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By Ed Boltz, 6 February, 2013

Bankr. E.D.N.C.: Sea Horse Realty v. Citimortgage- Statute of Limitations for Reformation of Incorrect Deed of Trust

Summary: Sea Horse Realty, which is wholly owned by Richard Mercer, is the owner of a parcel of real property located in Nags Head. In 2005, Mercer executed a promissory note, currently held by Citimortgage (to whom reference will be made, regardless of whether the party was Citimortgage or its predecessors), for $1.5 million, pledging the property as collateral. The Deed of Trust was originally to list Sea Horse Realty as the grantor, but this was changed at the request of the mortgage broker to list Mercer as the grantor. Mercer filed Chapter 11 in 2009.
By Ed Boltz, 20 June, 2012

N.C. Supreme Court: Willis v. Willis- Mistake of One Party Insufficient to Reform Deed

Summary: Janice Willis had two sons, Eddie and Anthony. In December 2004 she drafted a will bequeathing “any interest that I may own in my home place” to Eddie, expressing her “wish” that, if she conveyed the property to Eddie before her death and he decided to sell it, Eddie would divide the proceeds with his brother Anthony. The will also bequeathed the residue of her estate to Eddie and Anthony in equal shares, to pass to their children per stirpes if either or both predeceased her. Mrs.
By Ed Boltz, 17 April, 2012

N.C. Court of Appeals: BB&T v. Teague & Glover- Priority of Reformed Deed of Trust against Bona Fide Purchaser

Summary: While working as a bookkeeper for Teague & Glover, P.A., (T&G) Ms.  Gibbs embezzled substantial amounts.  In addition to criminal prosecution and imprisonment, in 2010, T&G obtained a civil judgment against Mr.  and Mrs.  Gibbs for $800,000.  T&G subsequently agreed to accept all of the Gibbses real and personal property in exchange for a reduction in the amount of the judgment. The property at issue in the present dispute consists of Tract A (0.6 acres) and Tract B (0.7 acres and the Gibbses primary residence).  In 1999
By Ed Boltz, 13 December, 2011

NC Court of Appeals: GMAC Mortgage v. Miller- Ambiguous and/or Conflicting Description of Real Property in a Deed of Trust

Summary: William Miller, Russell Grogan and Stephanie Grogan purchased a 21.394 acre tract (Tract I) in 1997 and subsequently a 0.15 acre tract (Tract II) to provide access to a road.  In 2003, the owners granted a Deed of Trust to GMAC.  The Deed of Trust included a tax parcel number that encompassed both Tract I and Tract II, but the legal description only referenced Tract II.  In 2005, the owners subdivided Tract I into Tract IA, consisting of 10.932 acres owned by all three,  and Tract IB, consisting of 10.389 acres which was henceforth to be owned solely by the Grogan
By Ed Boltz, 11 November, 2011

NC Court of Appeals: Willis v. Willis- Reformation of Deed

Summary:

In 2004,  Ms.  Willis signed a will, stating that if she conveyed her residence to her son, Eddie, before her death, that it was her wish that if he sold the property, he divide the proceeds with his brother, Anthony.  Subsequently, Ms.  Willis transferred a remainder interest in the the residence to Eddie, but did not include any reversionary interest.  Eddie then died intestate and Ms.  Willis sought to reform the Deed to prevent the property from passing to Eddie’s children, arguing that the Deed to Eddie was a unila

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