Settlement Demand Support: Exposure Summary
Re: FCFCU v. Rice-Velasquez
Date: January 18, 2026
Subject: Summary of Liability and Damages Exposure
1. Overview of Liability
The following summary outlines the categories of liability established by the factual record and verifiable evidence currently in our possession. This data is prepared to support a comprehensive settlement demand to resolve all claims, including potential federal civil rights and statutory causes of action.
2. Primary Exposure Drivers
A. Jurisdictional Deficit & Wrongful Foreclosure
The record demonstrates that the underlying Default Judgment (May 28, 2025) was entered without personal jurisdiction due to defective service. Consequently, the Sheriff’s Sale and subsequent Writ of Assistance were executed without lawful authority.
- Exposure: Liability for wrongful eviction, trespass, and conversion of real/personal property.
- Status: Motion to Vacate currently pending; subject to §1983 review for state-action involvement.
B. ADA Title II/III Non-Compliance
Financial Center First Credit Union (FCFCU) and its agents repeatedly denied reasonable accommodation requests for written communication, despite documented knowledge of the Defendant’s disability.
- Exposure: Statutory penalties, compensatory damages for dignitary harm, and attorney fee shifting.
- Evidence: Written refusal of accommodation; logs of exclusion from pre-foreclosure mitigation options.
C. FCRA Violations & Economic Causation
Continued reporting of adverse trade lines (foreclosure/delinquency) post-judgment and during active dispute periods has proximately caused severe downstream economic harm.
- Causation: The negative reporting directly prevented the Defendant from mitigating housing loss, forcing a specific relocation to Evansville, IN.
- Damages: “Market Severance” damages calculated based on the lost ability to service Indianapolis-based clients during the Q1 tax season revenue window.
3. Quantifiable Damage Manifest
The following categories represent objectively verifiable losses, distinct from pain and suffering:
| Category | Basis of Valuation |
|---|---|
| Professional Revenue | Historical tax season earnings vs. Q1 2026 actuals (impaired by relocation). |
| Housing Stability | Actual costs of emergency lodging (hotels) incurred due to credit-based rental denials. |
| Property Spoliation | Value of personal property lost/destroyed during the “surprise” removal and subsequent lockout. |
| Statutory Fees | Accrued attorney fees and costs recoverable under ADA/FCRA statutes. |
4. Resolution Framework
This summary serves as the basis for a global settlement discussion. The “Systemic” nature of the defects (Service, ADA, FCRA) elevates this matter beyond a routine property dispute, implicating significant institutional risk for the Plaintiff.