Vazzana v. CitiMortgage, Inc. et al

Filing 26

MEMORANDUM OPINION. Signed by District Judge Glen E. Conrad on 6/4/2013. (lab)

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cL s OFFI U . . ST. ERK' CE S DI COURT AT ROANOKE. VA FIED L I THE U N I N TED STATES DI STRI CO U RT CT FOR THE W ESTERN DI STRI OF VI NI CT RGI A ROAN OK E D I I ON V SI J 2i 2 1 UN 23 J I . ULA L C EY, DO RO TH Y L V AZZA N A , Ci lA c i N o.7: 2CV 00 vi ton 1 497 Pl i if antf, M EM O R AN DU M O PI I N N O By:Ho Gl E. n. en Conr d a Chi fU nie St t s Di t i tJ e t d a e sr c udge CI M ORTGA G E,I C. TI N , De e nt f nda . Thi c e i pr enty bef r t co ton a m oto t di m i sfl d by Cii o t ge, nc. s as s es l o e he ur i n o s s ie tM r ga I (t tM o t ge' a Fe r lHomeLoa M o tageCor ai (s e eMac'( l tvel ' i rga ' nd de a ci ) n rg porton k ddi Fr ' coleci y, ) t fnda s'. Fort ras stf t bel t moto wilbega e i pa4a d edi û e nt' de ) he e ons e orh ow,he in l rntd n l nd eni n Part . 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( ea !6( ; ha z na ontacual ntted o tc f e he oa s c e ae Not t ( C) Dee ofTr ta !22. Va za hass fce l aleg t tCii orgagebrac dt noi d us t ) z na ufiinty l ed ha tM t e he he tce pr s onsoft no e a t de oft us by o s a i t a oun i a r a s W he ea t ovi i he t nd he ed r t ver t tng he m t n re r . r s he pr - c e a i notc lsedt t a a ountduea owi a $5, 94. Va za cli st t e ac elr ton ie it he ot l m nd ng s 1 00, z na am ha ds wa ,i f tonl $ 537.4 i ara s' ( Co . t!1 ) the s n ac, y 2, 7 n re r . Am. mpla 4. ' V a za hasal o s f c e l pl d t ts w a ha m ed by t a l ged br a h. V a a z na s uf i i nty e ha he s r he le ec zz na cl i st ti t no i ha a ur t y s a ed t a oun i a r r ,s û oul ha bee a e t a m ha f he tce d cc a el t t he m t n rea s he i d ve n bl o w pa s ha y uc mount'a t ,a d a ceeai a f ecos e (d.a 1 ) Spe iialy, ' nd,hus voied c lrton nd or l ur. 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Asumi t he d he biiy o as 1 0 o y tMorg tn ys' l ) s ng he ' t u h ofVaz ana' a l tons t c tc l rt z s lega i , he our onc udest tCountOne s a e a pl us bl cl i f ha t t s a i e a m or br a oft no eand de d oftus. 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M or r,t l t doesnotwholy l i egar ng lt o e e oncl or eove he eter l c nr dit ral gains oro h r s i e ry e tbls )ta s c l no ha r nsae t l n o ta c he l to , t e wie d a l sa ihg h t he oud t ve ei ttd he oa e cl wihi 3 da , ( f . Su Re yBr a 2. W hiet elte idiae t a Va z naha oban d t n 0 ys' Des' pp. pl . t ) ' l h etr n c td h t z a d tie e o n a ta s ea tcpae b ig a et e l e u mo y fo h rne o t p yt mplyme t nd h t h nii td en bl o a' no gh ne r m e wj b o a he n r ai ng l n bal e i si mont ,V a em ni oa anc n x hs zzana di nots d ugges t ts had no ot rs cesoff ,or t ha he he our unds t i woul be i pos i ef he t pay t a ounti arear i a mor tmel f hi hat t d m sbl or r o he m n r sn e i y as on. I l. CountTw o:Br ac oft D e ofTrus e h he ed t I CountTw o oft a e d co pl nt V a za ale t tCii orgag br a d n he m nde m ai , z na l ges ha tM t e e che par gr ph 2 oft de oft us by f e l i o t pr ry w ihou c pl ng w ih a a 2 he ed r t or c osng n he ope t t t om yi t j55- 18)oft CodeofVigi a. Paa a 22pr dest ti adea ti notcur byt 59.