DANIEL MCSWAIN, Trustee of the Daniel S. McSwain Trust dated July 17, 2012, on behalf of the trust and all others similarly situated, and the general public v. AXOS BANK, fka BANK OF INTERNET USA

Case No. 37-2019-00015784-CU-BC-CTL

Superior Court of California, County of San Diego

IF YOU OBTAINED A LOAN FROM AXOS BANK (“AXOS”) AND/OR HAD A LOAN SERVICED BY AXOS AT ANY TIME FROM MARCH 25, 2015 UNTIL JULY 22, 2020 WHICH WAS SECURED BY A ONE-TO-FOUR-FAMILY RESIDENTIAL PROPERTY LOCATED IN THE STATE OF CALIFORNIA AND HAD AN ESCROW OR IMPOUND ACCOUNT ON SUCH LOAN THAT RECEIVED MONEY IN ADVANCE FOR PAYMENT OF TAXES AND ASSESSMENTS ON THE PROPERTY, FOR INSURANCE, OR FOR OTHER PURPOSES RELATING TO THE PROPERTY, YOU MAY BE ENTITLED TO A CASH PAYMENT.

Please read this website carefully, your legal rights may be affected.

This Settlement resolves a lawsuit against Axos alleging that Axos violated section 2954.8(a) of the California Civil Code because it failed to pay borrowers a minimum of 2% simple interest per annum on the amounts in the escrow accounts for loans serviced or issued by Axos secured by 1-4 unit residential properties located in California.

Axos denies the allegations, denies engaging in any wrongdoing and specifically contends that section 2954.8(a) of the California Civil Code is preempted by federal law. Nonetheless, it has agreed to settle this action to avoid the cost and uncertainty of litigation. The parties have reached a settlement that would provide monetary recovery to the settlement class members in exchange for a waiver and release of their claims. By participating in the Settlement, you waive and release any claims against Axos concerning the allegations in the lawsuit.

Detailed information about the Settlement Agreement is available in the Frequently Asked Questions and Documents section of this website.

YOUR OPTIONS AND IMPORTANT DEADLINES IN THIS SETTLEMENT
DO NOTHING	If you do nothing, you will automatically receive a payment pursuant to the terms of the Settlement Agreement and you will also give up your right to sue Axos on your own regarding any claims that are part of the Settlement.
EXCLUDE YOURSELF FROM THE SETTLEMENT CLASS BY OCTOBER 26, 2020	If you ask to be excluded, you will not be bound by what the Court does in this case and will keep any right you may have to sue Axos separately about the legal claims in this lawsuit. If there is a recovery in this case, including under the proposed Settlement, you will not share in that recovery.
OBJECT OR COMMENT BY OCTOBER 26, 2020	You may file a written Objection no later than October 26, 2020 and/or appear at the Final Approval Hearing to tell the Court why you believe the proposed Settlement is unfair, unreasonable, or inadequate. If you ask to be excluded from the Class (i.e., “opt out”), you may not file an Objection.
FINAL APPROVAL HEARING NOVEMBER 25, 2020 AT 9:00 A.M.	The Court has scheduled a Final Approval hearing for November 25, 2020 at 9:00 a.m. in Department 73 of the San Diego Superior Court, located at the Hall of Justice, 330 West Broadway, San Diego, CA 92101. At the hearing, the Court will hear objections to the settlement, if any, and will decide whether to enter an order of Final Approval approving the terms of the Settlement.