Penny Mac Corp. v. Chughtai, H.
Penny Mac Corp. v. Chughtai, H. No. 857 EDA 2016
| Pa. Super. Ct. | May 3, 2017Background
- Home loan secured by mortgage on 1765 Autumn Leaf Lane executed in 2006; Mortgage named MERS as nominee for Home Loan Center and included an adjustable-rate rider.
- JPMorgan Chase initially brought foreclosure in 2013; mortgage later assigned to PennyMac, which substituted in as plaintiff.
- PennyMac moved for summary judgment supported by: the recorded mortgage, assignment records, an Act 6 notice, and an affidavit attesting to purchase and default status with referenced business records.
- Defendants (the Chughtais) filed general denials in their answer and a one‑page response to the summary judgment motion arguing the affidavit was inadmissible testimonial hearsay (invoking Nanty‑Glo).
- Trial court granted summary judgment for PennyMac (adjusted judgment amount entered); Superior Court affirmed, finding no genuine issue of material fact.
Issues
| Issue | Plaintiff's Argument (PennyMac) | Defendant's Argument (Chughtais) | Held |
|---|---|---|---|
| Whether summary judgment was proper in foreclosure | PennyMac: supported by recorded mortgage, assignments, Act 6 notice, and affidavit/business records showing default and standing | Chughtais: PennyMac relied on inadmissible testimonial affidavit (hearsay) and plaintiffs’ general denials should prevent deemed admissions | Court: Summary judgment proper — defendants’ general denials deemed admissions; affidavit permissible in light of admissions and accompanying business records |
| Whether affidavit alone can support summary judgment | PennyMac: affidavit plus business records and admissions satisfy proof | Chughtais: affidavit is testimonial hearsay (Nanty‑Glo) and cannot be sole basis | Court: Nanty‑Glo exception inapplicable only where moving party relies exclusively on testimonial evidence; here admissions and business records permit consideration of affidavit |
| Whether defendants raised genuine factual dispute | PennyMac: no specific contrary evidence; denials insufficient | Chughtais: asserted lack of proof and disputed facts in brief | Court: Denials without specific factual support are admissions in foreclosure context; no genuine issue shown |
| Whether plaintiff established proper chain/standing | PennyMac: provided recorded assignments and substitution documentation | Chughtais: challenged admissibility of proof of chain via affidavit | Court: Assignments and records accepted; standing established; challenge waived where not raised below |
Key Cases Cited
- Truax v. Roulhac, 126 A.3d 991 (Pa. Super. 2015) (summary judgment standard; de novo review for no‑genuine‑issue question)
- Bank of Am., N.A. v. Gibson, 102 A.3d 462 (Pa. Super. 2014) (mortgagor general denials treated as admissions; affidavit may be considered with deemed admissions and business records)
- Nanty‑Glo v. American Surety Co., 163 A. 523 (Pa. 1932) (testimonial affidavits cannot alone defeat genuine‑issue requirement; exception when opposing party’s admissions or witnesses supply proof)
- Porterfield v. Trustees of Hosp. of Univ. of Pennsylvania, 657 A.2d 1293 (Pa. Super. 1995) (explains Nanty‑Glo rule and its limits)