United States Secretary of Housing and Urban Development v. Cecil D. Ealy, et al.

CourtDistrict Court, D. Maryland
DecidedMarch 10, 2026
Docket8:25-cv-00528
StatusUnknown

This text of United States Secretary of Housing and Urban Development v. Cecil D. Ealy, et al. (United States Secretary of Housing and Urban Development v. Cecil D. Ealy, et al.) is published on Counsel Stack Legal Research, covering District Court, D. Maryland primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
United States Secretary of Housing and Urban Development v. Cecil D. Ealy, et al., (D. Md. 2026).

Opinion

IN THE UNITED STATES DISTRICT COURT FOR THE DISTRICT OF MARYLAND UNITED STATES SECRETARY OF HOUSING AND URBAN DEVELOPMENT, Case No. 25-cv-528-ABA Plaintiff, v. CECIL D. EALY, et al., Defendants. MEMORANDUM OPINION and ORDER Plaintiff United States Secretary of Housing and Urban Development (“HUD”) has moved to dismiss a state-court quiet title counterclaim by William Nash that has been removed to this Court. Mr. Nash is the personal representative of Defendant Cecil Ealy, who is deceased. The counterclaim was filed in response to HUD’s foreclosure action against the home Mr. Ealy owned with his wife, Defendant Lucile Ealy, who is also deceased. HUD has attached public records to its motion to dismiss that appear to defeat Mr. Nash’s quiet title claim. For the reasons stated below, the Court finds that it has jurisdiction and that removal was proper under 28 U.S.C. § 1442, and will grant HUD’s motion to dismiss Mr. Nash’s counterclaim. I. BACKGROUND This case began when HUD sought to foreclose on 402 Donovan Way, Upper Marlboro, Maryland (the “Property”). ECF No. 8-2. Both Lucille and Cecil Ealy have died, but while alive they owned the Property and had taken out a loan against it. ECF No. 13-2 at 6–13. The resulting mortgage interest in the Property eventually passed to HUD and became due following the death of both Ealys. ECF No. 13-2 at 60–67. Following notice to the Ealys’ estate, HUD initiated a foreclosure action in the Circuit Court for Prince George’s County Maryland in August 2024. See Case No. C-16-CV-24- 003942. On December 9, 2024, William Nash, acting as personal representative of the estate of Mr. Ealy, filed a “[Complaint] to [Quiet] Title” in the docket of the foreclosure

action. ECF No. 4. Mr. Nash is the Ealys’ son, though the capacity in which he is a party here is as the personal representative of Mr. Ealy’s estate. ECF No. 8-4 at 2–3; ECF No. 20 at 1. His complaint states that “[a] cloud exists on the title of the property due to an unperfected lien,” and that “unknown Plaintiff(s) may have claims that create a cloud on the title.” ECF No. 4 at 2. Mr. Nash goes on to request that the Court terminate any foreclosure proceedings and “[d]eclare that Defendant [the Estate] is the sole owner of the property described herein and ‘Quiet Title’ in favor of Defendant.” Id. at 3. Though captioned and styled as a complaint, Mr. Nash filed this document in the same docket as HUD’s original foreclosure action in the Circuit Court for Prince George’s County Maryland. The filing included a certificate of service indicating that the document had been mailed to HUD and to Richard E. Solomon, HUD’s counsel in the state action. ECF

