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Court of Appeals – Mortgage: Plotch v. Citibank
Daily Record Staff//May 27, 2016//
Listen to this articleNew York State Court of Appeals
Mortgage
First Mortgage on Record – Consolidated Mortgages
Plotch v. Citibank
No. 57
Judge Difiore
Background: The plaintiff was the winning bidder in a foreclosure action commenced by a condominium board to recover unpaid charges owed by the previous unit owner. At issue is whether two mortgages that had been consolidated into a single mortgage lien years before the condominium board filed its common charges lien qualify as the first mortgage of record under Article 9-B of the Real Property Law.
Ruling: The Court of Appeals affirmed, holding that the two consolidated mortgages qualify as the first mortgage of record. The court noted that a consolidation agreement is an instrument of convenience for the contracting parties only and there was no intervening lien at the time of the consolidation.
Bruce H. Lederman for the appellant; Paul A. Levine for the respondent
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