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Pursuant to Rule 60(b)(4) of the North Carolina Rules of Civil Procedure and moves to set aside that voluntary dismissal filed herein as void
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1
NOW COMES, ___________________ (Movant), in the above
captioned matter pursuant to Rule 60(b)(4) of the North
Carolina Rules of Civil Procedure and moves to set aside that
voluntary dismissal filed herein on ___ __, 0000 as void, and
in support thereof states:
1. On _______ __, 0000, Grady Ingle, Substitute
Trustee (hereinafter Trustee), initiated the above captioned
foreclosure by filing a Notice of Hearing with the Gaston
County Clerk.
2. A hearing before the Clerk was held on ___ __, 0000.
That same day, the Clerk entered an order allowing the Trustee
to proceed to foreclosure sale. The clerks order was a final
judgment in that it left nothing to be judicially determined.
STATE OF NORTH CAROLINA IN THE GENERAL COURT OF JUSTICE SUPERIOR COURT DIVISION COUNTY OF GASTON BEFORE THE CLERK 08 SP ___
In the matter of the foreclosure of a Deed of Trust executed by _____ _. ______ and _____ _. ______ in the original amount of $000,000.00 dated __________ 00, 0000 and recorded in Book ____ at Page ____ in the Gaston County Public Registry, North Carolina
Substitute Trustee: Grady Ingle or Elizabeth Ells
MOTION TO SET ASIDE A PROCEEDING AS VOID N.C.G.S. 1A-1, Rule 60(b)(4)
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Indeed, the Clerk characterized her order as such in
concluding that the trustee is hereby authorized to proceed
with foreclosure of the deed of trust in the manner prescribed
by law. A true copy of that order is attached hereto as
Exhibit A and incorporated by reference.
3. After the clerk entered a final judgment on the
Trustees petition for foreclosure, the Trustee filed a
voluntary dismissal on ___ __, 0000. Discussed infra, the
purported voluntary dismissal is of no legal efficacy, a
nullity. A true copy of that dismissal is attached hereto as
Exhibit B and incorporated by reference.
4. The General Assembly has provided specific
procedures for conducting a power of sale foreclosure. Among
those are provisions governing foreclosures after the clerk
has entered its decision. If a party aggrieved by an order or
judgment entered by the clerk may, within 10 days of entry of
the order or judgment, appeal to the appropriate court for a
trial or hearing de novo. N.C. Gen. Stat. 1-301.1.1
Further, the clerks order is a final judgment and remains in
effect until it is . . . replaced by an order or judgment of a
judge. Id. A notice of appeal de novo neither stays nor
1 Here, Movant had until ___ __, 0000 to file an appeal; however, that right was cut off by the Trustees voluntary dismissal filed on ___ __, 0000.
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renders the clerks order moot. There is absolutely no
provision granting the trustee the authority to voluntarily
dismiss this action after the clerk had entered her decision.
5. In all actuality, the Trustee seeks to set aside the
Clerks order by the use or attempted use of a voluntary
dismissal for which he has no authority. The usual method for
seeking relief is by filing a motion under Rule 60(b) of the
North Carolina Rules of Civil Procedure. Nonetheless, other
means may be sufficient. Nomenclature is unimportant, moving
papers that are mislabeled in other ways may be treated as
motions under Rule 60(b) when relief would be proper under
that rule. 7 J. Moore & J. Lucas, Moore's Federal Practice
60.18[8], at 60-139 (2d ed. 1983). Although Rule 60 says that
the court is to act on motion, it does not deprive the court
of the power to act in the interest of justice in an unusual
case where its attention has been directed to the necessity
for relief by means other than a motion. Taylor v. Triangle
Porsche-Audi, Inc., 27 N.C. App. 711, 717, 220 S.E.2d 806, 811
(1975), cert. denied, 289 N.C. 619, 223 S.E.2d 396 (1976). In
the event this Court properly characterizes the Trustees
voluntary dismissal as a motion to set aside the clerks
order, Movant opposes any and all relief sought.
