The Bank Of New York Mellon, V. Cameo H. Edwards

CourtCourt of Appeals of Washington
DecidedOctober 7, 2025
Docket59724-1
StatusUnpublished

This text of The Bank Of New York Mellon, V. Cameo H. Edwards (The Bank Of New York Mellon, V. Cameo H. Edwards) is published on Counsel Stack Legal Research, covering Court of Appeals of Washington primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
The Bank Of New York Mellon, V. Cameo H. Edwards, (Wash. Ct. App. 2025).

Opinion

Filed Washington State Court of Appeals Division Two

October 7, 2025 IN THE COURT OF APPEALS OF THE STATE OF WASHINGTON

DIVISION II THE BANK OF NEW YORK MELLON FKA No. 59724-1-II THE BANK OF NEW YORK, AS TRUSTEE FOR THE CERTIFICATEHOLDERS, CWALT, INC., ALTERNATIVE LOAN TRUST 2007-OA9 MORTGAGE PASS THROUGH CERTIFICATE, SERIES 2007- OA9,

Respondents,

v.

CAMEO H. EDWARDS (FKA CAMEO UNPUBLISHED OPINION MCCALPINE & FKA CAMEO MORCK),

Appellant,

LOVELL MCCALPINE JR; MORTGAGE ELECTRONIC REGISTRATION SYSTEMS, INC. (“MERS”) SOLELY AS NOMINEE FOR AEGIS FUNDING D/B/A AEGIS HOME EQUITY; and VIRGIL DEAN VESTAL & SHIRLEY VESTAL,

Defendants.

GLASGOW, J.—The Bank of New York Mellon mistakenly issued a reconveyance of a deed

of trust on Cameo Edwards’ real property, releasing the bank’s security interest in the property. At

the time of the mistaken reconveyance, Edwards still had an outstanding balance of over $330,000

on the mortgage on her property, and the bank was pursuing foreclosure.

After taking no further action for several years, the bank apparently realized its mistake

and recorded a document rescinding its prior reconveyance. The bank then filed a complaint stating

that Edwards had stopped making payments and was treating the deed of trust and underlying note No. 59724-1-II

as unenforceable. The bank sought declaratory judgment that the recorded document rescinding

the reconveyance was effective, the bank’s security interest was valid, and it was the first-position

lienholder as it was before the reconveyance.

Edwards moved for summary judgment dismissal because the bank’s complaint was filed

after the statute of limitations expired. The trial court granted summary judgment to Edwards but

denied Edwards’ request for attorney fees and costs under the deed of trust, reasoning that the

bank’s action did not attempt to construe or enforce a term of the deed of trust as required.

Edwards argues on appeal that the trial court erred in denying her claim for attorney fees.

Edwards relies on the attorney fee provision in the deed of trust and RCW 4.84.330, which makes

unilateral attorney fee provisions in a contract bilateral. Because language in the bank’s complaint

established that its declaratory action was prompted by a dispute as to the enforceability of the

deed of trust and this declaratory judgment action was a necessary first step in achieving

enforcement of the deed of trust, the attorney fee provision in the deed of trust and RCW 4.84.330

apply, entitling Edwards to attorney fees.

We reverse the trial court’s denial of attorney fees and costs, and we remand to the trial

court to award attorney fees and costs to Edwards consistent with this opinion. We also award

Edwards attorney fees and costs on appeal in an amount to be determined by this court’s

commissioner.

FACTS

I. BACKGROUND

In early 2007, Edwards signed and executed a promissory note and deed of trust in favor

of a lender and secured by her home. The deed of trust contained a provision unilaterally entitling

2 No. 59724-1-II

the lender to attorney fees and costs if it prevailed in any action “to construe or enforce any term”

of the deed of trust. Clerk’s Papers (CP) at 636. In 2009, the deed of trust was assigned to the bank.

Edwards took out additional loans using her home as collateral and entered into two other

promissory notes and deeds of trust around this time, but they were subordinate to the bank’s

security interest. In 2009, Edwards discharged all of her personal liability for her home loans under

bankruptcy, totaling over $385,000.

In 2015, the bank filed for judicial foreclosure on Edwards’ property. The bank apparently

took no further action for several years, and a trial court eventually dismissed the foreclosure case

without prejudice for lack of prosecution.

In September 2016, the bank issued a reconveyance relinquishing its security interest in

the property to Edwards. At this time, Edwards had an outstanding balance of over $331,762.43,

and the reconveyance was a mistake. Edwards was confused so she called her loan servicing

company to confirm that the reconveyance of the deed of trust was intentional. The company

confirmed the reconveyance and even helped Edwards obtain the keys to the house. At that time,

neither the bank nor the loan servicing company took any steps to correct or rescind the

reconveyance, and neither one told Edwards the reconveyance had been a mistake. It was not until

2021 that the bank recorded a rescission of reconveyance with the county auditor to make its

attempt to cancel the reconveyance, a matter of public record.

II. PROCEDURAL HISTORY

The bank filed a complaint seeking declaratory judgment that its rescission was effective

and its security interest in Edwards’ property was “valid and of the same priority status as if the

erroneous reconveyance had never occurred.” CP at 7. The bank explained that its “mistaken

3 No. 59724-1-II

reconveyance jeopardize[d] [its] primary, first lienholder position on the [p]roperty, necessitating

this action to obtain [the court’s] declaration confirming: (a) its rightful and equitable status as

first-position lienholder as well as of (b) its continued encumbrance of the [p]roperty by its . . .

[d]eed and corresponding [n]ote.” CP at 5. The bank sought “to establish and affirm its position as

the primary, first-position lienholder.” Id. The complaint alleged that Edwards had stopped making

payments and was no longer responding to the bank at all. Id. The bank expressly acknowledged

that the complaint was prompted by the fact that Edwards had stopped treating the deed of trust

and underlying note as “valid and enforceable.” Id. The bank stated that Edwards’ change in

position as to the enforceability of the deed and underlying note “led to a ripe dispute” between

the parties that should be resolved with this lawsuit. Id. The bank also sought a judicial

determination that its rescission of reconveyance was enforceable.

The bank then moved for summary judgment and asked for the trial court to confirm and

validate the rescission of the reconveyance of the deed of trust and reinstate the bank’s deed of

trust “to the same valid priority lien position on the [p]roperty, upon the same terms that the deed

of trust enjoyed before the [r]econveyance.” CP at 11. All of the lower priority lenders agreed to

accept the bank’s return to first position and to act as if the reconveyance never occurred.

Edwards filed a cross motion for summary judgment, arguing that the bank failed to allege

a viable cause of action and the statute of limitations barred the bank’s claim. The trial court

ultimately denied the bank’s motion for summary judgment and granted Edwards’ cross motion

for summary judgment in part because the bank’s complaint was untimely. CP at 608-10.

Edwards then filed a motion for attorney fees and costs based on the attorney fee provision

in the deed of trust allowing the lender to collect attorney fees if it prevailed in any action “to

4 No. 59724-1-II

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