Customers of defunct pool company given break in court

Wednesday, Feb. 28, 2001 | 11:54 a.m.

A judge approved a preliminary injunction Tuesday that put on hold foreclosures against homeowners who did business with the now-defunct Cascade Pools of Las Vegas.

Twenty local plaintiffs are seeking relief in District Court because they allege they were victimized by the pool company formerly owned by Gregory Majeroff. Many of the plaintiffs claim they were stuck with unfinished pools and therefore refused to pay off their loans.

They allege that they were unaware that United Federal Financial Corp., a now-defunct company that handled some of the loans, was also owned by Majeroff. He has been accused of transferring the loans to his brother-in-law, Bruce Jobelius of Riverside, Calif., who then initiated the foreclosures. Majeroff, who lost his state contractor's license last fall, and Jobelius are both defendants in the litigation.

But Majeroff told the Sun that many of the plaintiffs have completed pools and therefore have no claims against him. He said he released many of his other customers from loan obligations after he was unable to complete their pools last year, a dilemma he blamed on the state Contractors Board and the negative publicity he received when he lost his license.

Along with granting the preliminary injunction, District Judge Allan Earl approved a compromise agreement that will require the plaintiffs to resume their loan payments next week, with the money going into an interest-bearing account.

Robert O. Kurth Jr., the attorney representing the plaintiffs, said his clients will get their money back if they win at trial, which has not yet been scheduled. If Jobelius emerges victorious, he will be able to get the money, Kurth said.

Earl gave Kurth until the end of March to file a class action lawsuit against the defendants, which also include Majeroff's former companies.

"The number I've heard could be up to 300 homes," Kurth said.

M. Nelson Segel, an attorney for Jobelius, was not immediately available for comment.

The case has already attracted the attention of state Sens. Terry Care, D-Las Vegas, and Bill O'Donnell, R-Las Vegas. The lawmakers have introduced Senate Bill 216, which would make it illegal to foreclose on a home if the loan was based on a swimming pool that has not been completed as contracted.