Antonio Caballero v. Rushmore Loan Management Services LLC and Wilmington Savings Fund Society, FSB, D/B/A Christiana Trust, as Trustee for Normandy Mortgage Loan Trust, Series 2015-1

CourtCourt of Appeals of Texas
DecidedApril 7, 2020
Docket05-19-00298-CV
StatusPublished

This text of Antonio Caballero v. Rushmore Loan Management Services LLC and Wilmington Savings Fund Society, FSB, D/B/A Christiana Trust, as Trustee for Normandy Mortgage Loan Trust, Series 2015-1 (Antonio Caballero v. Rushmore Loan Management Services LLC and Wilmington Savings Fund Society, FSB, D/B/A Christiana Trust, as Trustee for Normandy Mortgage Loan Trust, Series 2015-1) is published on Counsel Stack Legal Research, covering Court of Appeals of Texas primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Antonio Caballero v. Rushmore Loan Management Services LLC and Wilmington Savings Fund Society, FSB, D/B/A Christiana Trust, as Trustee for Normandy Mortgage Loan Trust, Series 2015-1, (Tex. Ct. App. 2020).

Opinion

AFFIRMED; Opinion Filed April 7, 2020

In The Court of Appeals Fifth District of Texas at Dallas No. 05-19-00298-CV

ANTONIO CABALLERO, Appellant V. RUSHMORE LOAN MANAGEMENT SERVICES LLC AND WILMINGTON SAVINGS FUND SOCIETY, FSB, D/B/A CHRISTIANA TRUST, AS TRUSTEE FOR NORMANDY MORTGAGE LOAN TRUST SERIES 2015-1, Appellees

On Appeal from the 14th Judicial District Court Dallas County, Texas Trial Court Cause No. DC-17-07665

MEMORANDUM OPINION Before Justices Myers, Whitehill, and Pedersen, III Opinion by Justice Myers Antonio Caballero appeals the trial court’s judgment granting the motion for

summary judgment of Rushmore Loan Management Services LLC and Wilmington

Savings Fund, FSB, d/b/a Christiana Trust, as trustee for Normandy Mortgage Loan

Trust Series 2015-1 on Caballero’s claims for wrongful foreclosure, breach of the deed of trust, and violation of the Texas Debt Collection Practices Act.1 Caballero

brings two issues on appeal contending the trial court erred by granting appellees’

motion for summary judgment because (1) appellees lacked standing; and (2) there

are outstanding fact issues on at least one element of each of Caballero’s causes of

action. We affirm the trial court’s judgment.

BACKGROUND

In 2006, Caballero borrowed $514,450 from World Savings Bank to purchase

a home. Caballero signed a thirty-year note and a deed of trust. The note provided

for interest at a variable rate of 6.76 to 11.95 percent, but no more than the maximum

amount allowed by law. The mortgage servicer was Carrington Mortgage Services.

In 2007, World Savings Bank changed its name to Wachovia Mortgage, FSB.

In 2009, Caballero fell behind on his payments. Caballero and Wachovia

Mortgage modified the loan agreement, reducing the balance to $430,942.15 and

reducing the interest rate to 6.5 percent. The modification extended the maturity

from 2036 to 2049. Caballero alleged that when he executed the modification, he

gave Wachovia Mortgage a check for $100,000 for principal only. After the

modification, the mortgage servicer became appellee Rushmore Loan Management

Services. Later in 2009, Wachovia Mortgage changed its name to Wells Fargo Bank

1 Caballero also brought claims for usury and to quiet title, but he does not assert on appeal that the trial court erred by granting appellees’ motion for summary judgment as to those claims. Caballero has waived any error from the trial court’s granting appellees’ motion for summary judgment on these claims, and we do not address them. See Ontiveros v. Flores, 218 S.W.3d 70, 71 (Tex. 2007) (per curiam). –2– Southwest, N.A. and then merged into and operated as part of “Wells Fargo Bank,

National Association, Sioux Falls, South Dakota.”

In 2012, “Wells Fargo, N.A.” assigned the deed of trust to U.S. Bank, N.A.

In 2014, Caballero again fell behind on the payments. In 2015, he and

Rushmore modified the loan agreement. By this time, the balance was $648,834.15.

The modification reduced the interest rate to 4.375 percent and required Caballero

to make monthly payments of $3,032.93. Caballero made six payments of $4,300

after the 2015 modification.

In 2016, U.S. Bank assigned the note and deed of trust to appellee Wilmington

Savings Fund as trustee for Normandy Mortgage Loan Trust.

In 2016, Caballero became concerned that his $100,000 payment in 2009 had

not been properly applied to the loan. He asked Rushmore for the loan’s payment

history. Rushmore responded that it had not received a detailed payment history

from Carrington when Rushmore became the loan servicer. Caballero submitted

another request for the payment history, and Rushmore responded that it would

provide the history by June 30, 2017, which was less than a week before the

threatened foreclosure.2

In 2017, Caballero filed this suit to stop foreclosure. Caballero alleged causes

of action for wrongful foreclosure, breach of the deed of trust, violations of the Texas

2 The record does not show whether Rushmore provided the payment history or whether Carrington applied the $100,000 payment to principal. –3– Debt Collection Practices Act, usury, and suit to quiet title. Caballero sought

damages and injunctive relief. The trial court entered a temporary restraining order

barring the foreclosure.

