Couple says Midland Mortgage didn't give proper foreclosure notice

CHARLESTON -- A Kanawha County couple is suing Midland Mortgage Company and Midfirst Bank after they claim the companies wrongfully foreclosed on their home without giving proper notice.

Amber and Joseph Casto entered into a home-secured mortgage loan in October 2001 and at some point later, allegedly fell behind in making their payments, according to a complaint filed Aug. 26 in Kanawha Circuit Court.

In July 2010, the Castos claim they entered into a loan modification with the defendants and agreed to pay $660.82 each month from July 1, 2010, until Sept. 1, 2010.

Following the modification, the Castos made timely payments, but the payments were returned and/or not credited to their account, according to the suit.

The Castos claim the defendants unlawfully foreclosed on their home without giving them proper notice and the couple learned for the first time of the foreclosure sale when Midfirst Bank filed the instant action to evict them from their home.

The defendants breached the loan modification agreement and failed to credit payments against amounts due, according to the suit.

The Castos claim the defendants illegally foreclosed on their home.

The defendants also wrongfully slandered the Castos title to their home by taking the title through an unlawful foreclosure sale, according to the suit.

The Castos are seeking compensatory and punitive damages. They are being represented by John W. Barrett and Jonathan R. Marshall.

The case has been assigned to Circuit Judge Tod J. Kaufman.

Kanawha Circuit Court case number: 11-C-1472