Partnership for the Good of Your Business

Dinn, Hochman & Potter, LLC protects mortgagee’s rights in Sixth Circuit Court of Appeals by defeating borrower’s attempt to void mortgage loan.

| Mar 20, 2013 | Creditors' Rights |

In a significant victory for creditor’s rights, the Sixth Circuit Court of Appeals affirmed the decision of the United States District Court for Northern District of Ohio which held that the failure of a lender to record an assignment of mortgage even when the original lender is no longer in business does not constitute grounds for the borrower to quiet title to the mortgage. In so holding, the Sixth Circuit Court of Appeals agreed with Dinn, Hochman & Potter attorneys Benjamin D. Carnahan and Thomas A. Barni that transfer of a promissory note serves to transfer the mortgage independent of whether an assignment of mortgage is recorded. Dinn, Hochman & Potter thwarted the borrower’s attempt to quiet title to real property of his mortgage loan, which, if successful, would have voided the mortgage, prevented foreclosure and eliminated the creditor’s secured interest in the real property.

Archives

FindLaw Network