7, Asset 2009 through in or about deteriorated drywall and (B)

Avenue November 2010. defective, damaged, broken, and Backed Certificates

6

7 inoperative doors.

In or around December Substandard conditions including,

U.S. Bank as trustee for 1126 South Lake 2009 through in or around

among others, (A) open and Harborview 2006-1 Trust Fund Street

April2012. abandoned gas piping outlet and

(B) exposed wiring.


8

9

10

among others, (A) defective, 1 U.S. Bank as trustee for

1027 North Mark In or around December damaged, broken and inoperative MASTR Adjustable Rate

Street 2009 through the present. doors and (B) broken, 2 Mortgages Trust 2007-3

deteriorated, and missing window

1

1 glass.

3 U.S. Bank as trustee for Asset

Abandoned structure open to Backed Securities Corporation 3971 North Murietta In or around January 20 I 0

unauthorized entry and other 4 Home Equity Loan Trust, Avenue through the present.

substandard conditions. 5

Series MO 2006-HE6

1

I

I Substandard conditions including,

6 In or around February among others, (A) unsafe and

U.S. Bank as trustee for MLMI 786 East 41st Street unsanitary deteriorated floor

Trust Series 2006-RM2 20 I 0 through the present. covering and (B) defective 7

plumbing tra_])_ arm, and taQEiece.

I

I

Substandard conditions including, 8 U.S. Bank as trustee for In or around March 20 I 0 among others, (A) unapproved

909 South Fedora conversion of garage to dwelling 9 Citigroup Mortgage Loan Trust

Street through the present. unit and (B) unpennitted 2006-WFHE4

I

I

plmnbii!g work. 0 Substandard conditions including, 2

1234 South In or around April 20 l 0 among others, (A) unapproved

1 U.S. Bank as trustee for LXS conversion of garage to dwelling

. 2007-16N Trust Fund Manhattan Place through the present. unit and (B) unpennitted

2 construction.

2

2

3 U.S. Bank as trustee for Asset In or around April2010 Abandoned structure open to Backed Funding Corporation 2132 West Fargo

through in or around May unauthorized entry and other Asset Backed Certificates, Street

2012. substandard conditions. 4 Series 2007-WMCl

2

2

5 In or around May 20 I 0

Substandard conditions including, U.S. Bank as trustee for LXS 1618 East 27th

among others, unpennitted and 6 2007-2N Street through the present unapproved construction.

2

2

2 7

2 8 51

COMPLAINT




DEFENDANT 2

.

In or around May 20 I 0 Substandard conditions including,

U.S. Bank as trustee for LXS 1720 South Union through in or about March

among others, (A) defective 2006-12N Avenue

2011. foundation vent screening and (B)

unapproved heating system.

3

4


U.S. Bank as trustee for 1800 West 4th Street

In or around May 20 I 0 among others, (A) vermin Harborview 2006-1 Trust Fund through the present. infestation and (B) hazardous

6

7 electrical receptacles.


In or around May 20 I 0 among others, (A) unapproved

U.S. Bank as trustee for SARM 1385 West22nd through in or around

conversion of storage shed 2005-23 Street

January 2012. without required permits and (B) unapproved construction of roof cover without required permits.

8

9

10 Substandard conditions including

U.S. Bank as trustee for Bear I 008 North Mark In or around August 2010

(A) unapproved construction Steams Asset Backed Securities

Street through the present. without the required permits and

I Trust 2006-IMI (B) failure to maintain and repair

11

12 existing building.

13 Abandoned structure with U.S. Bank as trustee for

16840 West In or around August 20 I 0 substandard conditions including

Mortgage Pass-Through McCormick Street

through in or around (A) failure to maintain pool water Certificates, Series 2006-AR3 November 20 II. clarity and (B) rubbish, garbage,

14

15 trash and debris on property.


among others, (A) defective,

U.S. Bank as trustee for Doe 8 327 112 West 70th In or around August 20 I 0 unsafe or inoperative plumbing

Street through the present. system and (B) buckled, split or 17 decayed exterior walls, Jack of

18 required weatherproofmg.

Abandoned structure with 19 substandard conditions including,

U.S. Bank as trustee for Merrill 23830 West In or around August 20 I 0

among others, (A) rubbish, Lynch Mortgage Investors Vanowen Street

through the present. garbage, trash and debris on the

Trust, Series 2010-NPI premises and (B) excessive or 20

21 overgrown vegetation on premises.

U.S. Bank as trustee for JP In or around September Substandard conditions including,

Morgan Mortgage Acquisition 7035 North Claire

2009 through in or around among others, (A) unapproved

Trust 2006-NC I Avenue

September 20 II. occupancy and (B) unpermitted

construction.

22

23


U.S. Bank as trustee for 529 North Saint In or around September among others, (A) defective,

MARM2007-3 Louis Street 20 I 0 through in or around damaged, broken and inoperative

June 2012. windows and (B) vermin infestation.

25

26

27

28 52

COMPLAINT




DEFENDANT 2

3 U.S. Bank as trustee for Credit

7240 North Irondale In or around September

Abandoned structure open to Suisse First Boston CSFB 20 II through in or around

2005-2 Avenue

June 2011. unauthorized entry.

4


6 U.S. Bank as trustee for I 1515 North Balboa In or around September among others, (A) unapproved Servertis Fund I Trust 2009-2 Boulevard 2010 through in or around construction without required

7 Certificates, Series 2009-2 November 2011. permits and (B) overgrown or excessive vegetation.

U.S. Bank as trustee for In or around October Substandard conditions including,

MASTR Alternative Loan Trust 1219 East 51st Street 2010 through in or around among others, (A) unpermitted

2003-7 September 20 II. construction and (B) open storage of auto parts in a residential zone.

8

9

U.S. Bank as trustee for 12983 West In or around October Substandard conditions including

Washington Mutual Mortgage Pass-Through Certificates

Montague Street 20 I 0 through in or around unapproved use of single family

WMALT Series 2006-AR9 May2012. dwelling as duplex in Rl zone.

10

11


In or around November among others, (A) inoperative,

U.S. Bank as trustee for 11536 West 20 I 0 through in or around

defective, and unapproved MARM2007-3 Cumpston Street

January 2012. electrical receptacles and (B)

unapproved conversion of garage

13

14 to dwelling space.

Abandoned structure with 15

U.S. Bank as trustee for In or around December substandard conditions including,

MASTR Adjustable Rate 12771 West Filmore

20 I 0 through in or round among others, (A) unapproved

Mortgages Trust 2007-3 Street

May2012. occupancy and (B) unapproved use of a trailer in a residential

16

17 zone.

U.S. Bank as trustee for Substandard conditions including

Structured Asset Investment 13984 West Terra In or around January 20 II (A} unapproved construction and

Loan Trust 2006-BNC3 Bella Street through the present. (B) rubbish, garbage, trash or

debris on premises.

18

19


21 U.S. Bank as trustee for CSAB among others, (A) inoperative, Mortgage-Backed Pass- 829 North Sycamore In or around March 20 II defective, unapproved electrical

22 Through Certificates, Series Avenue through the present. receptacles and (B) failure to 2006-3 obtain the required permits and

23 certificate of occupancy.


U.S. Bank as trustee for among others, (A) defective,

Structured Asset Investment 1152 North Wilton In or around March 20 II damaged, broken, inoperative

Loan Trust, 2005-9 Place through the present. doors or windows and (B)

defective, unsafe or inoperative

24

25

26 plumbing system.

