Hinton v. Rolison
Annotate this CaseIn 2004, Clayton Hinton purchased a tract of real property to use as a used-car lot. He financed its acquisition with funds provided by Wells Fargo. In 2007, Hinton conveyed his interests in the property to CZ Inc., a Mississippi corporation, subject to the debt secured by a Deed of Trust. In 2008, CZ Mississippi conveyed its interests in the property to CZ Florida. In 2009, CZ Florida conveyed its interests in the property to Hinton’s children, Nathan Hinton and Seneca Eubanks. All transfers were subject to the debt instrument. In May 2012, the loan matured and became immediately payable in full. In May 2013, Clayton Hinton and Nate Rolison executed a global Settlement Agreement which included Rolison agreeing to pay off the past-due Note and to obtain clear title by judicial foreclosure. On June 7, 2013, CZ Florida and Hinton’s two children conveyed “all of their rights, title, and interest” by quitclaim deed to Rolison. The question this case presented for the Supreme Court's review was whether a quitclaim deed acts to assign and transfer a grantor’s rights and interests retained in a deed of trust even when that grantor no longer holds title to the property. The Court held that it does, and so it affirmed.
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