PHH Mortgage Corp. v. Ramsey
Ohio Court of Appeals
17 N.E.3d 629 (2014)
Ramsey (defendant) made mortgage payments online through PHH's (plaintiff) website for six years, sometimes hitting error messages that PHH always let him resolve with a later successful attempt; in August 2009, an error-message payment never processed despite repeated tries, a PHH help line assured him it would be handled, and PHH neither cashed nor returned a mailed check he sent with an explanatory letter. PHH then filed for foreclosure, arguing electronic payment was never a mortgagor's contractual right; the trial court ruled for Ramsey, finding PHH had waived any objection to electronic payment by accepting it for six years, and PHH appealed.
Whether a party is estopped from asserting a contractual right when its own conduct has been inconsistent with claiming that right, to the other party's prejudicial reliance.