27

28 53

COMPLAINT

1

2

3

4

5

6

7

8

9

10

11

12

13

14

15

16

17

18

19

20

21

22

23

24

25

26

27

28

DEFENDANT

U.S. Bank as trustee for LXS 2007 -16N Trust Fund

U.S. Bank as trustee for Harborview 2005-16 Trust

Fund

U.S. Bank as trustee for BNC Mortgage Loan Trust 2007 -I,

Mortgage Pass-Through Certificates, Series 2007-1

U.S. Bank as trustee for Bane [sic] of America Funding

Corporation Mortgage Pass-Through Certificates, Series

2007-D

U.S. Bank as trustee for Structured Asset Securities

Corporation Mortgage Pass-Through Certificates, Series

2006-BC2 U.S. Bank as trustee for MASTR Asset Backed

Securities Trust 2006-NC3 Mortgage Pass-Through

Certificates, Series 2006-NC3

U.S. Bank as trustee for Bear Stearos Asset Backed Securities, 2006-ACI

U.S. Bank as trustee for Credit Suisse First Boston ARMT

2005-5

U.S. Bank as trustee for Citigroup Mortgage Loan Trust

Inc.

U.S. Bank as trustee for LXS 2006-1 ON Trust Fund


ADDRESS OWNERSHIP MAINTAINED BY DEFENDANT


2339 South Lucerne In or around March 20 II aroong others, (A) use of

Avenue through the present. extension cords for permanent wiring and (B) defective

foundation vent screening.


In or around March 20 II among others, (A) defective and

645 West 85th Street through the present.

damaged leaking faucets and (B) decayed, dry rotted and termite

damaged wood.

Substandard conditions including, 3986 South Denker In or around March 2011 aroong others, (A) hazardous

Avenue through the present. electrical wiring and (B) hazardous plumbing.


828 West I 08th substandard conditions including

In or around April (A) excessive or overgrown Street

20 II through the present. vegetation on premises and (B) rubbish, garbage, trash, or debris

on premises. Substandard conditions including,

1190 1/2 East 47th In or around April 20 II among others, (A) decayed, dry-

Street through the present. rotted, termite damaged wood

and (B) unapproved gas appliance venting system.


13483 West Brownell In or around May 2011 substandard conditions including,

Street through in or around aroong others, (A) Failure to

February 2012. ·maintain fencing and (B) failure to maintain and repair building.


213 North Windsor In or around May among others, (A) unapproved

Boulevard 20 II through the present. garage conversion and (C) unapproved plumbing work

without the required permits.

In or around May 20 II Substandard conditions including

708 West 56th Street through the present.

unpermitted and unapproved construction.

In or around May 20 II Substandard conditions including

13720 North through in or around

(A) unapproved conversion Gladstone Avenue

February 2012. without the required permits and

(B) illegal occupancy.


1257 South Plymouth In or around June 20 II aroong others, (A) damp room

Boulevard through the present. conditions and (B) defective, damaged, and inoperative doors

and windows.

54

COMPLAINT


UNLAWFUL CONDITIONS DEFENDANT ADDRESS OWNERSHIP


2

U.S. Bank as trustee for Substandard conditions including, 3

Citigroup Mortgage Trust Inc. 1525 East 0 Street In or around June 2011 among others, (A) construction

Asset Backed Pass-Through through the present. without permits and (B) failure to 4

5 Certificates, Series 2007-AMCl maintain and repair building.

U.S. Bank as trustee for Credit Substandard conditions including Suisse First Boston Mortgage 1517 West 228th In or around June 2011 (A) work performed without Securities Corp. Home Equity Street through the present. required permits and (B) illegal

Pass-Through Certificates, Series 2006-8

occupancy.

6

7

Substandard conditions including, U.S. Bank as trustee for C- among others, (A) failure to

8

BASS Mortgage Loan Asset 1227 East 20th Street In or around July 2011 maintain and repair plumbing

Backed Certificates, Series through the present. fixtures and (B) failure to 9

2007-CBl maintain building in safe and sanitary condition. 10

Substandard conditions including, among others, (A) failure to 11

U.S. Bank as trustee for 5630 South In or around July 2011 maintain the required frre-CBASS 2006-SCl Broadway through the present. resistive construction and (B) 12

lack of required combustion air openings. 13


U.S. Bank as trustee for CSFB among others, (A) buckled, split

Home Equity Pass-Through 4228 East Abner In or around August 2011 or decayed exterior walls, lack of

Street through the present. required weatherproofing and (B) Certificates, Series 2005-FIXI unsanitary accumulation of

14

15

16 debris, rubbish, or similar matter.

U.S. Bank as trustee for Credit Substandard conditions including,

Suisse First Boston Mortgage In or around September among others, (A) unapproved

Securities Corp. Home Equity 12731 West Rajah

20 II through in or around conversion of garage without

Pass-Through Certificates, Street

March2012. required permits and (B) failure to provide or maintain required

Series 2006-8 off street parking.

17

18

19 U.S. Bank as trustee for Substandard conditions including

Specialty Underwriting and 7650 North Oak Park

In or around September (A) rubbish, garbage, trash or

Residential Finance Trust, Avenue

20 II through in or around debris on premises and (B) open

Mortgage Loan Asset Backed May2012. Certificates, Series 2006-BC4

storage within the required yards.

20

21

Abandoned structure with U.S. Bank as trustee for

846 West Santa Cruz In or around October substandard conditions including,

MASTR Adjustable Rate Street

2011 through in or around among others, (A) rubbish, Mortgages Trust, Series 2007 -I May2012 garbage, trash and debris on the

22

23

premises and (B) graffiti. Substandard conditions including, 24

U.S. Bank as trustee for In or around October among others, (A) electrical work

CitiGroup Mortgage Loan Trust 1245 East 43rd Street 20 II through the present.

done without permit or approval 2007-AMC2 and (B) unsafe/unsanitary

deteriorated floor covering.

25

26

27

28 55

COMPLAINT

1

2

3

4

5

6

7

8

9

10

11

12

13

14

15

16

17

18

19

20

21

22

23

24

25

26

27

28


DEFENDANT ADDRESS OWNERSHIP



BancCap Asset Securitization among others, (A) inoperative,

In or around October defective, unapproved electrical Issuance Corporation, Mortgage 224 West 71 st Street

20 II througb the present. receptacles and (B) defective, Loan Asset Backed Certificates,

improperly installed lighting Series 2006-1

fixtures.

U.S. Bank as trustee for 1612 West 24th In or around November Abandoned property open to

Citigroup Mortgage Loan Trust, 2005-HE3

Street 2011 througb the present. unauthorized entry.

U.S. Bank as trustee for 1920 South In or around November

Substandard conditions including 2011 througb in or around

WMALT 2007-0AS Sherbourne Drive May2012.

failure to maintain fencing.


U.S. Bank as trustee for Doe 9 5753 1/2 South 8th In or around November among others, (A) exposed

Avenue 20 11 througb the present. wiring and (B) deteriorated roofmg material.

