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Maya V. Centex: Potential Liabilities For Developers Related To Speculative Injuries, Alexander Cheung

Golden Gate University Law Review

The Ninth Circuit’s decision in Maya v. Centex addresses the impacts of the sub-prime mortgage crisis on fiscally responsible homeowners. Maya is the first appellate decision to potentially permit homeowners to assert claims against developers for injuries related to market-wide decline in property values. In Maya, the Ninth Circuit decided only the narrow question of whether plaintiff-homeowners have constitutional standing to pursue claims against defendant-developers for injuries that were allegedly caused by the defendants’ high-risk marketing and financing behaviors. Although the Ninth Circuit did not resolve the plaintiffs’ claims, it held that the plaintiffs have constitutional standing to assert …