BARRY TED MOSKOWITZ, Chief District Judge.
For the following reasons, the unopposed motion to dismiss Plaintiff Bill Doscher's ("Plaintiff") Complaint, filed by Defendant, Wells Fargo Bank, N.A., erroneously sued as "Wells Fargo Home Mortgage, Inc.," now a division of Wells Fargo Bank, N.A., ("Wells Fargo") is
Plaintiff initiated this case in the Superior Court of California for the County of San Diego on April 13, 2015, by filing a Complaint against Wells Fargo Mortgage, Inc. The caption of the Complaint listed other defendants but they were crossed out. The striking of the other defendants appears to be initialed by the Plaintiff. Thus, Wells Fargo is the only defendant. The matter arises out a scheduled foreclosure on Plaintiff's real property. Wells Fargo removed the action to this Court on May 13, 2015 under 28 U.S.C. § 1332, and filed the pending motion to dismiss on May 20, 2015. Plaintiff did not file an opposition and the motion was taken under submission on July 10, 2015.
The following facts are uncontested. On August 23, 2007, Plaintiff obtained a loan of $520,000 from World Savings Bank ("WSB"), which was secured by a deed of trust recorded against the parcel located at 4788 Beachwood Ct., Carlsbad, California 92008 ("the property"). (Doc. 6-1, Ex. A.) On December 31, 2007, WSB changed its name to Wachovia Mortgage, FSB ("Wachovia"). (Doc. 6-1, Ex. C.) In November 2009, the lender changed its name twice more when it was converted to Wells Fargo Bank Southwest, N.A. and merged with Wells Fargo Bank, N.A. (Doc. 6-1, Ex. E.) Plaintiff defaulted on the loan in February 2013. (Doc. 6-1, Ex. G., at 33). On September 10, 2014, Defendant began the foreclosure process by recording a notice of default with the San Diego County Recorder's Office. (Doc 6-1, Ex. G.) A notice of trustee's sale was subsequently recorded on December 10, 2014. (Doc. 6-1, Ex. H.) The foreclosure sale date has been postponed to September 10, 2015. (Doc. 6-1, at Exh. H.)
Plaintiff's Complaint alleges claims against Wells Fargo for: (1) injunction; (2) permanent injunction; (3) unjust enrichment; and (4) setting aside or vacating the sale. Plaintiff's main argument is that Wells Fargo lacks standing to foreclose on the property because it is "not the real party in interest, it is not the lender and it is not the assignee of the lender." (Doc. 1-2, at 3, ¶4.)
Wells Fargo argues that Doscher's claims fail as a matter of law based on judicially noticeable documents which show,
Generally, district courts may not consider any material or documents beyond the pleadings on a Rule 12(b)(6) motion.
The Court takes notice of the following documents: (1) Certificate of Corporate Existence for WSB, dated April 21, 2006, issued by the Office of Thrift Supervision, Department of the Treasury; (2) a letter dated November 19, 2007, from the Office of Thrift Supervision, Department of the Treasury, confirming the amendment of WSB's charter and bylaws and its name change to Wachovia; (3) Wachovia's charter, dated December 31, 2007; (4) a letter dated November 1, 2009 from the Comptroller of the Currency confirming Wachovia's conversion to a national bank with the name Wells Fargo Bank Southwest, N.A. and its merger with Wells Fargo Bank N.A.; and (5) a Federal Deposit Insurance Corporation profile and history of WSB and its transition to Wells Fargo Bank N.A., dated March 14, 2012. (Doc. 6-1, Exh. B-F.) The Court finds that these documents are properly subject to judicial notice under Fed. R. Evid. 201.
A complaint must contain a "short and plain statement of the claim showing that the pleader is entitled to relief." Fed. R. Civ. P. 8(a). Dismissal under Rule 12(b)(6) for failure to state a claim is appropriate only when the complaint does not give the defendant fair notice of a legally cognizable claim and the grounds on which it rests.
The Complaint seeks an injunction and permanent injunction and rests on the argument that Wells Fargo is not a "party in interest" and has not produced a note proving its beneficiary status, and therefore lacks standing to foreclose on Plaintiff's property. However, based on the judicially noted documents, it is clear that Wells Fargo is the beneficiary of the mortgage note between Plaintiff and his original lender, WSB. As a result of several corporate mergers and name changes, Wells Fargo and WSB are "one and the same."
Furthermore, California Civil Code § 2924(a) does not require that Wells Fargo prove its beneficiary status by producing the mortgage note or the assignment of the deed of trust. The argument that a party must produce a note has been rejected by district courts within the Ninth Circuit.
For the reasons stated above, Wells Fargo's motion to dismiss the claims for injunction and permanent injunction is
Plaintiff claims that Wells Fargo will be unjustly enriched by a sum of $944,624.62 if the property is foreclosed upon. California courts are divided as to whether unjust enrichment is a proper cause of action. Some courts have held that there is no cause of action for unjust enrichment and that it is only a general principle underlying particular legal theories.
As a party to an express contract, here the mortgage note, Plaintiff can only assert a claim for restitution based on unjust enrichment by "alleg[ing in that cause of action] that the express contract is void or was rescinded."
Therefore, Wells Fargo's motion to dismiss the claim for unjust enrichment is
In California, one of the elements of an equitable cause of action to set aside a foreclosure sale is that "the trustee or mortgagee caused an illegal, fraudulent, or willfully oppressive sale of real property pursuant to a power of sale in a mortgage or deed of trust."
For these reasons, Wells Fargo's motion to dismiss the claim to set aside or vacate the sale is
Lastly, Wells Fargo argues that all of Plaintiff's equitable claims are deficient because Plaintiff has not alleged an ability to tender the full indebtedness amount.
For the reasons discussed above, Wells Fargo's motion to dismiss is