News + updates + recent press
Padgett Law Group (PLG) announced today it has added New Jersey to its core footprint states, which are jurisdictions where the firm exceeds GSE minimum requirements and has received a “no objection” status. The addition of New Jersey allows PLG to offer clients its comprehensive suite of default legal services in eleven states, which also includes Florida, where the firm is based, Georgia, Tennessee, Arkansas, Texas, Ohio, Indiana, Pennsylvania, Mississippi, and Alabama. PLG provides additional legal services, specifically bankruptcy, residential and commercial foreclosure, and replevin, on its national platform to clients seeking a single-source model for national portfolio management.
“Our growth in the northeast is part of a long-term strategy that began pre-pandemic with our hiring of Jacqueline F. McNally, Esq., who has driven our investment and growth in the region. New Jersey is a natural addition to our footprint, and we’re excited to bring PLG’s exceptional level of client service, partnership, and aggressive legal strategies to the state,” said Chief Executive Officer Robyn S. Padgett.
The Attorney Responsible for the New Jersey practice is Jacqueline F. McNally. Jackie is licensed in New Jersey, Pennsylvania, New York, Georgia, Ohio, and the District of Columbia. With over a decade of multi-jurisdictional leadership, Jackie is a well-rounded legal executive who brings years of local experience and extensive knowledge of practice-building, legal and process management, and client relations to PLG and its clients."
“I am excited to build on our growth and success in Pennsylvania and execute our long-held strategic vision of growth in the northeast market. Clients will quickly see the synergies in having PLG operating in both Pennsylvania and New Jersey, as well as the dynamic opportunities presented by PLG’s larger footprint and national services, which are complementary to our clients’ needs,” said Jacqueline F. McNally, Esq, Assistant Vice President of Legal Operations, and leader of the firm’s New Jersey practice.
Current clients interested in adding PLG to their matrix for New Jersey or using the firm immediately can reach out to firstname.lastname@example.org. New clients can complete the firm’s online form at padgettlawgroup.com/onboard to quickly engage the firm for services in New Jersey or other PLG jurisdictions.
PLG Win: Bankruptcy Court Affirms Debtor Cannot Modify Plan & Vacate Confirmation Order Nearly Seven Years Later
The United States Bankruptcy Court for the Middle District of Florida solidified that a debtor is unable to modify a plan and vacate a confirmation order, nearly seven years after the plan was confirmed, to strip a mortgage creditor’s lien.
PLG, via its attorney Seth J. Greenhill, Esq., sustained a significant victory for its client in bankruptcy court. On August 3, 2023, the Court issued its published opinion, In re Gilbert, 2023 Bankr. LEXIS 1952, whereby the Court correctly found that the Debtor was unable to use §1329 to modify a plan to strip a junior lien when plan payments were completed; and (2) the Debtor could not use §105(a) to vacate a confirmation order nearly seven years after the order was entered. It is worth noting that PLG took an aggressive approach by taking the Debtor’s deposition (i.e. Rule 2004 Examination) in order to lock in her testimony and show that she knew about the lien, yet failed to include it. This strategy, which Attorney Greenhill has successful deployed in past litigation, proved useful in this case and was, ultimately, advantageous to the Client in that it secured pivotal testimony later used by Creditors’ counsel.
Do You Need to Change Your Monthly Statements? A Recent Ruling May Impact Monthly Statement Formatting
While the Orlansky v. Quicken Loans, LLC, No. NV-22-1181-GCB, 2023 WL 2947616, at *1 (B.A.P. 9th Cir.) (not for publication) case is not published, the Court’s decision is important. The fact that it is not published means that it cannot be cited as precedent. However, that does not mean that debtors will not reference it in an attempt to influence court decisions.
As with many cases that impact the contents of a mortgage monthly statement, this case has very specific facts. After filing a Proof of Claim, Rocket fka Quicken Loans, filed Notice of Post-Petition Fees for the fees associated with the filing of the Proof of Claim and reviewing the Chapter 13 Plan.
In the Winter 2021, I wrote an article warning about the statute of limitations in Washington where it had been erroneously determined that the statute of limitations begins to run with the discharge in bankruptcy upholding Edmundson v. Bank of America, 378 P.3d 272, 278 (Wash. Ct. App. 2016). In March 2022, I followed it with a case law update which was the beginning of the end of Edmundson. In Copper Creek Homeowners’ Association v. Wilmington, No. 82083-4-I, slip op. (January 18, 2022), the Court of Appeals for the State of Washington Division I gave the servicing industry an end to the misunderstanding created by the various interpretations of Edmundson. On Thursday, July 20, 2023, The Supreme Court of Washington put the final nail in the coffin of Edmundson with its opinion in Merritt v. USAA Fed. Sav. Bank, 2023 Wash. LEXIS 376 where the running of the statute of limitations was returned to its correct origination point of the date of default.
In the Winter 2021, I wrote an article about how Edmundson v. Bank of America, 378 P.3d 272 (Wash. Ct. App. 2016) caused the statute of limitations to being to run upon a debtor’s discharge from bankruptcy in Washington. In March 2022, I wrote a follow up article detailing how the Court of Appeals for the State of Washington Division I gave the servicing industry an end to the misunderstanding created by the various interpretations of Edmundson in Copper Creek Homeowners’ Association v. Wilmington, No. 82083-4-I, slip op. (January 18, 2022). On April 24, 2023, the Colorado Supreme Court avoided the disaster that is Edmundson.
In United States Bank N.A. v. Silvernagel, 2023 CO 17, the Colorado Supreme Court circumvented the use of Edmundson in Colorado. In 2006, Silvernagel obtained a second mortgage. In 2012, Silvernagel received a bankruptcy discharge after filing a Chapter 7 bankruptcy. If these facts sounds familiar, they are. They start the same way that Edmundson did as well as all the cases that followed using it as a basis for the holding. In 2019, US Bank allegedly threatened to foreclose. To avoid foreclosure, Silvernagel filed a case seeking declaratory relief on the basis that US Bank’s interest had been extinguished by the statute of limitations. Colorado has a six year statute of limitations like Washington and most of the states in the region.
Introduced in the Senate on March 23, 2023, and referred to committee on March 29, 2023, Ohio Senate Bill 94, known in short form as the Bill that “regards the Treasurer of State, recorded instruments, liens, etc.,” sponsored by Senators Andrew O. Brenner (R) and Al Landis (R), seeks to amend numerous sections of the Ohio Revised Code related to recorded instruments, but also to enact section §5301.234, thereby codifying the doctrine of Equitable Subrogation.
The legal doctrine of equitable subrogation permits one mortgagee to replace another mortgagee in lien priority and is typically claimed refinancing lenders who pay off the original mortgage and want to have the same priority as that lender. The doctrine seeks to prevent unjust enrichment and promote equity.
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Padgett Law Group and Padgett Law Group EP are D/B/As of Timothy D. Padgett, P.A. Timothy D. Padgett, P.A.'s practice areas include creditors' rights, estate planning and probate, real estate transactions and litigation. Not all practices or services are available in all states in which Timothy D. Padgett, P.A. practices.