loanDepot Dismisses Movement Mortgage Poaching Case

Mortgage lenders loanDepot and Movement Mortgage have agreed to end a one-year dispute over the poaching of employees, according to a document filed Friday in a district court in Delaware.  

California-based loanDepot originally accused Movement Mortgage, based in South Carolina, of “recruiting and hiring” its employees in June 2023, claiming that it was “effectively crippling certain of [loanDepot’s] now-depleted branches and substantially damaging their business.”

The companies consented to a motion to dismiss the lawsuit with prejudice, which prevents the plaintiff, loanDepot, from refiling the same claim in that court. They also agreed that each party would cover its own attorney's fees and costs.

loanDepot previously claimed Movement Mortgage hired more than 25 of its employees in a three-month period. A spokesperson from the company declined to comment publicly about the case.

Movement Mortgage did not reply to a request for comment at the time of publication.