Morgan v. Ocwen Loan Servicing, LLC
District Court, N.D. Georgia · 2011-07-07 · cited 15×
In Morgan v. Ocwen Loan Servicing, LLC, the plaintiff sued Ocwen, MERS, and Merscorp over a residential mortgage loan, alleging that the security deed to MERS as nominee was void because MERS held no interest in the promissory note, and that Ocwen improperly initiated nonjudicial foreclosure without proper notice or authority to act. The plaintiff asserted state-law claims for declaratory judgment, injunctive relief, cancellation of the deed, slander of title, quiet title, wrongful foreclosure, intentional infliction of emotional distress, and negligence, plus a federal RICO claim. The court granted in part and denied in part the defendants' motion to dismiss. It found the service-of-process objections moot after waivers were filed and rejected mootness arguments on the foreclosure-notice claims because future foreclosures were likely. The court allowed several claims to proceed, reasoning that under Georgia law a party without possession of the note cannot validly assign or enforce the security deed, and that the complaint plausibly alleged defects in the foreclosure process.
