United States District Court, D. Montana, Great Falls Division
JUDGMENT, DECREE OF FORECLOSURE AND ORDER OF
Morris United States District Court Judge.
matter having been before this Court by Plaintiff, United
States of America, by and through its attorney, Keith A.
Jones, Assistant United States Attorney for the District of
Montana, and upon considering the pleadings filed herein, it
appears there is no issue of material fact, and the Court now
makes the following Findings of Fact and Conclusions of Law.
Court has jurisdiction of this action for the reason that the
United States of America is the party Plaintiff under 28
U.S.C. § 1345. The real property that is the subject of
this foreclosure action is located in the County of Blaine,
State of Montana, and is described as follows:
Lots 9 and 11 in Block 74 of the Townsite of Chinook,
according to the official map or plat on file in the office
of the Clerk and Recorder, in and for Blaine County, Montana.
Address: 1119 Indiana, Chinook, Montana
United States loaned Londa K. Nelson the sum of $62, 850.00
on August 24, 2001. The loan is evidenced by a promissory
note dated August 24, 2001. A true and correct copy of the
promissory note is attached to the Complaint as Exhibit A.
security for the promissory note, a real estate mortgage was
executed providing real property located in Blaine County,
Montana, as security for the debt. The mortgage was executed
by Londa K. Nelson on August 24, 2001 and recorded with the
Blaine County Clerk and Recorder on August 24, 2001, in Book
68 of Mortgages, at Page 471, as Document No. 332313. A true
and correct copy of this mortgage is attached to the
Complaint as Exhibit B.
Defendant, Londa K. Nelson, is in default under the terms of
the promissory note and mortgage described above due to
failure to make timely payments of principal and interest as
agreed. The account was accelerated on September 3, 2015.
Defendant, Londa K. Nelson, is indebted to the Plaintiff for
the loans outlined above in the principal amount of $50,
938.60, plus interest computed at the rate of 6.875 percent
per annum for the accrued total amount of $5, 843.09 as of
October 25, 2016, plus late charges of $37.25, plus fees in
the amount of $8, 546.69 ($8, 224.36 - Replenish Negative
Escrow and $322.33 - Interest on fees), for a combined total
of $65, 365.63 as of October 25, 2016. In addition if the
value of the real property exceeds the principal and accrued
interest ($65, 365.63), the Rural Housing Service is entitled
to recapture the interest credit subsidy pursuant to the
subsidy repayment agreement dated August 24, 2001. A true and
correct copy of the subsidy repayment agreement is attached
to the Complaint as Exhibit C. The interest subject to
recapture is $33, 686.64 making a total of $99, 052.27 due
and owing as of October 25, 2016. Interest continues to
accrue from October 25, 2016, at the rate of $11.1437 per day
until the date of entry of judgment. Attached to the
Complaint as Exhibit D is the Affidavit of Kimberly Maines of
Rural Development which verifies the amount due. Plaintiff
seeks post-judgment interest pursuant to 28 U.S.C. §
Defendant, Londa K. Nelson, was personally served by the U.S.
Marshal's Service with the Summons and Complaint on March
27, 2017. (Dkt. No. 8). She did not make an appearance and
default was entered on April 26, 2017. (Dkt. No. 11).
Kelsie W. Howard, Blaine County Attorney, executed a Waiver
of Service of Summons; it was filed with the Court on
February 22, 2017. (Dkt. No. 5). On February 22, 2017,
Defendant Blaine County filed a stipulation with the United
States consenting to entry of judgment, decree of
foreclosure, and order of sale. It was further stipulated
that any judgment shall recognize the priority of the
principal amount of any real property taxes owed or to be
assessed against the property that is the subject of the
foreclosure to the date of sale. (Dkt. No. 6).
Blaine County, Montana has priority for the principal amount
of any ...