New York Business Litigation Lawyer Blog

The Appellate Division, Second Department recently reiterated in Citibank, Inc. v. Stosel, that to have standing to commence a foreclosure action you need to be the holder or assignee of the mortgage as well and underlying note as an “assignment of the mortgage without assignment of the underlying note or bond is a nullity.” In that case, the Court found that the plaintiff failed to demonstrate that it had standing to commence the foreclosure action as it failed to establish how or when it became the lawful holder of the note either by delivery of valid assignment of the note to it.
By Katherine Zalantis