Gonsalves

BACKGROUND

The background facts are taken from the complaint and matters judicially noticed by the trial court. (Evid. Code, § 459.) In September 2006, JMO, Inc., loaned Gonsalves $992,000 (loan) in return for Gonsalves‟s execution of a promissory note which was secured by a deed of trust on real property located in Los Angeles, California. Orange Coast Title was the trustee and Mortgage Electronic Registration Systems, Inc. (MERS), was the nominee beneficiary. After Gonsalves defaulted on loan payments, a notice of default was recorded on February 10, 2010. As the nominee of JMO, Inc., MERS sold the loan, which was pooled with other loans into a trust of which Deutsche Bank was the trustee; the “assignment of deed of trust” in favor of Deutsche Bank was recorded on April 16, 2010. A trustee‟s sale took place on September 7, 2010, with title reverting to Deutsche Bank. A trustee‟s deed upon sale was recorded on September 14, 2010. Over four and one-half months after its assignment of deed of trust to Deutsche Bank was recorded, JMO, Inc., filed a petition in the bankruptcy court on September 3, 2010. On July 1, 2011, Gonsalves filed a complaint for quiet title, “invalid…