( he r ni rgrph ovi ha f ful s ed he dat s cii i t pr - cc e a i no i ,t l nde S a i e pe fed n he e a el r ton tce he e r k y nvoke t pow e ofs l a a m he r a e nd ny ot rrme esper te byApplc bl La ' ( dofTr ta !22. Thetr t ia e he e di mitd ia e w. Dee ' us t ) em t c bl Appl Law ' i udesr l va V i gi a sa ut . ' ncl e e nt r ni t t es The V igi a s a u e cied b V a a pr de i peri n pa ta f l s r ni t t t t y zz na ovi s n tne t r s olow : I a no e orot re denc ofi t dnes s tr d by a de d oft us i l torf r f t he vi e ndeb e s ec le e r t s os o any r s c nno be pr ea on a t oduce a t be i i . s ist t tusee a d nd he netc a y ubm t o he r t n r afi vi t t tefe t tuseema none hees pr e t s l ,pr vi d t fda t o ha f d, he r t y t l s oc ed o a e o de he bene i a y hasgi n wr te notce t t pe s r uie t pay t i t um e fci r ve it n i o he r on eq r d o he ns r nt t tt i t u e i una ia e and a r que tf s l w ilbe m a oft t s e ha he nsr m nt s va l bl e s or a e l de he nlt e upon e r ton of 1 da fom t da e ofm aii oft notc The no i e s l xpia i 4 ys r he t lng he i e. t c ha l be s ntby c r ii d m ai,r t n r e ptr quese t t l s know n a e s oft e e tt e l e ur ec i e t d, o he a t ddr s he pe s r quie t pa t i t u e asr f e t d i t r c ds oft be f c a y r on e r d o y he ns r m nt e l c e n he e or he ne i i r and s li l t na e a m a lng a e soft t s e ....I t t us e hal nc ude he m nd ii ddr s he nzt e f he r t e pr e t s l ,t f tt tt i t um e i l to c nnotbe pr oce ds o a e he ac ha he ns r nt s os r a oduc d s l no e ha l t af e tt au hort oft tus ee t s l ort va i t oft s l . f c he t iy he r t o e l he ldiy he a e Va. Codej55- 1B) 59.( . Va za cli st tCii orgagebr c pa agr ph22 oft de oft t tbyi tt i z na am ha tM t ea hed r a he ed rl s nsiutng f e os epr ee ngswiho s nghe al tnoelte t tcompledwih j55 5 1B) orcl ur oc di t ut endi r os t etr ha i t - 9.( . Va za co e t tt l tnot lte s t he on J y 29,201 wa i ld,bec us i di z na nt nds ha he os e et r ent o r ul 0 s nva i a et d nots cii ly i ntf W it t ta t s tt e t u t e. H a ng r vi w e t l te a t pe fca l de iy tsad s he ubs iut r s e vi e e d he e t r nd he s a u e, e r t cour a e w ih t de enda t t tt l t e c ai no a tona e t t t how ve , he t gr es t he f n s ha he e t r ont ns c i bl ir ulrt Se ton j55- 9.( rquiest tt l tnot lte (ncudet na a maii reg aiy. ci 5 1B) e r ha he os e etr d l he me nd lng i addr oft t t 'r ess he rus ee' espons bl f i iutng f ecl e pr i e or nstt i or osur oceedi ngs. l accor n dance w ih t t s r quiem e ,t l tnot l tc i l d t c a ti or a i f W itt dt t s bs iut hi e r nt he os e e t r nc ude he ont c nf m ton or ts a , he u tt e tuse a nt d f t pu pos ofco r te ppoi e or he r e nduci t f e l ur s l R iet lte doesnot tng he or c os e a e. l he et r s ii a l r f t W itt a t s tt t tuse t c ti c nce t tt lte pecfc ly e er o tsadt s he ubsiu e r te, he our s onvi d ha he e tr com plesw ih t st ut i t he at e. I a e ,j55- 1f t rpr de ,insrihtor r a une voc llng , n ny vent 59. urhe ovi s ' tag f wa d nd qui a a uage i t t(talr t c mp ywihter q rme t o n tc c nan di t i s cin s al o afc ha ( iu e o o l t h e uie ns f oie o ti e n hs e to h ln t fe t l t vai t oft s l ....' Prnci lRei nta M orc.v.O' a1 55Va. r 250, ( he ldiy he ae '' i na sde il t Ne , Ci. 251 Va. Ci. . )( i Va. r Ct2001 quotng Codej55- 1C). Thus eve i t l tnot lte wa defce ,i 59.