Lakeview Loan Servicing, LLC v. Christopher S. Hull, Misty R. Hull, and United States of America, on behalf of the Secretary of Housing and Urban Development

District Court, W.D. Texas·Decided July 31, 2026·No. 7:25-cv-00444·Unknown

Opinion

IN THE UNITED STATES DISTRICT COURT FOR THE WESTERN DISTRICT OF TEXAS MIDLAND/ODESSA DIVISION

LAKEVIEW LOAN SERVICING, LLC, § Plaintiff, § § v. § MO:25-CV-00444-DC-RCG § CHRISTOPHER S. HULL, MISTY R. § HULL, AND UNITED STATES OF § AMERICA, ON BEHALF OF THE § SECRETARY OF HOUSING AND URBAN § DEVELOPMENT, § Defendants. §

REPORT AND RECOMMENDATION OF THE U.S. MAGISTRATE JUDGE BEFORE THE COURT is Plaintiff Lakeview Loan Servicing, LLC’s (“Plaintiff”) Motion for Default Judgment. (Doc. 22).1 This matter is before the undersigned United States Magistrate Judge through a standing order of referral pursuant to 28 U.S.C. § 636 and Appendix C of the Local Court Rules for the Assignment of Duties to United States Magistrate Judges. After due consideration, the Court RECOMMENDS Plaintiff’s Motion for Default Judgment be GRANTED. (Doc. 22). I. BACKGROUND This action was commenced in this Court on September 30, 2025, against Defendants Christopher S. Hull, Misty R. Hull, and the United States of America, on behalf of the Secretary of Housing and Urban Development.2 (Doc. 1). The relevant factual allegations are as follows. On August 9, 2019, Christopher S. Hull and Misty R. Hull (“Borrowers”) made, executed, and delivered to Royal Pacific Funding Corporation, a certain Promissory Note (“Note”), in writing, whereby Borrowers promised to

1. All page number citations are to CM/ECF generated pagination unless otherwise noted.

2. On March 19, 2026, the Court entered a Consent Order as to the United States of America. (Doc. 11). pay to the order of Royal Pacific Funding Corporation the amount of $235,653.00 plus interest. (Doc. 1 at 3). Thereafter, Royal Pacific Funding Corporation, indorsed the Note and the same was assigned to Lakeview. Subsequently, the Note was secured by a Deed of Trust executed by Borrowers encumbering a piece of real property. Id. The property in question is commonly known as 723 Dublin Avenue, Odessa, TX 79765 (the “Property”), more particularly described

as: LOT 4, BLOCK 10, LAWNDALE ADDITION, AN ADDITION TO THE CITY OF ODESSA, ECTOR COUNTY, TEXAS, ACCORDING TO THE MAP OR PLAT OF RECORD IN VOLUME 8, PAGE 33, PLAT RECORDS, ECTOR COUNTY, TEXAS.

Id. at 3. By executing the Security Instrument, Borrowers granted a lien on and recourse to the Property for a breach thereunder. Id. Plaintiff is the record assignee of the Security Instrument under that certain Corporate Assignment of Deed of Trust (“Assignment”). Id. at 4. Borrowers, to Plaintiff’s detriment, have failed and refused to pay amounts that have come due under the Loan, although demand for payment was made. Id. Borrowers continued breach under the Loan has directly and proximately caused damages to Plaintiff in that amounts due to Plaintiff remain unpaid, and in that Plaintiff is incurring fees and expenses to enforce its rights under the Loan and to protect its security interest in the Property. Id. Borrowers have not cured the default described in the Notice of Default. Id. Plaintiff’s records reflect that the unpaid principal balance due and payable under the Loan and secured under the Security Instrument, exclusive of interest, late fees, costs, advances, attorneys’ fees, and attorneys’ costs, was $205,378.06 as of March 1, 2025. Id. at 5. Summons in this case were issued as to all Defendants October 1, 2025. (Doc. 4). On December 31, 2025, Plaintiff filed executed summons as to Defendant Misty R. Hull showing she was personally served via process server at 2002 East 14th St., Odessa, Texas 79761, on November 20, 2025. (Doc. 7). On February 16, 2026, Plaintiff filed executed summons as to Defendant Christoper S. Hull. (Doc. 12). Plaintiff’s proof of service shows Defendant Christoper S. Hull was personally served by process server at 2002 East 14th St., Odessa, Texas 79761, on November 20, 2026. Id. To date, Defendants Misty R. Hull and Christoper S. Hull have failed to

answer Plaintiff’s Complaint or otherwise make an appearance in this lawsuit. On May 14, 2026, Plaintiff filed a Motion for Clerk’s Entry of Default. (Doc. 18). The next day, the Clerk of Court entered default against Defendants Misty R. Hull and Christoper S. Hull. (Doc. 19). On June 17, 2026, Plaintiff filed the instant Motion for Default Judgment. (Doc. 22). Plaintiff brings a breach of contract claim against Defendants Misty R. Hull and Christoper S. Hull and seeks a judgment declaring that it may carry out a judicial foreclose on the Property. (Docs. 1 at 3, 5; 22 at 4). A hearing was held on the instant Motion for Default Judgment on July 30, 2026. (See Doc. 25). Accordingly, this matter is now ripe for disposition. II. LEGAL STANDARD

After entry of default and upon a motion by the plaintiff, Federal Rule of Civil Procedure 55 authorizes the Court to enter a default judgment against a defendant who fails to plead or otherwise defend the suit. FED. R. CIV. P. 55(b). However, “[d]efault judgments are a drastic remedy, not favored by the Federal Rules and resorted to by courts only in extreme situations.” Sun Bank of Ocala v. Pelican Homestead & Savs. Ass’n, 874 F.2d 274, 276 (5th Cir. 1989). Accordingly, “[a] party is not entitled to a default judgment as a matter of right, even where the defendant is technically in default.” Ganther v. Ingle, 75 F.3d 207, 212 (5th Cir. 1996). Instead, the district court “has the discretion to decline to enter a default judgment.” Lindsey v. Prive Corp., 161 F.3d 886, 893 (5th Cir. 1998). In determining whether to enter a default judgment, courts utilize a three-part test. See United States v. 1998 Freightliner Vin #: 1FUYCZYB3WP886986, 548 F. Supp. 2d 381, 384 (W.D. Tex. 2008). First, courts consider whether the entry of default judgment is procedurally warranted. Id. The factors relevant to this inquiry include: (1) whether material issues of fact exist; (2) whether there has been substantial prejudice; (3) whether the grounds for default are clearly established; (4) whether the default was caused by a good faith mistake or excusable neglect; (5) the harshness of a default judgment; and (6) whether the court would think itself obliged to set aside the default on the defendant’s motion.

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Lakeview Loan Servicing, LLC v. Christopher S. Hull, Misty R. Hull, and United States of America, on behalf of the Secretary of Housing and Urban Development, (W.D. Tex. 2026).

Lakeview Loan Servicing, LLC v. Christopher S. Hull, Misty R. Hull, and United States of America, on behalf of the Secretary of Housing and Urban Development (Lakeview Loan Servicing, LLC v. Christopher S. Hull, Misty R. Hull, and United States of America, on behalf of the Secretary of Housing and Urban Development) — published by Counsel Stack Legal Research, free access to 12M+ legal documents.

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