Appellees moved for summary judgment, asserting Caballero had no evidence

to support one or more elements of his causes of action. The trial court granted

appellees’ motion for summary judgment.

STANDING

In his first issue, Caballero contends the trial court erred by granting

appellees’ motion for summary judgment because appellees’ lacked standing.

Caballero asserts that Normandy assigned its interest in the deed of trust to Aero

Mortgage Loan Trust 2017-1 a week before appellees moved for summary judgment.

Caballero argues that because Normandy did not have any interest in the deed of

trust when appellees moved for summary judgment, the case was moot.

“A case is moot when either no ‘live’ controversy exists between the parties,

or the parties have no legally cognizable interest in the outcome. ‘Put simply, a case

is moot when the court’s action on the merits cannot affect the parties’ rights or

interests.’” Hays St. Bridge Restoration Group v. City of San Antonio, 570 S.W.3d

697, 702–03 (Tex. 2019) (quoting City of Krum v. Rice, 543 S.W.3d 747, 749 (Tex.

2017) (per curiam)). “If a case becomes moot, the court must vacate all previously

issued orders and judgments and dismiss the case for want of jurisdiction.”

Glassdoor, Inc. v. Andra Group, LP, 575 S.W.3d 523, 527 (Tex. 2019). Caballero

–4– has not moved for dismissal of the case. Instead, he prays for reversal of the

summary judgment and remand of his claims for trial.

This case is not moot. Caballero’s cause of action for wrongful foreclosure

alleges that appellees do not have an interest in the note or deed of trust because (1)

World Savings Bank did not transfer the loan to Wells Fargo, (2) any transfer by

World Savings Bank was not for full value, and (3) the subsequent transfers of the

note and deed of trust did not grant appellees the right to foreclose the loan. The

cause of action for breach of the deed of trust alleges that Rushmore could not enter

into the 2015 modification as the lender. Caballero’s request for injunctive relief

was based on the pending foreclosure of the property. Caballero does not explain

why these claims are no longer “live” following Normandy’s assignment of the deed

of trust to Aero.

Moreover, it is the plaintiff that must establish standing to bring a lawsuit.

Pratho v. Zapata, 157 S.W.3d 832, 845 (Tex. App.—Fort Worth 2005, no pet.).

Appellees are the defendants. Caballero cites no authority that a defendant who does

not seek any relief other than an end to the lawsuit and recovery of its costs has any

burden to establish standing. We overrule Caballero’s first issue.

SUMMARY JUDGMENT

In his second issue, Caballero contends the trial court erred by granting

–5– Standard of Review

Rule 166a(i) provides that a party “may move for summary judgment on the

ground that there is no evidence of one or more essential elements of a claim or

Free access — add to your briefcase to read the full text and ask questions with AI

Related

Ontiveros v. Flores
218 S.W.3d 70 (Texas Supreme Court, 2007)
Blanche v. First Nationwide Mortgage Corp.
74 S.W.3d 444 (Court of Appeals of Texas, 2002)
Pratho v. Zapata
157 S.W.3d 832 (Court of Appeals of Texas, 2005)
Kindred v. Con/Chem, Inc.
650 S.W.2d 61 (Texas Supreme Court, 1983)
Merrell Dow Pharmaceuticals, Inc. v. Havner
953 S.W.2d 706 (Texas Supreme Court, 1997)
Deerfield Land Joint Venture v. Southern Union Realty Co.
758 S.W.2d 608 (Court of Appeals of Texas, 1988)
Dickey v. Club Corp. of America
12 S.W.3d 172 (Court of Appeals of Texas, 2000)
SEI Business Systems, Inc. v. Bank One Texas, N.A.
803 S.W.2d 838 (Court of Appeals of Texas, 1991)
Paragon General Contractors, Inc. v. Larco Construction Inc.
227 S.W.3d 876 (Court of Appeals of Texas, 2007)
Flood v. Katz
294 S.W.3d 756 (Court of Appeals of Texas, 2009)
City of Keller v. Wilson
168 S.W.3d 802 (Texas Supreme Court, 2005)
King Ranch, Inc. v. Chapman
118 S.W.3d 742 (Texas Supreme Court, 2003)
Fred Villanova v. FDIC as Receiver for Home Savings of America
511 S.W.3d 88 (Court of Appeals of Texas, 2014)
Everbank, N.A. v. Seedergy Ventures, Inc.
499 S.W.3d 534 (Court of Appeals of Texas, 2016)
Stephen W. Clark v. Dillard's Inc. and the Campbell Agency
460 S.W.3d 714 (Court of Appeals of Texas, 2015)
Glassdoor, Inc., Doe 1, and Doe 2 v. Andra Group, Lp
575 S.W.3d 523 (Texas Supreme Court, 2019)
Hays Street Bridge Restoration Group v. City of San Antonio
570 S.W.3d 697 (Texas Supreme Court, 2019)
Sudan v. Sudan
199 S.W.3d 291 (Texas Supreme Court, 2006)

Cite This Page — Counsel Stack

Bluebook (online)
Antonio Caballero v. Rushmore Loan Management Services LLC and Wilmington Savings Fund Society, FSB, D/B/A Christiana Trust, as Trustee for Normandy Mortgage Loan Trust, Series 2015-1, Counsel Stack Legal Research, https://law.counselstack.com/opinion/antonio-caballero-v-rushmore-loan-management-services-llc-and-wilmington-texapp-2020.