( ) , n f he os e etr s iint t w oul notr d ende t s l i ld unde t a i a e l w . A c or ng y, a za s a l ga i r he a e nva i r he pplc bl a c di l V z na' le tons r ga di t l tnot l te f i t s a e a cl i upo w hi r le m ay be gr nt d. e r ng he os e e t r a l o t t am n ch e i f a e V a za al o c ai st tCii o t ge i tt ed f ec os e pr ee ngsw iho z na s l m ha tM r ga ns iut or l ur oc di t ut pr di al tnot afda tasrquiedby j55- 1. ( Compl!53. Asstf t a ovi ng os e fi vi e r 59. Am. . ) e orh bove, j5559. pr dest ti anot i l torohewieuna ia e t tuse ma nonehees - 1 ovi ha f e s os t r s valbl,he r te y t ls pr ee t s ei dhebenei ays bmist t tuseea atdavit t tef t' Va Codej oc d o al f s t fcir u t o he r t n fi t o ha fec. ' . 55- 18)(mpha i a ) Thesaut û ont nsnor uie ntt tt l tnot afd t 59.4 e ss dded . tt e t ai c eq rme ha he os e fiavi t tm us be gi n t t t us e alo be g ve t Pl i i f' V a v. C H o e Loan Ser c nc ha t ve o he r t e s i n o a ntf . ' n BA m vi i LP,No.4:0c 201 U. Dit LEXI 1 21 a *1 ( D. Se . 201 ) W hie 1 v73, 0 S. s. S 45 6, t 0 E. Va. pt23, 0 . l V a za as e t ,i a c us y f hi n, ha Cii orga f l t pr de a d ope l tnot z na s r s n oncl or as o t t tM t ge aied o ovi t pr r os e afi vi' t t tus ee he nm e d co pl i c ai no a l tonst ts f da t' o he r t , r nde m a nt ont ns lega i ha uppor t s c ai . t hi l m Be us ls ke aseringj de dof'urhe fcua e ca e ina d s to s' voi f t r a t l nhanc me ''aei ufiintt e nt' r ns fce o wihsand amoton t dim is t c twilgr n t de e nt 'm o i n wih r s c t t s t t i o s s ,he our l a t he f nda s to t e pe t o hi c . Se lbal556U. a 678( i Twombl 550U. a 5 . ount e q , S. t quotng y, S. t 57) 11 1. C ountT hree:Breach oft l pled C ovenantofG ood Fai and Fai D ealne he m i th r i l hert rd count V azzana cl m st Cii orgage br n hi , ai hat tM t eached t i pled covenantof he m i g f t and f rde i co ane i t not andt de oftu t Fo t f l ngr s , ood aih ai alng nt i d n he e he ed r s . r he olowi ea ons t ec u t o cu e ta ti cam i as s b e t ods sa. h o r c n ld s h t h s li s lo u j c t imis l The Unied St t Cour ofAppe sf t Fourh Cic tha he d t tc r c sgove ne t a es t al or he t r ui s l ha ont a t r d by V igi a l w c ai a i ple c na ofgood f t a f i de lng. Se W ol v. r ni a ont n n m i d ove nt aih nd a r a i e f Fed. a . N t Mor As ' No.11241 201 U. App.LEXI 4300,a * ( hCi. b.28,201 (ii c. sn, - 9, 3 S. S t 20 4t r Fe 3) ctng Enomot v.Spa Adve ur .Lt , F.Supp.2d4 45 ( D. .2009);Va. r c ie o ce nt es d.624 43, 0 E. Va ) Ve miult. Lt v. . Grce& Co. 1 F. 535,5414 ( h Ci.1 . Howe r i i iddut d. W R. a s 56 3d -2 4t r 988) ve,t mple y no ars sw ih r pe tt ac i t g r d by e e s c nt a t t r s ' Skil t r ,I v. e i e t es c o tviy ove ne xpr s o r c ual e m .' ls o m nc. El c, DaaSvs.LLC,666F.Supp. 61 620( D. 2009)(ii W ad' Egui .I v. w t . 