Substandard conditions including, U.S. Bank as trustee for WaMu

1412 South 4th In or around November among others, (A) electrical work

Mortgage Pass-Through Avenue 2011 througb the present.

done without permit or approval Certificates, Series 2007-HYS and (B) construction without

permits or approvals. Substandard conditions including,

among others, (A) unsafe and U.S. Bank as trustee for LXS

326 West 13th Street In or around December unsanitary deteriorated floor

2007 -16N Trust Fund 2011 througb the present. covering and (B) failure to maintain existing structure in safe

and sanitary condition.

Substandard conditions including, U.S. Bank as trustee for RAMP 9206 South Hoover In or around December among others, (A) defective and

2006-EFC2 Street 20 11 througb the present. damaged leaking faucets and valves and (B) vermin infestation.


U.S. Bank as trustee for SAIL 411 0 Compton In or around January 2012 among others, (A) unapproved

2005-5 Avenue througb the present gas appliance venting system and

(B) defective, improperly installed lighting fixtures.

101. Local enforcement agencies conduct the majority of their investigations in response

to complaints and necessarily depend upon residents who are aware of and have the resources to

assert their rights. The violations of federal, state and municipal law perpetrated by DEFENDANT

U.S. Bank National Association and reported to these agencies are described above. These represent

56

COMPLAINT

1 a fraction of the actual number of Foreclosed Properties at which violations occurred or continue to

2 occur.

3 I 02. The photographs in the paragraphs below depict conditions at vacant Foreclosed

4 Properties. These photographs illustrate some ofthe unlawful nuisance conditions referenced above.

5 I 03. The photographs below depict the deterioration of a property located at I 03 34 South

6 Juniper Street. The first photograph was taken by an LADBS Inspector in or around July 2008 and

7 shows graffiti and signs of vagrant or perhaps gang activity at the property. Subsequently, in or

8 around October 2008, a fire occurred at the property. The second and third photographs were taken

9 by an LADBS Inspector in or around December 2008 and January 2009, respectively, and show the

I 0 hazardous and nuisance conditions that existed months after the fire:

11

12

13

14

15

16

17

18

19

20

21

22

23

24

25

26

27

28 57

COMPLAINT

1

2

3

4

5

6

7

8

9

10

11 104. The photograph below was taken by an LADBS Inspector in or around October 2008

12 and shows fire damage at another property, located at 219 North Grand Avenue:

13

14

15

16

17

18

19

20

21

22

23

24

25

26

27

28 58

COMPLAINT

1 105. The photograph below was taken by an LADBS Inspector in or around January 2009

2 and shows rubbish and debris accumulated in the yard of the property located at 13240 West Aztec

3

4

5

6

7

8

9

10

11

12

13

14

Street:

15 106. The photograph below was taken by an LADBS Inspector in or around February 2009

16 and shows graffiti on the exterior of the property located at 148 East 79th Street:

17

18

19

20

21

22

23

24

25

26

27

28 59

COMPLAINT

1 107. The photograph below was taken by an LADBS Inspector in or around February 2009

2 and shows stagnant water collected in the swimming pool of the property located at 8047 North

3 Louise Avenue:

4

5

6

7

8

9

10

11

12

13

14

15 108. The photograph below was taken by an LADBS Inspector in. or around November

16 2009 and shows an open rear entryway at the property located at 148 East 89th Street:

17

18

19

20

21

22

23

24

25

26

27

28 60

COMPLAINT

I 109. The photograph below was taken by an LADBS Inspector in or around May 2010 and

2 shows stagnant water in the swimming pool at 1768 South Hayworth Avenue:

3

4

5

6

7

8

9

10

II

12

13

14 110. The photograph below was taken by an LADBS Inspector in or around November

15 20 I 0 and shows exterior graffiti, accumulated debris and an open window at the property located at

16 2132 Fargo Street:

17

18

19

20

21

22

23

24

25

26

27

28 61

COMPLAINT

1 Ill. The photographs in the paragraphs below depict conditions at occupied Foreclosed

2 Properties. These photographs illustrate some of the many Building, Plumbing, Electrical,

3 Mechanical and Health and Safety Code violations and hazardous conditions that DEFENDANT

4 U.S. Bank National Association permitted to exist at these locations.

5 112. The photograph below was taken by an LAHD Inspector in or around December 2009

6 and illustrates the deteriorated condition of the flooring at 421 West 56th Street:

7

8

9

10

II

12

13

14

IS

16

17

18

19

20

21

22

23

24

25

26

27

28

II

II

II

II

II

II

II

II

II

II

II

62

COMPLAINT

I 113. The photograph below was taken by an LAHD Inspector in or around April2010 and

2 shows the substandard condition of the ceiling in the master bedroom of the property located at

3 1645 West 89th Street:

.4

5

6

7

8

9

10

II

12

13

14

IS 114. The photograph below was taken by an LAHD Inspector in or around May 2010 and

16 shows improperly installed and maintained lighting at 4416 South 6th A venue:

17

18

19

20

21

22

23

24

25

26

27

28 63

COMPLAINT

1 115. The photograph below depicts the unsanitary and substandard condition of the

2 kitchen sink area at 1720 South Union A venue. The photograph was taken by an LAHD Inspector in

3 or around September 2010:

4

5

6

7

8

9

10

11

12

13

14

15 116. The photograph below was taken by an LAHD Inspector in or around October 2010.

16 It shows damaged and defective drywall at the property located at 514 West 62nd Street:

17

18

19

20

21

22

23

24

25

26

27

28 64

COMPLAINT

1 117. The photograph below was taken by an LARD Inspector in or around January 2011

2 and shows an open and abandoned gas piping outlet at 1126 South Lake Street:

3

4

5

6

7

8

9

10

11

12

13

14

15 118. The photograph below was taken by an LARD Investigator in or around April27,

16 2011 and shows cracked and damaged exterior stairway boards at 4621 West Pickford Street:

17

18

19

20

21

22

23

24

25

26

27

28 65

COMPLAINT

1 c. DEFENDANT U.S. Bank National Association's Unfair and Deceptive Practices to Vacate

2 Properties

3 119. To circumvent the restrictions placed on evicting tenants under local, state and federal

4 law, DEFENDANT U.S. Bank National Association has resorted to unfair and fraudulent means to

5 cause tenants, many of whom were low income, minority, and legally unsophisticated individuals

6 and families, to vacate a substantial number of rental units at the Foreclosed Properties.

7 120. Using intermediaries such as attorneys and realtors, DEFENDANT U.S. Bank

8 National Association has engaged in niunerous deceptive practices and dishonest tactics, including,

9 but not limited to:

10

11

12

13

14

15

16

17

18

19

20

21

22

23

24

25

26

27

28

A. Serving upon tenants Notices to Quit containing false and misleading representations

that tenants must vacate their units and failing to disclose material information;

B. Failing to disclose material information to tenants regarding their tenancies;

C. Serving notices upon tenants purporting to be Occupant Questionnaires or Requests

for Information and Access to the Premises containing unreasonable and burdensome

_demands of tenants;

D. Demanding tenants accept "Cash for Keys" offers and vacate their homes on

extremely short notice in exchange for small sums of money, typically inadequate for

tenants to find suitable alternative housing or even cover basic moving costs;

E. Causing or allowing utilities to be shut off, such as water and gas, for extended

periods oftime;

F. Defrauding and attempting to defraud tenants of the right to relocation assistance to

which they were entitled under the RSO;

G. Charging rent in excess of the amounts allowed under the RSO and REAP;

H. Demanding rent, collecting rent, issuing notices of rent increases, and issuing three

day notices to pay rent or quit for substandard rental units;

