Summary
This Appellate Division decision affirms a Supreme Court order granting summary judgment in favor of the plaintiff in a mortgage foreclosure action against defendant Lakhvir Singh. The court held that the plaintiff successfully established its prima facie case and standing by demonstrating physical possession of the note endorsed in blank at the time the action was commenced, as well as a written assignment of the note. The defendant failed to raise a triable issue of fact in opposition.
Topics
Practice areas
Questions Presented
- Whether the plaintiff established standing to commence a mortgage foreclosure action.
- Whether summary judgment was proper where the plaintiff’s standing was at issue.
Holdings
- The plaintiff satisfied the standing requirement by demonstrating physical possession of the note endorsed in blank and by submitting a written assignment of the note, thereby entitling it to summary judgment.
- Summary judgment was proper because the plaintiff raised no triable issue of fact regarding its standing.
Key quotations
“A plaintiff establishes its standing in a mortgage foreclosure action by demonstrating that, when the action was commenced, it was either the holder or assignee of the underlying note.”
“The plaintiff meets this burden with proof of either a written assignment of the underlying note or the physical delivery of the note endorsed in blank or specially to it prior to the commencement of the foreclosure action.”
Factual background
Avail 1, LLC sought to foreclose a mortgage on a residential property in Queens. The plaintiff produced the mortgage, the unpaid note, and evidence of default, and submitted a written assignment of the note together with physical possession of the note endorsed in blank. Defendant Singh contested the plaintiff's standing to bring the foreclosure action.
Procedural history
Avail 1, LLC filed a mortgage foreclosure action in the Supreme Court, Queens County. The defendant, Lakhvir Singh, asserted lack of standing among other defenses. The trial court entered an order granting summary judgment in favor of the plaintiff, striking the answer, and ordering reference. Singh appealed to the Appellate Division, Second Department.