2d 0, E. Va. ctng r s p. nc. Ne Hola N. n.49 S. 2d51 5 ( 1 lnd AJ , 3 E. 6, 20 Va. 997:. Thus l npa te t aco r c ce t vai ,f whe ris o nta t rae ld and bi ng r g s a i pled c na of g f t a f rde lng i i pplc bl t t e ndi i ht , n m i ove nt ood aih nd ai a i s na i a e o hos rght . W a d' Ecui , nc ,493 S. 2d a 520. A sex a ne by t Fourh Cic t û lhough i s' ' r s l p. l . E. t pl i d he t r ui, t t a t dut ofgood f t doesnotpr nta pa t f om e r i i ise i i co r c ua r gh s a he y aih eve ry r xe c s ng t xplc t nt a t l i t , pa t m a no e r s co r c ua di c e i n i ba f ih, ve whe s h di c e i i vesed r y y t xe ci e nt a t l s r t o n d a t e n n uc s r ton s t s e y i t tpa t ' Va, e m i ult Lt ,1 F. d a 542. ol l n ha r y.' V r c ie. d. 56 3 t l t sca e Va za r i on t s m ea lga i unde l ng he cai sf br ac of n hi s , z na eles he a le tons ryi r l m or e h c r ti t pr vi c ontac n he e ous ount t s s o uppor he cl i f rbr a h oft i pled c na tofgood t r am o e c he m i ove n fiha f id ai . Se Am . mpla !6 (va z n r -vest f csstfrhi Co n On at nd ar e l ng e Co . t 6 ' z a a ea r he a t e o t n u t e ç a CountTwo ....) Asstfrha nd '. ' e o t bove,hos al to pe ti s el t Cii t ge' t e legains ran ol y o tMorga s e r i e ofisc r c ua r g t a e e a e pa m e a f r l e on t pr pe t afe V a za xe c s t ont a t l i ht o cc l r t y nt nd o ec os he o ry t r z na def t on he m o t ge. Be aus a pa t doesnotbr a h t i ple dut ofgood f ih a auled r r ga c e ry e c he m i d y a t nd f i de i w he i e r s s e e sr g sunde a c r t a snc t a e d c pl i a r alng n t xe ci e xpr s i ht r ontac , nd i e he m nde om a nt i udesnoal ai whihplusbl s es t tCii t geç xecs dqc rdua ncl leg tons e a i y ugg t ha tMorga k riel onta l e dic e i i badf ih,' ri pe ntcli f br a h oft i pledco na ofgo f iha s r ton n at 'he nde nde am or e c he m i ve nt od at nd f i dea i m us be dim i s d. V a. e c t .Lt ,1 F. a 5 ,s al o Re i v. a r lng t s se V nni ule d. 56 3d t 42. çe s hbe n Cii orca l , 2:3CV65, 3U. DitLEXI 491 4,a *21( D. Apr 4, 3) tM t ge.nc.No. 1 201 S. s. S 0 t E. Va. . 201 ' , Be tv. nkofAm,N. ,3:2CV34, 2U. DitLEXI 54725, t* ( D. Apr 1 nnet Ba , A. 1 201 S. s. S a 30 E. Va. . 8, 201 . 2) 1V . C ountI :D ecl orv Judzm ent V arat l Coun 1 Vaz nas e ade lrt yj me sai t ts i notr s i ef n t V, za e ks caaor udg nt ttng ha he s eponsbl or f r c os e- e a e cos si ur e by Cii or ga o e l ur r l t d t nc r d tM t ge. She con e t tCii orga w asnot t nds ha tM t ge e il t a s hc t t he rmani l no i tons ûblc et pur tdf e os e ntted o dd uc oss o r e i ng oa blgai ,s e aus he pore orcl ur l wasvoi .... ( Compla !76. d ' Am. ' .t ) Thecou ta ee wih t de e nt t tVa z naha nots fcenty saed ac am f ra r gr s t he f nda s ha z a s ufi i l t t li o d ca ao yj d me t k Dl caao yj d me t aed sg e t d ca erg t s t tp risc n e lr tr u g n . t e lrt r u g n s r e in d o e lr ih s o ha a t a g e conf t i c onn he r onduc t avoi f ur ltga i ' Ta av. t d St t Ba N . . 718F. to d m e ii ton. ' pi Unie a es nks A , Supp. 2d689,695( D.Va.201 ) isuc r i i unavalbl whee... amsa rght ase td E. 0 . i h elef s ia e r cli nd i s sre ha f l m a ur d,a t a l d wr ve uly t e nd he lege ongsha a r a bee s f e ' G a l ntv. e s he ve l e dy n uf er d. ' la D ut c Ba Na'Tr tCo.766F.Supp. 71 71 ( . Va. 1 (ntma cttona quotton nk tl us , 2d 4, 9 W D. 201 ) i e l iai nd ai maksomitd) r te . l t s c e, he f e os e s e w a c n hi as t or cl ur al s onduc e ne ry t e yea s a i Se e be of t d a l hr e r go