Brenda Dumler v. The Nationstar Mortgage, LLC

CourtMissouri Court of Appeals
DecidedJuly 2, 2019
DocketWD81446
StatusPublished

This text of Brenda Dumler v. The Nationstar Mortgage, LLC (Brenda Dumler v. The Nationstar Mortgage, LLC) is published on Counsel Stack Legal Research, covering Missouri Court of Appeals primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Brenda Dumler v. The Nationstar Mortgage, LLC, (Mo. Ct. App. 2019).

Opinion

In the Missouri Court of Appeals Western District

 BRENDA DUMLER, ET AL.,   WD81446 Respondents,  OPINION FILED: v.   July 2, 2019 THE NATIONSTAR MORTGAGE, LLC,   Appellant.   

Appeal from the Circuit Court of Jackson County, Missouri The Honorable Jack Richard Grate, Judge

Before Division Two: Thomas N. Chapman, Presiding Judge, Mark D. Pfeiffer, and Cynthia L. Martin, Judges

The Nationstar Mortgage, LLC, (Nationstar) appeals from the circuit court’s judgment

quieting title to Brenda Dumler’s (Brenda) property1 and awarding her damages for slander of

title based upon Nationstar’s refusal to release a deed of trust that purported to maintain a

mortgage lien on Brenda’s real estate. Nationstar argues that Brenda’s actions to quiet title and

for slander of title were barred by the applicable statutes of limitation; and that the judgment for

slander of title was not supported by substantial evidence. We affirm and remand solely for the

1 We refer to Brenda and to her deceased husband by their first names to avoid confusion. No disrespect is intended. Brenda transferred the property prior to suit into a trust over which she serves as trustee. The trust is also a party to this appeal. For simplicity, our references to Brenda should be read to include the trust, where appropriate. circuit court to determine Brenda’s reasonable attorneys’ fees on appeal and enter judgment

accordingly.

Facts & Procedure2

Brenda and her husband Emmanuel Dumler (Emmanuel) purchased a home in Lee’s

Summit, Missouri. Brenda and Emmanuel owned the property as tenants by the entirety. In

2005, Emmanuel filed a Uniform Residential Loan Application, seeking to borrow $624,000.00

from Countrywide Bank, N.A., (Countrywide) using the couple’s Lee’s Summit home as

collateral. On December 21, 2005, while Brenda was recovering from an emergency

appendectomy, Emmanuel traveled to St. Louis, Missouri, to finalize the residential loan

documents.

Emmanuel executed an Adjustable Rate Note (Note), promising to repay the principal

loan of $624,000.00 plus accrued interest. On December 21, 2005, Emmanuel also executed the

deed of trust (Deed of Trust), granting Countrywide a lien interest in the couple’s home as

security for the loan. Brenda did not execute the Note or Deed of Trust, was not present for the

closing of the loan, and did not intend to grant Countrywide an interest in the couple’s home.

Subsequently, Countrywide was acquired by Bank of America.

Emmanuel made the monthly payments ($4,071.59) on the loan until his death in May of

2013. Following Emmanuel’s death, Brenda went to Bank of America to find out where she

stood with respect to the loan that Emmanuel had procured. She was informed by Bank of

America employees that they could not discuss the loan with her because her “name was not on

the loan.”

“On appeal from a court-tried case, the facts are viewed in the light most favorable to the judgment.” 2

Howard Cty. Ambulance Dist. v. City of Fayette, 549 S.W.3d 1, 3 n.2 (Mo. App. W.D. 2018).

2 In July 2013, Nationstar acquired all of the servicing and ownership rights to the Note

held by Bank of America. In January 2015, Brenda’s counsel sent a letter to Nationstar

requesting that it contact him “to discuss [Nationstar’s] attempt at collecting what appear[ed] to

be an invalid mortgage.” In April 2015, Brenda’s counsel sent Nationstar another letter, advising

that the mortgage issued to Emmanuel was invalid in that it purported to encumber real property

that had been owned by Brenda and Emmanuel as tenants by the entirety, but was signed by

Emmanuel alone. The April 2015 letter requested that Nationstar “remove the lien filed in

Jackson County, Missouri on 19 January 2006…” In June 2015, CSM Foreclosure Trustee

Corporation (CSM) (which had been retained by Nationstar to assert its interests under the Note

and Deed of Trust) sent a letter to Brenda, informing her that she had not signed the Deed of

Trust and that her “legal interest in the property remain[ed] outstanding.” In an attempt to

reform the original Deed of Trust, CSM enclosed with the letter a Consent and Ratification

Agreement, which provided, among other things, as follows:

Brenda Sue Dumler hereby grants and conveys to Countrywide Bank, N.A. and its successors and assigns, a complete lien interest in the Premises equal and commensurate with that conveyed by the Deed of trust as and if she had originally signed the document.

The letter threatened Brenda with a lawsuit if she did not execute the ratification agreement.

In July 2015, Brenda’s counsel sent a letter responding to CSM’s June correspondence.

The letter advised CSM that Nationstar had no “basis in law or equity to assert a claim against”

Brenda or against Emmanuel’s estate (as the period for filing claims had run). Brenda’s counsel

also demanded that Nationstar “remove [its] invalid lien by filing the appropriate release with the

recorder of deeds office for Jackson County, Missouri.” Nationstar did not release its lien on

Brenda’s real property.

3 On May 5, 2016, Brenda filed suit against Nationstar to quiet title to the home, for

slander of title, for a declaratory judgment declaring the Deed of Trust invalid, and for attorneys’

fees. In response, Nationstar filed a counterclaim for declaratory relief which asked the circuit

court to declare that its Deed of Trust represented a valid lien against the property. At trial,

Brenda testified that she had accumulated approximately $30,000.00 in attorneys’ fees as a result

of her efforts to have Nationstar’s lien set aside and asked the circuit court to quiet title by

declaring the property hers (free and clear of Nationstar’s lien) so that she could sell it.

The circuit court entered judgment in favor of Brenda and against Nationstar, finding that

Brenda did not sign the Note or Deed of Trust, declaring Brenda the sole owner of the property,

and declaring Nationstar's Deed of Trust to be an invalid lien against the property. The circuit

court also found Nationstar liable for slander of title in that it “wrongfully declared an interest in

the property by refusing to remove its claim to the title to the home and publishing those

statements to the public through the Jackson County, Missouri Recorder of Deeds in the form of

the Deed of Trust.” The circuit court found that Brenda did not plead or prove specific damages.

It awarded Brenda $25,000.00 as damages for slander of title and $5,000.00 in attorneys’ fees.

Nationstar timely appeals.

Discussion

Nationstar raises three points on appeal. It argues (1) that the circuit court erred in

entering its judgment quieting title in Brenda’s name and setting aside Nationstar’s lien because

the action was barred by the ten-year statute of limitations; (2) that Brenda’s action for slander of

title was barred by the five-year statute of limitations; and (3) that the judgment for slander of

title was not supported by substantial evidence in that the actions being asserted by Brenda were

barred by the statute of limitations, Brenda failed to show that Nationstar maliciously published

4 any statements as it did not record the Deed of Trust, and Brenda failed to prove pecuniary loss

to support the award of damages.

In its first point on appeal, Nationstar argues that Brenda’s action to quiet title was time-

barred because the Deed of Trust was recorded on January 19, 2006, and Brenda did not file suit

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