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Green Tree Servicing, LLC v. 1997 Circle N Ranch Limited

The principal issue presented in this appeal is whether Subchapter I of the Texas Finance Code Chapter 347 creates a cause of action whereby the owner of land leased to the owner of a manufactured home can recover unpaid rentals from a creditor of the homeowner who forecloses on the home and sells it to a third party. This court concluded that Subchapter I provides the landowner only a possessory lien in the manufactured home under those circumstances, not a cause of action through which it can hold the creditor personally liable. Because the judgment below awarded damages predicated solely on a purported cause of action under Subchapter I, the district court's judgment is reversed. Austin Court of Appeals, No. 03-09-00258-CV, 11-18-2010

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OPINION

The principal issue presented in this appeal is whether subchapter I of finance code chapter 347 creates a cause of action whereby the owner of land leased to the owner of a manufactured home can recover unpaid rentals from a creditor of the homeowner who forecloses on the home and sells it to a third party. We conclude that subchapter I provides the landowner only a possessory lien in the manufactured home under those circumstances, not a cause of action through which it can hold the creditor personally liable. Because the judgment below awarded damages predicated solely on a purported cause of action under subchapter I, we must reverse and render judgment that the landowner take nothing.

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