The Bank of New York Mellon as Trustee for Nationstar Home Equity Trust 2007-A v. Janice L. Pederson
706 F. App'x 542
| 11th Cir. | 2017Background
- Pedersen appeal from district court's summary judgment granting foreclosure and reestablishment of a lost instrument to Bank of New York Mellon (BONYM).
- Pedersen contend BONYM was not entitled to enforce the instrument without the original note and that res judicata and statutes of limitations bar the suit.
- Court reviews summary-judgment de novo; pro se pleadings are liberally construed.
- Florida lost-instrument statute allows enforcement where the maker proves terms and right to enforce and the instrument cannot reasonably be obtained.
- Bartram v. U.S. Bank reinstates acceleration only upon dismissal; reseats mortgage as installment loan with new defaults, allowing new, non-barred actions; in this case, BONYM's suit on new defaults proceeded without res judicata or time-bar concerns.
Issues
| Issue | Plaintiff's Argument | Defendant's Argument | Held |
|---|---|---|---|
| Enforceability without the original note | Pedersen argues BONYM cannot enforce without the original note. | BONYM showed right to enforce and instrument terms under Fla. Stat. § 673.3091. | Enforceable without original note under statutory showing. |
| Res judicata barring the suit | Bartram-based res judicata bars new defaults | Dismissal revoked acceleration and reinstated installment-loan status, permitting new defaults. | Res judicata does not bar BONYM's suit on new defaults. |
| Statute of limitations/repose | Limitations bars foreclosure after prior dismissal | Revocation of acceleration halted running; new default creates new action window. | Not barred by statute or repose. |
| Effect of dismissal on acceleration and reinstatement | Dismissal prematurely ends lender's remedies | Dismissal revokes acceleration, reinstating borrower rights and lender's ability to seek foreclosure on later defaults. | Acceleration revoked; reinstatement creates new defaults and actions. |
| Summary judgment proper under standards | No genuine issue of material fact; need original note | Evidence supports enforceability and proper application of law. | Summary judgment proper; BONYM entitled to foreclose. |
Key Cases Cited
- Bartram v. U.S. Bank Nat'l Ass'n, 211 So. 3d 1009 (Fla. 2016) (reinstatement of mortgage after dismissal; installment-loan status and new defaults)
- Smith v. F.D.I.C., 61 F.3d 1552 (11th Cir. 1995) (limitations/repose start at acceleration)
- Ragsdale v. Rubbermaid, Inc., 193 F.3d 1235 (11th Cir. 1999) (res judicata; question of law on preclusion)
- Cambridge Mut. Fire Ins. Co. v. City of Claxton, Ga., 720 F.2d 1230 (11th Cir. 1983) (diversity-based statute of limitations applicability)
- Walker v. Armco Steel Corp., 446 U.S. 740 (1980) (when action accrues for statute purposes in diversity)