Chapter 4-9 Standing Where the Plaintiff Has Been Substituted

• Jurisdiction: Florida

4-9 Standing Where the Plaintiff Has Been Substituted

A substituted plaintiff acquires the standing of the original plaintiff.⁸¹ The substituted plaintiff must prove the standing of the original plaintiff as of the filing of the complaint, as well as its own standing at the time of trial.⁸² There is no requirement that the substituted plaintiff prove its standing as of the time of substitution.⁸³ The court is not permitted to dismiss the action solely because the plaintiff has transferred its interest during the pendency of the suit.⁸⁴ Two courts have ruled that a substituted plaintiff is unable to establish that it is the holder or non-holder in possession where the original note is filed with the court prior to substitution.⁸⁵ However, the Second District in 2018 held that where the substituted plaintiff obtains the original note from the Court file prior to trial and therefore physically possesses the note at the time of trial, this is sufficient to establish the substituted plaintiff's standing at the time of trial.⁸⁶ The Fourth District has distinguished the Second District's rulings and held that the transferred standing a substituted plaintiff acquires from the original plaintiff, coupled with the presentation of the original note indorsed in blank (despite the note being filed with the court at the time of trial), provides the substituted plaintiff standing to foreclose.⁸⁷ The Fifth District has also held that a substituted plaintiff establishes standing to foreclose where the original plaintiff files a note indorsed in blank with the court and the substituted plaintiff admits into evidence the original note, indorsed in blank, at the time of trial.⁸⁸

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Notes:

^[81] Brandenburg v. Residential Credit Solutions, Inc., 137 So. 3d 604 (Fla. 4th DCA 2014).

^[82] Ventures Trust 2013-I-H-R v. Asset Acquisitions & Holdings Trust, 202 So. 3d 939, 943 (Fla. 2d DCA 2016); Olivera v. Bank of Am., N.A., 141 So. 3d 770, 771-74 (Fla. 2d DCA 2014); Wilmington Sav. Fund Soc'y, FSB v. Contreras, 2019 Fla. App. LEXIS 11698 (Fla. 5th DCA 2019).

^[83] Ventures Trust 2013-I-H-R v. Asset Acquisitions & Holdings Trust, 202 So. 3d 939, 944 (Fla. 2d DCA 2016); Wilmington Trust v. Moon, 238 So. 3d 425, 428 (Fla. 5th DCA 2018).

^[84] Miami Airlines v. Webb, 114 So. 2d 361, 363 (Fla. 3d DCA 1959).

^[85] Creadon v. U.S. Bank N.A., 166 So. 3d 952 (Fla. 2d DCA 2015); Geweye v. Ventures Trust 2013-I-H-R, 189 So. 3d 231 (Fla. 2d DCA 2016).

^[86] Nationstar Mortg., LLC v. Johnson, ...