Muriel Montia v. First-Citizens Bank & Trust Company
341 Ga. App. 867
| Ga. Ct. App. | 2017Background
- Montia owned real property purchased in 2003 that was subject to two recorded security deeds (one later assigned to HSBC and serviced by Ocwen; the other assigned to Capitol City Bank/First-Citizens).
- Montia filed a petition to quiet title against all the world under OCGA §§ 23-3-60 et seq., alleging respondents’ claims were clouds on her title and requesting appointment of a special master.
- Service was arranged by Montia rather than by a special master; respondents nonetheless answered and moved to dismiss/judgment on the pleadings (First-Citizens also sought summary judgment).
- Documentary exhibits attached to the pleadings showed Montia was the grantor on both deeds to secure debt and did not allege satisfaction of the underlying debts.
- The trial court granted Ocwen/HSBC’s motion to dismiss and First-Citizens’ motion for judgment on the pleadings without submitting the case to a special master; the Court of Appeals affirmed and deemed the summary-judgment issue moot.
Issues
| Issue | Plaintiff's Argument | Defendant's Argument | Held |
|---|---|---|---|
| Whether Montia stated a quiet-title claim under OCGA § 23-3-62 | Montia claimed legal title and asked to quiet title; sought special-master proceedings | Respondents argued the petition failed because Montia was grantor on recorded security deeds and did not allege debt satisfaction | Court held petition failed to comply with § 23-3-62; dismissal appropriate because Montia lacked legal title absent payment of debts |
| Whether trial court could consider exhibits on motions to dismiss/judgment on the pleadings | Montia relied on her legal conclusion of title; contested procedure (wanted special master) | Respondents relied on recorded deeds and attachments incorporated into pleadings | Court held exhibits attached to petition and answers properly considered; legal conclusions rejected without supporting pleaded facts |
| Whether a special master must be appointed before dismissal/judgment on the pleadings | Montia argued court should submit case to special master before resolution | Respondents contended court retained authority to rule on pleadings and dismiss where petition legally deficient | Court held appointment of special master not required before dismissing a facially deficient quiet-title petition |
| Whether Montia could prevail without alleging debt discharge | Montia did not allege debts were paid or security deeds released | Respondents argued title cannot revert to grantor absent full payment; therefore quiet-title claim fails | Court held a grantor with unsatisfied debt lacks legal title and cannot prevail in quiet-title action without alleging satisfaction of the debts |
Key Cases Cited
- White v. Lumpkin, 272 Ga. 398 (court may render judgment even if special master issue moot)
- Woodruff v. Morgan County, 284 Ga. 651 (special-master service requirement and effect of no appointment on answers)
- Cox v. Turner, 268 Ga. App. 305 (standard for motion to dismiss/judgment on the pleadings)
- Trop, Inc. v. City of Brookhaven, 296 Ga. 85 (court may consider exhibits attached to pleadings on such motions)
- Shelnutt v. Mayor and Aldermen of the City of Savannah, 333 Ga. App. 446 (same)
- Southwest Health & Wellness, LLC v. Work, 282 Ga. App. 619 (appellate review de novo of these motions)
- GHG, Inc. v. Bryan, 275 Ga. App. 336 (facially noncompliant quiet-title petitions subject to dismissal)
- Smith v. Georgia Kaolin Co., 269 Ga. 475 (petitioner must assert current record or prescriptive title)
- McCarter v. Bankers Trust Co., 247 Ga. App. 129 (grantor under deed to secure debt lacks legal title while debt unpaid)
- Patel v. J. P. Morgan Chase Bank, N. A., 327 Ga. App. 321 (deed to secure debt transfers legal title to lender; grantor retains equity of redemption)
- Taylor, Bean & Whitaker Mtg. Corp. v. Brown, 276 Ga. 848 (quiet-title claimant cannot prevail unless debt satisfied)
- Novare Group v. Sarif, 290 Ga. 186 (court need not accept legal conclusions unsupported by factual allegations)
- Bank of America, N. A. v. Johnson, 299 Ga. 861 (affirming dismissal of quiet-title petition that failed to allege release or satisfaction of security deed)
- Harbuck v. Houston County, 284 Ga. 4 (special master does not divest trial court of jurisdiction)