Cherly K Jones v. Wells Fargo Bank NA, et al.

District Court, D. Arizona·Decided November 1, 2023·No. 2:23-cv-01502·Unknown

Opinion

1 WO 2 3 4 5 6 IN THE UNITED STATES DISTRICT COURT 7 FOR THE DISTRICT OF ARIZONA

9 Cherly K Jones, No. CV-23-01502-PHX-DJH

10 Plaintiff, REPORT AND RECOMMENDATION 11 v. (Under Seal)1

12 Wells Fargo Bank NA, et al.,

13 Defendants. 14 15 TO THE HONORABLE DIANE J. HUMETEWA, UNITED STATES DISTRICT 16 JUDGE: 17 Pending before the Court is a reference for a Report and Recommendation 18 regarding the merits of Defendant Wells Fargo Bank’s (“Wells Fargo”) Motion to Strike 19 Affidavits of Service (doc. 5), Plaintiff’s Motion to Remand to State Court (doc. 10), 20 Defendant First American Title Company’s (“First American”) Motion to Quash (doc. 21 11), and non-party Inland Empire Service Corporation’s (“Inland Empire”) Motion to 22 Quash (doc. 14). (Doc. 21.) This Court recommends that Defendants’ motions (doc. 5, 23 11) and non-party Inland Empire’s motion (doc. 14) be granted, and that Plaintiff’s 24 motion (doc. 10) be denied. 25 I. Procedural History and Service 26 On June 15, 2023, Plaintiff filed a complaint in Maricopa County Superior Court 27 (“Complaint”) against “Wells Fargo Bank N.A. et al” and “First American Title 28 1 This Report and Recommendation will be filed under seal as explained infra, page 11. 1 Ins[urance] Co[mpany] et al.” (Doc. 1-3 at 3.) Plaintiff alleged she is the “inherited 2 owner of deceases [sic] estate” and that “defendants are pursuing a fraudulent claim as a 3 Deed of Trust to claim a [d]ebt which never occurred by the owners of the real property . 4 . . .” (Id. at 4.) Plaintiff described her injuries as the “fraudulent claim foreclosure to take 5 real property without a cause under either Arizona laws as well as the United States 6 Constitution.” (Id. at 5-6.) She requested a “cease and desist order” and a “temporary 7 restraining order.” (Id. at 6.) In an Application for Preliminary Injunction accompanying 8 the Complaint, Plaintiff sought relief under several legal theories, including fraud, 9 conspiracy, racketeering, and the violation of her Constitutional rights. (Id. at 8-16.)2 Her 10 attached certificates of service indicated she had mailed copies of the Complaint and 11 Application for Preliminary Injunction to Wells Fargo, First American, and “Inland 12 Empire Services Corporation c/o First American Title Insurance Company.” (Id. at 7, 17.) 13 The state court record includes the following documents related to service: 14 • A July 14, 2023, Affidavit of Service by Certified Mail indicating Plaintiff had 15 attempted to mail an Application for Change of Name and Notice of Hearing 16 Regarding Application for Change of Name to Defendant Wells Fargo at an 17 address in Newark, New Jersey. (Id. at 65.) The certified mail receipt indicates it 18 was returned undelivered. (Id. at 66.) 19 • A July 14, 2023, Affidavit of Service by Certified Mail attesting that Plaintiff 20 mailed the same documents to Wells Fargo at an address in Eagan, Minnesota. (Id. 21 at 68.) No signed return receipt was included. (Id. at 69.) 22 • A July 14, 2023, Affidavit of Service by Certified Mail indicating Plaintiff served 23 the same documents by certified mail to “Inland Empire Services Corp. c/o First 24 American Title Ins[urance] Co[mpany] et al.” (Id. at 92.) A signed, dated return 25 receipt was attached. (Id. at 93.)

