Bank of New York Mellon Trust Company, N.A., not in its individual capacity but solely as Owner Trustee for Mortgage Assets Management Series I Trust v. Castillo
(3:22-cv-00020)
District Court, W.D. Texas
JAN 10, 2022 | REPUBLISHED BY LIT: JAN 31, 2021
ORDER STAYING AND ADMINISTRATIVELY CLOSING CASE
On January 10, 2022, Plaintiff Bank of New York Mellon Trust Company, N.A.1 filed the above-captioned foreclosure suit against Defendant Juana O. Castillo. Compl., ECF No. 1.
A few weeks later, however, the Bank moved to abate the case until March 29, 2022.
1st Mot. Abate, ECF No. 8.
The Bank explained that the Department of Housing and Urban Development (“HUD”) had issued an “At-Risk Extension Hold” barring the Bank from prosecuting this foreclosure proceeding until March 29, 2022. Id. at 1.
The Court accordingly stayed the case until that date and ordered the Bank to file a status update after the stay lifted. 1st Stay Order, ECF No. 9.
The Bank duly filed a status report on March 30, 2022 informing the Court that the At-Risk Extension Hold had expired, and that the Bank could resume prosecuting the case. 1st Status Report, ECF No. 11.
Castillo’s deadline to respond to the Bank’s Complaint elapsed shortly thereafter.
See FED. R. CIV. P. 12(a);
1st Stay Order (tolling “Castillo’s deadline to file an answer or otherwise respond to Plaintiff’s complaint” while the stay remained in effect).
Because Castillo had not answered the Complaint, moved to dismiss the case, or otherwise appeared in the case, the Bank asked the Clerk to enter a default against Castillo and asked the Court to enter a default judgment.
Mot. Default, ECF No. 12; Mot. Default J., ECF No. 13.
Before the Court could rule on those motions, however, the Bank filed a second motion to abate the case.
2d Mot. Abate, ECF No. 14.
The Bank explained that, on May 4, 2022, HUD approved Castillo’s loan for another At-Risk Extension Hold.
Id. at 1.
The Bank also informed the Court that Castillo had expressed a desire to “reinstate” the loan—that is, make the payments necessary to bring the loan current. Id. The Bank thus asked the Court to stay the case for another 90 days. Id.
Accordingly, the Court stayed the case until August 4, 2022 and ordered the Bank to file another status update on August 8, 2022. 2d Stay Order, ECF No. 15.
The Bank’s August 8, 2022 status report discloses that “HUD has continued to place [the Bank]’s foreclosure rights on hold.”
2d Status Report, ECF No. 16.
The status report does not specify when HUD will lift the At-Risk Extension Hold and allow the Bank to resume prosecuting this case. Id. at 1.
The Bank also states that it sent Castillo’s representative a statement showing how much money Castillo would need to pay to reinstate her loan, but Castillo has not yet paid the necessary funds. Id.
Given the uncertainty regarding when (if ever) the Bank will be able to prosecute this case, the Court sua sponte STAYS this case INDEFINITELY.
The Court DIRECTS the Clerk of Court to ADMINISTRATIVELY CLOSE the case. The Bank may move to reopen the case if HUD ultimately lifts the At-Risk Extension Hold and permits the Bank to pursue its foreclosure remedies.
Either party may move to reopen and dismiss the case in the event Castillo reinstates her loan to prevent foreclosure.
The Court DENIES the Bank’s “Request for Clerk’s Entry of Default” (ECF No. 12) and “Motion for Default Judgment Against Defendant and Brief in Support Thereof” (ECF No. 13) WITHOUT PREJUDICE.
The Court DIRECTS the Clerk to forward a copy of this Order to the following address:
Juana O. Castillo 4831 Betts Drive El Paso, TX 79938
So ORDERED and SIGNED this 10th day of August 2022.
1 The Bank appears “not in its individual capacity[,] but solely as Owner Trustee for Mortgage Assets Management Series I Trust.” Compl. at 1.
We FINALLY have movement in the huge federal case for a ridiculous attorney fee award reaching just shy of a million dollars, against a tiny bankruptcy estate in Texas, of course. https://t.co/kdTsXPxj6y
— lawsinusa (@lawsinusa) September 21, 2022
ORDER STAYING AND ADMINISTRATIVELY CLOSING CASE,
DENYING 12 Motion for Clerk’s Entry of Default;
DENYING 13 Motion for Default Judgment.
Signed by Judge David C Guaderrama.
