PROPOSED FINDINGS OF FACT AND CONCLUSIONS OF LAW

JACK B. SCHMETTERER, Bankruptcy Judge.

NOW COMES, Debtor/Plaintiff, Premsagar Mulkanoor ("Plaintiff"), by his attorneys, Ariel Weissberg and Devvrat Sinha, and as his Proposed Findings of Fact and Conclusions of Law, states as follows:

FINDINGS OF FACT

1. On or about December 10, 2001, DeBello Builders, Inc. conveyed to Debtor and Vijayageetha Mulkanoor ("Mrs. Mulkanoor"), Debtor's wife, not in tenancy in common but in joint tenancy, fee simple interest in residential real estate bearing the Permanent Index Number of 09-19-305-010 and commonly known as 21405 Saddle Lane, Mokena, Illinois 60448 ("Property"), by a Warranty Deed, a copy of which is attached hereto as Exhibit 1.

2. On or about January 24, 2005, Mrs. Mulkanoor borrowed $945,000.000 from American Home Mortgage Corp. d/b/a HLB Mortgage ("HLB") (the "Loan"). The Loan was evidenced by a promissory note executed by Mrs. Mulkanoor, dated January 24, 2005, in the principal amount of $945,000.000 (the "Note"). A copy of the Note is attached to the Complaint as Exhibit 2.

3. Contemporaneously with the execution of the Note, Mrs. Mulkanoor executed a mortgage to secure the indebtedness under the terms of the Note. This mortgage was recorded with the Will County Recorder of Deeds on February 3, 2005 as Document Number R2005020487 ("Mortgage"). A copy of the Mortgage is attached to the Complaint as Exhibit 3.

4. Plaintiff never executed the HLB mortgage, nor any other mortgage, to secure the indebtedness under the terms of the Note, which was only signed by Mrs. Mulkanoor.

5. HLB filed a Chapter 11 bankruptcy case in the United States Bankruptcy Court for the District of Delaware as Case No. 07-11047 (CSS), and that the Debtor confirmed a Chapter 11 Plan of Liquidation on February 18, 2009 (Delaware Case Docket No. 7031).

6. On July 26, 2013, Mrs. Mulkanoor died of natural causes. A Death Certificate issued by the Will County Registrar is attached hereto as Exhibit 4.

7. The liquidating trustee for HLB has not received any distributions from Ocwen from this underlying mortgage. See Affidavit of Devvrat Sinha, attached hereto as Exhibit 5.

8. On or about August, 2013, Debtor sent a copy of Mrs. Mulkanoor's death certificate to HLB Mortgage, through the loan-servicer, Ocwen, by which the Debtor informed Ocwen and HLB Mortgage them that Mrs. Mulkanoor had passed away.

9. Despite having knowledge of Mrs. Mulkanoor's death, Ocwen continued to send mortgage statements to the Property addressed to the "Estate of Vijayageetha Mulkanoor" and demanded payment by the first of every month after which late fees and penalties would accrue.

10. Based on these "mortgage statements," the Debtor remitted forty six monthly payments of $10,038.77 per month from August 1, 2013 through June 1, 2017 for a total amount of $461,783.27, not including any accruing interest.

CONCLUSIONS OF LAW

11. At the time HLB executed the Mortgage with Mrs. Mulkanoor, as the sole borrower, it knew or should have known by virtue of the Warranty Deed that both Debtor and Mrs. Mulkanoor had an interest in the Property.

12. Upon the death of Mrs. Mulkanoor, the Debtor, through his right of survivorship arising from the conveyance of the Property to him and Mrs. Mulkanoor in joint tenancy, acquired the Property in its entirety. See Warranty Deed recorded October 10, 2001 (Exhibit 1). Harms v. Sprague, 105 Ill. 2d. 215 (Ill. 1984) (mortgage executed by deceased "does not survive as a lien on plaintiff's property.")

13. In Harms v. Sprague, the Supreme Court of Illinois stated that a mortgage solely executed by a joint tenant who then passes away is void as to the surviving joint tenant.

