Amos v. Aspen Alps 123, LLC Real Property

Prior to a foreclosure sale, Petitioner Betty Amos and her late husband, Thomas Righetti, owned a condominium unit in Aspen. Amos borrowed approximately $1.6 million from Equitable Bank securing the loan with a Deed of Trust on the condominium unit in favor of Equitable Bank and granted by Amos and Righetti. In September 2002, Righetti died. Amos and Righetti's daughter, Brandy Righetti, were named as co-personal representatives of the Estate of Thomas Righetti. The loan fell into default and Equitable Bank decided to foreclose on the property. Equitable Bank filed a Rule 120 Motion for Order Authorizing Sale and sent notice of the proceeding to Amos in her individual capacity. Equitable Bank did not send notice of the Rule 120 proceeding to the Estate or to Brandy Righetti. Neither Amos nor the Estate opposed the order authorizing sale. The public trustee held a foreclosure sale in early 2007. Neither Amos nor the Estate submitted a bid. After Equitable Bank bid the amount of its debt, three individuals Respondent Aspen Alps 123, LLC was the successful bidder. The public trustee issued the deed quieting title in the property to Aspen Alps. Amos then brought this action against the public trustee and Equitable Bank to enjoin the issuance of the deed to Aspen Alps, and to compel the trustee to allow her to redeem. Concurrently, she filed a notice of lis pendens. When the trial court refused to grant a preliminary injunction in Amos' favor, she filed a second notice of lis pendens. Amos then amended her complaint to include a claim that Equitable Bank failed to strictly comply with the notice requirements of Rule 120. Upon review, the Supreme Court concluded that the parties received actual notice which afforded them an opportunity to present their objections and no prejudice resulted. Accordingly, the Court refused to disturb the completed foreclosure sale. View "Amos v. Aspen Alps 123, LLC Real Property" on Justia Law