I. Maliciously threatening to commence or commencing groundless unlawful detainer

actions against tenants;

66

COMPLAINT

1

2

3

4

5

6

7

8

9

10

11

12

13

14

15

16

17

18

19

20

21

22

23

24

25

26

27

28

J. Routinely and improperly proceeding with evictions of nonexistent owner occupants

that had the result of displacing the true occupants without proper notice; and

K. Otherwise threatening, harassing and intimidating tenants.

121. The following chart details twenty one (21) examples of Foreclosed Properties where,

during the period DEFENDANT U.S. Bank National Association owned of each of the properties

below, DEFENDANT U.S. Bank National Association caused or permitted the following unfair and

deceptive acts, among others to occur:

DEFENDANT PROPERTY PERIOD OF

UNFAffiACT DATE OF ADDRESS OWNERSHIP ACT

Structured Asset In or around April Securities Corporation 221 South Reno 2008 through in Three/Thirty Day Notice to Quit In or around

Mortgage Pass-Through Street or about served upon tenant. May2008. Certificates 2006-EQl November 2009

In or around April U.S. Bank as trustee for 3606 South 2008 through in Three/Thirty Day Notice to Quit In or around

Doe 6 Trinity Street or about served upon tenant. May2008. December 2008

U.S. Bank as trustee for 2834 West In or around April C-Bass Mortgage Loan Martin Luther 2008 through in Three/Thirty Day Notice to Quit In or around

Asset Backed Certificates, King Jr. or about January served upon tenant. May2008. Series 2006-CB4 Boulevard 2009

U.S. Bank as trustee for In or around May Structured Asset 3915 Walton 2008 through in Ninety Day Notice to Quit In or around

Investment Loan Trust Avenue or about October served upon tenant. July 2008. 2005-8 2009

U.S. Bank as trustee for In or around May Ninety Day Notice to Quit

Lehman Brothers Securitization Name-

7819 South 2008 through in served upon tenant. Groundless In or around

Structured Asset Hoover Street or about June action for Unlawful Detainer June 2008.

Investment Loan Trust 2009 filed against tenant.

.

U.S. Bank as trustee for In or around July In or around

MASTR Asset Backed 6061 4th Avenue

2008 through in Ninety Day Notice to Quit September

Securities Trust 2006- or about May served upon tenant. WMC2 2009 2008.

67

COMPLAINT

1

2

3

4

5

6

7

8

9

10

11

12

13

14

15

16

17

18

19

20

21

22

23

24

25

26

27

28

DEFENDANT

U.S. Bank as trustee for Structured Asset

Investment Loan Trust 2006-BNC2

U.S. Bank as trustee for Citi Mortgage Loan Trust

Inc. for Asset Backed Pass-Through

Certificates, Series 2006-WMCl

U.S. Bank as trustee for Lehman Brothers Structured Asset

Securities Corporation SASCO 2006-BC6

U.S. Bank as trustee for CMLIT 2007-AR8

U.S. Bank as trustee for Specialty Underwriting and Residential Finance

Trust Mortgage Loan Asset Backed Certificates,

Series 2007-BCl

U.S. Bank as trustee for Lehman Brothers Structured Asset

Securities Corporation SASCO 2007-BNCl

U.S. Bank as trustee for C-Bass Mortgage Loan

Asset Backed Certificates, Series 2007-CB5

PROPERTY ADDRESS

8312 South San Pedro Street

2211 West 20th Street

1917 West 73rd Street

8953 Cayuga Avenue

10526 Lou Dillon A venue

2860 South Holt Avenue

312 West Gage Avenue

PERIOD OF UNFAffiACT DATE OF

OWNERSHIP ACT

In or around July In or around

2008 through in Three/Sixty Day Notice to Quit September

or about served upon tenant. September 2009

2008.

In or around August2008 In or around Ninety Day Notice to Quit through in or served upon two tenants. October about August 2008.

2009

!nor around Three/Sixty Day Notice to Quit In or around August2008 served upon tenant. Groundless September

through in or action for Unlawful detainer about May 2009 filed against tenant.

2008.

In or around Three/Sixty Day Notice to Quit In or around

September 2008 served upon tenant. Groundless September through in or action for Unlawful Detainer

about May 2009 filed against tenant. 2008.

In or around September 2008 Multiple groundless actions for In or around

through in or Unlawful Detainer filed against January and

about December tenant. November

2009 2009.

In or around Three/Sixty Day Notice to Quit !nor around

September 2008 served upon tenant. Groundless October

through in or action for Unlawful Detainer 2008. about June 2009 filed against tenant.

In or around Groundless action for Unlawful In or around September 2008 Detainer filed against two October

through in or tenants. 2008.

about March 2009

68

COMPLAINT

1

2

3

4

5

6

7

8

9

10

11

12

13

14

15

16

17

18

19

20

21

22

23

24

25

26

27

28

DEFENDANT PROPERTY PERIOD OF UNFAIR ACT

DATE OF ADDRESS OWNERSHIP ACT

U.S. Bank as trustee for Citigroup Mortgage Loan In or around

In or around Trust Inc., Asset Backed 9200 Haddon November 2008 Sixty Day Notice to Quit served

November Pass-Through Avenue through in or on tenant.

2008. Certificates, Series 2007- about July 2009

AMC4

U.S. Bank as trustee for In or around

Asset Backed Pass- 8822 Reading January 2009 Sixty Day Notice to Quit served

In or around

Through Certificates, Avenue through in or upon tenant.

January about September 2009.

Series 2006-WFHE3 2009

U.S. Bank as trustee for In or around .

In or around C-Bass Mortgage Loan 9120 South November 2009 Notice to Quit served upon

October Asset Backed Certificates, Vermont A venue through in or tenant.

2009. 2007-CB3 about June 20 I 0

U.S. Bank as trustee for First Franklin Mortgage !nor around

In or around Loan Trust, Mortgage 1254 West 40th November 2009 Ninety Day Notice to Quit

February Loan Asset Backed Place through in or served upon tenant.

Certificates, Series 2007- about April 20 I 0 2010.

1

Structured Asset Securities Corporation, 2253 South

In or around April Sixty/Ninety Day Notice to Quit !nor around

Mortgage Pass-Through Bronson A venue 20 I 0 until the served upon tenant. May2010.

Certificates, Series 2006- present BC4

U.S. Bank as trustee for 5243 In or around July

C-Bass Mortgage Loan Blackwelder 20 I 0 through in Three/Ninety Day Notice to Quit !nor around or about March served upon tenant. July 2010.

Certificates 2006-CB5 Street 2011

U.S. Bank as trustee for In or around C-Bass Mortgage Loan 2326 North Alta

August 20 II until Notice to Quit and Cash for Keys In or around

Asset Backed Certificates Street the present

demand served upon tenant. August 20 II. 2007-CBI

U.S. Bank as trustee for In or around

LXS 2007 -16N Trust 2339 South March2011 Cash for Keys served upon In or around

Fund Lucerne through the tenant March2012.

present.

