Nottebohm

I. FACTS AND PROCEDURAL HISTORY

Several years ago, the Nottebohms filed this lawsuit to contest a proposed nonjudicial foreclosure upon their real property after they defaulted on their mortgage back in 2009. We summarize the proceedings to the extent germane to the appeal. A. Original Complaint and Demurrer The Nottebohms filed their complaint in March 2010 against respondent American Home Mortgage Servicing, Inc. (AHMSI) and others, asserting fraud, breach of contract, statutory violations, and other claims. AHMSI filed a demurrer to the complaint, contending the pleading failed to allege facts sufficient to state a cause of action.1 A hearing was set for July 28, 2010. The day before the scheduled hearing date, the Nottebohms filed a first amended complaint, mooting AHMSI’s demurrer. The first amended complaint added respondent “Deutsche National Trust Company as Trustee for American Home Mortgage Assets Trust 2007-2 Mortgage-Backed Pass-Through Certificates, Series 2007-2” (DBNTC) as a defendant. B. First Amended Complaint and Demurrer In September 2010, AHMSI and DBNTC filed a demurrer to the first amended complaint on the ground that it failed to state a cause of action…