(em) (Entered: 08/10/2022)
U.S. District Court [LIVE]
Western District of Texas (El Paso)
CIVIL DOCKET FOR CASE #: 3:22-cv-00020-DCG
| Bank of New York Mellon Trust Company, N.A., not in its individual capacity but solely as Owner Trustee for Mortgage Assets Management Series I Trust v. Castillo Assigned to: Judge David C Guaderrama Cause: 28:1332 Diversity-Breach of Contract |
Date Filed: 01/10/2022 Date Terminated: 08/10/2022 Jury Demand: None Nature of Suit: 290 Real Property: Other Jurisdiction: Diversity |
| Date Filed | # | Docket Text |
|---|---|---|
| 08/08/2022 | 16 | STATUS REPORT by Bank of New York Mellon Trust Company, N.A., not in its individual capacity but solely as Owner Trustee for Mortgage Assets Management Series I Trust. (Cronenwett, Mark) (Entered: 08/08/2022) |
| 08/10/2022 | 17 | ORDER STAYING AND ADMINISTRATIVELY CLOSING CASE, DENYING 12 Motion for Clerk’s Entry of Default; DENYING 13 Motion for Default Judgment. Signed by Judge David C Guaderrama. (em) (Entered: 08/10/2022) |
| 08/10/2022 | 18 | Certified Mailing of 17 Order on Motion for Clerk’s Entry of Default, Order on Motion for Default Judgment (em) (Entered: 08/10/2022) |
| 08/15/2022 | 19 | Certified RETURN/RECD Mail Receipt of 17 Order on Motion for Clerk’s Entry of Default, Order on Motion for Default Judgment (mg2) (Entered: 08/16/2022) |
| PACER Service Center | |||
|---|---|---|---|
| Transaction Receipt | |||
| 09/25/2022 22:03:50 |
ORDER that Plaintiff Bank of New York Mellon Trust Company, N.A.sSecond Motion to Abate Case (ECF No. 14) is GRANTED; ORDER STAYING CASE UNTIL 8/4/22. It is further ORDERED that, on August 5, 2022, the stay will be LIFTED automatically without further order of the Court. Further directives incorporated in this Order. Signed by Judge David C Guaderrama.(em) (Entered: 05/10/2022)
U.S. District Court [LIVE]
Western District of Texas (El Paso)
CIVIL DOCKET FOR CASE #: 3:22-cv-00020-DCG
| Bank of New York Mellon Trust Company, N.A., not in its individual capacity but solely as Owner Trustee for Mortgage Assets Management Series I Trust v. Castillo Assigned to: Judge David C Guaderrama Cause: 28:1332 Diversity-Breach of Contract |
Date Filed: 01/10/2022 Jury Demand: None Nature of Suit: 290 Real Property: Other Jurisdiction: Diversity |
| Date Filed | # | Docket Text |
|---|---|---|
| 01/11/2022 | 4 | Summons Issued as to Juana O. Castillo. (jg1) (Entered: 01/11/2022) |
| 01/11/2022 | 5 |
ORDER OF RECUSAL. Judge Frank Montalvo recused. Case reassigned to Judge David C Guaderrama for all further proceedings. Signed by Judge Frank Montalvo. (jg1) (Entered: 01/12/2022) |
| 01/18/2022 | 6 | SUMMONS Returned Executed by Bank of New York Mellon Trust Company, N.A., not in its individual capacity but solely as Owner Trustee for Mortgage Assets Management Series I Trust. Juana O. Castillo served on 1/13/2021, answer due 2/3/2021. (Lopez, Vivian) (Entered: 01/18/2022) |
| 01/31/2022 | 7 |
MOTION to Abate Case, by Bank of New York Mellon Trust Company, N.A., not in its individual capacity but solely as Owner Trustee for Mortgage Assets Management Series I Trust. (Attachments: # 1 Proposed Order)(Lopez, Vivian) (Entered: 01/31/2022) |
| 02/02/2022 | 8 |
MOTION to Abate Case, by Bank of New York Mellon Trust Company, N.A., not in its individual capacity but solely as Owner Trustee for Mortgage Assets Management Series I Trust. (Attachments: # 1 Proposed Order)(Lopez, Vivian) (Entered: 02/02/2022) |
| 02/03/2022 | 9 | ORDER GRANTING 8 Motion ABATE CASE; IT IS THEREFORE ORDERED that the case is STAYED until March 29, 2022, and all applicable deadlines under Federal Rules of Civil Procedure (including Defendant Juana Castillos deadline to file an answer or otherwise respond to Plaintiffs complaint) and suchdeadlines under this Districts Local Rules are POSTPONED until March 29, 2022.IT IS FURTHER ORDERED that on March 30, 2022, the stay will be LIFTEDautomatically without further order of the Court. Further directives incorporated in this Order. Signed by Judge David C Guaderrama. (em) (Entered: 02/03/2022) |