D. DEFENDANT U.S. BANK's Individual Liability

122. DEFENDANT U.S. Bank National Association is personally liable in an individual

capacity for the unlawful practices described above through the acts and omissions of its officers,

employees and agents on the ground that DEFENDANT U.S. BANK National Association is

69

COMPLAINT

1 personally at fault for such practices. The California rule has long been that certain statutes and

2 ordinances designed to protect the public health and safety impose a positive duty, and strict

3 liability, for failure to perform that duty. In such matters as the prevention and abatement of!ocal

4 nuisances, the law regulates by requiring a given level of conduct and imposes liability on those

5 who, regardless of intent, do not comply. A property owner is thus in violation oflocal ordinances

6 requiring the prevention and abatement of a nuisance and guilty of negligence per se simply by

7 allowing the nuisance to exist and failing to take the necessary action to prevent such an occurrence.

8 As a property owner, DEFENDANT U.S. Bank National Association has a positive duty to know the

9 conditions existing at the Foreclosed Properties, to maintain all such properties in compliance with

10 all applicable laws, and to take all actions necessary to prevent or abate any nuisance ·conditions at

11 such properties. DEFENDANT U.S. Bank National Association breached this duty by failing and

12 refusing to take appropriate actions to prevent or abate nuisance conditions at such properties when

13 servicers delegated under the trust documents to maintain such properties failed to do so.

14 123. DEFENDANT U.S. Bank National Association intentionally or negligently breached its

15 duty to the public because it knew or should have known that the servicers authorized to maintain

16 the Foreclosed Properties under the trust documents were and are unlikely to maintain all such

17 properties free from nuisance conditions. Although the trustee is the legal owner of the Foreclosed

18 Properties, the trust documents typically place the duty to manage, conserve, protect and operate

19 each such property upon the servicer. The obligations and liability imposed under the trust

20 documents should not, however, be confused with those imposed by law. In contrast to the liability

21 provisions of the trust documents, state and local housing and habitability laws hold property owners

22 and landlords liable for substandard and nuisance conditions.

23 124. Specifically, the trust documents generally authorize and direct the servicers to manage,

24 conserve, protect and operate each Foreclosed Property for the trustee for the benefit of each trust's

25 beneficiaries, solely for the purpose of its prompt disposition and sale; in the same manner that the

26 servicer manages, conserves, protects and operates other foreclosed property for its own account,

27 and in the same manner that a similar property in the same locality as the Foreclosed Property is

28 70

COMPLAINT

1 managed. By contrast, California Health and Safety Code and the LAMC require that every

2 building, structure, premises or portion thereof be maintained in safe and sanitary condition, good

3 repair and free from graffiti, debris, rubbish, garbage, trash, overgrown vegetation or other similar

4 material in order to safeguard life, limb, health, property and the welfare of the public.

5 125. On their face, the two duties set forth above are readily distinguishable. First, the trust

6 documents require maintenance for the benefit of the trust beneficiaries, i.e. for the preservation and,

7 to the extent possible, enhancement of the distribution payments and return on the beneficiaries'

8 investments; whereas, the code provisions seek to safeguard and enhance public welfare. Second,

9 the trust document provisions place a subjective standard on the servicer' s duty to "manage,

10 cons~rve, protect and operate" Foreclosed Properties requiring only that it do so in the same manner

11 (1) as it does for its own foreclosed properties and (2) as a similar property in the locality is

12 managed.

13 126. Further review of the trust documents show that the servicer is not strictly bound to its ·

14 duty to maintain Foreclosed Properties. Rather, the duty to maintain, or take any action with regard

15 to a Foreclosed Property, is left to the servicers "good faith business judgment." The trust

16 documents typically instruct the servicer to deposit any and all revenues received from a Foreclosed

17 Property into a segregated account from which the servicer must withdraw funds necessary for the

18 proper operation, management and maintenance of that particular Foreclosed Property including,

19 without limitation, all costs and expenses necessary to maintain that property. The trust documents

20 add that the servicer, to the extent that amounts in the segregated account for the specific Foreclosed

21 Property are insufficient for necessary property maintenance, must advance its own funds as

22 servicing advances, but only if the servicer would make such advances if the servicer owned the

23 Foreclosed Property and if such servicing advance would not constitute a nonrecoverable advance.

24 With respect to a Foreclosed Property, a "nonrecoverable advance" includes any servicing advance

25 proposed to be made that, in the good faith business judgment of the servicer, would not be

26 ultimately recoverable from liquidation proceeds on a particular Foreclosed Property. Servicers are

27 not required to continue advancing their own funds if they deem an advance to be a nonrecoverable

28 71

COMPLAINT

1 advance. Servicers typically have rules that limit their advances on Foreclosed Properties to less

2 than 50% to 60% of the current property value. The result is that where a servicer determines that

3 the cost of preventing or abating a nuisance at a particular Foreclosed Property would require a

4 nonrecoverable advance, the servicer is neither authorized or required to advance the funds or take

5 any other action to remedy the code violations.

6 127. DEFENDANT U.S. Bank National Association, as the record owner of the Foreclosed

7 Properties, is personally at fault for failing to maintain all Foreclosed Properties in compliance with

8 all applicable laws, and to take all actions necessary to prevent or abate any nuisance conditions at

9 such properties. Since the servicers are not, and never have been, fully authorized or required to do

10 so under the trust documents, and the servicer liability provisions of the trust documents are at odds

11 with state and local housing and habitability laws that hold property owners and landlords liable for

12 substandard and nuisance conditions at their properties, it falls to the trustee as the only entity that

13 can act on behalf of the trust to resolve that conflict and take the actions necessary to ensure that the

14 Foreclosed Properties are brought into code compliance. DEFENDANT U.S. Bank National

15 Association is personally at fault for intentionally or negligently failing and refusing to take action to

16 prevent and abate nuisances where the servicers are not authorized or required to do so.

FIRST CAUSE OF ACTION 17

18 Unlawful Business Acts and Practices in Violation of

19 California Business and Professions Code sections 17200 et seq.

20 (Against DEFENDANT in Its Individual and Representative Capacities)

21 128. PLAINTIFF incorporates paragraphs 1 through and including 127 of this Complaint

22 as if set forth fully herein.

23 A. The California Unfair Competition Law

24 J. Generally

25 129. The California Unfair Competition Law ("UCL") prohibits "unfair competition,"

26 which includes "any unlawful, unfair or fraudulent business act or practice .... "(Bus. & Prof.

27 Code,§ 17200.)

28 72

COMPLAINT

1 130. Because Business and Professions Code Section 17200 is written in the disjunctive, it

2 establishes three varieties of unfair competition- acts or practices which are ''unlawful," or ''unfair,"

3 or "fraudulent."

4 131. Because it contains no express intent, knowledge, or negligence requirement, the

5 UCL imposes strict liability. Nor is it necessary to show that the DEFENDANT intended to injure

6 anyone.

7 132. The UCL authorizes the City Attorney to bring a civil enforcement action against any

8 person who engages, has engaged, or proposes to engage in unfair competition. (Id, § 17203.) It

9 defines "person" to include natural persons, corporations, firms, partnerships, joint stock companies,

10 associations and other organizations of persons. (!d., § 17201.)

11 133: The UCL has a four-year statute oflimitations that commences when the cause of

12 action accrues. (/d.,§ 17208.) The UCL's four-year statute of limitations governs even where the

13 predicate law upon which allegations of unlawful business conduct are based has a different

14 limitations period. The continuing violations doctrine permits recovery for conduct outside of the

15 limitations period if that conduct constitutes a continuing pattern and course of conduct as opposed

16 to unrelated discrete acts. If there is a pattern, then the suit is timely if the action is filed within the

17 statutory period of the most recent violation.

