Lee v. JPMorgan Chase Bank CA2/7

CourtCalifornia Court of Appeal
DecidedOctober 9, 2025
DocketB343128
StatusUnpublished

This text of Lee v. JPMorgan Chase Bank CA2/7 (Lee v. JPMorgan Chase Bank CA2/7) is published on Counsel Stack Legal Research, covering California Court of Appeal primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Lee v. JPMorgan Chase Bank CA2/7, (Cal. Ct. App. 2025).

Opinion

Filed 10/9/25 Lee v. JPMorgan Chase Bank CA2/7 NOT TO BE PUBLISHED IN THE OFFICIAL REPORTS

California Rules of Court, rule 8.1115(a), prohibits courts and parties from citing or relying on opinions not certified for publication or ordered published, except as specified by rule 8.1115(b). This opinion has not been certified for publication or ordered published for purposes of rule 8.1115.

IN THE COURT OF APPEAL OF THE STATE OF CALIFORNIA

SECOND APPELLATE DISTRICT

DIVISION SEVEN

DANIEL KWAN HAENG LEE, B343128

Plaintiff and Appellant, (Los Angeles County Super. Ct. v. No. 23LBCV01651)

JPMORGAN CHASE BANK, N.A. et al.,

Defendants and Respondents.

APPEAL from a judgment of the Superior Court of Los Angeles County, Mark C. Kim, Judge. Affirmed. Daniel Kwan Haeng Lee, in pro. per., for Plaintiff and Appellant. Kutak Rock, Steven M. Dailey and Jennifer L. Andrews for Defendants and Respondents. INTRODUCTION

Daniel Lee appeals from the judgment dismissing his first amended complaint after the trial court sustained a demurrer without leave to amend. Lee claims a deed of trust signed by his wife is void and subject to cancellation because Lee, as part owner of the community property used to secure his wife’s loan, did not execute the deed of trust or agree to its terms. Lee also claims an assignment of that deed of trust is void and subject to cancellation because the original trustee did not execute the assignment. The trial court sustained the demurrer on multiple grounds, including that Lee lacked standing, that he failed to allege void instruments, and that the statute of limitations barred his causes of action. In doing so, the court took judicial notice of the legal effects of two recorded grant deeds signed by Lee that made his wife the sole owner of the secured property. Because the trial court did not err in taking judicial notice of the legal effects of the recorded documents or in denying Lee’s request for leave to amend the complaint, we affirm.

FACTUAL AND PROCEDURAL BACKGROUND

A. Lee Deeds His Property Interest to His Wife, Who Obtains a Loan Secured by the Property In February 2004 a grant deed transferred ownership of property in Long Beach to Lee and his wife Yuri Lee as joint tenants. On July 28, 2006 Lee and Yuri signed two grant deeds affecting the ownership interests in the property. The first conveyed the property from Lee and Yuri as joint tenants to Lee and Yuri as community property. The second conveyed the

2 property from Lee and Yuri as community property to Lee and Yuri as trustees of the Daniel Kwan Haeng Lee and Yuri Imuta Lee Revocable Trust dated July 28, 2006. Those grant deeds were not immediately recorded. On August 18, 2006, before the July 28, 2006 grant deeds were recorded, Lee and Yuri signed four documents affecting their ownership of the property. First, and notwithstanding the July 28, 2006 grant deeds, Lee and Yuri signed a grant deed conveying the property from them as joint tenants to “Yuri I. Lee, A Married Woman as her sole and separate property.” Second, Lee signed an interspousal grant deed conveying to Yuri as her “sole and separate property” Lee’s “co-owner’s interest” in the property. Third, Yuri signed a deed of trust identifying the “‘Borrower’” as Yuri, “a married woman as her sole and separate property,” the “‘Lender’” and beneficiary as Washington Mutual Bank, FA, and the “‘Trustee’” as California Reconveyance Company. The deed of trust stated that the borrower owed the lender $536,250 plus interest and that the debt was secured by the property in Long Beach. The deed of trust also included covenants allowing the borrower to grant and convey the property. Fourth, Yuri signed a grant deed conveying the property from Yuri back to Lee and herself as trustees of the family trust dated July 28, 2006. The first three documents signed on August 18, 2006—the two grant deeds transferring Lee’s ownership interest to Yuri and the deed of trust—were recorded on August 28, 2006. The grant deeds signed on July 28, 2006 conveying the property to Lee and Yuri as community property and then to the family trust were recorded on September 5, 2006. The fourth document signed on August 18, 2006—the grant deed conveying Yuri’s ownership in

