Schulken et al v. Washington Mutual Bank, Henderson, NV et al

Filing 186

ORDER by Judge Lucy H. Koh granting 185 Stipulation (lhklc2, COURT STAFF) (Filed on 1/27/2012)

Case5:09-cv-02708-LHK Document185 Filed01/25/12 Page1 of 5

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GEORGE G. WEICKHARDT (SBN 58586)
WENDY C. KROG (SBN 257010)
ROPERS, MAJESKI, KOHN & BENTLEY
201 Spear Street, Suite 1000
San Francisco, CA 94105-1667
Telephone: [phone]
Facsimile: [phone]
[e-mail]
[e-mail]
Attorneys for Defendant,
JPMORGAN CHASE BANK, N.A.
[additional counsel appear on signature page]
Sean P. Reis (Cal. Bar. No. 184044) EDELSON
MCGUIRE, LLP
Lakeview Tower
30021 Tomas Street, Suite 300
Rancho Santa Margarita, CA 92688
Telephone: [phone]
Facsimile: [phone]
[e-mail]
Attorneys forPlaintiffs,
JEFFREY AND JENIFER SCHULKEN

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IN THE UNITED STATES DISTRICT COURT
FOR THE NORTHERN DISTRICT OF CALIFORNIA
SAN JOSE DIVISION
JEFFREY SCHULKEN AND JENIFER
SCHULKEN, individually and on behalf of a
class of similarly situated individuals,
Plaintiff,
v.
WASHINGTON MUTUAL BANK,
HENDERSON, NEVADA; JPMORGAN CHASE
BANK, N.A.,
Defendants.

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CASE NO. 5:09-cv-02708-LHK
STIPULATION AND PROPOSED
ORDER REGARDING EXTENSION
OF TIME FOR DEFENDANT
CHASE TO PROVIDE CLASS LIST
AND FOR PARTIES TO FILE
STIPULATED CLASS NOTICE
Judge: Hon. Lucy H. Koh
As Modified by the Court

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STIPULATION REGARDING EXTENSION OF TIME
FOR DEFENDANT CHASE TO PROVIDE CLASS LIST AND
FOR PARTIES TO FILE STIPULATED CLASS NOTICE

CASE NO. 5:09-cv-02708-LHK

Case5:09-cv-02708-LHK Document185 Filed01/25/12 Page2 of 5

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WHEREAS, on January 5, 2011, the Court entered an Order Granting in Part and
Denying in Part Motion to Certify Class Action (the "Order"), which required (i) Chase to
produce a class list to Plaintiffs' Counsel within 21 days of the Order, January 26, 2011; and
(ii) the parties to file a stipulated class notice within 21 days of the Order, January 26, 2011.
In this Stipulation, as described below, (i) Chase seeks an extension of time to provide the
class list because of difficulties identifying class members, a request that plaintiffs do not
oppose; and (ii) the parties seek an extension of time to agree on a joint stipulated class
notice. This Stipulation is made in good faith and not for the purposes of delaying the
litigation.

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(i) Class List

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WHEREAS, as set forth in the attached Lutchman Declaration, despite diligent
efforts, Chase has been unable to identify the members of the Inability to Verify Class or the
TILA Notice Subclass and requests additional time to review its records and provide the class
list. The Inability to Verify Class certified in the Order includes heritage WaMu customers
whose HELOC contracts state that the borrower must provide, upon the lender's request "a
current financial statement, new credit application, or both." Order p. 23. While Chase can
identify heritage WaMu customers, several heritage WaMu HELOC contracts do not have
the class language. Chase's efforts to identify class members with database queries have
identified approximately 23,000 potential heritage WaMu class members, but this number
includes HELOC agreements that do not have the class language. Chase is attempting to
locate WaMu records regarding when each of the various heritage WaMu HELOC contracts
was used, and to determine any other methods of systematically identifying class members.
In the event these efforts are not successful, Chase will have to engage in a file by file review
of HELOC agreements to determine which of the approximately 23,000 potential class
members have the class language. This effort will involve identifying and pulling the 23,000
HELOC contracts for the potential class members.
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STIPULATION REGARDING EXTENSION OF TIME
FOR DEFENDANT CHASE TO PROVIDE CLASS LIST AND
FOR PARTIES TO FILE STIPULATED CLASS NOTICE

