Court Opinion

ID: 9630438
Source: CourtListenerOpinion
Date Created: 2023-08-22 10:11:03.953509+00
Date Added: 2024-06-11T18:07:38.451513
License: Public Domain

WILLIAM RAY PRICE, JR., Judge,
dissenting.
I dissent. This case is controlled by Garr v. Countrywide Home Loans, Inc., 137 S.W.3d 457 (Mo. banc 2004), and Brown v. First Horizon Home Loan Corp., 150 S.W.3d 287 (Mo. banc 2004). In Garr, the Court said that because section 443.130 was “penal in nature” that any demand letter thereunder “should closely track the language of the statute to place the mortgagee on notice that the statutory demand is being made.” Id. at 460. The letter the Garrs sent to Countrywide, in that case, stated:
Dear Sir or Madam:
On August 2, 2002, we closed on our Marlann Drive home. On August 8, 2002, I confirmed via the Countrywide Automated Customer Service Line that our loan with Countrywide Home Loans was paid in full on August 8, 2002 and that an escrow balance of $60.84 would be refunded to me. We still have not received a Deed of Release to release the lien against our personal residence at 1417 Marlann Drive, Des Peres, Missouri 63131.
We are demanding immediate release of the Deed of Trust against our Mar-lann Drive property. Enclosed is a check payable to your institution in the sum of $230.00 to cover the costs of filing and recording the Deed of Release regarding the transaction. Please deliver in hand to me evidence of the release of the Deed of Trust. In the event the Deed of Release has already been sent, please return my check to above listed address.
This Court pointed out three failings in the letter sent by the Garrs.
First, the Garrs demanded an “immediate release” of the deed of trust, rather *669than allowing for fifteen business days on which Countrywide could respond as allowed under the statute. In addition, the Garrs demanded that Countrywide record the deed of release, which is another action not required by the statute. Finally, reading the Garr’s letter as a whole, nothing places Countrywide on notice that the Garrs are making a demand under section 443.130, whether directly, by reprinting, citing, or referencing or otherwise.
Id. at 460.
In Brown, a similar letter was sent to First Horizon Home Loan. The letter sent by the Browns stated:
Dear Sir or Madam:
Demand is hereby made by Kevin S. and Melody L. Brown, that full and complete release be made for the land secured by Deed of Trust for the property located at 1115 Bliss, St. Louis, Mo., dated August 30, 2001 and recorded September 14, 2001. Property recorded in Book 13272 at page 700 of the St. Louis County, Missouri land records.
Certified funds, in the amount of $59,550.69 to pay the loan secured by the above referenced Deed of Trust in full, were disbursed on 03-03-03, Air Borne Express, tracking # 17284193953.
Also, enclosed please find a check in the amount of $26.00 for tender of recording fees for the Deed of Release.
I look forward to hearing from you.
This Court held that the letter sent by the Browns was also insufficient. The Court stated:
While no particular language is specifically required to be included in the letter, the letter must somehow put the lender on notice that a demand is made under section 443.130. The Brown’s letter has neither a reference to section 443.130 nor the 15 business days Home Loan has to respond. The person making satisfaction is not identified. No demand is made that the release be given to the person making satisfaction rather than filing the release with the recorder of deeds. As in Garr, in this case the Brown’s letter as a whole does not place Home Loan on notice that demand is made under section 443.130.
Brown, 150 S.W.3d at 288.
The letter the Glasses sent to First National, in this case, states:
Dear Sir/Madam:
Please consider this our demand letter and written request for a deed of release of the mortgage/deed of trust on our home at 12706 Wynfield Pines Court, Des Peres, Missouri 63131.
Our home was recently refinanced and your loan, which was secured by a mortgage/deed of trust on the above property, has been paid off and satisfied with good funds. Recognizing this, you acknowledged receipt of payment in full of our loan on June 13, 2001 in a letter dated July 24, 2001. A copy of such letter is enclosed. For your convenience, this loan was referenced as loan number 2010185700.
Enclosed please find a check in the amount of $24.00 as and for costs, including recording fees, for the filing and recordation of the deed of release. I have also enclosed evidence that the aforesaid mortgage/deed of trust has been paid off and the expense of filing and recording the release has been advanced.
I trust that this letter and the accompanying check will enable you to deliver the requested deed of release promptly. Thank you in advance for your cooperation.
For the same reasons that the letters in Garr and Brown were insufficient, this *670letter sent by the Glasses is insufficient. First the letter does not put First National on notice that the demand is made under section 443.130. The letter has “neither a reference to section 443.130 nor the 15 business days” First National has to respond. Brown, 150 S.W.3d at 288. Second, “[t]he person making satisfaction is not identified.” Id. Third, “No demand is made that the release be given to the person making satisfaction rather than filing the release with the recorder of deeds.” Id. A cursory reading of this case, Garr, and Brown indicates that the majority has simply overruled Garr and Brown sub silentio and adopted instead the dissent written by Judge Teitelman in those cases.
The reason why the demand letter and the statute must both be read carefully is shown in this case. The letter asked “for a deed of release of the mortgagee/deed of trust on our home.” The letter does not specify where the deed should be sent, but does give a direction for the bank to record the deed: “Enclosed please find a check in the amount of $24.00 as and for costs, including recording fees, for the filing and recordation of the deed of release.”
Evidence was presented that the bank prepared and forwarded a deed of release to the St. Louis County recorder of deeds in late June or July of 2001, even before receiving the Glasses’ demand letter. (It is not known why the deed of release was not recorded until October 9, 2001.) Having already forwarded a copy of the deed of release to the county recorder, the bank might well believe that no further action was requested by the letter. The Glasses did not ask for anything else or specify where the deed should be sent to satisfy the demand contained in the letter or indicate that the demand was actually a demand under section 443.130. In such a situation, the imposition of a substantial penalty, when plaintiffs admittedly suffered no actual damages, neither furthers the letter nor the spirit of the law.