3 the property to Yuri and Lee as trustees of the family trust—was recorded on September 11, 2006.

B. Yuri Defaults on the Loan Twice and Loses Two Lawsuits Involving the Property; The Bank Forecloses In September 2008 the federal government’s Office of Thrift Supervision appointed the Federal Deposit Insurance Corporation (FDIC) the receiver of Washington Mutual. (See Gillies v. JPMorgan Chase Bank, N.A. (2017) 7 Cal.App.5th 907, 913; Scott v. JPMorgan Chase Bank, N.A. (2013) 214 Cal.App.4th 743, 746 (Scott).) The FDIC sold to JPMorgan Chase Bank, National Association all of Washington Mutual’s assets (with certain exceptions), but not Washington Mutual’s liabilities for claims by borrowers. (Scott, at p. 746.) In November 2010 Chase, as the successor in interest to Washington Mutual, assigned its interest in the deed of trust signed by Yuri to Bank of America, National Association. Also in November 2010 the California Reconveyance Company recorded a notice of default on the loan secured by the property. In February 2011 Yuri filed a complaint in Los Angeles County Superior Court against Chase and California Reconveyance Company for declaratory and injunctive relief.1 Yuri alleged Chase lacked authority to foreclose on the property, in part because the assignment of the deed of trust from Chase to Bank of America was not “proper.” The court sustained the defendants’ demurrer without leave to amend and entered judgment for the defendants. In October 2011 California Reconveyance Company rescinded the notice of default.

1 Lee v. J.P. Morgan Chase, N.A. (Super. Ct. L.A. County, 2011, No. NC055738).

4 In August 2013 California Reconveyance Company recorded another notice of default on the loan and notified Yuri the property was in foreclosure. Multiple notices of trustee’s sale were recorded between February 2014 and June 2017. In December 2017 Yuri filed another complaint in Los Angeles Superior Court against the loan servicer and U.S. Bank, National Association,2 which became the successor trustee to Bank of America.3 Yuri sought injunctive relief and damages and challenged U.S. Bank’s authority to enforce the deed of trust. The defendants removed the action to federal district court, which transferred the action to the United States Bankruptcy Court for the Central District of California. That court granted a motion to dismiss the complaint with prejudice, and the district court and United States Court of Appeals for the Ninth Circuit affirmed.4 A new loan servicing company recorded notices of trustee’s sale in 2018 and 2019, and the property sold at a trustee’s sale on January 30, 2020. The property reverted to U.S. Bank as the beneficiary of the deed of trust.

2 Lee v. Select Portfolio Servicing, Inc. (Super. Ct. L.A. County, 2017, No. NC061515).

3 The complete name of the successor entity is U.S. Bank NA, Successor Trustee to Bank of America, NA, Successor in Interest to Lasalle Bank NA, as Trustee, on Behalf of the Holders of the WaMu Mortgage Pass-through Certificates, Series 2006- AR12. We refer to that entity as U.S. Bank.

4 Lee v. Select Portfolio Servicing, Inc. (Bankr. C.D.Cal. 2017, No. 2:18-ap-01130-VZ), affirmed (9th Cir. 2019) No. 19-55020).

5 C. Lee Files This Action; U.S. Bank Demurs; Lee Moves To File a Proposed Second Amended Complaint Lee filed this action on September 6, 2023.

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Lee v. JPMorgan Chase Bank CA2/7, Counsel Stack Legal Research, https://law.counselstack.com/opinion/lee-v-jpmorgan-chase-bank-ca27-calctapp-2025.