Attorney: NC Law Spawning Many Suits

Don Lampe of Womble Carlyle Sandridge & Rice says his law firm is fielding about a lawsuit a week resulting from the North Carolina predatory lending law.Most of the suits are coming from plaintiffs who allege that lenders made them high-cost loans, which may have been made unwittingly, Mr. Lampe told a Las Vegas conference on predatory lending presented by the American Conference Institute. "It's very, very hard under the North Carolina law to do the math," said Mr. Lampe. "That's because it was the first of its kind and, even as a model, it's nowhere near perfect." Mr. Lampe said, however, that the ability to cure included in the law's flipping provision has been effective in providing an alternative to lawsuits in disputes over refinances.