Carrington Mortgage Services, LLC v. Moore

After final judgment in a foreclosure action in favor of the mortgagee was entered, the defendant homeowners moved to vacate the judgment, arguing that the entire case doctrine precluded to foreclosure action. The mortgagee-homeowners had previously filed suit in federal court against the mortgagee’s predecessor in interest and insurance companies in an action related to damage caused to the property by Superstorm Sandy. Those claims were dismissed rather quickly in favor of the defendants by the District Court. The Appellate Division noted that the entire controversy doctrine is found in Rule 4:30A, but that Rule 4:64-5 limits the doctrine’s reach in foreclosure actions. Under the prevailing norms, the mortgagee was not obligated to join its foreclosure action to the homeowners federal suit. The judgment was affirmed.

Carrington-v.-Moore