No. 4 at 8. On January 9, 2025, HUD moved for a 60-day extension in state court to respond to the “complaint.” ECF No. 8-8. In its motion, HUD recognized that Mr. Nash’s filing “[t]hough captioned as a Complaint, . . . was filed in a foreclosure action in which HUD is the Plaintiff.” Id. at 1. The Circuit Court granted this extension, giving HUD until March 10, 2025, to respond. ECF No. 8-9. HUD then filed a notice of removal to this Court on February 20, 2025, pursuant to 28 U.S.C. § 1441, which allows for removal based upon diversity or federal question jurisdiction, and 28 U.S.C. § 1442(a)(1), which allows for removal of actions against U.S. agencies. ECF No. 1 at 2. After receiving several extensions in this Court, HUD filed a motion to dismiss in May 2025. ECF No. 13. Mr. Nash did not file an opposition. This Court subsequently directed supplementary briefing on the propriety and timeliness of HUD’s removal. ECF No. 15. HUD argued in its supplemental brief that

removal was proper and timely under §§ 1441 and 1442, the bases for removal originally cited, as well as under 28 U.S.C. § 1444, which allows for removal of quiet title actions involving the United States. ECF No. 18. Mr. Nash missed the initial deadline to respond to this order, but later filed a motion for leave to file a late response, ECF No. 19, which the Court will grant. Mr. Nash’s response is docketed as ECF No. 20. II. DISCUSSION A. Removal authority and jurisdiction Mr. Nash has requested that this Court remand his quiet title claim back to the Circuit Court for Prince George’s County Maryland instead of dismissing it. Id. ¶¶ 4–6. The Court will deny that request. At the outset, the Court need not and will not rule regarding the timeliness of HUD’s removal. Mr. Nash did not file a motion to remand within 30 days of the notice

of removal, and thereby forfeited any opportunity to seek remand on procedural grounds (i.e., on grounds other than that this Court lacks subject-matter jurisdiction). See 28 U.S.C. § 1447(c); Ellenburg v. Spartan Motors Chassis, Inc., 519 F.3d 192, 197 (4th Cir. 2008) (“[I]n the case where remand would be justified by a defect in removal other than a lack of subject matter jurisdiction, the defect must be asserted by a party’s motion to remand filed within 30 days.”). The timeliness of Mr. Nash’s motion to remand does not end the analysis, however, because the Court has an independent obligation to assess whether it has subject matter jurisdiction, and thus proceeds to do so notwithstanding the untimeliness of the request for remand. See Ellenburg, 519 F.3d at 198 (“In the case where remand is based on a lack of subject matter jurisdiction, the remand order may be entered at any time, for jurisdiction goes to the very power of the court to act.”). HUD has pointed to three possible bases for removal jurisdiction: 28

U.S.C. §§ 1441, 1442, and 1444. The Court will not address §§ 1441 and 1444, because it finds that removal is proper under § 1442. Section 1442 is usually a vehicle for original state defendants who are federal officers or agencies to remove cases from state court that otherwise lack a federal question on the face of the original plaintiff’s complaint. See Mesa v. California, 489 U.S. 121, 136 (1989) (“Section 1442(a) . . . merely serves to overcome the ‘well-pleaded complaint’ rule which would otherwise preclude removal even if a federal defense were alleged.”); 14C Wright & Miller’s Federal Practice & Procedure § 3726 (Rev. 4th ed. 2025) (“Section 1442 represents an exception to the well-pleaded complaint rule in the removal context because issues generally thought to be defensive in character, rather than the content of the plaintiff’s claim, provide its raison d’etre.”). But unlike other

removal statutes such as § 1441, § 1442 does not refer to “the defendant” as the only party that may remove. See Home Depot U. S. A., Inc. v. Jackson, 587 U.S. 435, 441 (2019) (“Considering the phrase ‘the defendant or the defendants’ in light of the structure of the statute and our precedent, we conclude that § 1441(a) does not permit removal by any counterclaim defendant.”). Instead, it allows removal of “[a] civil action . . . that is commenced in a State court and that is against or directed to . . . [t]he United States or any agency thereof or any [federal] officer . . . for or relating to any act under color of such office.” 28 U.S.C. § 1442(a)(1).

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Bluebook (online)
United States Secretary of Housing and Urban Development v. Cecil D. Ealy, et al., Counsel Stack Legal Research, https://law.counselstack.com/opinion/united-states-secretary-of-housing-and-urban-development-v-cecil-d-ealy-mdd-2026.