United States District Court, D. Nevada
HSBC BANK USA, N.A., AS TRUSTEE FOR THE LMT 2006-7 TRUST FUND, Plaintiff,
ESTRELLA II HOMEOWNERS' ASSOCIATION, a Nevada non-profit corporation; SFR INVESTMENTS POOL I, LLC, a Nevada limited liability company; Defendants. SFR INVESTMENTS POOL 1, LLC, Counterclaimant/Cross-Claimant,
HSBC BANK USA, N.A., AS TRUSTEE FOR THE LMT 2006-7 TRUST FUND; ASHAR W. MUJTABA, an individual, Counter-Defendant/Cross-Defendant.
WRIGHT, FINLAY & ZAK, LLP Lindsay D. Robbins, Esq.
Attorneys for Plaintiff.
NEILSON COLE SELTZER & GARIN Amber M. Williams, Esq.
Attorneys for Estrella II HOA.
GILBERT EBRON Jacqueline A. Gilbert, Esq. Attorneys for SFR
Investments Pool 1, LLC.
STIPULATION AND ORDER TO STAY
HSBC Bank USA, N.A., as Trustee for the LMT 2006-7 Trust Fund
(“HSBC Bank”), Defendant/Counterclaimant, SFR
Investments Pool 1, LLC (“SFR”), and Defendant,
Estrella II Homeowners' Association
(“Estrella”), by and through their respective
counsels of record, hereby stipulates as follows in
accordance with LR6-1 and LR 26-4.
the above-captioned matter concerns declaratory relief claims
regarding real property located at 6243 Copper Light Street,
Las Vegas, Nevada 89081 (the “Property”).
Defendant, SFR, claims it acquired title to the Property
following an Association foreclosure sale under NRS Chapter
116, and further claims said foreclosure eliminated that Deed
of Trust recorded with the Clark County Recorder's Office
on May 26, 2006, as Book and Instrument Number
Defendant, Estrella, initiated non-judicial foreclosure
proceedings before the Nevada Supreme Court decision in
SFR Investments Pool 1 v. U.S. Bank, N.A., 334 P.3d
408 (Nev. 2014).
on August 12, 2016, the Ninth Circuit issued its decision in
Bourne Valley Court Trust v. Wells Fargo Bank, N.A.,
832 F.3d 1154, 1159-60 (9th Cir. 2016)
(“Bourne Valley”), holding that NRS
Chapter 116 is facially unconstitutional.
on April 21, 2017, the U.S. District Court for the District
of Nevada issued an Order in The Bank of New York Mellon
fka The Bank of New York, as Trustee for the
Certificateholders CWABS, Inc. Asset-Backed Certificates,
Series 2006-6 v. Star Hill Homeowners Association et
al., Case No. 2:16-cv-025610-RFB-PAL, certifying to the
Nevada Supreme Court the question: “Whether NRS §
116.31168(1)'s incorporation of NRS § 107.090
required a homeowner's association to provide notices of
default and/or sale to persons or entities holding a
subordinate interest even when such persons or entities did
not request notice, prior to the amendments that took effect
on Oct. 1, 2015?” ECF No. 41, 7:1-4 (“Certified
Question”). The Nevada Supreme Court issued an Order
Accepting Certified Question on June 13, 2017. It has not yet
been scheduled for oral argument.
the parties dispute whether the outcome of the Certified
Question will have any affect on the application and binding
nature of the Bourne Valley decision upon this
WHEREFORE, based on the foregoing, IT IS HEREBY STIPULATED
AND AGREED that staying this case pending decision from the
Nevada Supreme Court on the Certified Question will enable
the parties to present arguments and evidence to this Court
at an appropriate time with complete legal authority, thereby
promoting the most efficient use of the Court's and the
parties' limited resources. The parties recognize that
SFR previously filed a Motion to Stay the Litigation Pending
the Certified Question [ECF No. 35], which HSBC Bank Opposed
[ECF No. 40], before it became apparent how the Court was
ruling on other requests for stays of litigation pending the
Certified Question. To preserve judicial resources, HSBC Bank
has changed its position and therefore stipulates to a stay
of the current litigation. Staying the case pending the
decision from the Nevada Supreme Court on the Certified
Question will also enable the parties to continue ongoing
FURTHER STIPULATED AND AGREED that either party may file a
written motion to lift stay at any time either party
determines it appropriate, and either party may file an
opposition to the motion.
FURTHER STIPULATED AND AGREED that all proceedings in this
lawsuit are stayed, and all upcoming deadlines, hearings and
conferences, including the deadline for the Estrella and HSBC
Bank to file dispositive ...