U.S. Bank v. Diamond Creek Community Association et al

Filing 117

ORDER that the Court's prior Order, (ECF No. 110 ), is VACATED. IT IS FURTHER ORDERED that the parties shall have thirty days from the date of this Order to file renewed dispositive motions. Signed by Judge Gloria M. Navarro on 12/18/2019., Case reopened. (Copies have been distributed pursuant to the NEF, cc: USCA - JM)

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UNITED STATES DISTRICT COURT

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DISTRICT OF NEVADA

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U.S. BANK AS TRUSTEE FOR GSAA
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HOME EQUITY TRUST 2006-9, ASSET)
BACKED CERTIFICATES, SERIES 2006-9, )
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Plaintiff,
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vs.
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DIAMOND CREEK HOMEOWNERS’
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ASSOCIATION, et al.,
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Defendants.
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Case No.: 2:15-cv-01177-GMN-NJK
ORDER

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On May 22, 2018, the Court granted summary judgment to Plaintiff U.S. Bank,

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(“Plaintiff”) because, under Bourne Valley Court Trust v. Wells Fargo Bank, N.A., 832 F.3d

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1154 (9th Cir. 2016), the Diamond Creek Community Association (“HOA”) “foreclosed under

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a facially unconstitutional notice scheme” and therefore the “foreclosure sale cannot have

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extinguished” Plaintiff’s deed of trust on the property. (Order 6:1–3, ECF No. 110). The Ninth

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Circuit has since held, however, that Nevada’s homeowner’s association foreclosure scheme is

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not facially unconstitutional because the decision in Bourne Valley was based on a construction

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of Nevada law that the Nevada Supreme Court has since made clear was incorrect. See Bank of

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Am., N.A. v. Arlington W. Twilight Homeowners Ass’n, 920 F.3d 620, 624 (9th Cir. 2019)

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(recognizing that Bourne Valley “no longer controls the analysis” in light of SFR Investments

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Pool1, LLC v. Bank of New York Mellon, 422 P.3d 1248 (Nev. 2018)). Moreover, for orders

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from this district that relied on Bourne Valley Court Trust v. Wells Fargo Bank, N.A., 832 F.3d

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1154 (9th Cir. 2016), and were thereafter appealed, the Ninth Circuit recently began reversing

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and remanding such orders in light of Bank of Am., N.A. v. Arlington W. Twilight Homeowners

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Ass’n, 920 F.3d 620, 624 (9th Cir. 2019). See, e.g., U.S. Bank, N.A, v. SFR Investments Pool 1,

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LLC, No. 18-16006, 2019 WL 6817304, at *1 (9th Cir. Dec. 13, 2019).

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Accordingly, to preserve judicial resources,

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IT IS HEREBY ORDERED that the Court’s prior Order, (ECF No. 110), is

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VACATED.
IT IS FURTHER ORDERED that the parties shall have thirty days from the date of
this Order to file renewed dispositive motions.
The Clerk of Court shall reopen the case and deliver a copy of this Order to the United
States Court of Appeals for the Ninth Circuit, Appeal Number 18-16164.

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DATED this _____ day of December, 2019.

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___________________________________
Gloria M. Navarro, District Judge
United States District Court

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