Henri C. LaFrance and Marie LaFrance v. US Bank National
141 So. 3d 754
| Fla. Dist. Ct. App. | 2014Background
- In 2006 Henri and Marie LaFrance executed a promissory note and mortgage with Accredited Home Lenders, Inc. (AHL).
- In 2009 US Bank, as Trustee for CSFB Home Equity Pass-Through Certificates Series 2006-8, filed a foreclosure complaint alleging it was the holder of the note; the complaint attached a photocopy of the unendorsed note.
- Appellants asserted lack of standing as an affirmative defense.
- US Bank moved for summary judgment supported by affidavits and servicing records; over three-and-a-half years after filing the complaint it filed the original note with an allonge containing an undated endorsement in blank.
- The trial court granted final summary judgment for US Bank; the Fourth District reversed, holding genuine issues remained whether US Bank had standing when suit was filed.
Issues
| Issue | Plaintiff's Argument | Defendant's Argument | Held |
|---|---|---|---|
| Was US Bank the proper party with standing at the time the suit was filed? | US Bank relied on servicing records and later-filed original note/allonge to show it was holder. | LaFrance argued US Bank lacked standing because complaint attached only an unendorsed photocopy and later endorsement was undated and filed years after suit began. | Reversed: genuine issue exists whether US Bank was holder at filing; summary judgment improper. |
| Can post-filing acquisition of the endorsed note cure lack of standing at inception? | US Bank implied post-filing documentation establishes ownership. | LaFrance argued standing must exist at filing and cannot be cured retroactively. | Court held standing is determined at filing and cannot be retroactively established. |
| Do servicing records and affidavits alone prove standing at filing? | US Bank maintained authenticated servicing records and affiants prove ownership. | LaFrance contended affidavits/records did not affirmatively show possession of endorsed note before filing. | Court found affidavits/records insufficient to prove possession/endorsement at filing. |
| Is an undated endorsement in blank on an allonge sufficient to prove standing at filing when executed date is unclear? | US Bank treated the undated blank endorsement as evidence of transfer. | LaFrance argued the undated endorsement does not prove ownership at filing. | Court concluded the undated endorsement did not establish US Bank was holder at the time suit was filed. |
Key Cases Cited
- McLean v. JP Morgan Chase Bank Nat’l Ass’n, 79 So. 3d 170 (Fla. 4th DCA 2012) (standing to foreclose must exist at filing; proof by assignment or original note with endorsement)
- Elston/Leetsdale, LLC v. CWCapital Asset Mgmt. LLC, 87 So. 3d 14 (Fla. 4th DCA 2012) (party’s standing is question of law reviewed de novo)
- Zimmerman v. JPMorgan Chase Bank, Nat’l Assoc., 134 So. 3d 501 (Fla. 4th DCA 2014) (reaffirming standing-at-inception principle)
- Gonzalez v. Deutsche Bank Nat’l Trust Co., 95 So. 3d 251 (Fla. 2d DCA 2012) (post-filing acquisition does not cure initial lack of standing)