December 24, 2013
Michigan Court Holds That Plaintiffs Were Not Subject to Double Liabilty on Their Debt and Thus Lacked Standing
The court in deciding Laues v. Bank of Am., N.A., 2013 U.S. Dist. LEXIS 147912 ( E.D. Mich. Oct. 15, 2013) granted the defendant’s motion and dismissed the plaintiff’s claim.
Plaintiffs Roy A. Laues and Kristin G. Laues (“the Laues”), preceded pro se, and filed a complaint claiming that the defendants fraudulently conveyed their property and improperly bifurcated their note and mortgage. The plaintiff’s sought to quiet title by extinguishing Defendants’ interest in the property. Defendants filed a motion to dismiss the complaint for failure to state a claim upon which relief can be granted, pursuant to Fed. R. Civ. P. 12(b)(6). After considering the arguments the court ultimately granted the defendant’s motion.
Plaintiff alleged that MERS lacked authority to assign the mortgages, which would make the subsequent assignments invalid. MERS acted as nominee for lender AWL in assigning the mortgages. The court found that the plaintiffs were not a party to the assignment and as such was not threatened with double liability on the debt. Thus the court determined that they had no standing to challenge the assignment.
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