Janos Farkas v. Wells Fargo Bank, N.A. And Brice Vander Linden & Wernic, P.C. N/K/A Buckley Madole, P.C.
03-14-00716-CV
| Tex. App. | Mar 19, 2015Background
- Farkas challenged Wells Fargo Bank, N.A. and Brice Vander Linden & Wernick, P.C. for alleged failure to comply with the Texas Constitution and deed-of-trust terms in a home equity loan foreclosure.
- The case involves Texas Debt Collection Act, Texas Civil Practice & Remedies Code §12.002, and Texas Constitutional protections for extension-of-credit under Art. XVI, §50(a)(6).
- WellsBank and Brice moved for traditional and no-evidence summary judgments; Farkas cross-moved for partial summary judgment and objected to WellsBank’s evidence.
- Key notices and filings include the April 21, 2011 Notice of Default and Intention to Accelerate and a July 23, 2011 Notice of Acceleration, which allegedly referenced the wrong loan and incorrect entities.
- The trial court granted Wells_Bank’s and Brice’s traditional and no-evidence motions for summary judgment, and denied Farkas’ partial summary judgment; Farkas appealed with the Third Court of Appeals ultimately affirming the trial court’s disposition.
- The appellate record shows the final order and judgment dated October 13, 2014, disposing of all claims and awarding relief to the defendants.
Issues
| Issue | Plaintiff's Argument | Defendant's Argument | Held |
|---|---|---|---|
| Did the trial court err in overruling Farkas’s objections to Wells_Bank’s summary judgment evidence? | Farkas preserved objections to Exhibit 1, 3, 4; evidence was hearsay, conclusory, or inconsistent, requiring strike. | Exhibits supported MSJ; objections were improper or waived. | Yes; the court’s overruling of objections was an error. |
| Did Wells_Bank’s traditional and no-evidence MSJs properly support a §50(a)(6) violation? | Wells_Bank failed to prove all elements; notices were defective and misapplied to the HEEC loan. | Defendant complied with DOT and constitutional requirements; notices and acceleration were proper. | No; the MSJs should fail as there were unresolved questions of liability under the constitution. |
| Did Wells_Bank and Brice properly prevail on the TDCA claim (Tex. Fin. Code §392.001, et seq.)? | Defendants’ conduct (misidentifying the debt, improper threats of foreclosure) violated the TDCA. | No TDCA violation; actions were not wrongful under TDCA. | No; the TDCA claims were not properly defeated by the MSJs. |
| Did Wells_Bank and Brice properly prevail on the §12.002 fraudulent-document claim? | Defendants filed documents asserting fraudulent liens or claims against property. | Documents were not fraudulent or improperly used. | No; the §12.002 motion should not have been granted. |
| Was Brice entitled to attorney immunity as a defense to liability? | Brice acted outside litigation; no attorney immunity applies. | Brice, a professional corporation, sought to defend Wells_Bank. | No; Brice is not immune from liability under §392.001 and §12.002. |
Key Cases Cited
- Ogden v. Gibraltar Sav. Assoc., 640 S.W.2d 232 (Tex. 1982) (notice of acceleration requires proper notice; connection to property foreclosure law)
- Casso v. Brand, 776 S.W.2d 551 (Tex. 1989) (summary judgment evidence must be clear, positive, direct and not conclusory)
- Brown v. State, 960 S.W.2d 772 (Tex.App.—Dallas 1997) (abuse of discretion standard for evidentiary rulings)
- Taylor Elec. Services, Inc. v. Armstrong Elec. Supply Co., 167 S.W.3d 522 (Tex.App.- Ft. Worth 2005) (intent element in fraudulent-document claims; reasonable inference from conduct)
- McCamish v. F. E. Appling Interests, 991 S.W.2d 787 (Tex. 1999) (attorney liability limits; no broad immunity for attorneys in all contexts)