| 02/04/2022 | 10 | ORDER CORRECTING ERROR re 9 Order on Motion for Miscellaneous Relief. The Order incorrectly states its date of issuance as “3rd day of January 2022,” whereas it should have stated “3rd day of February 2022.” Accordingly, the Court supplies this correction to the Order (ECF No. 9). Signed by Judge David C Guaderrama. (em) (Entered: 02/04/2022) |
| 03/30/2022 | 11 |
STATUS REPORT by Bank of New York Mellon Trust Company, N.A., not in its individual capacity but solely as Owner Trustee for Mortgage Assets Management Series I Trust. (Lopez, Vivian) (Entered: 03/30/2022) |
| 04/19/2022 | 12 | MOTION for Clerk’s Entry of Default against Juana O. Castillo by Bank of New York Mellon Trust Company, N.A., not in its individual capacity but solely as Owner Trustee for Mortgage Assets Management Series I Trust. (Attachments: # 1 Exhibit, # 2 Proposed Order)(Lopez, Vivian) (Entered: 04/19/2022) |
| 04/19/2022 | 13 | MOTION for Default Judgment against Juana O. Castillo by Bank of New York Mellon Trust Company, N.A., not in its individual capacity but solely as Owner Trustee for Mortgage Assets Management Series I Trust. (Attachments: # 1 Exhibit, # 2 Proposed Order)(Lopez, Vivian) (Entered: 04/19/2022) |
| 05/04/2022 | 14 | Second MOTION to Abate Case, by Bank of New York Mellon Trust Company, N.A., not in its individual capacity but solely as Owner Trustee for Mortgage Assets Management Series I Trust. (Attachments: # 1 Proposed Order)(Lopez, Vivian) (Entered: 05/04/2022) |
| 05/10/2022 | 15 | ORDER that Plaintiff Bank of New York Mellon Trust Company, N.A.sSecond Motion to Abate Case (ECF No. 14) is GRANTED; ORDER STAYING CASE UNTIL 8/4/22. It is further ORDERED that, on August 5, 2022, the stay will be LIFTED automatically without further order of the Court. Further directives incorporated in this Order. Signed by Judge David C Guaderrama.(em) (Entered: 05/10/2022) |
We have the wolves at Mackie Wolf filing this lawsuit representing the bankers seeking to take a reverse mortgage residence.
Let’s see if this groundless response is acceptable to the Judge… https://t.co/xaavCb01rv pic.twitter.com/dSa7CoojK3
— LawsInTexas (@lawsintexasusa) January 31, 2022
Bank of New York Mellon Trust Company, N.A., not in its individual capacity but solely as Owner Trustee for Mortgage Assets Management Series I Trust v. Castillo
(3:22-cv-00020)
District Court, W.D. Texas
PLAINTIFF’S MOTION TO ABATE CASE
JAN 31, 2022 | REPUBLISHED BY LIT: JAN 31, 2021
Bank of New York Mellon Trust Company, N.A., not in its individual capacity but solely as Owner Trustee for Mortgage Assets Management Series I Trust (“BNYM” or “Plaintiff”) (“Plaintiff”), files this Motion to Abate Case, and respectfully shows as follows:
I.
Foreclosure of the property subject to this suit has been placed on hold, as the loan has been approved by the Department of Housing and Urban Development (“HUD”) for an At-Risk Extension Hold.
This hold has the effect of staying the foreclosure proceedings temporarily until March 29, 2022.
As a result, Plaintiff is prohibited from further prosecuting this case at this time under CFPB regulations. See 12 CFR §124.41(g).
Plaintiff therefore respectfully requests that this suit and all upcoming deadlines and settings be abated until March 29, 2022.
WHEREFORE, PREMISES CONSIDERED, Plaintiff prays that this Court abate this suit and all upcoming settings and deadlines until March 29, 2022, and for such other relief to which it may be justly entitled.
Respectfully submitted,
By: /s/ Vivian N. Lopez
MARK D. CRONENWETT
Texas Bar No. 00787303
mcronenwett@mwzmlaw.com
VIVIAN N. LOPEZ
State Bar No. PR20818
vlopez@mwzmlaw.com
MACKIE WOLF ZIENTZ & MANN, P.C.
14160 N. Dallas Parkway, Suite 900
Dallas, Texas 75254
214-635-2650 (Phone)
713-730-3212 (Direct)
214-635-2686 (Fax)
ATTORNEYS FOR PLAINTIFF
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