Carrington Mortgage Services LLC v Tessenear: Florida Appeal Tests Notice of Default

• Carrington Mortgage Services LLC appealed a lower court's decision in a mortgage servicing dispute against Michael Tessenear and others.
• The appeal centers on whether CMS properly served the defendants with notice of default, a critical step in the foreclosure process under Florida law.
• The case has significant implications for lawyers practicing in Florida who handle mortgage servicing and foreclosure cases.

CMS argued that the statute does not require personal service and that it had complied with the statute by sending notice to the defendants' last known address.

Carrington Mortgage Services LLC (CMS) appealed a lower court's decision in a mortgage servicing dispute against Michael Tessenear, Cary L. Tessenear, and Steven K. Jonas as Trustee of the 4785 Oakfield Circle Trust. The appeal was heard by the Fifth District Court of Appeal in Florida. CMS had filed a complaint against the defendants, alleging that they failed to pay their mortgage payments and seeking foreclosure. However, the lower court ruled in favor of the defendants, finding that CMS had not properly served them with notice of default. CMS appealed this decision, arguing that the lower court erred in its interpretation of Florida law regarding mortgage servicing and foreclosure procedures.

The appeal is significant because it involves a complex issue of Florida case law related to mortgage servicing and foreclosure procedures. The dispute centers on whether CMS properly served the defendants with notice of default, which is a critical step in the foreclosure process under Florida law. The lower court's decision was based on its interpretation of Florida Statute 702.01, which governs the requirements for serving notices of default. CMS argued that the statute does not require personal service and that it had complied with the statute by sending notice to the defendants' last known address. However, the lower court disagreed, finding that CMS failed to provide sufficient proof of service.

The appellate decision in this case has important implications for lawyers practicing in Florida who handle mortgage servicing and foreclosure cases. The ruling could potentially affect client obligations and compliance with state regulations regarding notice of default. If the appellate court reverses the lower court's decision, it could set a precedent for future cases involving similar issues. As such, lawyers should closely monitor this case and be prepared to adapt their practices accordingly.

Lawyers practicing in Florida should watch for the implications of this appellate decision on mortgage servicing and foreclosure procedures, potentially affecting client obligations and compliance with state regulations.

Source: Original reporting via Fifth District Court of Appeal State of Florida