Expiration Of NYS Statute Of Limitations Sinks Foreclosing Bankster; Couple Score Win In Battle To Wipe Out Their Home Mortgage
- A federal judge has granted two New Rochelle, New York homeowners' request to have their mortgage canceled, ending their nearly 10-year battle to keep their house after defaulting on a $544,000 mortgage loan they took out in 2006.
The decision on Thursday [March 30] by U.S. District Judge Katherine Polk Failla in Manhattan was a defeat for Deutsche Bank National Trust Co, trustee for a trust that owned the mortgage loan, which had argued that the couple was getting a free house on a technicality. Under New York state law, Vito and Marion Costa have a right to the property mortgage-free because a six-year statute of limitations on foreclosing on it had passed, Failla said.
For the court ruling, see Costa v. Deutsche Bank National Trust Co., 15 Civ. 2674 (KPF) (S.D.N.Y. March 30, 2017).