In
Wells Fargo Bank v. Linzenberg, the bank foreclosed on a mortgage held by Karen Linzenberg -- who didn't answer the complaint and had a judgment issued against her on default.
Since a New York State law -- CPLR 5015(a)(1) -- permits a judge to vacate a judgment when a party presents a reasonable excuse for not answering (or appearing) and shows a "meritorious" defense to the litigation, the Rockland County Supreme Court granted Linzenberg's request.
But on its review of the record, the Appellate Division, Second Department, reinstated the foreclosure judgment, citing Linzenberg's failure to meet the law's requirements. (Among other things, the AD2 found her allegations that the bank engaged in fraudulent activity to be "broad and unsubstantiated.")
That foreclosed that.
For a copy of the Appellate Division's decision, please use this link:
Wells Fargo Bank v. Linzenberg