Heightened Standard For Pleading Fraud Met By Attaching Loan Documents To Complaint.

Plaintiffs’ complaint alleges, among other things, fraud and unfair business practices in the origination of plaintiffs’ residential mortgage loans, and negligence in the subsequent servicing of the loans, including negligent review of plaintiffs’ applications for loan modification. Plaintiffs contend the trial court erred in sustaining defendants’ demurrer when it concluded the complaint fails to allege fraud for which defendants are responsible and in concluding that defendants owed no duty of care to the plaintiffs in the review of their applications for a loan modification. Throughout its opinion, the appellate court discusses the holding in Boschma v. Home Loan Center, Inc. (2011) 198 Cal.App.4th 230, [129 Cal.Rptr.3d 874], when it concluded that, although it is not well drafted, plaintiff’s operative complaint alleges fraud and that the heightened pleading standard for fraud was satisfied by plaintiff’s attaching copies of their notes and truth in lending disclosure statements to their complaint. (Alvarez v. BAC Home Loans Servicing, L.P. (Cal. App. First Dist., Div. 3; August 7, 2014) 228 Cal.App.4th 941, [176 Cal.Rptr.3d 304].)