Kansas Court of Appeals Upholds Summary Judgment in Favor of Wells Fargo

Posted by & filed under 2013, Downstream litigation, Downstream litigation by state, Equity, Foreclosures, Kansas, MBS industry.

The Court of Appeals of Kansas in deciding Wells Fargo Bank, N.A. v. Richards, 2013 Kan. App. LEXIS 1160 (Kan. Ct. App. 2013) ultimately affirmed the lower court’s granting of summary judgment for Wells Fargo. Plaintiff appealed the lower court’s decision granting summary to Wells Fargo Bank. In this appeal, plaintiff asserted that (1) Wells… Read more »

Kansas Court of Appeals Finds that Wells Fargo’s Possession of Signed Promissory Note was Sufficient to Enforce and Foreclose

Posted by & filed under 2013, Downstream litigation, Downstream litigation by state, Equity, Foreclosures, Kansas, MBS industry.

The court in deciding Wells Fargo Bank, N.A. v. Richards, 2013 Kan. App. 1160 (Kan. Ct. App. 2013) affirmed the lower court’s decision finding that Wells Fargo had standing to bring foreclosure action. On January 25, 2013, the lower court filed its journal entry of judgment and dismissal, finding that defendant Richards had failed to… Read more »

Kansas Court of Appeals Finds Note Splitting Argument Lacked Merit

Posted by & filed under 2013, Downstream litigation, Downstream litigation by date, Downstream litigation by state, Downstream litigation commentary, Equity, Foreclosures, Kansas, MERS/Bank has standing.

The court in deciding Wells Fargo Bank, N.A. v. Richards, 2013 Kan. App. 1160 (Kan. Ct. App. 2013) ultimately upheld the lower court’s decision. The plaintiff [Chester E. Richards, Jr.], appealed the lower court’s decision which granted summary judgment to Wells Fargo. Plaintiff had asserted (1) Wells Fargo lacked standing to bring the foreclosure action;… Read more »

Kansas Appellate Court Holds that MERS Does Not Have Standing to Initiate Foreclosure Against Homeowners

Posted by & filed under 2010, Downstream litigation, Downstream litigation by date, Foreclosures, Kansas, MERS/Bank lacks standing.

The Kansas state Court of Appeals in Mortgage Electronic Registration Systems, Inc. v. Graham, 44 Kan.App.2d 547 (KS Ct. App. 2010) held that MERS did not have standing to start a foreclosure action against two Kansas homeowners because the entity is only an agent for the holder of the actual mortgage, Countrywide Home Loans Inc., in… Read more »

Kansas Supreme Court Holds That a Non-Lender to a Mortgage is Not a Necessary Party in Foreclosure Action

Posted by & filed under 2009, Downstream litigation, Foreclosures, Kansas.

In Landmark Nat. Bank v. Kesler, 216 P.3d 158 (KS 2009), the court dealt with the issue of what exactly constitutes a necessary party to a foreclosure action. MERS and Sovereign Bank sought review of a lower court judgment, which held that a non-lender is not a contingently necessary party in a mortgage foreclosure action… Read more »

Kansas Bankruptcy Court Finds that Agency Relationship Exists With Use of the Word “Nominee”

Posted by & filed under 2011, Bankruptcy litigation, Kansas, Note ownership litigation.

Martinez v. MERS, et al., No. 09‐40886, 2011 WL 489905 (Bankr. D. Kan. Feb. 10, 2011), the court held that assignment of the Note and Mortgage to different entities does not render them void because such a split may be performed when there is an “agency relationship” between the holder of the note and the… Read more »

Kansas Court of Appeals Holds that Severance of Mortgage and Note Cured by Subsequent Assignment of Mortgage from MERS to Bank

Posted by & filed under 2012, Downstream litigation, Kansas.

In U.S. Bank v. Howie, 280 P.3d 225 (Kan. App., 2012), the court held that U.S. Bank had standing to foreclose because there was an agency relationship between MERS and U.S. Bank. It also upheld that severance can be cured by MERS’s subsequent assignments. Therefore, it falls under the agency relationship exception of unenforceability when… Read more »