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Wyatt v. Safeguard Management Properties, LLC

United States District Court, E.D. Michigan, Southern Division

October 26, 2017

Laydell Wyatt, Licia Harper Plaintiffs,
v.
Safeguard Management Properties, LLC, et al., Defendants.

          Stephanie Dawkins Davis, U.S. Magistrate Judge.

          ORDER DENYING MOTION FOR LEAVE TO FILE AMENDED COMPLAINT [54]; DENYING MOTION FOR TEMPORARY RESTRAINING ORDER [56, 58]; AND VACATING ORDER TO SHOW CAUSE [57]

          Arthur J. Tarnow, Senior United States District Judge.

         On October 5, 2017, Plaintiffs Laydell Wyatt and Licia Harper filed a Motion for Leave to File Amended Complaint and for Permanent Injunction and Other Equitable Relief [54]. On October 6, 2017, Plaintiffs filed an Emergency Motion for Temporary Restraining Order [56]. Also on that date, the Court issued an Order for Plaintiffs to Show Cause [57] as to why this Court has subject matter jurisdiction over issues raised in the motion. Plaintiffs filed an Amended Motion for Permanent Injunction [58][1] on October 6, 2017 and filed a timely Response [59] to the Order to Show Cause on October 13, 2017.

         For the reasons stated below, Plaintiffs' motions are denied and the order to show cause is vacated.

         Introduction

         Before the Court is Plaintiffs' third action in this District concerning allegations of a fraudulent mortgage on, and wrongful eviction from, their residence at 483 First Gregory Street.[2] In the Complaint [1] of this action, Plaintiffs alleged violations of the Fair Debt Collection Practice Act (FDCPA) against Defendants Safeguard Properties LLC and Bjerk & Bjerk. Plaintiffs further alleged five state law claims against Defendants Safeguard, Bjerk, and JPMCB.

         On September 25, 2017, the Court issued an Order [52] which, among other things, dismissed all of the state law claims.[3] The Court also granted summary judgment for Defendant Safeguard on the FDCPA claim. [Dkt. #52]. Moreover, the Court denied Plaintiffs' Motion for Default Judgment against Defendant Bjerk because Defendant Bjerk had not been properly served.[4] Id. The only remaining claim in this action is the FDCPA claim against Defendant Bjerk.

         I. Motion for Leave to File Amended Complaint

         On October 5, 2017, Plaintiffs filed a Motion for Leave to File Amended Complaint [54].[5] Many of the allegations in the Proposed Complaint date back to May 2009 and are nearly identical to those raised in Wyatt I and Wyatt II. (Proposed Compl. at ¶¶ 17-75).

         The primary issue that has not been previously litigated in this Court concerns Plaintiffs' allegations that a fraudulent sheriff's deed was filed with the Washtenaw County Register of Deeds. Plaintiffs submit that although the sheriff's deed states that the Federal Home Loan Mortgage Corporation purchased Plaintiffs' home at a sheriff's sale on October 20, 2016, the sheriff's sale did not actually take place. Plaintiffs further submit Trott Law fraudulently claimed that Plaintiff Wyatt abandoned her property. Id. at ¶¶ 112-24.

         On July 14, 2017, Defendants initiated an eviction action in the 14DCA1-Ann Arbor Landlord-Tenant Court (“Landlord-Tenant Court”). Id. at ¶ 129.

         On August 1, 2017, Plaintiffs filed complaints against defendants with the Department of Justice, the Federal Housing Finance Agency, and the Consumer Financial Protection Bureau. Id. at ¶ 131.

         Plaintiffs were summoned to the Landlord-Tenant Court on August 11, August 25, and September 22, 2017. Id. at ¶ 132. On September 29, 2017, Judge David. L. Jordon issued an order directing Plaintiffs to pay $1390.96 in rent/escrow to the Landlord-Tenant Court, each month, beginning on October 5, 2017. Id. at ¶ 137.

         In the Proposed Complaint, Plaintiffs seek to add the following claims: Conspiracy; Violations of the Racketeer Influenced and Corrupt Organizations Act (RICO); and Violations of the Equal Protection and Due Processes Clauses. Moreover, Plaintiffs also seek to reinstate or add several defendants, including: Safeguard Properties LLC; JPMCB; JP Morgan Chase & Co.; Trott Law, P.C.; Judge David L. ...


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