Searching over 5,500,000 cases.


searching
Buy This Entire Record For $7.95

Download the entire decision to receive the complete text, official citation,
docket number, dissents and concurrences, and footnotes for this case.

Learn more about what you receive with purchase of this case.

Agbowo v. Nationstar Mortgage LLC

United States District Court, N.D. California, San Francisco Division

August 1, 2014

THERESA AGBOWO, et al., Plaintiffs,
v.
NATIONSTAR MORTGAGE LLC, Defendant.

ORDER GRANTING IN PART AND DENYING IN PART NATIONSTAR'S MOTION TO DISMISS PLAINTIFFS' FIRST AMENDED COMPLAINT [Re: ECF No. 21]

LAUREL BEELER, Magistrate Judge.

INTRODUCTION

Plaintiffs Theresa Agbowo and Margaret Agbowo sued Nationstar Mortgage LLC("Nationstar") and Does 1-100 in Alameda County Superior Court for claims related to Nationstar's failure to provide them with a loan modification and subsequent foreclosure upon their property. See Notice of Removal, Ex. A ("Complaint"), ECF No. 1 at 14-20.[1] Nationstar removed the action to this court and now moves to dismiss Plaintiffs' First Amended Complaint. See Notice of Removal, ECF No. 1; First Amended Complaint ("FAC"), ECF No. 16; Exhibit A to FAC, ECF No. 19; Exhibit B to FAC, ECF No. 18; Motion, ECF No. 21. Pursuant to Civil Local Rule 7-1(b), the court finds this matter suitable to be determined without oral argument and vacates the August 21, 2014 hearing. Upon consideration of the allegations in the First Amended Complaint, the facts subject to judicial notice, the papers submitted, and the applicable legal authority, the court GRANTS IN PART and DENIES IN PART Nationstar's motion.

STATEMENT

I. THE FORECLOSURE UPON THE AGBOWOS' PROPERTY

In 2006, Lazarus's and Theresa's daughter, Margaret, wished to purchase a home. FAC ¶ 7. After discussing the matter with her parents, they decided to purchase the property at 850 53rd Street, Oakland, California, 94608 (the "Property"). Id. To purchase it, on September 6, 2006 or September 7, 2006, the Agbowos[2]-Lazarus, Theresa, and Margaret-executed a promissory note and borrowed $417, 000 from Home Loan Specialists, Inc. See FAC ¶ 7; Request for Judicial Notice ("RJN"), Ex. A ("Deed of Trust"), ECF No. 7-1 at 5-30.[3] The loan was secured by the Property. FAC ¶ 7; Deed of Trust, ECF No. 7-1. Shortly thereafter, the Agbowos remodeled the Property, and Margaret has lived in it since then. See FAC ¶ 7.

In July or August 2009, Margaret and Theresa applied to Nationstar for a loan modification. Id. ¶¶ 8. (Margaret and Theresa do not allege whether this request was granted on not. See generally id. )

The next year, Margaret and Theresa fell behind on the mortgage payments. Id. ¶ 9. On November 10, 2010, Quality Loan Service Corporation ("Quality Loan"), as the agent for the beneficiary of the Deed of Trust, recorded a Notice of Default stating that the Agbowos were $27, 019.50 in arrears on the loan as of November 5, 2010. FAC ¶ 9; RJN, Ex. B ("Notice of Default"), ECF No. 7-2 at 2-6.

To stave off a foreclosure, Margaret filed for bankruptcy in 2011. FAC ¶ 9. She dismissed the bankruptcy action in 2012. Id.

In 2012, Margaret and Theresa applied again to Nationstar for loan modification. Id. ¶ 10. They hired Hyatt Brokers Associate ("Hyatt") to help them with the process. Id. Hyatt faxed the loan modification request (along with a third party authorization) to Nationstar on August 30, 2012. Id. On October 10, 2012, Margaret and Theresa supplied Nationstar with additional information in support of their loan modification application. Exhibit A to FAC, ECF No. 19-2.

On November 8, 2012, Quality Loan recorded a Notice of Trustee's Sale stating that the Agbowos were in default and that a trustee's sale would take place on December 5, 2012. FAC ¶ 9; RJN, Ex. E ("First Notice of Trustee's Sale"), ECF No. 7-2 at 47-48.

This trustee's sale did not occur. See FAC ¶ 9. Instead, on November 16, 2012, November 19, 2012, December 13, 2012, December 19, 2012, January 3, 2013, January 29, 2013, and February 8, 2013, and March 21, 2013, Margaret and Theresa (through Hyatt) responded to Nationstar's repeated requests for additional information in support of their loan modification application. See FAC ¶¶ 11-13; Exhibit A to FAC, ECF No. 19 at 3-5 & ECF No. 19-1 at 1-5.

On April 30, 2013, Quality Loan recorded a second Notice of Trustee's Sale. FAC ¶ 9; RJN, Ex. F ("Second Notice of Trustee's Sale"), ECF No. 7-2 at 50-51. This time, the trustee's sale was scheduled to take place on May 28, 2013. RJN, Ex. F, ECF No. 7-2 at 50-51.

This trustee's sale did not take place, either. See FAC ¶ 9. Instead, on May 13, 2013, June 4, 2013, July 12, 2013, July 26, 2013, July 30, 2013, and August 22, 2013, Margaret and Theresa again (through Hyatt) responded to Nationstar's requests for additional information in support of their loan modification application. See FAC ¶¶ 11-13; Exhibit A to FAC, ECF No. 19-2 at 1-5, ECF No. 19-3 at 1-5 & ECF No. 19-4 at 1. Margaret and Theresa also submitted to Nationstar a new request for a loan modification on July 26, 2013. FAC ¶ 13.

On August 28, 2013 Quality Loan recorded a third Notice of Trustee's Sale. FAC ¶ 9; RJN, Ex. G ("Third Notice of Trustee's Sale"), ECF No. 7-2 at 53-54. The trustee's sale was scheduled to take place on September 26, 2013. RJN, Ex. G, ECF No. 7-2 at 53-54. Margaret and Theresa (through Hyatt) continued to provide Nationstar with additional information in support of their pending loan modification application. See FAC ¶ 13. They did so on September 5, 2013, September 11, 2013, September 20, 2013, and September 23, 2013. Id.; Exhibit A to FAC, ECF No. 19-5 at 5 & ECF No. 19-6 at 1-3.

Despite Margaret and Theresa continually supplying Nationstar with additional information in support of their pending loan modification application, the trustee's sale took place on September 26, 2013. FAC ¶ 9; RJN, Ex. H ("Trustee's Deed Upon Sale"), ECF No. 7-2 at 56-57. Nationstar purchased the Property for $424, 037.53. FAC ¶ 9; Trustee's Deed Upon Sale, ECF No. 7-2 at 56-57.

On December 3, 2013, Nationstar transferred the Property to Jorge Lasada through a Quitclaim Deed. FAC ¶ 14.

Margaret and Theresa did not learn that the trustee's sale actually had occurred until December 3, 2013, when an attorney for Nationstar served them with a three-day Notice to Quit the Property. FAC ¶ 15. The attorney was told that Margaret and Theresa's loan modification application was still pending and was told of the dates on which they submitted additional information to Nationstar. Id. After ...


Buy This Entire Record For $7.95

Download the entire decision to receive the complete text, official citation,
docket number, dissents and concurrences, and footnotes for this case.

Learn more about what you receive with purchase of this case.