Harmon v. Lighthouse Capital Funding, Inc. (In Re Harmon)

MEMORANDUM OPINION

MARVIN ISGUR, Bankruptcy Judge.

For the reasons set forth below, the Court holds: (i) the lien held by Lighthouse Capital Funding, Inc. on the Harmons’ homestead is invalid; (ii) Lighthouse is entitled to equitable subrogation in the principal amount of $986,992.06 plus 6% interest (accrued from April 23, 2008); (iii) Lighthouse must pay the Estate $179,413.91 in statutory damages under the Truth in Lending Act (“TILA”); and (iv) the Estate is entitled to reimbursement for reasonable legal fees and costs (in an amount to be determined at a post-judgment hearing) under Tex.…