Quiet Title Action Following Foreclosure in Illinois

Here, the court granted summary judgment to Defendant, a 3rd-party purchaser, who sought to quiet title to property which had been the subject of a foreclosure action filed in 2010 and an eviction action filed in 2018.  The mortgage lender’s lis pendens in the foreclosure action was recorded a week before Plaintiff recorded its quit claim deed from the mortgage lender’s borrower.  In Illinois, a lis pendens serves as constructive notice to persons who have an unrecorded interest in the property.  Therefore, the Court found that because the lis pendens was recorded before Plaintiff’s quitclaim deed was recorded, Plaintiff was bound by the foreclosure proceedings as if Plaintiff were a party.  As such, the foreclosure proceedings extinguished Plaintiff’s interest in the property and the 3rd-party’s motion for summary judgment was proper.  LLC 1 05333303020 vs. Gil, 2020 IL App (1st) 191225