United States District Court, E.D. Michigan, Southern Division
TALMER BANK AND TRUST, a Michigan banking corporation, Plaintiff,
SHERWOOD PROPERTIES, INC., a California Corporation, and BRADLEY SHERWOOD, an Individual, Defendants.
O'REILLY RANCILIO P.C. Joseph N. Ejbeh (P48961) James J.
Sarconi (P66101) Attorneys for Plaintiff Talmer Bank.
HUBBARD SNITCHLER & PARZIANELLO, PLLC John A. Hubbard
(P39624) Attorneys for Defendants.
STIPULATED ORDER APPOINTING RECEIVER
H. CLELAND UNITED STATES DISTRICT JUDGE.
Talmer Bank and Trust (the “Plaintiff”) filed
this lawsuit seeking to recover outstanding amounts allegedly
due and owing on a commercial loan granted to finance the
purchase of an office building, now in default, made to
Defendant Sherwood Properties, Inc. (the
“Borrower”), the obligations of which are
guaranteed by Defendant Bradley Sherwood (the
Collectively Borrower and Guarantor shall hereafter be
referred to as (the “Defendants”).
Plaintiff's Complaint also seeks to obtain the
appointment of a receiver over the property, to operate the
commercial property, to sell the commercial property, and to
obtain a deficiency judgment.
real property is located in the City of Lathrup Village,
County of Oakland, Michigan, and more fully described as
follows (the "Property"):
Lots 1785 through 1794, inclusive, LOUISE LATHRUP'S
CALIFORNIA BUNGALOW SUBDIVISION NO. 3, according to the plat
thereof as recorded in Liber 32, page(s) 26 of Plats, Oakland
County of Records
Tax Item No.: 24-13-359-063
Commonly known as: 17550 West 11 Mile Road,
of a two-front professional office building with basement
having separate entrance doors for each of the two tenants.
Plaintiff also filed a Motion/Brief for the Appointment of a
Receiver over the property that is now pending before this
Plaintiff is the mortgagee of the Property pursuant to the
Mortgage as attached to and referenced in Plaintiff's
further security for repayment of the Loan obligations owed
to Plaintiff, the Defendant-Borrower executed an Assignment
of Leases and Rents in favor of Plaintiff's predecessor
in interest - now owned by Plaintiff. The Assignment of
Leases and Rents provides, in part, an assignment to
Plaintiff of all “the rents, profits and all other
income under any and all existing and future leases (together
with all guarantees of the performance of the tenants
thereunder)” relative to the Property.
Prior to filing this Lawsuit, Plaintiff did exercise its
statutory right of assignment of the leases and rents as
afforded under Michigan law and contractually provided for in
the Loan Documents, to receive and realize the rent roll
generated by the tenancy of the Property that consists of two
tenants. The tenants are presently paying rent directly to
the Plaintiff that is being used for operating the Property
and to pay down the Loan Balance.
further security for repayment of Defendants' obligations
to Plaintiff, the Defendant-Borrower executed and delivered
to Plaintiff a Security Agreement granting Plaintiff a
security interest in “all personal property and
fixtures owned by Debtor or in which Debtor has rights,
whether now or hereafter existing or acquired by Debtor and
wherever located; and all proceeds and products of the
Plaintiff filed a UCC Financing Statement perfecting its
security interest with the Michigan Secretary of State and
the California Secretary of State.
appointment of a receiver over the Property, which is owned
by the Defendants, is appropriate based upon the breach of
the loan agreement and note, more fully described in
Plaintiff's Complaint and Motion for Appointment of
Receiver, and other documents, including, but not limited to
the Mortgage, Assignment of Leases and Rents and Security
Agreements executed in conjunction therewith (collectively,
the “Loan Documents'').
Defendants are in default of their obligations to Plaintiff
under the terms of the Loan Documents, inter alia,
by reason of their failure to pay all amounts due to the Bank
upon the maturity of the Loan, their failure to pay real
property taxes on the Property, their failure to maintain the
Property in suitable condition so as to avoid waste, blight,
hazardous conditions to the tenants and visitors and
otherwise maintain the Property as required under the Loan
the reasons set forth above, the appointment of a receiver
over the Receivership Property is appropriate, and consistent
with the rights afforded to Plaintiff in the Loan Documents
and as provided for under Fed.R.Civ.P. 66.
Plaintiff and Defendants, by and through counsel, have held a
meet and confer conference and have come to a consent
agreement on Plaintiff's pending Motion to stipulate to
the Appointment of a Receiver over the Property in this
Court having reviewed the pleadings filed in this matter,
having received this Stipulation and consent of the Plaintiff
and Defendants and ...