AI Generated Opinion Summaries

This summary was computer-generated without any editorial revision. It is not official, has not been checked for accuracy, and is NOT citable.

Facts

• The case involves a foreclosure action initiated by Wells Fargo Bank, N.A. against Benjamin Sherman. The dispute centers on the possession and chain of title of a note originally issued by TMS Mortgage INC./DBA The Money Store (TMS). Wells Fargo claimed to have acquired the note through a blank indorsement from TMS, making it the bearer and holder of the note, thereby entitling it to enforce the note and foreclose on the mortgage. Sherman challenged the foreclosure, questioning the chain of title for the note, the authenticity of the note, and the propriety of the assignment of the mortgage to Wells Fargo.

Procedural History

• [Not applicable or not found]

Parties' Submissions

• Plaintiff-Appellee (Wells Fargo Bank, N.A.): Argued that it was the holder of the note, which was indorsed in blank by the original lender, TMS, and that possession of the note established it as the holder, thereby entitling it to enforce the note and foreclose on the mortgage. Wells Fargo also contended that the authenticity of the note and the assignment of the mortgage were properly established.
• Defendant-Appellant (Benjamin Sherman): Challenged the chain of title for the note beyond the original lender, TMS, and argued that the assignment of the note was necessary for transfer. Sherman also questioned the authenticity of the note and the propriety of the assignment of the mortgage to Wells Fargo.

Legal Issues

• Whether the chain of title for the note was necessary beyond possession by the original lender.
• Whether an assignment was necessary to transfer the note.
• Whether the negotiation of the note occurred upon transfer of possession to the Plaintiff.
• Whether the authenticity of the note and the propriety of the assignment of the mortgage to Plaintiff were properly established.

Disposition

• The Court of Appeals affirmed the district court’s order granting summary judgment in favor of Plaintiff, Wells Fargo Bank, N.A.

Reasons

• Per J. MILES HANISEE (M. MONICA ZAMORA, Judge, DANIEL J. GALLEGOS, Judge concurring):
  The court found that a chain of title for the note was not necessary beyond possession by the original lender, TMS, and that an assignment of the note was not required for its transfer (paras 2-3).
  It was determined that the negotiation of the note occurred upon transfer of possession of the note to Wells Fargo, as it was indorsed in blank by TMS, making Wells Fargo the bearer and holder of the note (paras 3-5).
  The court held that the authenticity of the note and the propriety of the assignment of the mortgage were properly established, noting that Sherman failed to dispute these facts in response to Wells Fargo’s motion for summary judgment (paras 6-8).
  The court also noted that Sherman did not respond to the proposed disposition for one of the issues, deeming it abandoned (para 9).