Andrew J Perun Jr v. Trott & Trott Pc

CourtMichigan Court of Appeals
DecidedOctober 21, 2014
Docket315191
StatusUnpublished

This text of Andrew J Perun Jr v. Trott & Trott Pc (Andrew J Perun Jr v. Trott & Trott Pc) is published on Counsel Stack Legal Research, covering Michigan Court of Appeals primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Andrew J Perun Jr v. Trott & Trott Pc, (Mich. Ct. App. 2014).

Opinion

STATE OF MICHIGAN

COURT OF APPEALS

ANDREW J. PERUN, JR., UNPUBLISHED October 21, 2014 Plaintiff-Appellant,

v No. 315191 Macomb Circuit Court TROTT & TROTT, P.C., and CITIMORTGAGE, LC No. 2012-004203-CK INC.,

Defendants-Appellees.

Before: STEPHENS, P.J., and TALBOT and BECKERING, JJ.

PER CURIAM.

In this action to prevent a mortgage foreclosure, plaintiff, Andrew J. Perun, Jr., appeals as of right from the trial court’s opinion and order granting summary disposition in favor of defendants, Trott & Trott, P.C. (“Trott”) and CitiMortgage, Inc. (“CMI”). We affirm.

In 1998, Perun executed a mortgage and note with Standard Federal Bank, which subsequently assigned the mortgage to CMI in 2008. In 2009, Perun submitted a home affordable modification trial period plan (TPP) to CMI. This document, signed by Perun, contained a statement indicating that he was unable to afford his mortgage payments and was either in default or would soon be in default. Along with the TPP, Perun submitted a hardship affidavit identifying a loss in income, deaths in the family, and health issues as reasons for his request. According to CMI, Perun did not comply with the TPP, so it referred the matter to Trott for foreclosure proceedings.

In April and May 2012, Trott sent correspondence to Perun advising that the mortgage was in default and that an agreement could be reached to modify the loan. However, Perun was required to submit specified documents by June 18, 2012, to obtain a meeting with the lender. In response, Perun sent correspondence in June and August 2012, objecting to the documentation deadline and Trott’s failure to provide him with necessary tax forms.

On September 14, 2012, Perun filed a complaint against Trott seeking a preliminary injunction to stop the scheduled sheriff’s sale of his residence. He also sought permission to file an amended complaint on the grounds that a preliminary injunction “will not resolve this case on the merits.” Following a show cause hearing, the trial court denied the request for injunctive relief, but granted Perun’s request to file a first amended complaint. On September 24, 2012, Perun filed a first amended complaint and added CMI to the litigation. The only claim Perun -1- made against CMI was for breach of contract, alleging that CMI breached the note and/or mortgage by unilaterally raising the amount of his monthly mortgage payments. Concerning Trott, the amended complaint alleged that the parties had agreed to participate in a loan modification, but that Trott had failed to provide the necessary forms. Perun further alleged that Trott represented itself as an expert in loan modification and acted in a fiduciary relationship of trust to him, and that he relied on Trott’s misrepresentations. Perun raised claims of fraud and innocent misrepresentation against Trott. The first amended complaint further alleged that Trott committed libel by publishing notice of the foreclosure sale. Perun also alleged that Trott’s actions intentionally interfered with the contractual relationship and/or business expectancy he had with CMI, and he demanded specific enforcement of the loan modification meeting.

Trott filed its answer to Perun’s first amended complaint on October 4, 2012, and CMI filed its answer on October 16, 2012. On October 29, 2012, Perun, without seeking leave of the court, filed a second amended complaint1 in which he alleged that CMI had an agency relationship with Trott. Trott initially filed an answer to the second amended complaint, but nine days later filed a motion to strike the second amended complaint on the grounds that it was too late to amend a pleading as a matter of course under MCR 2.118(A). Trott also filed a motion for summary disposition of Perun’s complaint pursuant to MCR 2.116(C)(8) and (10).

CMI did not file an answer to the second amended complaint, but on November 26, 2012, it filed a motion for summary disposition in which it addressed, among other matters, the issues raised in Perun’s second amended complaint. On November 30, 2012, Perun sought, and the clerk entered, a default against CMI for failing to answer the second amended complaint. According to Perun, CMI failed to timely answer the second amended complaint. On December 9, 2012, CMI filed what it termed a “response to the application for default” and asserted that its motion for summary disposition was not untimely; thus, a default was improper.

On January 16, 2013, the trial court issued a written opinion and order striking the second amended complaint because it was filed without leave of the court, granting CMI’s request to set aside the default because the default had been premised on CMI’s failure to answer the second amended complaint, which had been stricken, and granting both defendants’ motions for summary disposition. The trial court later denied Perun’s motion for reconsideration of the summary disposition ruling and request to file a third amended complaint.

I. SECOND AMENDED COMPLAINT

Perun first argues that the trial court erred by striking his second amended complaint because the plain language of MCR 2.118(A)(1) permitted him to amend the pleading once as a matter of course after receiving CMI’s answer to the first amended complaint. We disagree. We review for an abuse of discretion the trial court’s decision to strike a pleading. Belle Isle Grill Corp v Detroit, 256 Mich App 463, 469; 666 NW2d 271 (2003). The interpretation of a court rule presents an issue of law that we review de novo. Acorn Inv Co v Mich Basic Prop Ins Ass’n,

1 Perun admits that he improperly labeled his second amended complaint as a “First Amended Complaint as of Right.”

-2- 495 Mich 338, 348; ___ NW2d ___ (2014); Muci v State Farm Mut Auto Ins Co, 478 Mich 178, 187; 732 NW2d 88 (2007). “A court by definition abuses its discretion when it makes an error of law.” Kidder v Ptacin, 284 Mich App 166, 170; 771 NW2d 806 (2009) (citation and quotation marks omitted).

When construing a court rule, a court applies the legal principles governing the interpretation and application of statutes. In re KH, 469 Mich 621, 628; 677 NW2d 800 (2004). The judiciary’s objective when interpreting a statute is to discern and give effect to the intent of the Legislature. Whitman v City of Burton, 493 Mich 303, 311; 831 NW2d 223 (2013). The most reliable evidence of the Legislature’s intent is the language of the statute itself. Id. “When construing statutory language, [the court] must read the statute as a whole and in its grammatical context, giving each and every word its plain and ordinary meaning unless otherwise defined.” In re Receivership of 11910 South Francis Rd, 492 Mich 208, 222; 821 NW2d 503 (2012). Effect must be given to every word, phrase, and clause in a statute, and the court must avoid a construction that would render part of the statute surplusage or nugatory. Johnson v Recca, 492 Mich 169, 177; 821 NW2d 520 (2012). “If the language of a statute is clear and unambiguous, the statute must be enforced as written and no further judicial construction is permitted.” Whitman, 493 Mich at 311.

MCR 2.118 provides, in pertinent part:

(A) Amendments.

(1) A party may amend a pleading once as a matter of course within 14 days after being served with a responsive pleading by an adverse party, or within 14 days after serving the pleading if it does not require a responsive pleading.

(2) Except as provided in subrule (A)(1), a party may amend a pleading only by leave of the court or by written consent of the adverse party. Leave shall be freely given when justice so requires.

***

(B) Response to Amendments. Within the time prescribed by MCR 2.108, a party served with an amendment to a pleading requiring a response under MCR 2.110(B) must

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Andrew J Perun Jr v. Trott & Trott Pc, Counsel Stack Legal Research, https://law.counselstack.com/opinion/andrew-j-perun-jr-v-trott-trott-pc-michctapp-2014.