EasyKnock Files Suit Against Feldman & Feldman to Protect Customers

HOUSTON, Nov. 16, 2021 /PRNewswire/ -- EasyKnock, the leading residential sale-leaseback solution, announced today that the company has filed suit against Feldman & Feldman P.C. in the United States District Court for the Southern District of Texas seeking injunctive relief against Feldman & Feldman P.C. and attorneys Cristen D. Feldman and David M. Feldman.  The lawsuit alleges causes of action for defamation and tortious interference stemming from Feldman's campaign to solicit EasyKnock's customers through direct solicitations and a website maintained by Feldman.

Feldman is targeting EasyKnock's Sell and Stay sale-leaseback program.  Sell and Stay allows a homeowner to sell their home to EasyKnock at a market price, and lease the home back at a market rate as a tenant of EasyKnock. Tenants of EasyKnock have an option to either: (a) repurchase their home at a fixed, previously agreed upon price; or (b) request EasyKnock sell the home based on its market value. Upon a sale, EasyKnock tenants receive the proceeds from the sale, less amounts already paid by EasyKnock to the tenant in connection with the EasyKnock's purchase of the home, along with certain other fees and costs. Operationally, EasyKnock's practices rely on a host of customer-driven principles that are designed to provide protection and security for EasyKnock's customers, including those outlined below.

a. Fair-Market Purchase Price: EasyKnock makes purchase offers for homes that are based on market value using third-party appraisals as its guide.

b. Fair-Market Rent: EasyKnock charges Sell and Stay tenants market-rate rent and performs due diligence with customers to ensure that they have the cash flow to successfully make rent payments. Such market-rate rent is determined using third-party information for similar homes in the region.

c. Customer Control: EasyKnock empowers its customers to control the next step that makes sense for their personal situation, whether that is remaining as a tenant; repurchasing the home; or requesting EasyKnock sell the home. Customers are allowed to exit their leases at any time, for any reason, at no cost or penalty.

d. Eviction Avoidance: EasyKnock makes great effort to avoid eviction with tenants through a variety of customer-first resolution methods and only relies on eviction as a last resort.

"EasyKnock stands by its mission to help homeowners achieve financial freedom by accessing the value of their home in a flexible and consumer friendly manner and categorically denies the statements being made by Feldman," said Jarred Kessler, EasyKnock Founder and CEO.

The lawsuit alleges that on Feldman's webpage, Feldman has published statements that EasyKnock believes are misstating EasyKnock's business model and are thus misleading EasyKnock's customers and interfering with EasyKnock's relationships with its customers.  The lawsuit also alleges that Feldman is targeting with particularity all of EasyKnock's customers in Texas by mailing them letters to their household inviting them to retain Feldman to take legal action against EasyKnock.

"The egregious actions taken by Feldman puts our customers at risk, and that is something we will not stand for," said Kessler.  "Feldman's actions wrongfully attack our core values as a company which endeavors to empower our customers."

"EasyKnock remains committed to protecting our customers and will fight vigorously against this campaign by Feldman," said Kessler.

As Andy Williams, CEO of RECON and Board Member of Texas State Affordable Housing Corporation, said, "EasyKnock removed the friction and provides the American homeowner to transition with both flexibility and peace of mind. Giving them two things: capital and time." 

"Prior to EasyKnock disrupting the sale model to the residential space; homeowners had one option: sell your house and move up or down to truly tap hard earned equity."

One EasyKnock customer who was facing financial hardships due to the COVID-19 pandemic said she was behind on her rent payments, but EasyKnock's customer service team worked with her to make sure she would not lose her home.

"As long as communication is open and honest, this company will do what they can in order to help you, especially in these unpredictable times," said the EasyKnock customer.

About EasyKnock
EasyKnock is the first technology-enabled residential sale-leaseback company in the U.S. Through its innovative products, EasyKnock provides American homeowners new, unique solutions to convert the equity in their home by selling their property to EasyKnock while being able to stay in the home as a renter. EasyKnock's programs offer flexibility and control, providing proceeds and time to help customers achieve their goals. Headquartered in New York City, EasyKnock currently provides its innovative financial products to homeowners across the U.S.

SOURCE EasyKnock