KBLitigation Files Class Action Against Monroe Capital

On August 6, 2025, Joseph Greenwald & Laake and Keilty Bonadio announced that they were working in tandem to pursue a class action lawsuit in the U.S. District Court for the District of Maryland. This class action targets Monroe Capital Corporation for financing and facilitating MV Realty’s national predatory scheme.

According to the lawsuit, MV Realty created “Homeowner Benefit Agreements,” which offered participants small cash payments. In return, participants would agree that MV Realty could list their properties at some point in the future. 

However, these agreements put quasi-liens on participants’ properties, locking them into 40-year agreements and compromising their equity and home ownership.

Plaintiffs Justin Keller, Hailey Kardux, and Patricia Bandy seek to represent over 38,000 victims of this scheme. 

Compromising Clients’ Largest Assets

In a statement, Drew LaFramboise of Joseph Greenwald & Laake said, “These agreements stripped homeowners of control over their property and access to equity…And Monroe Capital was the architect of this scheme’s nationwide rollout.” 

The lawsuit notes that Monroe Capital supported MV Realty’s efforts with a $40 million credit facility and oversight, allowing MV Realty to offer its “Homeowner Benefit Agreements” to homeowners in 33 states. 

The lawsuit cites this funding, claiming that Monroe Capital’s involvement was not a passive or unknowing one, but rather that Monroe Capital had direct influence over the program’s outreach as well as its marketing strategies.

Charging Financially Damaging Exit Fees

Participants who wanted to escape from the confines of a “Homeowner Benefit Agreement” with MV Realty could not leave the program easily. Plaintiff Bandy notes that MV Realty required her to pay a termination fee of over $10,000 to break her agreement. Only after she did was she able to sell her home.

Plaintiffs Keller and Kardux note that the terms of their agreement would not allow them to sell their home. They, like Bandy, would have had to pay exorbitant fees if they wanted to retake control of their property.

Thomas Keilty notes that, “For homeowners, their home is their largest asset. And homeowners are just one disaster—like the loss of a job or the illness of a loved one—from needing access to their home’s equity to stay afloat.” 

By denying homeowners’ control over such a substantial asset, MV Realty allegedly compromised those parties’ futures.

Acting on Behalf of More Than 38,000 Plaintiffs

Keilty Bonadio and Joseph Greenwald & Laake have brought forward their plaintiffs’ lawsuit under the federal Racketeer Influenced and Corrupt Organizations Act (RICO) while also citing the Sherman Antitrust Act and state consumer protection law violations.

The case, named Keller, Kardus, and Bandy v. Monroe Capital Corporation et al., is listed as Case No. 1:25-cv-02474 within the U.S. District Court for the District of Maryland. 

The attorneys with Keilty Bonadio and Joseph Greenwald & Laake hope that their efforts can provide homeowners impacted by MV Realty’s “Homeowner Benefit Agreements” with the financial support they need to overcome their losses.

About Our Team

TJ Keilty and Nick Bonadio will act on behalf of Keilty Bonadio in this case against Monroe Capital Corporation and its affiliates.

TJ Keilty has a history of tackling complex medical malpractice cases, during which he simplifies the nature of the law on behalf of clients struggling with medical injury and physical losses. He also has years of experience working on civil rights cases and False Claims Act cases.

Nick Bonadio specializes in complex civil cases and has helped clients bring catastrophic injury cases, wrongful death cases, medical malpractice cases, and product liability cases forward in court. He has also helped clients address concerns about toxic exposure.

The firm specializes in medical malpractice, civil rights, product liability, whistleblower, environmental rights, and personal injury cases. Clients who come to the firm for legal support will benefit from the individualized attention of attorneys who take pains to stay up-to-date on developing innovations in the legal field.

Keilty Bonadio Represents Victims of Fraud and Injustice

Victims of housing or financial fraud are not alone in their recovery. If you’re struggling with the consequences of someone else’s financial misconduct, contact Keilty Bonadio today.

You can trust our experienced attorneys to provide you with the legal guidance and representation you need to seek justice.