26 2 The presiding judge, Hon. Melissa Julian, denied Plaintiff’s Application for Preliminary Injunction in an Order dated June 23, 2023. (Id. at 86.) On June 26, 2023, Plaintiff filed 27 another Application for Preliminary Injunction (id. at 87), and this was denied by Judge Pro Tempore, Hon. John Doody, in a Minute Entry Order dated June 28, 2023 (id. at 90- 28 91). 1 • A July 14, 2023, Affidavit of Service by Certified Mail to First American for the 2 same documents. (Id. at 94.) A signed, dated return receipt was attached. (Id. at 3 95.) 4 • A July 15, 2023, summons directed to Inland Empire signed and affixed with a 5 seal by the state clerk of court. (Id. at 81-82.) 6 On July 28, 2023, Defendant Wells Fargo filed with this Court a Notice of 7 Removal (doc. 1) and a Motion to Strike Affidavits of Service (doc. 5), among other 8 documents.3 On July 31, 2023, this Court issued an order stating, in part, Plaintiff’s 9 obligation to serve a copy of the summons and complaint upon each Defendant within 90 10 days of the date of filing and to promptly file proof of service. (Doc. 8 at 1-2.) The Court 11 explained that Plaintiff could file requests for extensions of time to serve these 12 documents prior to the expiration of the 90-day period, but that each request “must set 13 forth the reason why service has not been accomplished and request a specific short 14 period of time in which to accomplish such service.” (Id. at 2.) The Court ordered 15 Plaintiff to file proof of service of the summons and the complaint, or waiver of service, 16 no later than September 12, 2023, and for the Clerk of Court to terminate any unserved 17 Defendant on September 13, 2023. (Id. at 4.) 18 On August 7, 2023, Plaintiff filed a motion to remand this action to state court. 19 (Doc. 10.) In that motion, apart from objecting to the removal of the case, Plaintiff 20 asserted Wells Fargo had been served once it obtained a copy of the complaint through its 21 subsidiaries. (Id. at 3.) On August 21, 2023, Defendant Wells Fargo responded to 22 Plaintiff’s motion. (Doc. 18.) 23 On August 10, 2023, Defendant First American filed a Motion to Quash. (Doc. 24 11.) On August 14, 2023, non-party Inland Empire also filed a Motion to Quash. (Doc. 25 14.) On August 15, 2023, Plaintiff responded to First American and Inland Empire’s 26 motions. (Doc. 16.) On August 22, 2023, First American and Inland Empire filed Replies 27 3 Wells Fargo supplemented its Notice of Removal on August 17, 2023, attaching a 28 Motion to Support Civil Complaint Plaintiff had filed in state court on the same afternoon Wells Fargo filed the Notice of Removal. (Doc. 17.) 1 on their respective motions. (Docs. 19-20.) 2 On August 30, 2023, Plaintiff filed two notices of unsuccessful service upon 3 Defendants by the Maricopa County Sheriff’s Office (doc. 22 at 1-2), and an additional 4 Affidavit of Service by Certified Mail upon Wells Fargo at an address in Fort Mill, South 5 Carolina dated July 14, 2023. (Id. at 3-4.) The certified mail receipt is unsigned, but the 6 page upon which it was scanned includes a copied and pasted signature of unknown 7 origin. (Id. at 4.) Plaintiff’s affidavit states she “received signature confirmation page 8 from post office in person.” (Id. at 3.) This filing also includes copies of the Affidavits of 9 Service Plaintiff previously filed for First American and Inland Empire. (Id. at 5-8, 14.) 10 On August 30, 2023, the Honorable Diane J. Humetewa referred the pending 11 motions (docs. 5, 10, 11, 14) to this Court for a Report and Recommendation. (Doc. 21.) 12 II. Defendant Wells Fargo’s Motion to Strike Affidavits of Service 13 a. The Parties’ Arguments 14 Defendant Wells Fargo argues service was deficient because (1) Plaintiff did not 15 serve Wells Fargo’s statutory agent registered with the Arizona Corporation Commission 16 (“ACC”) pursuant to Ariz. R. Civ. P. 4.1(i) and A.R.S. § 10-3504; (2) Plaintiff did not 17 have leave of court to serve by certified mail pursuant to Ariz. R. Civ. P. 4.1(k); (3) that 18 even if the Superior Court allowed service by certified mail, “Plaintiff’s affidavit [of 19 service] is deficient as it lacks an attached signed return receipt as required by Ariz. R. 20 Civ. P. 4.2(c)(2)(C)[;]” and (4) in any event, Plaintiff never served a summons directed to 21 Wells Fargo as required by Ariz. R. Civ. P. 4. (Doc. 5 at 2.) Wells Fargo also notes that 22 one of Plaintiff’s certified mail receipts clearly states it was returned and not received by 23 Wells Fargo. (Doc.

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Cherly K Jones v. Wells Fargo Bank NA, et al., (D. Ariz. 2023).

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