Opinion ID: 2075984
Heading Depth: 1
Heading Rank: 4

Heading: Charter One Bank v. Hunter

Text: The pertinent facts of the Hunter case are essentially the same as in the McGahan case. Margaret Hunter executed a note securing a mortgage on her property in 2002. Charter One Bank (Charter One) filed a complaint for foreclosure in 2006. After learning that Hunter was deceased, Charter One was granted leave to file an amended complaint to name as defendants unknown owners, nonrecord claimants, and unknown heirs and devisees. Subsequently, the circuit court entered a judgment of default against defendants and an order for foreclosure and sale. However, thereafter, pursuant to its decision in the Wells Fargo case, the circuit court vacated those orders and dismissed Charter One's complaint for lack of subject matter jurisdiction. ABN and Charter One appealed and the cases were consolidated. No one appeared on behalf of McGahan, Hunter, or any other appellee. However, the appellate court granted leave to the Chicago Volunteer Legal Service Foundation (Foundation) to file an amicus curiae brief in support of the trial court's decision. The appellate court reversed and remanded, finding that this court had consistently labeled foreclosures as in rem actions, and that it was bound by these determinations. 388 Ill.App.3d 900, 902, 329 Ill.Dec. 176, 906 N.E.2d 21. The appellate court further concluded that foreclosure proceedings determine rights as against the whole world, not merely against certain individuals, and, therefore, logically are in rem actions. Although the appellate court acknowledged that several of our past cases have stated that foreclosure proceedings are quasi in rem actions, the appellate court found the discussions in those cases dicta and, therefore, not controlling. Accordingly, the appellate court held that, because a foreclosure is an in rem action, plaintiffs' failure to name a personal representative in the foreclosure action did not divest the circuit court of jurisdiction and the circuit court erred in dismissing ABN and Charter One's complaints. On February 23, 2009, we granted the Foundation's motion for leave to file a petition for leave to appeal instanter as amicus curiae. [1] We later granted the Cook County public guardian leave to file an amicus brief.