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3rd DCAFebruary 15, 2023Reversed and Remanded⭐ Notable

Sutton v. Wilmington Trust, N.A.

Case No. 3D2022-1274

After the parties both moved to postpone a foreclosure sale to finalize refinancing (following the death of the borrower's husband), no hearing occurred before the holiday weekend and the sale proceeded to a third-party bidder. The trial court denied the borrower's motion to vacate because she showed no fraud or irregularity in the conduct of the sale. The Third District reversed, holding that under Arsali v. Chase Home Finance a court may set aside a judicial sale on any adequately pled equitable ground, including mistake, and remanded for consideration of the equitable grounds alleged.

Key facts

  • Borrower sought to vacate a judicial foreclosure sale after both parties had moved to postpone the sale to allow time for refinancing following the borrower's husband's death, but the sale proceeded to a third-party bidder over the holiday weekend without a hearing.
  • The trial court denied the borrower's motion to vacate the foreclosure sale, finding she had not demonstrated fraud, irregularity in the conduct of the sale, or gross inadequacy of the bid price.
  • +2 more key facts with a free trial

Why it matters

Practitioners moving to vacate foreclosure sales can cite this decision—aligning the Third District with the Second and Fifth Districts (Gavidia, Josecite)—to defeat the common trial-court reflex that only fraud, sale… — full analysis with a trial

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