Court of Appeals of Illinois, First District, Fifth Division
from the Circuit Court of Cook County. No. 15 CH 07374
Honorable Michael Mullen, Judge Presiding.
ROCHFORD JUSTICE delivered the judgment of the court, with
opinion. Presiding Justice Hoffman and Justice Delort
concurred in the judgment and opinion.
1 Plaintiff-appellee, Neighborhood Lending Services, Inc.
(NLS), brought this mortgage foreclosure suit against
defendants Barbara Callahan, unknown heirs and legatees of
Lillie M. Callahan, unknown owners and nonrecord claimants,
and Richard Kuhn, as special representative for Lillie M.
Callahan, a/k/a Lillian M. Callahan (deceased). After the
property subject to the suit was foreclosed upon and sold,
and after a motion to confirm the sale was filed, a petition
to intervene was filed by intervenor-appellant, Phillip
Sanders. While the circuit court granted the motion to
intervene, it denied any objections to the sale raised by
Sanders and granted the motion to confirm the sale. The
circuit court thereafter denied Sanders's motion to
reconsider. For the following reasons, we affirm both the
confirmation of the sale and the denial of the motion to
2 I. BACKGROUND
3 The subject of this foreclosure case is a residential
property located at 6103 South Sangamon Street, Chicago,
Illinois (the property). The record reflects that a quitclaim
deed was executed and recorded in 1984, transferring the
property from Robert and Lillie Mae Callahan, as husband and
wife, to Robert, Lillie, and their daughter, Barbara Ann
Callahan. The property was held in joint tenancy.
4 In 1991, Lillie and Barbara granted a mortgage on the
property to NLS. That mortgage was released in 2005. In 2006,
Lillie alone granted NLS a second mortgage on the property,
the mortgage that is at issue in this case. That mortgage
secured an original indebtedness of $16, 692.
5 Lillie died on March 14, 2012. On May 5, 2015, NLS filed
this mortgage foreclosure action, pursuant to the Illinois
Mortgage Foreclosure Law (Foreclosure Law) (735 ILCS
5/15-1101 et seq. (West 2014)). NLS recorded a
lis pendens and notice of foreclosure on May 13,
6 On June 17, 2015, having been granted leave of court, NLS
filed the operative amended complaint, adding Mr. Kuhn as a
defendant solely to act as a special, court-appointed
personal representative for Lillie. Therein, NLS alleged that
the mortgage had not been paid since January 2013 and was,
therefore, in default. Lillie and Barbara were identified as
owners of the property, with Barbara additionally identified
as having a possible interest in the property as Lillie's
heir. Again, the mortgage and note attached as exhibits to
the complaint reflect that they were executed in 2006, solely
7 All of the named defendants (excluding Mr. Kuhn) were
served by publication. None filed an appearance or answer to
the complaint. On November 23, 2015, the circuit court
entered the following orders: (1) an order of default against
Barbara, unknown heirs and legatees of Lillie M. Callahan,
and unknown owners and nonrecord claimants; (2) summary
judgment against Richard Kuhn, as special representative for
Lillie; and (3) a judgment for foreclosure and sale in favor
of NLS against all defendants. A notice of sale was issued on
January 14, 2016. On February 25, 2016, a sale was held and
the property was sold to NLS for $15, 500, leaving a $16,
704.29 deficiency with respect to the total amount of $31,
854.29-which included interest and fees-owed to NLS. A motion
seeking confirmation of the sale was filed by NLS on March
8 On April 11, 2016, Sanders filed a petition to intervene in
this case, pursuant to section 15-1501(e)(3) of the
Foreclosure Law. 735 ILCS 5/15-1501(e)(3) (West 2014).
According to Phillip's petition to intervene, Robert died
in 1990. Thus, according to the petition, when
Lillie died in 2012, Barbara was left as the sole surviving
joint tenant of the property. The petition further contended
that Barbara thereafter executed a quitclaim deed
transferring the property to Sanders on December 9, 2013,
before NLS filed this suit or recorded its lis
pendens. A copy of that deed was attached to the
petition. Sanders purportedly took immediate possession of
the property and placed signs on the property indicating the
change in ownership and providing his contact information.
9 Contending that he first learned of this foreclosure action
when Barbara provided him a notice of sale on February 20,
2016, Sanders investigated the issue. He located the deed
transferring the property to him on March 13, 2016,
discovering for the first time that it had never been
recorded. He then contacted an attorney and filed
the motion to intervene.
10 Based upon these factual allegations, Sanders contended
that, while he would be bound by any order entered in this
case, his interests were not otherwise properly represented.
His petition, therefore, asked the circuit court to allow him
to intervene "to be given an opportunity to redeem or
otherwise obtain the benefit of his bargain, " and be
granted "such other and further relief as this Court
deems just and appropriate under the circumstances."
11 On April 21, 2016, the circuit court entered an order
granting Sanders's petition to intervene. Additionally,
"construing Sanders' petition as an objection to
[p]laintiff's motion confirming sale, " the order
denied any such objection. In a separate order entered ...