A man sued Bank of America for erroneously foreclosing on his home and won. When they didn’t pay the fees, he foreclosed their bank.

Man Forecloses on Bank of America After Wrongful Foreclosure

2k viewsPosted 11 years agoUpdated 3 hours ago

In 2009, Warren and Maureen Nyerges bought a home in Golden Gate Estates, Naples, Florida for $165,000. They paid cash. No mortgage. No bank loan. The house was entirely theirs.

So imagine their surprise when Bank of America tried to foreclose on it in 2010.

A Foreclosure That Made No Sense

The Nyerges had never done business with Bank of America. They didn't owe the bank a single penny. Yet there it was: a foreclosure notice on a home they owned outright.

Warren made phone calls. He wrote certified letters to the bank president. The response? Radio silence.

Left with no choice, he hired attorney Todd Allen. Two months later, in December 2010, a judge dismissed the foreclosure and ordered Bank of America to pay $2,500 in legal fees to compensate the couple for the nightmare they'd been put through.

The Bank Still Wouldn't Pay

But here's where it gets interesting. The bank simply ignored the court order. For five months, the Nyerges and their attorney made calls and sent letters demanding payment. Bank of America acted like the judgment didn't exist.

So Allen went back to court and obtained a writ of execution—a legal document that gave them the right to seize Bank of America's assets to satisfy the debt.

In June 2011, Warren and Maureen Nyerges walked into a Bank of America branch on Davis Boulevard with some unusual companions: their lawyer, two sheriff's deputies, and workers from a moving company.

Turnabout Is Fair Play

The scene was remarkable. The couple and their team started pointing out items to seize: desks, computers, office furniture, filing cabinets. And most importantly, the cash drawers.

"We'd physically remove the furniture from the bank, if necessary," Allen explained matter-of-factly. The movers were ready to load everything into trucks.

Suddenly, Bank of America found a way to cut that check. The bank manager hastily produced payment for the full amount owed. Problem solved.

"Having two sheriff's deputies sitting across your desk and a lawyer standing up behind them demanding whatever assets are in the bank can be intimidating," Allen told reporters. "But so is having your home foreclosed on when it wasn't right."

He called it "sweet justice."

The Bigger Picture

The Nyerges case wasn't isolated. During the 2008-2012 foreclosure crisis, banks made numerous errors, sometimes foreclosing on homes where no mortgage existed or where payments were current. The difference? Most people couldn't afford to fight back.

Warren and Maureen Nyerges could. And when they won, they didn't just accept the bank's refusal to comply with a court order. They used the same legal system that nearly took their home to hold the bank accountable.

The story went viral, covered by NPR, ABC News, CBS News, and TIME. It resonated because it flipped the script: for once, the little guy actually won against a massive financial institution. And they did it using the bank's own playbook.

Frequently Asked Questions

Did someone really foreclose on Bank of America?
Yes. In June 2011, Warren and Maureen Nyerges of Naples, Florida obtained a court order to seize assets from a Bank of America branch after the bank wrongly foreclosed on their mortgage-free home and refused to pay court-ordered legal fees.
Why did Bank of America foreclose on a house with no mortgage?
It was an error during the 2008-2012 foreclosure crisis. The Nyerges had paid cash for their home and never had a mortgage with Bank of America or any other lender, yet the bank still attempted to foreclose.
What happened when the homeowner foreclosed on Bank of America?
Warren Nyerges brought sheriff's deputies and movers to a Bank of America branch to seize furniture, computers, and cash. When staff saw deputies and movers preparing to remove assets, the bank immediately wrote a check for the $2,500 they owed.
How can you foreclose on a bank?
After winning a court judgment, if the losing party doesn't pay, you can obtain a writ of execution allowing you to seize their assets. This legal process works the same whether the debtor is a person or a corporation like a bank.
Who was the man who foreclosed on Bank of America?
Warren Nyerges and his wife Maureen from Golden Gate Estates in Naples, Florida. They purchased their home with cash in 2009 and successfully fought back when Bank of America wrongfully attempted foreclosure in 2010.

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