OC INTERIOR SERVICES v NATIONSTAR | CA Appeals Ct - We reverse as the void default judgment was a nullity for all purposes, including as against a purported bona fide purchaser for value

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OC INTERIOR SERVICES v NATIONSTAR | CA Appeals Ct – We reverse as the void default judgment was a nullity for all purposes, including as against a purported bona fide purchaser for value

OC INTERIOR SERVICES v NATIONSTAR | CA Appeals Ct – We reverse as the void default judgment was a nullity for all purposes, including as against a purported bona fide purchaser for value

h/T Gary Dubin Law

Filed 1/31/17

CERTIFIED FOR PUBLICATION

COURT OF APPEAL,
FOURTH APPELLATE DISTRICT
DIVISION ONE STATE OF CALIFORNIA

OC INTERIOR SERVICES, LLC as Trustee, etc.,
Plaintiff and Respondent,

v.

NATIONSTAR MORTGAGE, LLC et al.,
Defendants and Appellants.

In this case, plaintiff OC Interior Services, Inc. (OCI) purchased real property
knowing about a recorded default judgment in the chain of title that vacated the lien
interest of the predecessor-in-interest to appellants Deutsche Bank National Trust
Company, in Trust for the Harborview Mortgage Loan Pass-Through Certificates, Series
2007-7 (Deutsche Bank) and Nationstar Mortgage, LLC (Nationstar, together appellants).
The default judgment was later adjudicated as void. The question presented is whether
OCI, a purported bona fide purchaser for value, took title to the property subject to
appellants’ lien. The trial court found that OCI was a bona fide purchaser for value that
took title to the property free of appellants’ lien. We reverse as the void default judgment
was a nullity for all purposes, including as against a purported bona fide purchaser for
value.

[…]

As we shall explain, we agree with appellants. We first address the concept of a
judgment that is void on the face of the record versus a judgment that appears valid on
the face of the record and explain why this distinction makes no difference when a
judgment is ultimately declared void. We then explain why even a bona fide purchaser
cannot claim title clear of the First DOT based on a void judgment.

[…]

 

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