Editor: David Reiss
Brooklyn Law School

March 12, 2013

Ohio Court of Appeals Holds that Execution of Mortgage Assignment is Sufficient to be a Real Party in Interest

By Michael Liptrot

In BAC Home Loans Servicing, L.P. v. Hall, 2010-Ohio-3472 (Ohio Ct. App. 2010), the Ohio Court of Appeals reviewed the sole question of whether the bank in this case had standing to foreclose. The homeowners argued that the bank “was not the real party in interest and therefore lacked standing to initiate the foreclosure action because the mortgage assignment was not recorded until. . . four days after the [foreclosure] complaint was filed.” The court rejected this argument based on the fact that although the assignment was not recorded until after the complaint was filed, it was executed prior to filling. The court then held that the execution of the mortgage assignment was sufficient to characterize the bank as “the current holder of the note and mortgage at the time the complaint was filed” and thus “was the real party in interest and therefore had standing to bring the foreclosure action.”

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