Sorrell v. U.S. Bank National Association

Summary

The Florida Second District Court of Appeal reversed a foreclosure judgment in favor of U.S. Bank because the bank failed to prove that it owned or held the note when it filed the original complaint. The court held that an undated allonge filed after commencement, unsupported by competent evidence establishing when the bank acquired the note, was insufficient to establish standing at inception, and remanded for dismissal.

Holdings

1. A foreclosure plaintiff must prove that it owned or held the note, or otherwise had the right to enforce it, when the original foreclosure complaint was filed.
2. The later filing of a note containing an undated indorsement or allonge does not establish standing at inception unless the plaintiff introduces other admissible evidence proving that the indorsement or allonge was effective and that the plaintiff had the right to enforce the note when the complaint was filed.
3. U.S. Bank's evidence was legally insufficient to prove that it owned or held the note, or had the right to enforce it, when the original complaint was filed; therefore, the final judgment of foreclosure could not stand.

Questions Presented

1. Whether U.S. Bank proved that it had standing to foreclose when it filed the original complaint.
2. Whether an undated indorsement or allonge filed after commencement of the action, without competent evidence establishing when it became effective, established U.S. Bank's standing at inception.
3. Whether the evidence was legally sufficient to support the final judgment of foreclosure.

Disposition

reversed_and_remanded