The firm is open to taking on clients who can demonstrate that they have been wrongfully denied a loan modification under the terms of the Obama administration's Home Affordable Mortgage Program or HAMP, or where the loan service has failed comply with the mandatory provisions of HAMP.

A new legal theory is emerging that may assist homeowners in receiving proper and fair consideration for a loan modification.  While you are not entitled to a loan modification, you may have the contractual right to be fairly considered pursuant to the published guidelines and directives issued by Fannie Mae and the Treasury Department. 

Understand the context of this emerging legal theory.  Over the last year, most loan servicers have entered into a contract with Fannie Mae as the agent for the U.S. Treasury department.  An actual contract sample is attached: http://www.consumerlaw.org/issues/financial_distress/content/loan_modification/RGMortgageCorporation.pdf

The contract's terms includes the published guidelines and directives published by the government.  Some of the guidelines are discretionary and some are mandatory.   The legal question is:  did the government and the loan servicers intend that borrowers are the "intended" beneficiaries to the contract?  If so, such a third party beneficiary can sue to enforce the performance of the contract.  

To date, I know of three federal cases moving this theory through the courts.  All three have faced motions to dismiss by loan servicers.  One motion succeeded, one failed and the third, a class action suit, is pending. 

Under the right facts, with the right judge...the theory should work to get a consumer a fair chance at a loan mod.  These days, good faith consideration for loan modification is the exception, and not the rule.