Fidelity Mortgage sells a mortgage on Doug's home to Enterprise Bank.Enterprise erroneously pays the real estate taxes on the home. When Enterprise demands reimbursment, Doug refuses, arguing that no contract exists that obligates him to reimburse the bank. What legal theory might Enterprise use to get its money from Doug? |
Was there an escrow account set up for taxes in the original loan with Fidelity? If not, chances are Doug also paid the taxes to the county unless Enterprise brought it to Doug's attention that they had already paid them. If Doug did pay them as well, the county should reimburse Enterprise. There are very few counties that will apply the overpayment to the next tax installment. Enterprise can attempt to collect from Doug, but legally nothing can be done.
