United States District Court, N.D. California
ORDER RE MOTION TO DISMISS AND REQUEST FOR JUDICIAL
WILLIAM ALSUP UNITED STATES DISTRICT JUDGE
foreclosure case, defendants move to dismiss. For the
following reasons, the motion is Granted.
2004, pro se plaintiff, John Freitas obtained a loan
for $333, 700 from Countrywide Bank N.A. secured by a deed of
trust and assignment of rents on real property located in
Newark. On October 5, 2005, he obtained another loan for
$349, 840 from Countrywide secured by a deed of trust and
assignment of rents on the same property. A second version of
the same document was recorded on October 25, 2005. The only
difference between the two documents was that the first
document contained a signature line for plaintiff's wife,
which he initialed, whereas the later deed did not. In 2011,
plaintiff defaulted on his loans and defendant Bank of
America, N.A. recorded a notice of default in April 2014.
Bank of America is a successor in interest of Countrywide. In
2016, the October 5 deed of trust was reconveyed to
in February 2016, plaintiff filed an action in Alameda County
Superior Court alleging fraud and cancellation and rescission
of written instruments stating that his October 25 deed of
trust had been reconveyed, but that Bank of America had still
threatened to foreclose on the property. A 2016 order
sustained the demurrer to the complaint and the state court
entered judgment in Bank of America's favor. Plaintiff
unsuccessfully appealed to the California Court of Appeal and
then the California Supreme Court. Judgment became final in
August 2017 when the California Court of Appeal issued a
remittitur. Freitas v. Bank of America, N.A., et
al., No. RG15792569 (Freitas I).
January 2018, plaintiff filed another action in Alameda
County Superior Court alleging the following claims as to his
October 25 deed of trust and corresponding loan: (1)
“preliminary and permanent injunction, ” (2)
quiet title, (3) slander of title, (4) conspiracy to slander
title, (5) violation of Section 2923.5 of the California
Civil Code, and (6) violation of Section 17200 of the
California Business and Professions Code. Freitas v. Bank
of America, N.A., et al., No. RG17877297 (Freitas
II). A May 2018 order sustained Bank of America's
demurrer without leave to amend. In August 2018, the state
court dismissed the action with prejudice and entered
judgment against plaintiff.
then commenced an action in July 2018 in the United States
District Court for the Northern District of California naming
twelve defendants, including Bank of America, N.A. alleging
the following claims as to his 2004 deed of trust and
corresponding loan: (1) unfair and deceptive consumer
practices with respect to loan servicing, foreclosure
processing, and loan origination; (2) violation of the
Financial Institutions Reform, Recovery and Enforcement Act
of 1989; (3) declaratory judgment; (4) bankruptcy misconduct;
(5) quiet title; (6) slander of title; (7) conspiracy to
slander title; (8) violation of Section 2923.5 of the
California Civil Code; and (9) violation of Section 17200 of
the California Business and Professions Code. Also
in July 2018, plaintiff filed an application for a temporary
restraining order to halt the foreclosure of his residence. A
July 2018 order denied the temporary restraining order on the
ground plaintiff did not raise serious questions going to the
merits. A September 2018 order ultimately dismissed the case
for failure to prosecute (No. 18-cv-03993, Dkt. Nos. 1, 2,
21, 30)(Freitas III).
the foreclosure sale of the underlying property, plaintiff
commenced the instant action in June 2019 against Bank of
America alleging, as to his October 25 deed of trust and
corresponding loan, the same claims as Freitas III
as well as other miscellaneous non-legal claims such as
“the deed of trust on which defendant B of A has
foreclosed is void” and “the debt, if there ever
were a debt, has been satisfied.” He then filed a
motion for a temporary restraining order on the same day. The
undersigned related the instant action to this Court the next
day. A June 17 ordered denied plaintiff's motion for a
temporary restraining order on the grounds that he raised
essentially the same arguments as he did in Freitas
III and that he was unlikely to suffer irreparable harm
as the foreclosure had already occurred (Dkt. Nos. 1, 2, 10,
14). Bank of America now moves to dismiss the entire
complaint. Plaintiff opposes. This order follows full
briefing and oral argument.
complaint must plead “enough facts to state a claim to
relief that is plausible on its face.” Bell Atl.
Corp. v. Twombly, 550 U.S. 544, 570 (2007). A claim has
facial plausibility when its factual allegations, rather than
mere conclusory statements, create the reasonable inference
that the defendant is liable for the misconduct alleged.
Ashcroft v. Iqbal, 556 U.S. 662, 678 (2009). In
ruling on a motion to dismiss, we must accept factual
allegations in the complaint as true and construe the
pleadings in the light most favorable to the nonmoving party.
Manzarek v. St. Paul Fire & Marine Ins. Co., 519
F.3d 1025, 1030-31 (9th Cir. 2008). Conclusory allegations or
“formulaic recitation of the elements” of a
claim, however, are not entitled to the presumption of truth.
Iqbal, 556 U.S. at 681.
judicata prohibits successive litigation of claims that have
already been litigated as well as those that could have been
litigated based on the same operative facts. 21A Fed. Proc.,
L.Ed. § 51:227. The doctrine of res judicata is
applicable when there is (1) privity between parties, (2)an
identity of claims, and (3) a final judgment on the merits.
Owens v. Kaiser Found. Health Plan, Inc., 244 F.3d
708, 713 (9th Cir.2001). As a general matter, under the Full
Faith and Credit Act, federal courts must give state judicial
proceedings “the same full faith and credit . . . as
they have by law or usage in the courts of [the] State . . .
from which they are taken.” 28 U.S.C. § 1738.
Here, res judicata precludes plaintiff's claims in the
here, there is no question as to the privity of the parties
as Bank of America has been a party to ...