Brandenburg v. Navy Fed. Credit Union

This appeal arises out of the trial court’s order granting summary judgment to Navy Federal Credit Union, on the ground that its security interest was superior to that of plaintiff Pamela Brandenburg. Because factual issues exist as to whether Navy Federal acquired its interest in good faith and without notice of Brandenburg’s interest, we reverse. 1. This action arises out of the divorce of Pamela Lynne Ivester Brandenburg Pamela and Scott Brandenburg Scott. In the final judgment and decree of divorce entered January 25, 2000 nunc pro tunc to August 13, 1999, Pamela was ordered to quitclaim to Scott her interest in certain real property in Cherokee County. Scott was required by the final judgment to pay Pamela a lump sum of $40,000 in addition to child support for the couple’s five children. On July 25, 2001, Scott by quitclaim deed conveyed title to the Cherokee County property to himself and to his new wife jointly. On September 21, 2001 Pamela recorded the final judgment and decree in the Cherokee County deed records.

In January 2002, Navy Federal Credit Union gave Scott a home equity line of credit in the amount of $63,000. To secure the loan, Scott and his new wife conveyed title to the Cherokee County property by delivering to Navy Federal a deed to secure debt. The Navy Federal security deed was recorded in the deed records of Cherokee County on March 18, 2002. On September 18, 2003, two writs of fi. fa. in favor of Pamela against Scott were recorded in the Cherokee County general execution docket.