Haifa Goryoka v. Quicken Loan Incorporated, et al

Filing

Per Curiam OPINION filed : AFFIRMED, decision not for publication. Boyce F. Martin , Jr., Jeffrey S. Sutton, Circuit Judges and Joseph M. Hood, U.S. District Judge for the Eastern District of Kentucky, sitting by designation.

Case: 11-2178

Document: 006111624068

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NOT RECOMMENDED FOR FULL-TEXT PUBLICATION
File Name: 13a0272n.06
No. 11-2178
UNITED STATES COURT OF APPEALS
FOR THE SIXTH CIRCUIT
HAIFA GORYOKA,
Plaintiff-Appellant,
v.
QUICKEN LOAN, INC.; BANK OF
AMERICA; MORTGAGE ELECTRONIC
REGISTRATION SYSTEMS, INC.,
Defendants-Appellees.

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FILED
Mar 18, 2013
DEBORAH S. HUNT, Clerk

ON APPEAL FROM THE UNITED
STATES DISTRICT COURT FOR
THE EASTERN DISTRICT OF
MICHIGAN

Before: MARTIN and SUTTON, Circuit Judges; HOOD, District Judge.*
PER CURIAM. Haifa Goryoka, who is represented by counsel, appeals a district court
judgment dismissing her complaint in this foreclosure-by-advertisement case.
In March 2011, Goryoka sued Quicken Loans, Inc. (Quicken), Bank of America, and
Mortgage Electronic Registration Systems, Inc. (MERS) (collectively the defendants), in Michigan
state court, alleging: (1) fraud (count I); (2) violation of Michigan’s Mortgage Brokers, Lenders, and
Servicers Licensing Act, Mich. Comp. Laws § 445.1651, et seq., (count II); (3) breach of contract
(count III); (4) entitlement to quiet title relief (count IV); (5) violation of Michigan’s foreclosure by
advertisement statute, Mich. Comp. Laws § 600.3204, et seq., (count V); (6) violation of the Federal
Real Estate Settlement Procedures Act (RESPA), 12 U.S.C. § 2601, et seq., and the Truth in Lending
Act, 15 U.S.C. § 1601, et seq., (TILA) (count VI); and (7) entitlement to injunctive relief (count VII,
*

The Honorable Joseph M. Hood, United States District Judge for the Eastern District of
Kentucky, sitting by designation.

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-2erroneously titled in complaint as count VI).

Her claims arise out of the foreclosure by

advertisement of her condominium. In addition to injunctive and quiet title relief, she sought
damages.
The defendants removed the action to the federal district court, see 28 U.S.C. § 1441.
Thereafter, Quicken moved to dismiss the complaint pursuant to Federal Rule of Civil Procedure
12(b)(6) for failure to state a claim and Bank of America and MERS moved for judgment on the
pleadings pursuant to Federal Rule of Civil Procedure 12(c). The district court granted the
defendants’ respective motions after a hearing.
Goryoka now appeals the district court’s dismissal of her claims for quiet title relief (count
IV), violation of § 600.3204 (count V), violation of TILA (count VI), and injunctive relief (count
VII). By failing to mention the remaining claims in her brief, these claims are deemed waived. See
Radvansky v. City of Olmsted Falls, 395 F.3d 291, 311 (6th Cir. 2005).
We review de novo a “district court’s dismissal [of a complaint] for failure to state a claim”
upon which relief may be granted pursuant to Rule 12(b)(6). Lawrence v. Welch, 531 F.3d 364, 372
(6th Cir. 2008). To survive that analysis, “a complaint must contain sufficient factual matter,
accepted as true, to ‘state a claim to relief that is plausible on its face.’” Ashcroft v. Iqbal, 556 U.S.
662, 678 (2009) (quoting Bell Atl. Corp. v. Twombly, 550 U.S. 544, 570 (2007)). We apply the same
de novo standard of review to a Rule 12(c) motion. Sensations, Inc. v. City of Grand Rapids, 526
F.3d 291, 295 (6th Cir. 2008). Matters of public record may be considered on a motion to dismiss.
Barany-Snyder v. Weiner, 539 F.3d 327, 332 (6th Cir. 2008).
Under Michigan law, a plaintiff’s rights in and title to property are extinguished once the
redemption period expires. Piotrowski v. State Land Office Bd., 4 N.W.2d 514, 517 (Mich. 1942).
“The law in Michigan does not allow an equitable extension of the period to redeem from a statutory
foreclosure sale in connection with a mortgage foreclosed by advertisement and posting of notice
in the absence of a clear showing of fraud, or irregularity.” Schulthies v. Barron, 167 N.W.2d 784,

