Summary
This Appellate Division decision reviews an order denying an intervenor's motion to set aside a foreclosure sale and compel acceptance of his high bid at a public auction. Citing CPLR 2003 and RPAPL 231(6), the court held that the intervenor failed to present evidence of fraud, collusion, mistake, or misconduct sufficient to cast suspicion on the fairness of the sale. Consequently, the appellate court affirmed the lower court's denial of the motion with costs.
Topics
Practice areas
Questions Presented
- Whether the Supreme Court erred in denying Retamozzo's motions to set aside the foreclosure sale and to compel the referee to accept his bid.
Holdings
- The Appellate Division affirmed the order, holding that Retamozzo failed to present evidence of fraud, collusion, mistake, or misconduct and therefore had no basis to set aside the foreclosure sale under CPLR 2003 or RPAPL 231(6).
Key quotations
“CPLR 2003 authorizes the court to set aside a judicial sale for a failure to comply with the requirements of the [CPLR] as to the notice, time or manner of such sale, if a substantial right of a party was prejudiced by the defect”
“RPAPL 231(6) provides, in relevant part, that a court, within one year after a foreclosure sale, may set the sale aside for failure to comply with the provisions of this section as to the notice, time or manner of such sale if a substantial right of a party was prejudiced by the defect”
Factual background
Retamozzo intervened in a foreclosure action concerning a Manorville property. The property was sold at public auction on October 23, 2019; the plaintiff was the prevailing bidder with a $100 bid. Retamozzo claimed he submitted a $200,000 bid before the auction closed, which the referee refused to accept, and sought to set aside the sale and compel acceptance of his bid.
Procedural history
The Supreme Court, Suffolk County granted Retamozzo leave to intervene but denied his motions to set aside the foreclosure sale and to compel acceptance of his bid. Retamozzo appealed those denials to the Appellate Division, Second Department.