In Berry v Bank of America, No 09-14081 (ED Mich, Dec 16, 2009) the Eastern District of Michigan held that Michigan does not recognize predatory lending as an independent cause of action.  In this case, a homeowner sued the lender alleging several violations of state and federal law:  (1) violation of the Truth in Lending Act (TILA); (2) a violation of Michigan’s usury statute; and (3) a state law predatory lending claim.  The homeowner alleged that the lender violated TILA because the lender had overstated her income and extended credit to her without regard to ability to repay the loan.  The homeowner also alleged that the lender engaged in predatory lending in conducting the credit transaction. The court dismissed the homeowner’s TILA and usury claims on other grounds.  As to the predatory lending claim, the court held “to the extent that [the homeowner] argues that predatory lending should be a viable state-law cause of action, this Court holds that Michigan does not recognize such a claim.”