18 134. The remedies for a violation of the UCL include injunctive relief and restitution. (/d.,

19 §§ 17203 and 17204.) In addition, when a UCL action is brought by the City Attorney in the name

20 of the People, the City Attorney may seek civil penalties of up to $2,500 for each violation ofthe

21 UCL (id., § 17206), or up to $5,000 if the violation was perpetrated against a disabled or elderly

22 person (id., § 17206.1 ).

23 135. The remedies and penalties available under the UCL are in addition to those available

24 under other laws. Business and Professions Code section 17205 provides that, unless otherwise

25 expressly provided, the remedies or penalties provided by the UCL are cumulative to the remedies or

26 penalties available under all other laws of this state.

27

28 73

COMPLAINT

I 2. "Unlawful" Business Acts and Practices

2 136. By defming unfair competition to include any "unlawful" business act or practice,

3 the UCL permits violations of other laws to be treated as unfair competition that is independently

4 actionable.

5 13 7. The "unlawful" prong of section 17200 embraces anything that can properly be called

6 a business practice and that at the same time is forbidden by law. It borrows violations of other laws

7 and treats them as independently actionable. Virtually any state, federal or local law can serve as the

8 predicate for an action under Business and Professions Code section 17200. The UCL thus prohibits

9 any practices forbidden by law, be it civil or criminal, federal, state, or municipal, statutory,

I 0 regulatory, or court-made.

11 138. While the unlawful prong of Section 17200 is itself a strict liability provision, the

12 standard of liability for a cause of action for unlawful business practices is borrowed from the

13 predicate law the allegations are based upon.

14 B. DEFENDANT's Violations of the UCL

15 139. DEFENDANT U.S. Bank National Association, has violated, and continues to

16 violate, the UCL by engaging in the following unlawful business acts and practices, among others,

17 relating to the Foreclosed Properties:

18

19

20

21

22

23

24

25

26

27

28

A. Causing, permitting and maintaining vacant buildings without required or proper

fencing, cleaning and barricades, in violation of the Los Angeles Vacant Building

Ordinance and other requirements (LAMC sections 98.0701, et seq. and Civil Code

section 2929 et seq.

B. Failing to register foreclosed properties in violation of the Los Angeles Foreclosure

Registry Ordinance (LAMC section 164.oJ.)

C. Creating, maintaining and contributing to the creation and maintenance of public

nuisance conditions at occupied residential properties, in violation of Civil Code

sections 3479 and 3480.

74

COMPLAINT

1

2

3

4

5

6

7

8

9

10

11

12

13

14

15

16

17

18

19

20

21

22

23

24

25

26

27

28

D. Causing, permitting and maintaining substandard conditions in occupied residential

dwellings, in violation of Health and Safety Code section 17920.3 and Civil Code

section 1941.

E. Causing and permitting buildings and premises to be maintained in unsafe and

unsanitary conditions, in violation ofLAMC sections 91.3401.2 and 91.8104 and

California Building Code section 3401.2.

F. Permitting the improper use and storage of automobiles, in violation of LAMC

sections 12.2l.A.8, subdivisions (a) and (b) and 12.2l.C.l, subdivision (g).

G. Causing, permitting and maintaining impeded exits, in violation ofLAMC, section

91.1000 and California Building Code sections 1008.1.9 and 1029.4.

H. Causing, permitting and maintaining improperly installed smoke detectors, in

violation of section 91.900 of the LAMC, and sections 907.2.11.2 and 907.2.11.4 of

the California Building Code.

I. Causing, permitting and maintaining inadequate ventilation of interior spaces, in

violation ofLAMC section 91.1200 and California Building Code sections 1203.1,

1203.3 and 1203.4.

J. Causing, permitting and maintaining swimming pools that w~re unsafe and

unsanitary, in violation ofLAMC sections 91.3109 and 91.8118 and California

Building Code section 3109.4.3.

K. Causing, permitting and maintaining electrical systems and equipment that do not

comply with all applicable provisions of the Electrical Code, including, but not

limited to, maintaining abandoned wiring, in violation ofLAMC sections 93.0104

and 93.0312.

L. Causing and permitting the installation of defective plumbing and improper waste

disposal systems, in violation ofLAMC section 94.300.0 and California Plumbing

Code sections 301.1.1, 301.1.4 and 303.0.

75

COMPLAINT

1

2

3

4

5

6

7

8

9

10

11

12

13

14

15

M. Causing, permitting and maintaining water heaters that are not properly anchored and

vented, in violation ofLAMC section 94.500 and California Plumbing Code sections

508.2 and 510.2.1.

N. Causing, permitting and maintaining heating, ventilating, air-conditioning and

refrigeration equipment in unsafe, improper and hazardous conditions, in violation of

LAMC section 95.104 and California Mechanical Code section 104.4.

0. Causing, permitting and maintaining untenantable rental units, and collecting rent,

increasing rent and issuing three-day notices to pay rent or quit for such units, in

violation of Civil Code section 1941 and the implied warranty of habitability.

P. Causing and permitting tenants to be disturbed in the quiet enjoyment of their rental

units by, in par, causing and permitting untenantable conditions to exist, in violation

of Civil Code section 1927.

Q. Causing and permitting property taxes that were due and owing not to be paid, in

violation of Article 13 of the California Constitution and the California Code of

Regulations, title 18, section 462.120.

16 140. DEFENDANT U.S. Bank National Association's acts of unfair competitioh present a

17 continuing threat to the public's health, safety and welfare. PLAINTIFF has no adequate remedy at

18 law, and unless DEFENDANT U.S. Bank National Association is permanently enjoined and

19 restrained by order of this Court, DEFENDANT U.S. Bank National Association will continue to

20 commit the acts of unfair competition described herein, thereby causing further irreparable injury to

21 the public's health, safety and welfare.

22 SECOND CAUSE OF ACTION

23 Unfair and Fraudulent Business Acts and Practices Under the

24 California Business and Professions Code sections 17200 et seq.

25 (Against Defendant in Its Representative Capacity Only)



28 76

COMPLAINT

1 A. "Unfair" and "Fraudulent" Business Acts and Practices

2 142. By defining unfair competition to include also any "unfair" or "fraudulent" business

3 act or practice, the UCL sweeps within its scope acts and practices not specifically proscribed by any

4 other law.

5 143. The "unfair" prong of Section 17200 provides an independent basis for relie£ It is

6 not necessary, therefore, for a business practice to be "unlawful" in order to be subject to an action

7 under the unfair competition law. In general the "unfairness" prong has been used to enjoin

8 deceptive or sharp practices.

9 144. The courts of this state have adopted several tests for determining whether a business

10 act or practice is unfair:

11

12

13

14

15

16

17

18

19

20

21

22

23

24

25

26

27

28

A. A business practice is unfair "when that practice 'offends an established public policy

or when the practice is immoral, unethical, oppressive, unscrupulous or substantially

injurious .... "' (State Farm Fire & Casualty Co. v. Superior Court (1996) 45

Cal.App.4th 1093, 1104, quoting People v. Cas a Blanca Convalescent Homes, Inc.

(1984) 159 Cal.App.3d 509, 530.)

