Ameriquest Capital Corporation reached a tentative settlement with the plaintiffs in a class-action lawsuit filed in San Mateo County Superior Court.
However, the agreement is being challenged by Fenwick & West, who has filed a pro-bono lawsuit in U.S. District Court in San Francisco. Aaron Myers, a lead Fenwick & West attorney in the federal case, said the settlement notices sent to borrowers in the San Mateo case were vague and provided no way for them to calculate what they probably would recover. They also should have been sent out in Spanish as well as English, he said.
"This settlement allows Ameriquest to purchase broad immunity on the cheap," said Myers, who is seeking to have the settlement modified to address his concerns.