Wol Hee Oh v. Wells Fargo Bank

MEMORANDUM

Plaintiffs Wol Hee Oh and Jee Yeon Yang brought suit in California Superior Court, alleging that Defendant Wells Fargo Bank, N.A., impermissibly instituted non-judicial foreclosure proceedings without complying with the requirements of California Civil Code § 2923.5 and, derivatively, § 2924. Wells Fargo removed the case to the District Court for the Central District of California. The district court subsequently granted Wells Fargo’s motion to dismiss, finding that Plaintiffs’ claims were preempted by federal law.

Plaintiffs timely appealed to this court, but failed to request a stay of the foreclosure sale pending appeal. As a result, the foreclosure sale was completed on May 11, 2012. Under California law, “the remedy for noncompliance [with section 2923.5] is a simple postponement of the foreclosure sale, nothing more.” Mabry v. Superior Court, 185 Cal.App.4th 208 , 110 Cal. Rptr.3d 201, 204 (2010). If a foreclosure sale has already occurred, section 2923.5 has no effect on the finality of that sale. Id. at 221 , 110 Cal.Rptr.3d 201 . Because the foreclosure sale has been completed, Plaintiffs no longer have any potential remedy. We therefore dismiss Plaintiffs’…