Klein v. Devries

Plaintiff, Edward M. Klein, Jr., appeals from the trial court's orders granting the defendants' motion to dismiss and denying plaintiff's motion to reconsider. We affirm. Defendant Metropolitan Life Insurance Company (Metropolitan) held a first mortgage on real estate that was titled in the name of defendant John A. DeVries. On February 19, 1986, DeVries filed for bankruptcy. Under the final plan of reorganization, which was confirmed on February 26, 1987, DeVries was to deliver a quitclaim deed in escrow to Metropolitan's attorney. In the event of default, Metropolitan was to give notice to DeVries, ""each junior lien or mortgage holder,"" and ""all other creditors and parties in interest"" that a default had occurred. The ""junior lien holders and all other creditors and parties in interest (but not the Debtor)"" would then have an opportunity to cure the default or obtain Metropolitan's position as first mortgage holder by making certain payments to Metropolitan. If no one stepped forward to make these payments, the title to the property would ""pass free and clear of liens and encumbrances, unpaid real estate taxes, and mechanics' liens excepted"" to Metropolitan. The reorganization plan was recorded with the Ogle County Recorder of Deeds on April 21, 1987.