Gates v. Superior Loan Servicing

Filing 15

TEMPORARY RESTRAINING ORDER by Judge William H. Orrick granting #11 Motion for TRO. Motion for preliminary injunction due by 9/15/2021. Response due by 9/22/2021. Reply due by 9/27/2021. Motion Hearing set for 9/29/2021 02:00 PM via Videoconference before Judge William H. Orrick. (jmdS, COURT STAFF) (Filed on 9/8/2021)

Case 3:21-cv-06369-WHO Document 15 Filed 09/08/21 Page 1 of 2

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UNITED STATES DISTRICT COURT

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NORTHERN DISTRICT OF CALIFORNIA

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TYRIOUS GATES,
Plaintiff,

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TEMPORARY RESTRAINING ORDER

v.

Re: Dkt. No. 11
SUPERIOR LOAN SERVICING,
Defendant.

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United States District Court
Northern District of California

Case No. 3:21-cv-06369-WHO

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Based on the record before the Court, which does not include a response from defendant

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because of the timing of plaintiff’s service of the order setting the hearing, the application for a

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temporary restraining order (“TRO”) is GRANTED.

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Plaintiff Tyrious Gates has shown “serious questions going to the merits” that his property

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was foreclosed on in violation of the Coronavirus Aid, Relief, and Economic Security Act (the

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“CARES Act”) and/or California state law. See Alliance for the Wild Rockies v. Cottrell, 632 F.3d

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1127, 1132 (9th Cir. 2011) (holding that a preliminary injunction can issue if a plaintiff

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demonstrates “serious questions going to the merits,” that the balance of hardships “sharply”

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favors him, and that the other elements are met); Stuhlbarg Int’l Sales Co. v. John D. Brush & Co.,

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240 F.3d 832, n. 7 (9th Cir. 2001) (holding that the standard for a preliminary injunction and TRO

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are the same).

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Gates has also shown irreparable injury absent a TRO: the loss of real property at an

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imminent foreclosure sale. Park Vill. Apartment Tenants Ass'n v. Mortimer Howard Tr., 636 F.3d

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1150, 1159 (9th Cir. 2011) (“It is well-established that the loss of an interest in real property

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constitutes an irreparable injury.”).

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The balance of hardships “sharply favors” Gates. See Wild Rockies, 632 F.3d at 1132.

Case 3:21-cv-06369-WHO Document 15 Filed 09/08/21 Page 2 of 2

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Selling the property in a foreclosure sale could result in its permanent loss or imposing additional

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burdens on him to reclaiming it. The burden on the defendant, however, is minimal; it must

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simply wait for briefing and decision on a motion for preliminary injunction. At worst for it—if it

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is ultimately successful on the preliminary injunction—it will face a small delay in selling the

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property as a result of the TRO.
The public interest is served by issuing a TRO. There is an important public interest in

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ensuring that property is not foreclosed on unlawfully.
Because there is no concrete harm from a short delay in the sale that has been identified, no

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bond is required.
TEMPORARY RESTRAINING ORDER

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This TRO is effective immediately upon this Order’s issuance and will dissolve when I

United States District Court
Northern District of California

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rule on a motion for a preliminary injunction (or if the plaintiff fails to file such a motion).

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This TRO applies to defendant Superior Loan Servicing and its officers, agents, servants,

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employees, attorneys, and other persons who are in active concert or participation with those just

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listed.

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The foregoing individuals and entities are TEMPORARILY RESTRAINED from any sale,

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disposition, or transfer of the property located at 1221 Westminster Avenue, East Palo Alto,

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California 94303, in any manner, including (but not limited to) in a foreclosure sale.

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The plaintiff shall immediately serve the defendant with this Order.

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PRELIMINARY INJUNCTION PROCEDURE

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The plaintiff shall file a motion for a preliminary injunction by September 15, 2021. If he

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fails to do so, this TRO will terminate on September 16, 2021, at noon. The defendant shall file its

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response by September 22, 2021. The plaintiff may file a reply by September 27, 2021. A

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hearing on the preliminary injunction will be held on September 29, 2021, at 2:00 pm.

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IT IS SO ORDERED.
Dated: September 8, 2021

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William H. Orrick
United States District Judge

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