UWM Sues America’s MoneyLine For $2.8 Million For Sending Loans To Rocket Mortgage And Fairway
UWM filed a lawsuit against America’s MoneyLine (AML) for $2.8 million. United Wholesale Mortgage alleges the California-based brokerage repeatedly violated their “All-In” Initiative Agreement they signed in March 2021.
UWM gave brokers an ultimatum on March 15, 2021. Mat Ishbia told brokers they had a coice. They either work with UWM exclusively or work with Rocket Mortgage and Fairway Independent Mortgage. They can’t work with all three.
UWM also fined brokers $5,000 to $50,000 per loan.
The lawsuit states AML has submitted 560 loans to Rocket and Fairway since signing the agreement. The complaint also states state that AML could have terminated the agreement with UWM before submitting the loans to Rocket and Fairway.
America’s MoneyLine CEO Shawn Nevin called the lawsuit, ““anti-competitive,” and “anti-American” and that it won’t survive judicial scrutiny.””
Nevin also alleges:
We will outline and prove in court how we were misled by ongoing assurances of nonenforcement of this non-American antitrust provision. We have lost and will continue to lose millions of dollars because of these unfounded tactics. Moreover, the broker community will get a glimpse into UWM’s true goal of seeking to control independent brokers.
Nevin also stated that many brokers are currently violating the agreement. He continued with the tough talk:
MoneyLine won’t be taking on the biggest player in the channel alone. We have spoken to other customers and brokers throughout the country who intend to stand up with us and fight this tyranny together.
Ishbia stated in a seperate interview that there are a handful of brokerages violating the agreement. Therefore confirming Nevin’s statement. However, Ishbia says these brokers have only sent 1-4 loans to Rocket and Fairway. This is nothing compared to the 560 loans that AML has sent to Rocket and Fairway.
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