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-3785 (Mich. Ct. App. 1969); see also Overton v. Mortg. Elec. Registration Sys., No. 284950, 2009
WL 1507342, at *1 (Mich. Ct. App. May 28, 2009) (holding that filing suit does not toll the
redemption period). In the instant case, the redemption period expired on March 28, 2011, the date
Goryoka filed the underlying action. Because Goryoka failed to sufficiently plead fraud or
irregularity, the district court properly dismissed her complaint.
Goryoka first argues that the district court erred in dismissing count V, alleging violations
of Michigan’s foreclosure by advertisement statute. See Mich. Comp. Laws § 600.3204, et seq.
Goryoka’s verified complaint alleged that the defendants violated the foreclosure statute because the
parties “were discussing modification of the subject loan, [Goryoka] being told the sale would not
take place, when Defendant instituted foreclosure without giving required notices.” It also alleged
that Goryoka was “not personally notified of foreclosure proceedings and [was] not [a party] to any
such proceeding.” Further, she “learned of the foregoing [foreclosure proceeding] when served with
notice of Sheriff’s sale.”
Goryoka’s allegations of modification discussions were insufficient to avoid the foreclosure.
Under Michigan state law, no action to enforce a promise to modify can be brought against a
financial institution unless the promise is written and signed. Mich. Comp. Laws § 566.132(2); see
Crown Tech. Park v. D&N Bank, FSB, 619 N.W.2d 66, 72 (Mich. Ct. App. 2000). While Goryoka
did allege irregularities in the notice of the foreclosure sale, her allegations consist of conclusory
assertions that the defendants failed to send “required notices.” Bank of America and MERS
attached to their motion for judgment on the pleadings a Sheriff’s Deed recorded with the Oakland
County (Michigan) Recorder of Deeds, stating that statutory notice of the foreclosure was sent to
Goryoka, posted on the front door of the property, and published in a newspaper. Recorded along
with the Sheriff’s Deed is an Affidavit of Mich. Comp. Laws § 600.3205a Notice, stating that “the
time for a housing counselor to notify the person designated under [§] 600.3205a(1)(c) of a request

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-4by the borrower(s) has expired without a request for a meeting.” Goryoka does not contest the
validity of the Sheriff’s Deed or the Affidavit in her brief on appeal.
Goryoka’s conclusory statements alleging a defective notice are insufficient to state a claim
for relief. See Iqbal, 556 U.S. at 678; see Lynott v. Story, 929 F.2d 228, 232 (6th Cir. 1991).
Goryoka’s reliance on Mitan v. Fed. Home Loan Mortg. Corp., 703 F.3d 949, 952–53 (6th Cir.
2012), does not avoid this result. For one thing, Mitan involved a borrower who alleged that his
lender had approved a loan modification. Goryoka, on the other hand, merely alleges that she was
“discussing” modification of the loan. For another, Mitan relied on Davenport v. HSBC Bank USA,
739 N.W.2d 383 (Mich. 2007), for the proposition that some defects in a foreclosure can render it
“absolutely void.” Mitan, 703 F.3d at 952. After Mitan was decided, the Michigan Supreme Court
abrogated Davenport, holding that all foreclosure defects are “voidable, not void ab initio.” Kim v.
JPMorgan Chase Bank, N.A., 825 N.W.2d 329, 337 (Mich. 2012). The district court was correct to
dismiss count V.
Goryoka next argues that the district court erred in dismissing the portion of count VI
alleging her TILA claim. The district court found this claim to be barred by the applicable statute
of limitations, see 15 U.S.C. § 1635(f) and 1640(e), and to be based on mere conclusory allegations.
Other than general citations to the Dodd-Frank Wall Street Reform and Consumer Protection Act,
Pub. L. No. 111-203, 124 Stat. 1376, Goryoka does not address the district court’s dismissal of this
claim. Because she has failed to present a developed legal argument, she has waived this claim on
appeal. See Brooks v. Tennessee, 626 F.3d 878, 891 (6th Cir. 2010); United States v. Villareal, 491
F.3d 605, 611 (6th Cir. 2007).
Goryoka also argues that the district court erred in dismissing her requests to quiet title and
for injunctive relief. The district court correctly found that these requests are remedies and are not
separate causes of action. Therefore, counts IV and VII were properly dismissed.

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-5Finally, Goryoka argues that, even if the above claims failed to state a claim, the district
court erred in dismissing her complaint without allowing her leave to amend. The record reveals that
Goryoka did not move for leave to amend her complaint in the district court or file a proposed
amended complaint. We thus need not address this claim on appeal. See Begala v. PNC Bank, Ohio,
Nat. Ass’n, 214 F.3d 776, 784 (6th Cir. 2000).
The district court’s judgment is affirmed.