n pt m r 201 Be us t a l ge w r o ques i bl c 0. ca e he le d ong r tona e onduc hasale oc ur e t co ta e t r ady c r d, he ur gr es w ih t def nda st tdec a a or r le i i ppr pr a e a t tCountI m us be di m i s t he e nt ha l r t y e i f s na o i t nd ha V t s s ed. Sçç Bagl v.W elsFargo Balk,N . . N o.3: CV ey l z A, 12- 617,2013 U . D it.LEX I 11880,at*22 S. s S ( D. .J n. 201 ( s si a i ntc lcl m f de lrt yr le Esr lav.W els E. Va a 29, 3) dimisng n de ia ai or caaor eig; tel l 8 FagoBa N. ,No.2: 1 41 2011U. DitLEXI 1 r nks A. 1 cv 4, S. s. S 48778, *17 8( D.Va De 28, at -1 E. . c. 2011 (a ) ) sme . V. Pl ntf' O ui tTil Cl m ai ifs e te ai I Cou s 1 I , nd I1 o t a e d c pl i ,Va zana c am s t ts i e il d t a n nt , 1 a I f he m nde om a nt z l i ha he s ntt e o n o de qui tng ttet t pr r y i he f vor l V ig ni ,E l a ton t q e tte i ba e on t r r e i il o he ope t n r a . n r i a s l c i o ui t il s s d he a p e s t tap ro wi g o ttet c ranra o p ro l r p rys o l n t es b e tdt r mie ha es n t o d i o e ti e l r es na p o e t h ud o b u jce o h l vai f ur camsa i tt ttte. M anev. ms 672 S. 2d 8 866( .2009 . A rous ut e li gans ha il ' i Ada , ' E. 62, Va ) pl ntf as i a qui tte cl m m us pr t s hasrght super ort ot as i an ai if sertng et il ai t ove hat he i s i o hers sertng i e es i t pr pe t G a l nt 766 F.Supp. a 71 Ta a 71 F.Supp. a 700. nt r t n he o ry. la , 2d t 9; pi , 8 2d t A c r ngl f er lc t i V igi a ha r i l di m i s d qui ttte c a m si s m ia c es co di y, ed a our s n r ni ve outne y s s e e il l i n i l r as , w he e pl i if f ie t aleg t tt y ha s ts i d t i oblga i unde t not a de d of r a ntf s a l d o l e ha he d a i f e he r i tons r he e nd e tus . Se e. ,Ta a 71 F.Supp. a 700;M a ut v. d. o e Loa M o t Cor , o. r t e, c. pi , 8 2d t b ol Fe H m n r g. p. N 2:2c 1 v406,201 U. DitLEXI 42685,a *1 ( D. .M a.25,201 ;Towns ndv. nni 3 S. s. S t 3 E. Va r 3) e Fn e M a No.3:2-ve, 1 c 00045, 3U. Dit LEXI l 201 S. s. S 8588, t* ( . Va. b.1 201 ;Blckv. a 35 W D. Fe 2, 3) i W el Fa g Bal N. ,No.3: 1c 00081 201 U. Dit LEXI 41 6,a *1 ( . Va. ls r o rk, A. 1 -v, 2 S. s. S 26 t 4 W D. M a . 201 . r 27, 2) I t s c s ,t f c spl d i V a za s a e d c pl i d no pl usbl s es t t n hi a e he a t e n z na' m nde om a nt o t a i y ugg t ha s ha s i tt e t t pr pe t a i s he s uperor il o he o ry t s ue. I i undi put d t tV a z de a t d o he ts s e ha z ana f ule n r m o t ge a s doesnotale t ts hass ts i d he l n oblga i ort tt unde l ng r ga , nd he l ge ha he a i fe r oa i tons ha he ryi de hasbe n pa d,f gi n,o ca ele Co eque ty, o t e e V a za a t m p st br ng bt e i or ve r nc l d. ns n l t he xt nt z na te t o i a qui tte cl m i et il ai ndependentofherot cl m s,t cour concl her ai he t udest such cl m m ustbe hat ai dim i s d. s se 9 C oncl i us on Fort r as s a ed, he d e nt m oto t di m i sw ilbe gr nt d i pa t nd de e he e ons t t t ef nda s' i n o s s l a e n ra ni d i pa t The Cl r i diec ed t s nd c r ii d copi oft sm em or ndum o ni a t n r. e k s r t o e e tfe es hi a pi on nd he a om pa ng or rt a 1c cc nyi de o l ouns ofr co d. el e r EN TER : s Thi da ofJ y une, 3. 201 Chi fUnie St esD i ti tJ e t d at s r c udge 10

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