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Stearns Bank, N. A. F/K/A Jasper Banking Companyv.Frances Louise Hawkins F/K/A Frances Louise Mullins

CourtCourt of Appeals of Georgia
Docket No.A15A0717
DecidedJune 9, 2015
Reporter333 Ga. App. 369; 776 S.E.2d 485
JudgesPresiding Judge Ellington, Judge Dillard, and Judge McFadden; Ellington authored
Tags
CivilProperty LawProperty TitleContract LawContract InterpretationStatutory InterpretationReversalMootness
Case Summary

Frances Hawkins’s divorce decree required her former husband, Boyd Mullins, to convey marital real property to her. Mullins moved to set aside a 1995 security deed held by Jasper Banking Company, arguing that title had reverted after the default seven-year period in OCGA § 44-14-80. The superior court ruled for Mullins and rejected the bank’s contention that the deed qualified for the statute’s 20-year period. The Georgia Court of Appeals reversed. The deed secured a revolving line of credit, included future-advance and dragnet provisions, stated that it would remain effective until released even if the balance reached zero, and had been used to secure later advances and modifications. Those provisions sufficiently showed the parties’ intent to establish an indefinite security interest under § 44-14-80 (a)(1), making 20 years from the conveyance date the applicable reversion period. Mullins’s later conduct also reflected the deed’s continuing effectiveness, so he could not claim that title had reverted in 2003 after receiving additional credit secured by the instrument. The appellate court held that the trial court erred, reversed its order, and vacated the decree cancelling the security deed. The bank’s remaining arguments were moot.

Opinion

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