Lawrence v. Nationstar Mortgage, LLC
197 So. 3d 150
Fla. Dist. Ct. App.2016Background
- Borrower appealed denial of his second amended motion to set aside a judicial foreclosure sale.
- Lender had previously obtained a foreclosure judgment and submitted the winning bid at the sale.
- Borrower alleged two grounds to set aside the sale: (1) the lender’s bid was grossly inadequate, and (2) an irregularity—Clerk’s alleged failure to provide electronic terminals for public use.
- Trial court, sitting in equity, considered equitable standards for setting aside sales and denied the motion.
- Borrower did not provide a transcript to support the claimed irregularity on appeal.
- Opinion affirms trial court judgment; notes borrower may rebut bid-presumption later if lender seeks a deficiency judgment.
Issues
| Issue | Plaintiff's Argument | Defendant's Argument | Held |
|---|---|---|---|
| Whether foreclosure sale should be set aside for grossly inadequate bid | Bid was grossly inadequate so equity requires setting aside sale | Sale was proper; lender’s bid stands and equity does not require setting aside | Denied — court found no abuse of discretion and declined to set aside sale |
| Whether alleged irregularity (no public electronic terminals) invalidates sale | Clerk’s failure to provide terminals was an irregularity warranting relief | No adequate record/transcript to prove irregularity on appeal | Denied — borrower failed to provide transcript; issue not reviewable |
| Applicability of presumption that sale bid equals sufficient consideration | Presumption should not shield an inadequate lender bid | Statutory and case law presume bid sufficiency; can be rebutted when deficiency is sought | Presumption applies; borrower can rebut with evidence if lender later seeks deficiency |
| Standard of review for motion to set aside foreclosure sale | N/A (procedural) | Trial court’s equitable discretion reviewed for abuse | Affirmed — appellate court will not overturn absent abuse of discretion |
Key Cases Cited
- Arsali v. Chase Home Fin. LLC, 121 So.3d 511 (Fla. 2013) (articulates equitable nature of foreclosure proceedings and factors for setting aside sales)
- Moran-Alleen Co. v. Brown, 123 So. 561 (Fla. 1929) (identifies factors such as gross inadequacy, surprise, mistake, or irregularity for setting aside sales)
- Vantium Capital, Inc. v. Hobson, 137 So.3d 497 (Fla. 4th DCA 2014) (discusses rebutting presumption that sale bid reflects fair market value)
- Applegate v. Barnett Bank of Tallahassee, 377 So.2d 1150 (Fla. 1979) (requirement to provide record/transcript to enable appellate review of trial matters)