
Queens Court: FAPA Inapplicable After Final Judgment on SOL
January 16, 2025
Appellate Division Rejects Proposed Intervenor’s Belated Challenge to the Foreclosure Judgment and Indicates That the Intervenor Engaged in Sanctionable Litigation Misconduct
January 23, 2025In U.S. Bank National Association v. Avrum I. Musnik et al., the Nassau County Supreme Court granted the foreclosing plaintiff’s motion for summary judgment and the appointment of a referee. In opposition to the motion, the defendant argued that the foreclosure was time-barred by the Foreclosure Abuse Prevention Act (“FAPA”). To disprove the statute of limitations defense, the plaintiff submitted documentary evidence that the defendant filed several bankruptcy petitions during the pendency of the foreclosure, which tolled the limitations period for nearly 3,000 days; the foreclosure was timely when applying the statutory tolling period. Notably, the plaintiff also established that the defendant was judicially estopped from defending the foreclosure on any ground because the defendant voluntarily agreed to surrender the mortgaged premises as part of a confirmed chapter 13 bankruptcy plan. Notwithstanding the estoppel against inconsistent positions, the plaintiff otherwise demonstrated it complied with statutory conditions precedent to foreclosure and had standing to sue.
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