POINT IV
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CAN A LIS PENDENS BE FILED ON A MORTGAGE PAID AND SATISFIED?
NO: Especially where foreclosure is initiated by a plaintiff who
has firsthand knowledge of that satisfaction, whether filed or
not, and does not have actual possession of the original
mortgage and note.
Plaintiff-Respondent was fully aware when they filed their
Notice of Pendency (A - 43) that it was based upon the 1995
Mortgage for $162,000 that was paid and satisfied. The proof of
this was when they sent Defendants-Appellants the Certification
of Loan Payoff (A - 174) and the Notice of Satisfaction (A -
175). Plaintiff-Respondent then deliberately witheld the
Notice of Pendency from the Summons and Complaint (A 181) which
shows for both Defendants-Appellants service of "SUMMONS AND
COMPLAINT bearing index# 2742..."
Plaintiff-Respondent changed the terms of the original
refinance and created the Consolidated Mortgage (A - 194 -> 214)
which is addressed in the Complaint (A - 34 & 35) paragraphs
THIRD and FIFTH which states:
"The mortgage [2005 gap $380,346.31] was subsequently
modified or consolidated with the mortgage referred to in
Book/Page 2110/320 [1995 $162,000] by an Agreement
recorded ... to form a single lien in the amount of ....
$522,200.00 ... Defendants ... have failed to comply with the
conditions of the mortgage and note..."
The Consolidated mortgage was the only surviving legal
mortgage while the Notice of Pendency was filed on the original
paid and satisfied, and this Court should order that the Notice
of Pendens be vacated as Defendants-Appellants requested the
Lower Court in their Cross Motion in Opposition to Summary
Judgement (A - 172).
Additionally as Plaintiff-Respondent admits on the Complaint
(A - 34) "Said mortgage is to be assigned by an Assignment to be
recorded in the Office fo the Clerk of PUTNAM County." In other
words the assignment had not happened when the Notice of Pendens
and Summons and Complaint was filed (A - 33) December 15, 2006,
and was not assigned to Plaintiff-Respondent until January 10,
2007 (A 417 and 416).
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