Niday v. GMAC Mortgage, LLCAnnotate this Case
The issue before the Supreme Court in this case centered on nonjudicial foreclosure of trust deeds under the Oregon Trust Deed Act (OTDA) and the mortgage finance industry's practice of naming the Mortgage Electronic Recording System, Inc., (MERS), rather than the lender, as a trust deed's "beneficiary." Plaintiff argued that, although the trust deed identified MERS as the beneficiary of the trust deed, neither MERS nor any of the other entities involved in the foreclosure had any legal or beneficial interest in the trust deed that would allow them to foreclose. The trial court granted summary judgment to defendants, but the Court of Appeals reversed, holding that a genuine issue of material fact existed as to whether all of the requirements for nonjudicial foreclosure set out in the OTDA had been satisfied. The Supreme Court, after its review, also concluded that a genuine issue of material fact existed, but for a different reason than the one the Court of Appeals identified.