In a tort and contracts action alleging defendants participated in a fraudulent mortgage-flipping scheme, district court judgment is reversed where: 1) plaintiff’s suit is not barred by the Rooker-Feldman doctrine; and 2) plaintiff’s suit is not barred by claim preclusion, as claims against the borrower on the note are distinct from whether defendants committed fraud that induced plaintiff to make loans or whether defendant followed plaintiff’s prescribed closing procedures. 

Read Freedom Mortgage Corp. v. Burnham Mortgage, Inc., No. 08-3007

Appellate InformationAppeal from the United States District Court for the Northern District of Illinois, Eastern Division. Argued: June 1, 2009Decided: June 23, 2009

JudgesBefore EASTERBROOK, Chief Judge, and BAUER and EVANS, Circuit Judges.Opinion by EASTERBROOK, Chief Judge.

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