Frank D. McCollum III v. the Bank of New York Mellon Trust Company

481 S.W.3d 352, 2015 Tex. App. LEXIS 11845, 2015 WL 7281443
CourtCourt of Appeals of Texas
DecidedNovember 18, 2015
Docket08-13-00318-CV
StatusPublished
Cited by11 cases

This text of 481 S.W.3d 352 (Frank D. McCollum III v. the Bank of New York Mellon Trust Company) 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
Frank D. McCollum III v. the Bank of New York Mellon Trust Company, 481 S.W.3d 352, 2015 Tex. App. LEXIS 11845, 2015 WL 7281443 (Tex. Ct. App. 2015).

Opinion

OPINION

STEVEN L. HUGHES, Justice

Frank D. McCollum, III appeals from a no-evidence summary judgment granted in favor of the- Bank' of New York Mellon Trust Gompany on McCollum’s claim for wrongful foreclosure. On-appeal, McCol-lum contends: (1) the trial court erred in striking his affidavit filed in response to Mellon’s summary judgment motion, because he did not have an adequate opportunity to respond before the trial court ruled on Mellon’s motion to strike; and (2) the trial court erred in granting Mellon’s motion for summary judgment, because he presented sufficient evidence to raise a genuine issue of material fact. We affirm. 1

BACKGROUND

McCollum sued Mellon alleging that Mellon had wrongfully-foreclosed on his home in August 2011. McCollum alleged that another lender had initially held the mortgage on his home before Mellon purchased the mortgage, and that he had been involved in á dispute with his first lender regarding fees the first lender had charged him, which according to McCollum caused *355 him to become delinquent on his payments. McCollum alleged that he and the first lender settled their dispute by entering into an agreement permitting him to make three payments during the month of May 2010, which would have allowed McCollum to become current on the loan. McCollum claimed that the first lender agreed to debit his bank account for all three payments, but had only debited one of the payments. McCollum admittedly did not make the last two scheduled payments before his mortgage was purchased by Mellon. '

McCollum further claimed that when the first lender sold the mortgage, he was not informed of the- identity of the new lender, which allegedly resulted in McCollum’s inability to communicate with Mellon for approximately six months. According to his petition, when Mellon “finally surfaced” as the new lender, Mellon advised him that it would not honor thé May 2010 agreement and would not accept any payments from him under that agreement. ''McCollum.al-leges that Mellon instead “declared that it would foreclose” - on his home - unless McCollum paid “additional, ’illegal charges,” and when McCollum refused to do so, Mellon demanded that McCollum pay “unsupported excessive funds immediately and in full” to avoid foreclosure.

McCollum admittedly failed to pay the amounts demanded by Mellon in its notice of acceleration. He claims that he instead negotiated an agreement with Mellon for the sale of the home, in which an unspecified buyer chosen by Mellon would buy the house and allow McCollum to remain in the ’ house as a tenant. According to McCollum, however, Mellon refused to close the sale, and instead foreclosed on the house one day before the scheduled sale was to take place, thereby allowing Mellon to purchase the home, without pri- or notice to him. McCollum claimed that Mellon’s “shameful actions have violated numerous state and federal laws and regulations,” and sought a declaration that the foreclosure was void, as well as actual and punitive damages.

About a month before a June 2013 triál setting, Mellon filed a motion to compel discovery and for sanctions, claiming that McCollum had failed to respond to Mellon’s discovery requests. Mellon attached proof that it had served its discovery requests on McCollum almost ten months’ befdre, and that McCollum’s responses had been due in September 2012. McCollum did not file a response. On May 23, 2013, the trial court issued a written order granting Mellon’s motion to compel production and ordering McCollum to produce his responses by May 30, 2013. McCollum did not request the trial court to reconsider that order. !

On May 15, 2013, two- days after it filed its motion to compel production of documents, Mellon filed a no-evidence motion for summary judgment, alleging that there was “no basis in fact or law” to support the required elements of McCollum’s claim for wrongful’ foreclosure, separately- listing each element of that claim. Mellon further alleged that McCollum had been given adequate time for discovery, but had failed to produce any evidence to support his claim.

On June 10, 2013, McCollum filed a response to Mellon’s no-evidence motion for summary judgment, to which he attached his own affidavit. In his affidavit, McCol-lum claimed that he had previously- entered into an agreement with his first lender in which ,the first lender was to debit three payments from his bank account in May 2010 to bring him current on his loan, but that the first lender had failed to debit the last two payments. McCollum attached a copy of the letter dated May 6, 2010, which he claimed to have received *356 from the first lender, purportedly memorializing this' agreement. However, contrary to McCollum’s representations in his affidavit, the letter expressly stated that'it was McCollum’s responsibility to tender the payments 'to the first -lender, and warned McCollum that he would be considered in default if he did not ensure that the first lender received the payments in a timely manner in accordance with the schedule set forth in the letter. '

Although McCollum admittedly did not make the last two payments as required by his purported agreement with the first lender, McCollum nevertheless asserted in his affidavit that he was not-in default on the mortgage when Mellon purchased the note, based on his belief that the. May 2010 agreement was still in effect at that time. McCollum alleged that he attempted to make the two payments , to-Mellon, but that Mellon refused to “honor the agreement” and would not accept his payments.

Although Mellon requested-a head ing on its motion for summary judgment, •the district court’s case summary indicates that the matter' was ultimately submitted for decision on.June 14, 2013, without a hearing. 2

On June 11, 2013, Mellon filed a motion to strike McCollum’s affidavit as a discovery sanction. Mellon alleged that McCol-lum had failed to respond to Mellon’s discovery requests, and was in violation of the trial court’s order directing -McCollum to provide his discovery responses by May 30, 2013. Mellon requested that the trial court strike McCollum’s affidavit as a sanction for McCollum’s “persistent and flagrant disregard of the discovery process,” and for McCollum’s violation of the trial court’s prior order compelling discovery. The certificate of service on Mellon’s motion indicates that it, was both mailed and e-mailed to McCollum’s attorney on June 11, 2013. McCollum _ did not file a written response, and it does not appear that either party requested a hearing on the motion.

On June 14, 2013,-the trial court issued two separate .written orders: one order granted Mellon’s motion to strike McCol-lum’s affidavit, and the -second order granted Mellon’s motion for summary judgment,, disposing of McCollum’s entire lawsuit. The trial court did not provide its reasons for granting Mellon’s motions in either order, and neither party requested findings of facts or conclusions of law with regard to-the sanctions order.

*357 McCollum filed a timely motion for new trial.

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481 S.W.3d 352, 2015 Tex. App. LEXIS 11845, 2015 WL 7281443, Counsel Stack Legal Research, https://law.counselstack.com/opinion/frank-d-mccollum-iii-v-the-bank-of-new-york-mellon-trust-company-texapp-2015.