Ohio Appeals Court: Sloppy Mortgage Assignments In Foreclosure OK Where Note, Mortgage Contain Interlocking References

A recent ruling by an Ohio appeals court held that an assignee of a mortgage had standing to foreclose, despite the fact that it had not also acquired, by formal assignment, the promissory note secured thereby. In this case, the court concluded:

• that the assignment of the mortgage, in conjunction with interlocking references in the mortgage and the note, transferred the note as well. See Restatement of the Law 3d, Property – Mortgages (1997) 380, Section 5.4(b); Bank of N.Y. v. Dobbs, 5th Dist No. 2009-CA-002, 2009-Ohio-4742, ¶ 17-41, appeal not allowed, 124 Ohio St.3d 1444, 2010-Ohio-188.

For the court ruling, see Deutsche Bank Nat'l. Trust Co. v. Greene, 2011 Ohio 1976 (Ohio. App. 6th Dist. April 22, 2011).