14. There was no contract, promissory note, or written instrument under which the Debtor had a financial obligation with Ocwen.

15. By accepting the payments from the Debtor after July 26, 2013, Ocwen has unjustly retained a benefit to the Debtor's detriment, and their retention of the sum of $461,783.27 violates the fundamental principles of justice, equity, and good conscience.

16. Following the death of Mrs. Mulkanoor, Ocwen had no recourse with respect to the Property and had no rights of payment from the Debtor.

17. Ocwen unjustly benefited by receiving forty six monthly payments from the Debtor on a Note for which he bore no responsibility for payment.

18. Moreover, Ocwen failed to remit these payments to the liquidating trustee for HLB.

19. Accordingly, Ocwen has unjustly retained a benefit to the Debtor's detriment the sum of $461,783.27 which violates the fundamental principles of justice, equity, and good conscience. See Cleary v. Philip Morris Inc., 656 F.3d 511, 516 (7th Cir. 2011) (unjust enrichment occurs under Illinois law where "the defendant has unjustly retained a benefit to the plaintiff's detriment, and the Defendant's retention of the benefit violates the fundamental principles of justice, equity, and good conscience."

EXHIBIT 1

EXHIBIT 2

EXHIBIT 3

EXHIBIT 4

EXHIBIT 5

UNITED STATES BANKRUPTCY COURT NORTHERN DISTRICT OF ILLINOIS EASTERN DIVISION

AFFIDAVIT OF DEVVRAT SINHA

I, Devvrat Sinha, being first duly sworn on oath, attest and state as follows:

1. I am the attorney for the Debtor/Defendant in the instant adversary proceeding.

2. On July 13, 2017, at 11:00 a.m.] had a telephone conversation with Edward L. Schnitzer, counsel to Steve Sass, the Trustee of the American Home Mortgage Liquidation Plan for the American Home bankruptcy cases pending in the Delaware Bankruptcy Case as Case No. 07-11047 ("Delaware Bankruptcy Case"). Mr. Schnitzer informed me that he had reviewed the adversary complaint filed in in the instant action and that he would consent to relief from the automatic stay under the Liquidation Plan entered in the Delaware Case and would further not oppose any in rem action relating to the Debtor/Defendant's real property located at 21405 Saddle Lane, Mokena, Illinois 60448 ("Mokena Property").

3. In that conversation Mr. Schnitzer informed me that the liquidating trustee for the Delaware Bankruptcy Case had not received any disbursements from Ocwen on the Loan attached to the Complaint.

4. On August 29, 2017, I circulated a Certification of Counsel and a Consent Order to Mr. Schnnitzer, Joseph Orbach (attorney for the Trustee, Steve Sass), Jeffrey Zawadzki (attorney for the Trustee, Steve Sass) and Thomas Horan (special counsel for the Debtor/Defendant) to be entered in the Delaware Bankruptcy Case.

5. The Certification of Counsel and Consent Order were filed by special counsel, Thomas Horan, on September 1, 2017 and granted on September 5, 2017 by Judge Christopher Sontchi in the Delaware Bankruptcy Case.

If called as a witness, I would be able and competent to testify to the matters herein.

VERIFICATION

I, Devvrat Sinha, under penalties as provided by law pursuant to 28 U.S.C. 1746 of the United States Code, the undersigned certifies that the statements set forth in this instrument are true and correct, except as to matters therein stated to be on information and belief and as to such matters the undersigned certifies as aforesaid that he verily believes the same to be true.

UNITED STATES BANKRUPTCY COURT NORTHERN DISTRICT OF ILLINOIS EASTERN DIVISION

NOTICE OF FILING

To: See Attached Service List

PLEASE TAKE NOTICE THAT on October 2, 2017, we filed with the Clerk of the United States Bankruptcy Court for the Northern District of Illinois, Eastern Division, PROPOSED FINDINGS OF FACT AND CONCLUSIONS OF LAW, a copy of which is attached hereto and served upon you.