COURT ORDERS NEW TRIAL | Key Points
- The Fourth DCA recently reversed the trial court’s dismissal of a foreclosure action finding the proffer of a complete payment history is not necessarily a requirement for the bank to foreclose its lien interest. Deutsche Bank Tr. Co. Americas as Tr. for Residential Accredit Loans, Inc., Mortgage Asset-Backed Pass-Through Certificates Series 2006-QO1 v. JB Inv. Realty, LLC, 4D18-3240, 2019 WL 2363515, at *1 (Fla. 4th DCA June 5, 2019).
- In JB Investment Realty, the Bank originated a mortgage in 2005 and there was a default in July 2012. The Bank named JB Investment Realty as a defendant in its foreclosure action and the matter proceeded to trial. At trial, the Bank presented a payment history from February 2008 to August 2018 but had little or no information about the period before February 2008. JB Investment Realty moved for an involuntary dismissal based on the incomplete payment history and the trial court granted the motion finding that the Fourth DCA required an “entire history of the loan … from the beginning’” to foreclose.
- On appeal, the Fourth DCA reversed the dismissal and remanded the matter for a new trial concluding the Bank “made a prima facie showing of the amount of indebtedness by offering the payment history from February 2008 to August 2018 as well as witness testimony as to the amounts due and owing.” The Court further explained that it never required “the entire payment history” to foreclose a mortgage. The Court explained the payment history required in a foreclosure proceeding will be contingent on the damages sought by the bank. In JB Investment Realty, since the Bank only sought damages from 2012 and proffered a payment history from February 2008 forward, it was error to dismiss the case based on an incomplete payment history.