U.S. Bank Trust, N.A., Etc. v. Sunne Ryse D. Smith

New Jersey Superior Court Appellate Division·Decided June 26, 2026·No. A-3718-24·Unpublished

Opinion

NOT FOR PUBLICATION WITHOUT THE APPROVAL OF THE APPELLATE DIVISION This opinion shall not "constitute precedent or be binding upon any court ." Although it is posted on the internet, this opinion is binding only on the parties in the case and its use in other cases is limited . R. 1:36-3.

SUPERIOR COURT OF NEW JERSEY APPELLATE DIVISION DOCKET NO. A-3718-24

U.S. BANK TRUST, N.A. AS TRUSTEE OF CFMT 2024-NR1 TRUST, ASSIGNEE OF WILMINGTON SAVINGS FUND SOCIETY, FSB, AS TRUSTEE OF WV 2017-1 GRANTOR TRUST, ASSIGNEE OF STERLING NATIONAL BANK,

Plaintiff-Respondent,

v.

SUNNE RYSE D. SMITH,

Defendant,

and

LUCILLE P. FARRELL- SCOTT,

Defendant-Appellant. ____________________________________

Submitted May 27, 2026 – Decided June 26, 2026

Before Judges Gilson and Vinci. On appeal from the Superior Court of New Jersey, Chancery Division, Essex County, Docket No. F-007849-18.

Lucille P. Farrell-Scott, self-represented appellant.

Hill Wallack LLP, attorneys for respondent (Christopher A. Dzwilewski, of counsel and on the briefs).

PER CURIAM

In this residential foreclosure action, defendant Lucille P. Farrell-Scott,

self-represented, appeals from a June 10, 2025 Chancery Division order denying

her motion to stay the sheriff's sale and dismiss the writ of execution with

prejudice. We affirm.

On June 21, 2005, defendant and non-party Sunne Ryse Smith executed

and delivered a note to Weichert Financial Services (Weichert) in the original

principal amount of $644,000, secured by a mortgage on property located on

Edgehill Road in West Orange (the property). On March 6, 2018, Sterling

National Bank (Sterling) obtained ownership of the note and mortgage by way

of transfer and assignment.

This foreclosure action was instituted by Sterling in 2018. On November

7, 2019, final judgment of foreclosure was entered. At that time, the total

amount due and owing was $732,238.31, plus interest from August 17, 2019,

A-3718-24 2 taxed costs, and counsel fees in the amount of $8,420.99. A writ of execution

was issued the same day.

On June 15, 2022, Sterling filed an assignment of the final judgment to

Wilmington Savings Fund Society, FSB, as Trustee of WV 2017-1 Grantor Trust

(Wilmington). On June 16, 2022, Wilmington, as plaintiff, submitted a pluries

writ of execution to reflect the assignment of the final judgment. On September

24, 2024, a second pluries writ of execution was issued to Wilmington and

recorded in the Office of the Superior Court Clerk directing the Essex County

Sheriff to conduct a sale of the property.

On December 17, 2024, plaintiff's counsel notified defendant, by regular

and certified mail, that the sheriff's sale was scheduled for January 7, 2025. The

notice of sheriff's sale attached stated the "approximate upset amount [was]

$1,063,112.54." On January 2, 2025, defendant and Smith filed an application

for an order to show cause (OTSC) to stay the sheriff's sale. Before the

application was heard, Smith filed for bankruptcy protection, resulting in an

automatic stay of the foreclosure action. After Smith's bankruptcy was

dismissed, the sheriff's sale was rescheduled for May 27, 2025.

On May 22, 2025, the court conducted a hearing to address the issues

raised in defendant's January 2, 2025 application for an OTSC. Defendant, who

was represented by counsel, argued: (1) she was "not provided notice . . . of the

A-3718-24 3 original sheriff['s] sale back in January"; (2) "there was an unverified upset

amount in" the notice of sheriff's sale and she had not "been provided any

adequate information . . . as to how [the upset amount] came about"; and (3) the

certification Sterling filed in 2019 in support of the final judgment was filed by

"a prior servicer" and "under a different law firm." Defendant also contended

she was attempting to convince plaintiff to agree to a short sale in the amount

of $750,000, but her request was rejected.

The court adjourned the hearing to June 10, 2025. It ordered plaintiff to

"provide a computation of the . . . funds that are due. In other words, how

[plaintiff] got to the upset amount" by May 29. On May 29, plaintiff filed a

certification in support of the upset price at the sheriff's sale in the amount of

$1,075,982.02, supported by an attached schedule of the amounts due. In that

certification, Wilmington also notified defendant and the court that assignments

of the mortgage and final judgment in favor of U.S. Bank Trust, N.A. as Trustee

of CFMT 2024-NR1 Trust (U.S. Bank), as successor to Wilmington, would "be

filed shortly."

On June 5, 2025, defendant and Smith filed a motion to dismiss the pluries

writ with prejudice and stay the sheriff's sale. Defendant expressly stated she

did "not seek to disturb in any way the underlying judgment of foreclosure."

She argued the writ should be dismissed and the sheriff's sale should be stayed

A-3718-24 4 based on: (1) "[l]ack of legal standing established by opposing counsel's official

appearance . . . o[n] behalf of" Sterling, "a now defunct . . . and

dissolved . . . entity, that has previously assigned all its rights and interests in

this action"; (2) "[o]pposing counsel's filing of a defective [p]luries [w]rit of

[e]xecution by virtue of an insufficient, stale, and invalid [c]ertification of

[d]iligent [i]nquiry . . . in violation of Rule 4:64-2(d)"; (3) "[m]aterial

contradictions between opposing counsel's official appearance in this action"

and other documents filed in the action; (4) "[o]pposing counsel's inability to

produce sufficient, valid Rule 4:64-2(d) [c]ertification . . . on behalf of

[p]laintiff"; (5) an "[u]nverifiable upset amount . . . based on opposing counsel's

representations"; and (6) "[p]atently improper appearance for and representation

of [a] defunct, dissolved entity by opposing counsel."

On June 10, 2025, after hearing oral argument, the court entered an order

denying defendant's motion supported by an oral decision. The court noted

"when th[e] application was first made and heard" it "had a lot to do with notice"

of the sheriff's sale. It determined "any argument with respect to

notice . . . [was] moot because . . . defendant[] . . . ha[d] known about th[e] sale

date and prior sale dates through the . . . motions that ha[d] been heard" and had

"the opportunity to . . . resolve this before the sale."

A-3718-24 5 The court rejected defendant's "concern that the upset amount . . . was

substantially more than . . . the amount of the judgment" because it previously

"ordered that [plaintiff's counsel] provide . . . a breakdown as to

the . . . expenses that were included in the upset amount," which he did. The

court was unpersuaded by defendant's argument "with respect to the assignment

of . . . the judgment" because "foreclosure judgments may be assigned either

before or after a foreclosure sale" and "an assignee may, but does[ not] have

to[,] be substituted as a plaintiff to participate in the post-judgment

proceedings." The court noted that "there[ was] another assignment taking place

[to U.S. Bank]" and "plaintiff ha[d] the right to undertake that assignment."

The court found defendant's "arguments with respect to the certifications

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U.S. Bank Trust, N.A., Etc. v. Sunne Ryse D. Smith, (N.J. Ct. App. 2026).

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