Please ensure Javascript is enabled for purposes of website accessibility
Home / Opinion Digests / Most Important Opinions / Real Property – Mortgages – Foreclosure – HUD Regulations – HAMP – Separate Proceeding – Civil Practice – Res Judicata (access required)

Real Property – Mortgages – Foreclosure – HUD Regulations – HAMP – Separate Proceeding – Civil Practice – Res Judicata (access required)

In re Foreclosure of Raynor Even if respondents’ defense – that the petitioner-bank failed to comply with HUD regulations as required by the parties’ promissory note and deed of trust – could be raised in a foreclosure proceeding under G.S. § 45-21.16, respondents litigated the issue in a separate proceeding under G.S. § 45-21.34. The separate proceeding’s dismissal with prejudice constitutes a judgment on the merits; therefore, res judicata bars respondents’ defense to foreclosure on the basis of the bank’s alleged noncompliance with HUD regulations.

Leave a Reply

Your email address will not be published. Required fields are marked *

*