American Home Mortgage Servicing, Inc. v. Bednarek
132 So. 3d 1222
| Fla. Dist. Ct. App. | 2014Background
- Ms. Bednarek signed a note and mortgage in 2005; loan later transferred to Deutsche Bank.
- Mortgage assigned to AHMSI-Maryland in 2006, which foreclosed in 2007.
- AHMSI-Maryland filed foreclose action; AHMSI later acquired AHMSI-Maryland’s servicing rights in 2008.
- AHMSI filed the original note and mortgage with the court in 2009; evidence included note, mortgage, and a 2006 assignment.
- Trial court dismissed the action involuntarily for lack of standing, relying on McLean; AHMSI appealed.
- Court held AHMSI had standing as holder of the note (endorsement in blank and possession) and reversed/remanded.
Issues
| Issue | Plaintiff's Argument | Defendant's Argument | Held |
|---|---|---|---|
| Whether AHMSI had standing to foreclose at filing | AHMSI possessed the note and note was endorsed in blank, giving standing. | AHMSI was not original plaintiff nor owner/holder of the note at filing. | AHMSI had standing; reversed and remanded |
Key Cases Cited
- McLean v. JP Morgan Chase Bank National Ass’n, 79 So.3d 170 (Fla. 4th DCA 2012) (standing to foreclose requires ownership or equivalent rights)
- Stone v. BankUnited, 115 So.3d 411 (Fla. 2d DCA 2013) (holder or nonholder with rights may foreclose)
- Mazine v. M & I Bank, 67 So.3d 1129 (Fla. 1st DCA 2011) (holder of the note has standing)
- BAC Funding Consortium, Inc. ISAOA/ATIMA v. Jean-Jacques, 28 So.3d 936 (Fla. 2d DCA 2010) (proper party with standing is holder of note and mortgage or holder’s representative)
- Mortg. Elec. Registration Sys., Inc. v. Azize, 965 So.2d 151 (Fla. 2d DCA 2007) (holder of a note has standing to seek enforcement)