Rovin Vinod v. Pauline Properties LLC

CourtMichigan Court of Appeals
DecidedOctober 27, 2022
Docket358751
StatusUnpublished

This text of Rovin Vinod v. Pauline Properties LLC (Rovin Vinod v. Pauline Properties LLC) is published on Counsel Stack Legal Research, covering Michigan Court of Appeals primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Rovin Vinod v. Pauline Properties LLC, (Mich. Ct. App. 2022).

Opinion

If this opinion indicates that it is “FOR PUBLICATION,” it is subject to revision until final publication in the Michigan Appeals Reports.

STATE OF MICHIGAN

COURT OF APPEALS

ROVIN VINOD, UNPUBLISHED October 27, 2022 Plaintiff/Counterdefendant-Appellee,

v No. 358751 Washtenaw Circuit Court PAULINE PROPERTIES, LLC, LC No. 19-001315-CH

Defendant/Counterplaintiff-Appellant.

Before: LETICA, P.J., and SERVITTO and HOOD, JJ.

PER CURIAM.

In this action to quiet title, Pauline Properties, LLC (“defendant”) appeals as of right the trial court’s order granting Rivon Vinod’s (“plaintiff”) motion for summary disposition and its finding that a prior stipulated order quieting title to the disputed property in defendant’s favor was a forfeiture agreement. We affirm.

On September 21, 2015, plaintiff entered into a land contract with defendant with respect to a residential property defendant owned in Ann Arbor. According to the land contract, the sale price of the property was $300,000, of which plaintiff had already paid $30,000 to defendant. Plaintiff was to pay defendant $1,620 per month beginning in November 2015, as well as pay the property taxes on the property. Plaintiff was further required to pay off the entire balance by March 31, 2018 (or earlier without penalty), by way of a balloon payment. After the sales price was paid in full, defendant was to provide a warranty deed for the property to plaintiff.

According to plaintiff, the land contract price was paid in full. In a December 3, 2019 complaint against defendant to quiet title to the property, plaintiff asserted that defendant was improperly clouding the title to the property. Plaintiff thus requested the trial court grant him the equitable relief of entering a judgment declaring that plaintiff holds full legal and equitable title to the property.

Defendant, however, claimed that it held the deed to and interest in the property due to plaintiff’s breach of the land contract. Defendant thus filed a countercomplaint to quiet title to the property in its favor. Defendant asserted that plaintiff failed to pay the property taxes on the property, failed to make all of the required monthly payments on the property, failed to make the

-1- balloon payment by March 31, 2018, and conveyed some of its interest in the property to a third party without providing defendant with a copy of the assignment documents, thus breaching the land contract. Defendant sought a declaratory judgment that it was the lawful fee-simple absolute owner of the property and that plaintiff breached the contract and owed defendant the entire unpaid balance of the land contract, among other things.

Plaintiff moved for summary disposition on defendant’s countercomplaint, asserting that he made timely monthly installment payments on the property but that for an unknown reason, defendant never cashed or negotiated his check payments and refused to do so. Plaintiff further argued that defendant’s sought relief could not be found in filing its countercomplaint in the instant lawsuit but that defendant instead must choose, in accordance with Michigan law, to foreclose on the land contract or file a forfeiture action in the district court. According to plaintiff, because defendant did not pursue either of the proper remedies for its claimed breach of contract, it cannot eliminate plaintiff’s interest in the property.

Before the motion for summary disposition was heard, the parties agreed to a partial resolution of the matter. On November 23, 2020, the trial court entered the parties’ stipulated order “quieting title and setting procedure for closing case.” The order principally provided that title to the property was quieted in the name of defendant and the remaining issues in the case relating to the parties’ competing claims for monetary damages or compensation of any nature would be heard in December 2020 if the parties could not resolve the remaining issues.

Plaintiff thereafter refiled his motion for summary disposition on defendant’s counterclaim. Citing MCR 2.116(C)(8) and (10), plaintiff essentially reasserted the same arguments he did in his first motion for summary disposition. Plaintiff added, however, that defendant’s counterclaim served as an attempt to double-dip by taking possession of the property and still seeking damages under the land contract. Plaintiff asserted that Michigan law requires either a forfeiture proceeding to take possession of the property or that defendant seek acceleration of the debt, file a foreclosure action, sell the property, and determine whether there is a surplus or deficiency. Defendant disagreed.

The trial court1 agreed with plaintiff and, on September 16, 2021, issued an order granting plaintiff’s motion for summary disposition and in final judgment. The trial court opined that plaintiff correctly stated the law in Michigan as it pertains to land contracts and forfeiture/foreclosure. It stated that the issue, then, was whether the November 23, 2020 stipulated order was one for forfeiture or for foreclosure. The court found that the language in the land contract supported a finding that the parties entered into a forfeiture agreement because the contract clearly contains a forfeiture provision and it was obviously defendant’s intent to continue to possess the property if plaintiff failed to perform any part of the land contract. Further, the contract provided that defendant’s “other remedies” were contingent on defendant seeking possession of the property because of a breach. Any remaining remedies were remedies available to defendant prior to a forfeiture occurring. The trial court thus found that the November 23, 2020 order was a stipulation for a forfeiture and, as a result, defendant could not pursue any deficiencies from

1 The trial judge who issued the November 23, 2020 stipulated order retired. Thus, a different judge addressed and resolved plaintiff’s second motion for summary disposition.

-2- plaintiff. Finding that neither party owed the other any further obligation, the court granted plaintiff’s motion for summary disposition, and denied all requests for costs, attorney fees, and any further monetary damages. This appeal followed.

We review de novo a circuit court’s summary disposition ruling. Dalley v Dykema Gossett, 287 Mich App 296, 304; 788 NW2d 679 (2010). A motion brought under subrule (C)(8) tests the legal sufficiency of the complaint based on the pleadings alone. Id. A court may grant summary disposition under MCR 2.116(C)(8) if “[t]he opposing party has failed to state a claim on which relief can be granted.” “When deciding a motion under (C)(8), this Court accepts all well-pleaded factual allegations as true and construes them in the light most favorable to the nonmoving party.” Dalley, 287 Mich App at 304-305. Summary disposition should be granted under this subrule only when the claim “is so clearly unenforceable as a matter of law that no factual development could possibly justify a right of recovery.” Kuhn v Secretary of State, 228 Mich App 319, 324; 579 NW2d 101 (1998).

A motion for summary disposition made under MCR 2.116(C)(10), on the other hand, tests the factual sufficiency of the complaint. Bernardoni v City of Saginaw, 499 Mich 470, 472; 886 NW2d 109 (2016). “The Court considers all affidavits, pleadings, depositions, admissions, and other evidence submitted by the parties in the light most favorable to the party opposing the motion.” Id. at 472-473. MCR 2.116(G)(4) requires that, once the moving party has properly supported its motion, the adverse party must set forth specific facts and provide substantively admissible evidence at the time of the motion showing a genuine issue for trial.

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Rovin Vinod v. Pauline Properties LLC, Counsel Stack Legal Research, https://law.counselstack.com/opinion/rovin-vinod-v-pauline-properties-llc-michctapp-2022.