Bailey Glasser Wins Class Certification in Litigation Against Dovenmuehle Mortgage

Bailey & Glasser, LLP has successfully secured class certification in Custer v. Dovenmuehle Mortgage, Inc., a North Carolina federal lawsuit challenging Dovenmuehle Mortgage Inc.’s (“DMI”) “pay-to-pay” fees charged borrowers making loan payments by phone. In this matter, we have alleged that DMI unlawfully collected fees from mortgage holders paying mortgages by phone (up to $15 per payment per month), in violation of the North Carolina Debt Collection Act and the North Carolina Unfair and Deceptive Trade Practices Act.

On December 18, 2025, the U.S. District Court for the Middle District of North Carolina, pursuant to an opinion by Chief District Judge Catherine C. Eagles, certified a class of North Carolina residents who paid their DMI fees over the phone, finding that “a class action will allow finality for all members of the class” and noting “[a]ll putative class members have mortgages on North Carolina property that are serviced by DMI, and all allege the same injury under the same two North Carolina statutes.”

The Bailey Glasser team in this case is led by partners James Kauffman and John Barrett, along with litigators Bart Cohen, Allison Bruff, Trish Kipnis, Jonathan Marshall, and paralegal Brittany Murray. Our co-counsel in this case includes the law firms of Tycko & Zavareei LLP, and Klein & Sheridan, LCPC.

To read the court’s opinion, visit this link.