New York City Real Property Litigator

New York City Real Property Litigator

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Category Archives: Foreclosure

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Certificate of Conformity not required for mortgage foreclosure affidavit signed out-of-state

Posted in Foreclosure
US Bank National Association v. Zeidman, Westchester County, Supreme Court Index No. 52204/2012 Foreclosing lenders often have back-office operations out-of-state.  In US Bank v. Zeidman, the foreclosing lender’s back-office operations were performed by a loan servicing company located in California.  In support of a motion for summary judgment in foreclosure, the lender filed an affidavit… Continue Reading

Mortgage foreclosure case dismissed due to lender’s inability to establish standing

Posted in Foreclosure
Deutsche Bank National Trust Co. v. Johnson, Kings County Supreme Court, Index 24867/2011 Standing continues to trip-up foreclosing lenders.  In this residential mortgage foreclosure case, a pro se defendant successfully cross-moved for summary judgment dismissing a mortgage foreclosure complaint based upon the plaintiff’s inability to demonstrate standing.  The original lender on the loan was New… Continue Reading

Bankruptcy filing triggers full recourse guaranty liability

Posted in Foreclosure
172 Madison (NY) LLC v. NMP-Group, LLC, New York County Supreme Court Index No 650087/2010 Springing non-recourse carve-out guaranties are a standard feature of many commercial mortgage loans.  Under such arrangements, the lender generally agrees to look only to the property and its single purpose entity fee owner to recover its loan in the event… Continue Reading

Second Department reverses award of sanctions against lender

Posted in Foreclosure
Bank of America v. Lucido, Appellate Division, Second Department, Index No. 3769/2009 The Second Department has reversed Justice Jeffrey Spinner’s award of sanctions in a residential mortgage foreclosure case after a settlement conference failed to produce a settlement.  The sanction barred the lender from recovering more than the principal balance due on the loan plus… Continue Reading

Mortgage foreclosure settlement conference not required where mortgage was given as collateral for a commercial loan

Posted in Foreclosure
Independence Bank v. Valentine, Appellate Division, Second Department 08136/2012 Must a CPLR 3408 settlement conference be conducted in an action to foreclose a mortgage on a primary residence where the mortgage collateralizes a personal guaranty of a commercial loan?  The Second Department has held no. In this action, a corporation formed and owned by the… Continue Reading

Second Department weighs in on sanctions against residential lenders negotiating in bad faith

Posted in Foreclosure
Wells Fargo Bank, N.A. v Meyers, Appellate Division Second Department 34632/2009. The courts continue to wrestle with the scope of the appropriate remedies for lender’s that fail to negotiate residential mortgage modifications in good faith.  Now the Appellate Division, Second Department has weighed in.  In Wells Fargo Bank N.A. v. Meyers,  the Second Department upheld… Continue Reading

Renewal denied where information concerning proof of service of a predicate notice was available at the time of the original motion

Posted in Foreclosure
Federal National Mortgage Association v. Quadrozzi, Supreme Court, Kings County, Index No. 25485/2009 Many times it is the simple things that trip up mortgage foreclosure plaintiffs.  This case is an example.  In this mortgage foreclosure action, the court denied the lender’s motion to renew after first denying the lender’s motion for summary judgment in foreclosure. … Continue Reading

Lender’s delays found to constitute bad faith

Posted in Foreclosure
U.S. Bank v Shinaba, Bronx County Supreme Court, Index No. 381917-2009 This case provides another example of New York courts coming down on residential  lenders that fail to participate in the statutorily mandated settlement process in good faith. In this residential mortgage foreclosure case, Judge Robert Torres found that the lender never properly evaluated the… Continue Reading

Mortgage foreclosure filings increase

Posted in Foreclosure
  An Office of Court Administration report shows substantial growth in mortgage foreclosure filings in New York.  The report shows that in 2013, through October, nearly 34,000 new mortgage foreclosure cases were filed.  That is on track to surpass the number of mortgage foreclosure cases in 2011 and 2012 combined. The mortgage foreclosure crisis was… Continue Reading

Foreclosing lender responsible for repairs required by HPD

Posted in Foreclosure
NYCHPD v. Deutche Bank National Trust Co., Richmond County Civil Court HP Index # 115/2013 Judge Philip Straniere has ruled that a lender that obtained a judgment of foreclosure and sale, but had not proceeded to auction, is responsible for the costs of repairs ordered by HPD. Mysteriously, seemingly knowledgable legislators passed statutes permitting government… Continue Reading

Unopposed motion for summary judgment in foreclosure denied for failing to substitute a party defendant

Posted in Foreclosure
Rockross Fund v. Cumberbatch, Kings County Supreme Court, Index No. 1189/08 This case shows that foreclosing lenders must take care that they do not acquire a deed to the property before they really want it.  In Rockross Fund, the plaintiff, the owner of a loan in foreclosure, lost an unopposed motion for summary judgment when… Continue Reading

Second Department weighs in on sanctions against residential lenders negotiating in bad faith

Posted in Foreclosure
Wells Fargo Bank, N.A. v Meyers, Appellate Division Second Department 34632/2009 The courts continue to wrestle with the scope of the appropriate remedies for lenders that fail to negotiate residential mortgage modifications in good faith.  Now the Appellate Division, Second Department has weighed in.  In Wells Fargo Bank N.A. v. Meyers, the Second Department upheld… Continue Reading

Unopposed Summary Judgment Motion denied where plaintiff did not submit complete copies of loan documents

Posted in Foreclosure
Bank of New York v. Deane,  Kings County Supreme Court Index No. 16583/09. This case illustrates the disaster that can occur if counsel does not submit mountains of paperwork to the court. This case resulted in the denial of an unopposed motion for summary judgment in foreclosure.  The defendant mortgagor had answered the complaint and… Continue Reading