B. Another "test of whether a business practice is unfair involves an examination of [that

practice's] impact on its alleged victim, balanced against the reasons, justifications

and motives of the alleged wrongdoer. In brief, the court must weigh the utility of the

Defendant's conduct against the gravity of the harm to the alleged victim .... "

(State Farm Fire & Casualty Co. v. Superior Court, supra, 45 Cal.App.4th at pp.

1103-1104 [citations and internal quotation marks omitted].)

C. It also is an unfair business practice when the Defendant's conduct "threatens an

incipient violation of [a law], or violates the policy or spirit of [a law] because its

effects are comparable to or the same as a violation of the law, or otherwise·

significantly threatens or harms competition." (Cel-Tech Communications, Inc. v.

Los Angeles Cellular Telephone Co. (1999) 20 Cal.4th 163, 187; see also Scripps

Clinic v. Superior Court (2003) 108 Cal.App.4th 917, 939.)

77

COMPLAINT

1

2

3

4

5

6

7

8

D. More recently, one Court of Appeal has fashioned a test for determining whether a

practice is unfair based upon section 5 of the Federal Trade Commission Act (15

U.S.C. § 41 et seq.). Under this test, "[ a]n act or practice is unfair if [1] the consumer

injury is substantial, [2] is not outweighed by any countervailing benefits to

consumers or to competition, and [3] is not an injury the consumers themselves could

reasonably have avoided." (Daugherty v. American Honda Motor Co., Inc., 144

Cal.App.4th 824, 839 [bracketed numbers added]; see also Camacho v. Automobile

Club of Southern California (2006) 142 Cal.App.4th 1394, 1403.)

9 145. The "fraudulent" prong of section 17200 affords protection against the probability or

10 likelihood as well as the actuality of deception or confusion. The test is whether members of the

11 public are likely to be deceived.

12 146. A UCL action alleging violations ofthe "fraudulent" prong is distinct from common

13 law fraud. A fraudulent deception must be actually false, known to be false by the perpetrator and

14 reasonably relied upon by a victim who incurs damages. None of these elements are required to

15 state a claim for injunctive relief under section 17200. This distinction reflects the UCL's focus on

16 the defendant's conduct, rather than the plaintiff's damages, in service of the statute's larger purpose

17 of protecting the general public against unscrupulous business practices.

18 B. DEFENDANT's Violations of the UCL

19 147. DEFENDANT U.S. Bank National Association has violated, and continues to violate,

20 the UCL by engaging in the following "unfair" business acts and practices, among others, relating to

21 the Foreclosed Properties:

22 A. After May 20, 2009, failing to provide tenants with 90 days notice to vacate where

23 otherwise permitted, in violation of the Protecting Tenants at Foreclosure Act (12

24 U.S.C. § 5220).

25 B. Repeatedly attempting to vacate lawful tenants from Foreclosed Properties with no

26 legal basis to do so, in an effort to circumvent the requirements of LAMC sections

27 49.90 and 151.09 and U.S. Code ofFederal Regulations, title 24, section 982.310.

28 78

COMPLAINT

1

2

3

4

5

6

7

8

9

10

11

12

13

14

15

16

17

18

19

20

21

22

23

24

25

26

27

28

C. Repeatedly causing and permitting tenants to be removed and/or attempting to

remove tenants from their rental units without paying them adequate relocation fees,

in an effort to circumvent the requirements of the RSO. (LAMC, § 151.09, subd.(g).)

D. Threatening incipient violations of the aforementioned state laws and violating the

public policy embodied in the spirit ofthose laws.

E. Violating the established public policy of the State of California, which, among other

things, seeks to avoid the creation and maintenance ofpublic nuisances, to protect

tenants from having to reside in uninhabitable rental units, to maintain the affordable

housing stock and to prevent actual and constructive unlawful evictions.

F. Causing and permitting the commencement of unlawful detainer actions that were

later dismissed or decided in favor of the tenant, without probable cause and in bad

faith.

G. DEFENDANT U.S. Bank National Association's conduct as described in this

Complaint has been immoral, unethical, oppressive, and unscrupulous in that

DEFENDANT U.S. Bank National Association has, among other things,

intentionally, negligently and recklessly failed to maintain occupied premises in safe,

sanitary and habitable conditions, allowed vacant properties to become public

nuisances that have contributed to the deterioration of whole neighborhoods and

communities and have forced low income tenants from their homes without a basis in

law or fact.

H. Applying and balancing the factors of Section 5 of the Federal Trade Commission

Act (15 U.S.C. § 45): (i) the injury to tenants living in DEFENDANT U.S. Bank

National Association's properties has been substantial, as hundreds of tenants have

been forced to live in uninhabitable rental units and to endure DEFENDANT U.S.

Bank National Association's violation of their rights, and the surrounding

communities have been subjected to hazards engendered by the nuisance conditions;

(ii) these injuries are not outweighed by any countervailing benefits to such victims in

79

COMPLAINT

1

2

3

4

5

6

7

8

that DEFENDANT U.S. Bank National Association could have renovated the

properties without causing tenants to live in uninhabitable units, or the surrounding

conununities to be exposed to nuisance conditions or violating their rights; and (iii)

the injuries to tenants from living in uninhabitable rental units and being subjected to

violations of their rights, and the injury to the surrounding conununities from being

exposed to nuisance conditions, are not ones these victims could have reasonably

avoided, as they have no ability to control the condition of DEFENDANT U.S. Bank

National Association's buildings or the actions of DEFENDANT U.S. Bank National

9 Association in violating their rights.

10 148. DEFENDANT U.S. Bank National Association has further violated, and continues to

11 violate, the UCL by engaging in the following "fraudulent" business acts and practices, among

12 others, relating to the Foreclosed Properties: false and misleading statements, including, but not

13 limited to, threatening letters and notices sent to tenants that falsely represented bases for eviction,

14 contained misleading statements and omitted information regarding tenants' rights in the event of a

15 foreclosure sale.

16 149. DEFENDANT U.S. Bank National Association's acts of unfair competition present a




20 conunit the acts of unfair competition described herein, thereby causing further irreparable injury to


22 TIDRD CAUSE OF ACTION

23 Violations of Los Angeles Municipal Code section 11.00, subdivision (I)

24 (Against Defendants in Its Individual and Representative Capacities)



27

28 80

COMPLAINT

1 151. Any violation of any provision of the LAMC is deemed to be a public nuisance.

2 (LAMC, § 11.00(1).) LAMC section 11.00, subdivision (I) provides in relevant part that: "Violations

3 of this Code are deemed continuing violations and each day that a violation continues is deemed to

4 be a new and separate offense and subject to a maximum civil penalty of $2,500 for each and every

5 offense." Every repetition of a continuing nuisance is a separate wrong for which the person injured

6 may bring successive actions for damages until the nuisance is abated.

7 152. As described more fully above, DEFENDANT U.S. Bank National Association has

8 caused, permitted and maintained, and continue to cause, permit and maintain, conditions at the

9 Foreclosed Properties that have violated the following sections of the LAMC:

10

11

12

13

14

15

16

17

18

19

20

21

22

23

24

25

26

27

28

A. LAMC section 12.2l.A.8, subdivisions (a) and (b), and section 12.2l.C.l. subdivision

(g), relating to the improper use and storage of automobiles.

B. LAMC section 91.1000 (adopting by reference California Building Code sections

1008.1.9 and 1029.4), relating to impeded exits.

C. LAMC section 91.900 (adopting by reference California Building Code sections

907.2.11.2 and 907.2.11.4), relating to improper installation of smoke detectors.

