Benko v. Quality Loan Service Corp.
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The Supreme Court affirmed the judgment of the district court dismissing Appellants' putative class action alleging that Respondents, current or former Nev. Rev. Stat. Chapter 107 trustees, engaged in unlicensed debt collection agency activities by pursuing nonjudicial foreclosures on their homes, holding that Appellants did not plead a cognizable cause of action.
In dismissing the complaint the district court found that the plain language of Chapter 107 authorized the actions allegedly performed by Respondents. The Supreme Court affirmed, holding (1) the legislature did not intend that deed of trust trustees be subjected to Nev. Rev. Stat. Chapter 649 licensing requirements when they are engaged in nonjudicial foreclosures; and (2) because Appellants' allegations fell within the bounds of Chapter 107, Appellants did not plead a cognizable cause of action.
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