WHITE Et Al. v. GENS.
348 Ga. App. 145
Ga. Ct. App.2018Background
- April Gens obtained two loans from a bank: a 1999 loan secured by a deed covering 4.3 acres (including Lot 7) and a 2001 loan secured by a deed intended to encumber Lot 7 but whose legal description mistakenly described only a 150‑sq‑ft access strip of Lot 7.
- Gens filed bankruptcy, listed the secured property to be surrendered, and the bankruptcy court found she had no equity in Lot 7; the bank foreclosed.
- After foreclosure, the bank cancelled the 1999 deed and conveyed Lot 7 to White’s predecessor using the same erroneous partial description; White later purchased the property and built a house, and has occupied it for years.
- White counterclaimed for reformation of the deeds in the chain of title, alleging a mutual scrivener’s error in the 2001 security deed’s legal description.
- Trial court granted summary judgment to White initially on equitable estoppel grounds; Georgia Supreme Court reversed and remanded to address White’s reformation claim. On remand, the trial court denied White summary judgment and granted Gens summary judgment; White appealed.
Issues
| Issue | Plaintiff's Argument (Gens) | Defendant's Argument (White) | Held |
|---|---|---|---|
| Whether reformation of the deeds is appropriate based on a mutual mistake in the 2001 security deed’s legal description | Gens argued the mistake was not mutual and that White failed to prove how or why the error occurred | White produced an attorney’s scrivener’s affidavit and other undisputed facts showing both parties intended the 2001 deed to encumber all of Lot 7, proving mutual mistake | Reversed: court ordered summary judgment for White; mutual mistake was established and reformation is proper |
| Whether the absence of proof about the cause of the mistake defeats reformation | Gens contended lack of evidence about the mistake’s cause was fatal | White argued cause is immaterial when mutual mistake is shown and reformation won’t prejudice the non‑complaining party | Held: Cause of mistake is immaterial if mutuality and non‑prejudice are shown; summary judgment for White required |
Key Cases Cited
- Bank of America v. Cuneo, 332 Ga. App. 73 (appellate standard of review for summary judgment)
- Heiskell v. Roberts, 342 Ga. App. 109 (cross‑motions for summary judgment burden rules)
- Vibert v. Bank of America, N.A., 327 Ga. App. 782 (reformation applies to security deeds for scrivener’s errors)
- DeGolyer v. Green Tree Servicing, LLC, 291 Ga. App. 444 (affirming equitable reformation where borrower and lender intended same property)
- Zaimis v. Sharis, 275 Ga. 532 (reformation principles when mistake is mutual)