Some accounts have the HELOC

CASE NO. 5:09-cv-02708-LHK

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contracts separately identified, while for others, identifying the HELOC contract will involve
a page-by-page review of imaged loan files. After identifying the contracts, Chase will have
to engage additional personnel to review and categorize the accounts with the class language.
Chase estimates that it will take 5 to 10 minutes per account to identify and review the
HELOC contracts. Because Chase has been unable to identify the members of the Inability
to Verify Class, it has been similarly unable to identify the TILA Notice Subclass and
identifying the subclass will also involve additional efforts. Of the approximately 23,000
potential class members, there are also approximately 3,600 borrowers whose accounts were
suspended after review under the 4506-T program, and those accounts that are confirmed to
be members of the Inability to Verify class will have to be reviewed individually to
determine whether those borrowers were ever subject to prior suspensions for incomplete
responses, which would make them members of the TILA Notice Subclass. Chase estimates
that the review for the TILA Notice Subclass would take approximately 5 minutes for each
individual borrower's account to make this determination.

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WHEREAS, given these difficulties in identifying class members, Chase requests that

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the Court vacate the January 26, 2012 deadline for identifying class members and allow

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Chase to report to the Court on the status of the progress of identifying class members at the

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scheduled February 15, 2012 Case Management Conference. Chase continues to devote

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substantial resources to completing this project, but cannot determine how long this process

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will take until it determines whether individual reviews of thousands of loan files are

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required to identify class members.

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WHEREAS, without stipulating to the facts in the Lutchman Declaration or as stated

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above, Plaintiffs do not oppose Chase’s request for an extension of time to provide the class
list;

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STIPULATION REGARDING EXTENSION OF TIME
FOR DEFENDANT CHASE TO PROVIDE CLASS LIST AND
FOR PARTIES TO FILE STIPULATED CLASS NOTICE

CASE NO. 5:09-cv-02708-LHK

Case5:09-cv-02708-LHK Document185 Filed01/25/12 Page4 of 5

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(ii) Joint Stipulated Class Notice

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WHEREAS, the parties continue to work on a joint stipulated class notice. Plaintiffs

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provided a draft notice on January 24, 2012, which Chase is reviewing. The parties hope to
agree on a draft, and to work out any differences regarding style or substance and avoid
briefing on the class notice. The parties request that the Court vacate the January 26, 2012
deadline for the parties to file a joint stipulated class notice and allow the parties to submit a
proposed stipulated class notice with their Joint Status Report for the scheduled Case
Management Conference on February 15, 2012.

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Respectfully submitted,

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Dated: January 25, 2012

Dated: January 25, 2012

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By:

By:

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Sean P. Reis (Cal. Bar. No. 184044)
EDELSON MCGUIRE, LLP
Lakeview Tower
30021 Tomas Street, Suite 300
Rancho Santa Margarita, CA 92688
Telephone: [phone]
Facsimile: [phone]
[e-mail]

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Attorneys forPlaintiffs,
JEFFREY AND JENIFER SCHULKEN

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/s/ Sean P. Reis

/s/ George G. Weickhardt

GEORGE G. WEICKHARDT (SBN 58586)
WENDY C. KROG (SBN 257010)
ROPERS, MAJESKI, KOHN & BENTLEY
201 Spear Street, Suite 1000
San Francisco, CA 94105-1667
Telephone: [phone]
Facsimile: [phone]
Email: [e-mail]
[e-mail]
LEANN PEDERSEN POPE
VICTORIA R. COLLADO
BURKE, WARREN, MACKAY
& SERRITELLA, P.C.
330 North Wabash, 22nd Floor
Chicago, IL 60611
Telephone: [phone]
Fax: [phone]
Email: [e-mail]
[e-mail]
Admitted Pro Hac Vice
Attorneys for Defendant,
JPMORGAN CHASE BANK, N.A.

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STIPULATION REGARDING EXTENSION OF TIME
FOR DEFENDANT CHASE TO PROVIDE CLASS LIST AND
FOR PARTIES TO FILE STIPULATED CLASS NOTICE

CASE NO. 5:09-cv-02708-LHK

Case5:09-cv-02708-LHK Document185 Filed01/25/12 Page5 of 5

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ORDER
the parties shall file a joint stipulated class
Pursuant to the stipulation, notice, along with a joint case management
statement by February 8, 2012.
IT IS SO ORDERED.
Dated: January 27, 2012
UNITED STATES DISTRICT JUDGE LUCY H. KOH
11912\00057\1084683.3

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STIPULATION REGARDING EXTENSION OF TIME
FOR DEFENDANT CHASE TO PROVIDE CLASS LIST AND
FOR PARTIES TO FILE STIPULATED CLASS NOTICE

CASE NO. 5:09-cv-02708-LHK