Longbridge, Mutual Of Omaha Move To Dismiss Reverse Mortgage Marketing Lawsuit

Two of the nation’s largest reverse mortgage lenders, Longbridge Financial and Mutual of Omaha Mortgage, have asked a federal judge to dismiss a lawsuit over alleged improper advertising practices, ending a dispute that began in September 2024.

According to a joint filing on Tuesday in the U.S. District Court for the Southern District of California, the companies agreed to dismiss “each and every claim and cause of action” in the case, including counterclaims, effective immediately. The filing states that the parties will bear their own costs and seeks dismissal with prejudice, meaning that Longbridge cannot refile a case with the same claims in the future.

Representatives for Longbridge and Mutual of Omaha did not immediately respond to HousingWire‘s Reverse Mortgage Daily requests for comment.

Longbridge filed the lawsuit in September 2024, alleging that Mutual of Omaha maintained a series of deceptive websites that violated the Real Estate Settlement Procedures Act (RESPA) and guidance from the Federal Trade Commission (FTC).

The complaint alleged that websites operated by California-based Review Counsel LLC and Delaware-based Advisory Institute LLC — entities also named as defendants — presented ratings of reverse mortgage lenders as if they were independent, while in fact being owned or controlled by Mutual of Omaha.

In a January 2025 response, Mutual of Omaha denied the allegations and filed counterclaims.

The company accused Longbridge of intentionally interfering with its business relationships by targeting Mutual of Omaha’s presence across the Google search ecosystem, and it alleged that Longbridge violated the same RESPA provisions it claimed Mutual of Omaha had breached.

The parties participated in private mediation in late January 2026, then filed a joint notice of settlement on Feb. 12, court records show. A confidential, formal settlement agreement was executed on March 8.