Wells Fargo Bank, N.A. v. Twenty Six Props., LLC

CourtUnited States Court of Appeals (Georgia)
Citation325 Ga.App. 662,754 S.E.2d 630
Docket NumberNo. A13A1712.,A13A1712.
PartiesWELLS FARGO BANK, N.A. v. TWENTY SIX PROPERTIES, LLC et al.
Decision Date06 February 2014

325 Ga.App. 662
754 S.E.2d 630

WELLS FARGO BANK, N.A.
v.
TWENTY SIX PROPERTIES, LLC et al.

No. A13A1712.

Court of Appeals of Georgia.

Feb. 6, 2014.


[754 S.E.2d 631]


Baker, Donelson, Bearman, Caldwell & Berkowitz, Scott Harold Michalove, Joshua Neil Tropper, Atlanta, for Appellant.

Munger & Stone, Ron Dean Eckland, Benjamin Alexander Stone, John David Stuart, Atlanta, for Appellee.


ELLINGTON, Presiding Judge.

Wells Fargo Bank, N.A., filed this action in the Superior Court of Fulton County seeking, among other relief, a declaratory judgment that it has a valid lien against certain property in Forsyth County pursuant to a deed to secure debt granted by James Pefanis to AME Financial Corporation to secure a promissory period. Further, Wells Fargo seeks a declaration that its lien is entitled to first priority status, and, in particular, that its lien is superior to a writ of execution held by Evangelina Forsberg as a result of a personal injury judgment that she had obtained against Pefanis. Forsberg filed a counterclaim, seeking a declaration that she has a lien against the property that is first in priority and that Wells Fargo has no valid lien at all against the property. Wells Fargo filed a motion for partial summary judgment on the issue of the priority of its lien compared to Forsberg's interest in the property, and Forsberg also filed a motion for summary judgment. After a hearing, the trial court granted Forsberg's motion for summary judgment and denied Wells Fargo's motion for partial summary judgment. Wells Fargo appeals, and, for the reasons explained below, we reverse the grant of summary judgment in Forsberg's favor.

Summary judgment is proper “if the pleadings, depositions, answers to interrogatories, and admissions on file, together with the affidavits, if any, show that there is no genuine issue as to any material fact and that the moving party is entitled to a judgment as a matter of law[.]” OCGA § 9–11–56(c).

Summary judgments enjoy no presumption of correctness on appeal, and an appellate court must satisfy itself de novo that the requirements of OCGA § 9–11–56(c) have been met. In our de novo review of the grant of a motion for summary judgment, we must view the evidence, and all reasonable inferences drawn therefrom, in the light most favorable to the nonmovant.

(Citations and punctuation omitted.) Cowart v. Widener, 287 Ga. 622, 624(1)(a), 697 S.E.2d 779 (2010). See also Morgan Enterprises v. Gordon Gillett Business Realty, 196 Ga.App. 112, 395 S.E.2d 303 (1990) (“On cross-motions for summary judgment, each party must show there is no genuine issue of material fact regarding the resolution of [the essential] points of inquiry and that each, respectively, is entitled to summary judgment; either party, to prevail by summary judgment, must bear its burden of proof.”).


The record shows the following undisputed facts. On September 8, 1994, Paul and Jacalyn Gawron conveyed 14.21 acres of real property located in Forsyth County in fee simple via warranty deed to Ron Eckland. On the same day, Eckland conveyed 10.0 acres of the property via quitclaim deed to himself and to James Pefanis as joint tenants with right of survivorship.1 The 10.0-acre tract is improved with a single family home with an address of 6835 Matt Highway, Cumming (“the property”). On December 15, 1997, Eckland conveyed his interest as a joint tenant in the property to Pefanis via warranty deed recorded March 6, 1998. On June 1, 2007, Pefanis conveyed his interest in the

[754 S.E.2d 632]

property via quitclaim deed back to Eckland.2 That deed was recorded on April 22, 2008. Superior Court of Forsyth County, Book 5107, pp. 195–196. On February 26, 2009, Eckland conveyed his interest in the property via quitclaim deed to Twenty Six Properties, LLC.3 That deed was recorded on June 3, 2009. Superior Court of Forsyth County, Book 5442, Pages 407–408.

In several separate transactions between December 1997, when Eckland conveyed his interest in the property to Pefanis, and June 2007, when Pefanis conveyed the property back to Eckland, Pefanis borrowed money, using the property as security, and conveyed the property to lenders via deeds to secure debts. At issue in this case is a deed to secure debt Pefanis executed on June 28, 2006, conveying the property to AME Financial Corporation to secure a 30–year promissory note with the original principal amount of $1,425,000. Wells Fargo purchased that secured debt from AME Financial Corporation on August 2, 2006.

On December 17, 2007, Forsberg filed a lawsuit in the federal district court for the Northern District of Georgia, Case No. 1:07–cv–3116–JOF–RGV, alleging that, while she was an employee of AME Financial Corporation, Pefanis sexually harassed her. On March 19, 2008, while Forsberg's suit was pending, Eckland filed a copy of the June 28, 2006 deed to secure debt conveying the property to AME Financial Corporation. Superior Court of Forsyth County, Book 5072, pp. 178–199. Along with the deed, which until then had never been recorded, Eckland filed his affidavit, in which he deposed that his law firm had...

To continue reading

Request your trial
6 cases
  • Plantation Pipe Line Co. v. Stonewall Ins. Co.
    • United States
    • Georgia Court of Appeals
    • November 20, 2015
    ...Enterprises, Inc. v. Gordon Gillett Business Realty, 196 Ga.App. 112, 395 S.E.2d 303 (1990). See also Wells Fargo Bank v. Twenty Six Properties, LLC, 325 Ga.App. 662, 754 S.E.2d 630 (2014) (accord). A grant of summary judgment must be affirmed if it is right for any reason, including for an......
  • W. Asset Mgmt., Inc. v. NW Parkway, LLC
    • United States
    • Georgia Court of Appeals
    • March 30, 2016
    ...Enterprises, Inc. v. Gordon Gillett Business Realty, 196 Ga.App. 112, 395 S.E.2d 303 (1990). See also Wells Fargo Bank v. Twenty Six Properties, LLC, 325 Ga.App. 662, 754 S.E.2d 630 (2014) (accord). A grant of summary judgment must be affirmed if it is right for any reason, including for an......
  • AgSouth Farm Credit v. Gowen Timber Co.
    • United States
    • Georgia Court of Appeals
    • March 30, 2016
    ...2009 tax return confirmed that more than $80,000 in timber was harvested in that year.4 See Wells Fargo Bank v. Twenty Six Properties, LLC, 325 Ga.App. 662, 665, n. 5(1), 754 S.E.2d 630 (2014) ("[W]hen a borrower gives a lender a deed to secure debt, the borrower grants and conveys outright......
  • Wallin v. Wallin
    • United States
    • Georgia Court of Appeals
    • May 18, 2017
    ...).12 Bloom v. Camp, 336 Ga.App. 891, 894 (1), 785 S.E.2d 573 (2016) (punctuation omitted).13 Wells Fargo Bank, N.A. v. Twenty Six Props., LLC, 325 Ga.App. 662, 664 (1), 754 S.E.2d 630 (2014) ; see OCGA § 9-13-3 ("Every execution shall follow the judgment upon which it issued[.]"); OCGA § 9-......
  • Request a trial to view additional results

VLEX uses login cookies to provide you with a better browsing experience. If you click on 'Accept' or continue browsing this site we consider that you accept our cookie policy. ACCEPT