Illinois:  Foreclosure case lost – but be careful using TILA violations claims. . .

h/t “KC”

Deutsche Bank National Trust Co. v. Gilbert, 2012 IL App (2d) 120164

A judgment of foreclosure and order confirming the foreclosure sale vacated and the foreclosure action dismissed on the ground that plaintiff bank did not own the mortgage at the time the action was filed.  But plaintiff bank, as an assignee, was not liable on defendant’s counterclaim alleging a violation of the TILA, since the alleged violation was not apparent on the face of the documents.

Deutsche Bank National Trust Company, filed a foreclosure suit against James L. Gilbert.  Gilbert raised the affirmative defense that Deutsche Bank lacked standing at the time it filed the suit.

Gilbert also filed a counterclaim alleging violations of TILA 15 U.S.C. § 1601 (2006) and seeking damages.

The parties filed cross-motions for summary judgment.

The trial court initially found in favor of Gilbert on the issue of standing and dismissed the foreclosure.

However, following Deutsche Bank’s motion for reconsideration, the trial court reversed itself and granted summary judgment in favor of Deutsche Bank on all claims.

Gilbert appeals, arguing the trial court’s initial decision was correct, and that he is also entitled to summary judgment in his favor on the counterclaim. 

The judgment of foreclosure was reversed and the cause dismissed and affirmed dismissal of the TILA counterclaim.

Deutsche v Gilbert IL

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