Second Circuit – Foreclosure: Windward Bora LLC v. Sotomayor

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United States Court of Appeals for the Second Circuit

Foreclosure — Statute of limitations

Windward Bora LLC v. Sotomayor

23-546-cv

Judges Menashi, Merriam, and Vaden

Background: The plaintiff sought to foreclose the defendants’ property. The plaintiff initiated the action in 2013, but it was voluntarily discontinued. In 2019, a second action was dismissed for failure to satisfy statutory notice requirements. The plaintiff brought a third action outside the statute of limitations period but argues that the action is permitted under a savings provision in New York state law, which provides that, if a foreclosure action is timely commenced and terminated for any reason other than a judgment on the merits or other enumerated exceptions, the original plaintiff may bring the action again within six months even if the statute of limitations has expired. The defendants appealed from the grant of summary judgment to the plaintiff.

Ruling: The Second Circuit affirmed. The court held that summary judgment was properly granted to the plaintiff as it is the original plaintiff for purposes of the saving provisions

Steven Amshen, of Petroff Amshen, for the defendants-counter-claimants-appellants; Rafi Hasbani, of Hasbani & Light, for the plaintiff-counter-defendant-appellee.

Oral argument audio