100 Lakeside Trail Trust et al. v. Bank Of America, N.A.

The trial court properly granted bank's claim for equitable reformation of a security deed based on mutual mistake, granted bank's motion for summary judgment and denied defendants' cross-motion for summary judgment.

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Ellington, Presiding Judge.

In 2013, Bank of America, N.A., filed this action in the Superior Court of Fayette County against 100 Lakeside Trail Trust and Jum U. Ra’Oof (collectively, “the appellants”), seeking, inter alia, equitable reformation of a 2007 security deed based on mutual mistake. The bank alleged that the security deed mistakenly identified Ra’Oof individually as the grantor, when the actual owner of the subject property and intended grantor was the trust, which Ra’Oof served as trustee. In addition, the bank sought a declaratory judgment that the security deed remains in full force and effect, and evidences a perfected, valid, enforceable, firstpriority security interest in the property. The appellants asserted a counterclaim for wrongful attempted foreclosure. The parties filed cross motions for summary judgment. After a hearing, the trial court granted the bank’s motion for summary judgment on affirmative defenses asserted by the appellants.^{^[1]} The trial court granted the bank’s claim for equitable reformation of the security deed to identify the trust as the grantor, and to correctly reflect that Ra’Oof executed the security deed in his capacity as trustee of the trust, rather than in his individual capacity. The trial court also granted the bank’s motion for summary judgment on its claim for declaratory judgment and declared that the security deed has not been extinguished, as the appellants alleged. Finally, the trial court denied the appellants’ cross motion for summary judgment.

100 Lakeside Trail Trust et al. v. Bank Of America, N.A.

The trial court properly granted bank's claim for equitable reformation of a security deed based on mutual mistake, granted bank's motion for summary judgment and denied defendants' cross-motion for summary judgment.

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