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6. Undeniably, a voluntary dismissal is proper only
when made prior to the entry of final judgment. Wood v. Wood,
37 N.C. App. 570, 574-75, 246 S.E.2d 549, 552 (1978), revd on
other grounds, 297 N.C. 1, 252 S.E.2d 799 (1979). After final
judgment, any correction, modification, amendment, or setting
aside of the judgment can be done only by the court. Id. at
575, 246 S.E.2d at 552. In the case at bar, the Trustees
notice of voluntary dismissal came after the clerk entered
final judgment on the Trustees petition for foreclosure. The
Trustees purported voluntary dismissal was, therefore, of no
legal efficacy. Id. Void, a nullity, invalid from the outset.
7. Discussed supra, extensive research has failed to
disclose any rule, statute, or case which grants a trustee or
mortgagee the right to take a voluntary dismissal, whether
with or without prejudice, after the clerk has reached a final
decision. For very good reason. It would render the clerks
role in Chapter 45 proceedings ministerial and its decisions
meaningless. It is not permissible to allow a party to
successfully attack a final judgment by the use or attempted
use of a voluntary dismissal. As discussed, any correction,
modification, amendment, or setting aside of a judgment can be
done only by the court. Id.
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8. Our Court has explicitly recognized the right to
invoke Rule 60 in a foreclosure action. In re Foreclosure of
Lien by Ridgeloch Homeowners Ass'n, 182 N.C. App. 464, 469,
642 S.E.2d 532, 536 (2007) (affirming the Clerks order
setting aside a foreclosure judgment pursuant to Rule 60). In
Bradley v. Bradley, the Court specifically approved of the use
of a Rule 60(b)(4) motion to challenge whether a party had the
authority to voluntarily dismiss an action without prejudice.
Bradley v. Bradley, 206 N.C. App. 249, 252, 254, 697 S.E.2d
422, 426 (2010).
9. In Bradley, the Court wrote: A voluntary dismissal
can be considered a proceeding allowing relief under Rule
60(b). Id; (quoting Carter v. Clowers, 102 N.C. App. 247,
252-53, 401 S.E.2d 662, 665 (1991). Rule 60(b)(4) allows for
relief from a judgment, order, or proceeding when it is void.
Id. In the context of Rule 60(b)(4), a judgment, order, or
proceeding is void only when the issuing court has no
jurisdiction over the parties or subject matter in question or
has no authority to render the judgment entered. Id; (quoting
Chandak v. Electronic Interconnect Corp., 144 N.C. App. 258,
262, 550 S.E.2d 25, 28 (2001)) (emphasis added).
10. In order for the trial court to properly vacate the
Trustees voluntary dismissal pursuant to Rule 60(b)(4), the
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Trustee cannot have had the authority to voluntary dismiss
his. . . . .claim[s] for relief. Id. Because the Trustee
lacked the authority to dismiss this action after the clerk
had entered her decision, this Court is empowered to vacate
that dismissal as void pursuant to Rule 60(b)(4) of the North
Carolina Rules of Civil Procedure.
11. The purpose of Rule 60(b) is to strike a proper
balance between the conflicting principles of finality and
relief from unjust judgments, orders or proceedings. Carter at
254, 401 S.E.2d at 666. Procedural actions that prevent
litigants from having the opportunity to dispose of their case
on the merits are not favored. Id.
12. Although Rule 60(b) contains the requirement that
all motions made pursuant thereto be made within a reasonable
time, and for reasons (1), (2) and (3) not more than one year
after the judgment, order, or proceeding was entered or taken.
The requirement is not enforceable with respect to motions
made pursuant to Rule 60(b)(4), because a void judgment, order
or proceeding is a legal nullity which may be attacked at any
time. Allred v. Tucci, 85 N.C. App. 138, 141, 354 S.E.2d 291,
294 (1987).
WHEREFORE, Movant moves the Court as follows:
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1. For an Order, as contemplated under Rule 60 of the
North Carolina Rules of Civil Procedure, to declare that
voluntary dismissal filed on ___ __, 0000 to be void;
2. For an Order, alternatively, denying the Trustees
motion to set aside the Clerks order;
3. For an Order, permitting Movant to proceed with her
appeal of the Clerks order entered on ___ __, 0000;
4. For an Order, awarding Movant reasonable attorney
fees and cost related to this matter; and
5. For such other and further relief as the Court may
seem just and proper.
Respectfully submitted this the 8th day of July, 2013.
_________________________________