LNV Corp. v. Fauley

Under ORS 18.948(2), “an objector to an execution sale of real property” must establish that: (1) the sale was “not conducted in the manner” prescribed by law and (2) “that as a result” the objector “suffered damage.” Further, a trial court’s confirmation order under ORS 18.948 is appealable.

Fauley appealed an order under ORS 18.948(2) confirming the sale of her foreclosed property.  Fauley argued that the trial court erred when it concluded she had not suffered damage due to the delayed sale of the property.  On appeal, Fauley asserted the delay unlawfully and prematurely dispossessed her of her property, resulting in damage.  In response, LNV—the holder of the loan Fauley defaulted on and the purchaser of her home at auction—argued a confirmation order under ORS 18.948(2) is not appealable and, even if the order were appealable, the delayed sale did not damage Fauley.  Under ORS 18.948(2), “an objector to an execution sale of real property” must establish that: (1) the sale was “not conducted in the manner” prescribed by law and (2) “that as a result” the objector “suffered damage.”  Further, a trial court’s confirmation order under ORS 18.948 is appealable.  The Court, after examining the legislative history of ORS 18.948, found that it was a “safe assumption” that the group which revised the statute would have called attention to the unappealability of a confirmation order, therefore such orders may be appealed. The Court found that the only remedy provided by the statute to Fauley—requiring the sheriff to resell the property—would not have aided her.  Thus, the Court held that Fauley had not proved she suffered damage.  Affirmed.