LAYTON -- A Layton man's $1.1 million complaint against the J.P. Morgan Chase Bank in U.S. District Court, on claims the bank held his home mortgage payment for five months, has been set for jury trial.
A 10-day trial for the complaint has been set for Jan. 23, 2012, in U.S. federal court in Salt Lake City, according to documents filed with the court.
The original complaint to recover $1,148,984 in actual damages, and punitive damages, was submitted to the court June 1, 2010, by Layton attorney James Nichols.
Nichols, who could not be reached for comment, is representing David Longfellow, of Layton.
On Friday, a Chase Bank representative said Longfellow's money has since been reapplied to the loan.
The bank representative declined any further comment due to the pending litigation.
Neither Longfellow nor Salt Lake City Attorney Steve Tingey, who represents Chase Bank, could be reached for comment.
The court complaint claims Longfellow suffered damages as a direct result of Chase Bank's fraudulent misrepresentation, including damage to his credit rating, interest and fees accrued and the lost opportunity cost of having more than $945,000 of his money tied up with Chase Bank for five months, including interest and investments, and loss of bargain.
On or about Dec. 21, 2010, Longfellow made arrangements to pay his home mortgage loan balance to Chase Bank for $472,500, based on a court summary.
The following day Longfellow drove to the Chase Bank branch in Layton, where he was directed to make his deposit for payment with the teller.
Longfellow provided a cashier's check for $472,500 to the teller, telling her it was to pay off his mortgage with the bank. The teller took the deposit and advised him it would be applied to his mortgage immediately and the payoff would show up on the next billing cycle.
However, when the next statement from the bank arrived in January 2010, it did not reflect that payoff or any payment received at all, but instead reflected several missed payments and an invitation to participate in yet another mortgage modification program.
After several attempts to contact the bank about the discrepancy, Longfellow gave up because no one could help him.
Between Dec. 22, 2009, and May 1, 2010, Chase Bank continued to charge Longfellow interest on his mortgage while refusing to refund or apply his deposit.
In addition to accruing interest on the Chase mortgage, Longfellow was also accruing interest on and making payments to Key Bank on the funds he used to finance the Chase payoff, the court document states.