D. LAMC section 91.1200 (adopting by reference California Building Code sections

1203.1, 1203.3 and 1203.4), relating to inadequate ventilation of interior spaces.

E. LAMC sections 91.3109 (adopting by reference California Building Code section

31 09.4.3) and 91.8118, relating to improper maintenance of swimming pools.

F. LAMC sections 3401.2 and 91.8104 (adopting by reference California Building Code

section 340 1.2), relating to the failure to maintain buildings and premises in safe and

sanitary condition.

G. LAMC sections 93.0104 and 93.0312, relating to installation, operation and

maintenance of electrical systems and equipment that do not comply with all

applicable provisions of the Electrical Code, including, but not limited to, the

maintenance of abandoned wiring.

81

COMPLAINT

1

2

3

4

5

6

7

8

9

10

11

12

H. LAMC section 94.300.0 (adopting by reference California Plumbing Code sections

301.1.1, 301.1.4 and 303.0), relating to the installation, operation and maintenance of

defective plumbing and improper disposal of waste.

I. LAMC section 94.500 (adopting by reference California Plumbing Code section

510.2.1 ), relating to the failure to properly secure water heaters.

J. LAMC section 95.104 (adopting by reference California Mechanical Code section

104.4), relating to the failure to maintain heating, ventilating, air-conditioning and

refrigeration equipment in safe, proper and hazard-free condition.

K. LAMC sections 91.8904 and 98.0701, et seq., relating to the failure to clean, fence,

barricade, post the required notice at and file the required Statement oflntent for

vacant buildings.

L. LAMC sections 49.90 and 151.09, relating to the unlawful eviction of tenants.

13 153. As a consequence of the foregoing, DEFENDANT U.S. Bank National Association

14 should be permanently enjoined and restrained by order of this Court from violating tenants' rights

15 and permitting such conditions to exist at the Foreclosed Properties, pursuant to LAMC section

16 11.00, subdivision(!).

17 154. DEFENDANT U.S. Bank National Association's violations of the LAMC present a




21 commit the violations of the LAMC described herein, thereby causing further irreparable injury to


23 155. As a further consequence of the foregoing, DEFENDANT U.S. Bank National

24 Association is jointly and severally liable for the payment of a civil penalty of $2,500 for each day it

25 caused or permitted each LAMC violation at each of the Foreclosed Properties, pursuant to LAMC

26 section 11.00, subdivision(!).

27

28 82

COMPLAINT

1 PRAYER FOR RELIEF

2 Wherefore, the PEOPLE pray that:

3 1. Pursuant to Business and Professions Code sections 17203 and 17204 and the

4 equitable powers of the Court, DEFENDANT U.S. Bank National Association and DOES 1 through

5 2500, together with their officers, employees, agents, representatives, attorneys, contractors and all

6 persons acting on behalf of or in concert with them, be provisionally and permanently enjoined from

7 committing, causing, permitting, aiding, abetting and conspiring to commit the unlawful, unfair and

8 fraudulent business acts and practices described herein.

9 2. Pursuant to LAMC section 11.00, subdivision (!)and the equitable powers of the

10 Court, DEFENDANT U.S. Bank National Association and DOES 1 through 2500, together with

11 their officers, employees, agents, representatives, attorneys, contractors and all persons acting on

12 behalf of or in concert with them, be provisionally and permanently enjoined from committing,

13 causing, permitting, aiding, abetting and conspiring to commit the violations of the LAMC described

14 herein.

15 3. Pursuant to Business and Professions Code sections 17203 and 17204, LAMC section

16 11.00, subdivision (I) and the equitable powers of the Court, DEFENDANT U.S. Bank National

17 Association and DOES 1 through 2500, together with their officers, employees, agents,

18 representatives, attorneys, contractors and all persons acting on behalf of or in concert with them, be

19 ordered to take all reasonable measures to prevent and avoid the commission of the unlawful, unfair

20 and fraudulent business acts and practices and other violations oflaw described herein, such

21 measures to include, without limitation: (A) register all Foreclosed Properties in accordance with

22 the FRO; (B) provide a complete inventory of all Foreclosed Properties, to be updated on a monthly

23 basis; (C) irispect all Foreclosed Properties to determine compliance with all applicable habitability,

24 tenancy and nuisance laws; (D) ensure that all Foreclosed Properties are brought into timely

25 compliance with all applicable habitability, tenancy and nuisance laws; (E) refrain from filing

26 unlawful detainer cases, serving notices to quit, offering to pay cash for keys, sending threatening

27 letters, making false and misleading representations and engaging in any other action causing tenants

28 83

COMPLAINT

1 of foreclosed rental units to vacate for any reason other than one or more of the twelve grounds

2 specified in the RSO, LAMC section 151.09; and (F) designate at least one full-time senior

3 employee to manage all Foreclosed Properties in accordance with these injunctive terms.

4 4. Pursuant to Business and Professions Code sections 17203 and 17204 and the

5 equitable powers of the Court, DEFENDANT U.S. Bank National Association and Does 1 through

6 2500 be ordered to pay restitution to any person deprived of money or property as a result of the

7 unlawful, unfair and fraudulent business acts and practices described herein.

8 5. Pursuant to Business and Professions Code section 17206, DEFENDANT U.S. Bank

9 National Association and DOES 1 through 2500 be jointly and severally assessed a civil penalty of

I 0 $2,500 for each violation of the UCL that they committed, caused, permitted, aided, abetted, or

11 conspired to commit relating to any Foreclosed Property.

12 6. Pursuant to Business and Professions Code section 17206.1, DEFENDANT U.S.

13 Bank National Association and DOES 1 through 2500 be jointly and severally assessed an additional

14 civil penalty of$2,500 for each violation of the UCL that they committed, caused, permitted, aided,

15 abetted, or conspired to commit relating to any Foreclosed Property against a senior citizen or

16 disabled person.

17 7. Pursuant to LAMC section 11.00, subdivision (1), DEFENDANT U.S. Bank National

18 Association and DOES 1 through 2500 be jointly and severally assessed a civil penalty of $2,500 per

19 day for each violation of the LAMC that they committed, caused, permitted, aided, abetted, or

20 conspired to commit relating to any Foreclosed Property.

21 II

22 II

23 II

24 II

25 II

26 II

27

28 84

COMPLAINT

1

2

3

4

5

6

7

8

9

10

11

12

13

14

15

16

17

18

19

20

21

22

23

24

25

26

27

28

8.

9.

and proper.

PLAINTIFF to recover the costs of this action.

PLAINTIFF to be granted such other and further relief as the Court may deem just

Dated: July 16,2012

CARMEN A. TRUTANICH, City Attorney TINA HESS, Assistant City Attorney SUZANNE SPILLANE, Supervising Deputy City Attorney JANET KARKANEN, Deputy City Attorney JULIA FIGUEIRA-MCDONOUGH, Deputy City Attorney OFFICE OF THE LOS ANGELES CITY ATTORNEY CRIMINAL BRANCH

By~ __..-----TinaH~s Attorneys for Plaintiff The People of the State of California

85

COMPLAINT

PEOPLE of the STATE of CA v US Bank National Association as Trustee-Several Trust_LA CA-1

Documents

Transcript of PEOPLE of the STATE of CA v US Bank National Association as Trustee-Several Trust_LA CA-1