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Appellate Division Affirms Supreme Court's Granting of Summary Judgement

12/28/2020

 
NEW YORK CASE LAW UPDATE
Aspen Shackleton III, LLC v Gordon, 189 AD3d 967 [2d Dept 2020]
On an appeal brought by an HOA seeking review of a summary judgment order issued in a foreclosure action on a modified mortgage, the Appellate Division affirmed the Supreme Court’s granting of summary judgment in favor of the lender, finding that HOA’s continuing lien for unpaid common charges created by its governing Declaration of Covenants, Restrictions, Easements, Charges and Liens, which was recorded prior to the mortgage, “merely provided for a potential lien” for unpaid common charges incurred by the borrower, and thus, gave notice “only of a potential claim” that did not have priority over the lender’s mortgage.

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