United States District Court, W.D. Washington, Seattle
ARCHIE T. EDWARDS and PATRICIA L. EDWARDS, Plaintiffs,
CALIBER HOME LOANS, et al., Defendants.
C. COUGHENOUR, UNITED STATES DISTRICT JUDGE
matter comes before the Court on
Defendants' second motion to dismiss for failure to
state a claim upon which relief may be granted (Dkt. No. 32)
and motion to take judicial notice (Dkt. No. 33). Having
thoroughly considered the parties' briefing and the
relevant record, the Court finds oral argument unnecessary
and hereby GRANTS the motions for the reasons explained
case arises out of a dispute regarding a residential mortgage
loan obtained by Plaintiffs in 2007. (Dkt. No. 17 at 1-2.)
Following the default on their loan, and with a non- judicial
foreclosure pending, Plaintiffs initiated this suit to
prevent Defendants from foreclosing on the property. In June
2007, Plaintiffs borrowed $312, 800.00 from Quicken Loans,
Inc. (Quicken). (Dkt. No. 18-1 at 2-16.) The loan was secured
by a deed of trust against Plaintiffs' primary residence,
with Quicken as the lender and MERS as the beneficiary.
(Id.) On July 21, 2011 the deed of trust was
assigned from MERS to OneWest Bank, FSB (OneWest).
(Id. at 24.) On July 26, 2011, OneWest appointed
Northwest Trustee Services, Inc. (NWTS) as trustee under the
deed of trust through the recording of an appointment of
successor trustee. (Id. at 30.) On August 21, 2013,
the deed of trust was assigned from OneWest to Ocwen Loan
Servicing, LLC (Ocwen). (Id. at 26.)
March 21, 2016, a notice of trustee's sale was entered in
the Snohomish County official records, listing a foreclosure
date of July 22, 2016. (Id. at 32.) The notice of
trustee's sale indicated that Plaintiffs were $127,
098.88 in arrears on the loan. (Id. at 33.) On April
27, 2016 the deed of trust was assigned from Ocwen to U.S.
Bank. (Id. at 28.) On October 5, 2016, U.S. Bank
appointed Defendant Trustee Corps as successor trustee under
the deed of trust. (Id. at 38.)
moved to dismiss the original complaint. (Dkt. No. 17.) On
December 12, 2016, this Court dismissed Plaintiffs'
claims regarding Defendant U.S. Bank's authority to
foreclose, quiet title, violations of the Washington Consumer
Protection Act (CPA), and declaratory judgment. (Dkt. No.
25.) Specifically, this Court found the following:
(1) Plaintiffs failed to state a plausible claim challenging
U.S. Bank's authority to foreclose because it did not
allege that U.S. Bank failed to meet the statutory definition
of “beneficiary” (id. at 4);
(2) Plaintiffs' CPA claims against Defendants Caliber and
MERS failed because the complaint did not allege a sufficient
injury (id. at 4-5); and
(3) Plaintiffs' quiet title action failed because they
could not demonstrate they had satisfied their obligations
under the loan (id. at 4).
were granted leave to amend all claims save for their quiet
title claim, which was dismissed with prejudice.
(Id. at 4-5.)
filed a first amended complaint on April 7, 2017. (Dkt. No.
31.) The first amended complaint alleges that U.S. Banks does
not have standing to foreclose, and restates its claim for
declaratory judgment to declare Defendant Caliber in
violation of the CPA. (Id.) The first amended
complaint does not allege any causes of action against
Defendant MERS. (Id.)
initial matter, Defendants request that the Court take
judicial notice of a notice of discontinuance of
trustee's sale recorded in Snohomish County records on
November 29, 2016 pursuant to Evidence Rule 201. (Dkt. No. 33
at 1-2.) The document is a Snohomish County record and thus
can be accurately or readily determined from a source whose
accuracy cannot be reasonably questioned. Fed.R.Evid. 201.
Plaintiffs do not dispute the accuracy, but rather argue that
the document was “cherry picked.” (Dkt. No. 35 at
2.) This is not a valid objection, and as the Court noted in
a previous order, Plaintiffs were free to submit whatever
documents they felt were appropriate for judicial ...