IN RE MORTG. ELECTRONIC REGISTRATION SYSTEMS, INC.

No. 11-17615.

754 F.3d 772 (2014)

In re MORTGAGE ELECTRONIC REGISTRATION SYSTEMS, INC., Jonathan E. Robinson; Sally J. Robinson-Burke; Rosa A. Silvas; Josepha S. Lopez; Jose Trinidad Casas; Maria C. Casas; Lyndon B. Graves; Tyrone Evenson; Michellina Evenson; Bryan Gray, [for complete list of plaintiff/appellants, see Notice of Appeal]; Pablo Leon, Plaintiffs-Appellants, v. American Home Mortgage Servicing, Inc.; America's Servicing Company; America's Wholesale Lender; Aurora Loan Services, LLC; Aztec Foreclosure Corp.; BAC Home Loans Servicing LP; Bank of America, NA; Bank of New York Mellon; California Reconveyance Co.; Central Mortgage Co.; Cooper Castle Law Firm LLP; CR Title Services, Inc.; Deutsche Bank; Executive Trustee Services, LLC; Federal Home Loan Mortgage Corporation; Federal Housing Finance Agency; Federal National Mortgage Association; Fidelity National Title Insurance Co.; First American Loan Star Trustee Services, LLC; First Horizon Home Loan Corp.; G.E. Money Bank; GMAC Mortgage, LLC; Housekey Financial Corp.; HSBC Mortgage Corporation, USA; HSBC Mortgage Services, Inc.; HSBC Bank, U.S.A., N.A.; IB Property Holdings; JPMorgan Chase Bank; Mortgage Electronic Registration Systems, Inc.; Merscorp, Inc.; Mortgage IT, Inc.; MTC Financial, Inc., DBA Trustee Corps.; National City Mortgage; PNC Financial Services Group, Inc.; National Default Servicing Corp.; NDEX West LLC; Old Republic National Title Insurance Co.; Quality Loan Service Corporation; Recontrust Company; Saxon Mortgage, Inc.; T.D. Service Company; UTLS Default Services, LLC; Wells Fargo Bank, NA; Western Progressive Trustee, LLC; Citymortgage, Inc.; Lime Financial Services Limited, Defendants-Appellees.

United States Court of Appeals, Ninth Circuit.

Filed June 12, 2014.


Attorney(s) appearing for the Case

Robert Hager and Treva Hearne (argued), Hager & Hearne, Reno, NV; William A. Nebeker , Valerie R. Edwards (argued), Koeller Nebeker Carlson & Haluck, LLP, Phoenix, AZ; and Sheryl Serreze , Reno Law Group, LLC, Reno, NV, for Plaintiffs-Appellants.

Andrew Martin Jacobs , Snell & Wilmer, LLP, Tucson, AZ; Andrew R. Louis , Buckley Sandler, LLP, Washington, D.C.; Cynthia Lynn Alexander and Kelly Harrison Dove , Snell & Wilmer, LLP, Las Vegas, NV; Patrick G. Byrne , Gregory J. Marshall , Barbara Dawson , Snell & Wilmer, LLP, Phoeniz, AZ; Michael R. Pennington , Bradley Arant Boult Cummings, LLP, Birmingham, AL; Matthew P. Previn , Buckley Sandler LLP, New York, New York; Henry Faulkner Reichner and Ira S. Lefton , Reed Smith LLP, Philadelphia, PA; Thomas Hefferon (argued) and Joseph Yenouskas , Goodwin Proctor LLP, Washington, D.C.; Gary Edward Schnitzer , Kravitz, Schnitzer, Sloane and Johnson, Las Vegas, NV; Gregory B. Iannelli , Bryan Cave, LLP, Phoenix, AZ; Thomas Justin Cunningham , Hugh Balsam , J. Matthew Goodin , Phillip Russell Perdew , Locke Lord, LLP, Chicago, IL; Justin Donald Balser , Akerman Senterfitt, Denver, CO; Kristin Schuler-Hintz , McCarthy & Holthus, LLP, Las Vegas, NV; Paul M. Levine , Matthew A. Silverman , McCarthy, Holthus & Levine, LLP, Scottsdale, AZ; Robert W. Norman , Houser & Allison, APC, Irvine, CA; Ariel Edward Stern , Akerman, LLP, Las Vegas, NV; Jonathan D. Fink , Wright, Finlay & Zak, Newport Beach, CA; Christopher Jorgensen , Lewis Roca Rothgerber, LLP, Las Vegas, NV; Ann Martha Andrews , Lewis Roca Rothgerber, LLP, Phoenix, AZ; Stefan M. Palys , Stinson Morrison Hecker, LLP, Phoenix, AZ; David Ray Hall , Parsons Behle & Latimer, Salt Lake City, UT; LeAnn Pedersen Pope , Danielle Jean Szukala , Burke, Warren, Mackay & Serritella, PC, Chicago, IL; Jennifer Reiter , Maynard Cronin Erickson Curran & Sparks, PLC, Phoenix, AZ; Kent F. Larsen , Joseph T. Prete , Smith Larsen & Wixom, Las Vegas, NV; Laurel I. Handley , Pite Duncan, LLP, San Diego, CA; David Winthrop Cowles , William Morris Fischbach, III , Leonard McDonald, Jr. , Tiffany & Bosco, PA, Phoenix, AZ; Kevin Hahn , Malcolm & Cisneros, Irvine, CA; Aaron Michael Waite , The Cooper Castle Law Firm, LLP, Las Vegas, NV; Lucia Nale , Thomas V. Panoff , Mayer Brown, LLP, Chicago, IL; Lauren Elliott Stine , Quarles & Brady, LLP, Phoenix, AZ; Karen Ann Braje , Dennis Peter Maio , Reed Smith, LLP, San Francisco, CA; Michael Q. Eagan, Jr. , Elizabeth Allen Frohlich , Morgan Lewis & Bockius, LLP, San Francisco, CA; Lorenzo Emilio Gasparetti , Reed Smith, LLP, Los Angeles, CA; Ira S. Lefton , Reed Smith, LLP, Philadelphia, PA; Gregory Wendell Falls , Sherman & Howard, LLC, Phoenix, AZ; Mark S. Landman , Landman Corsi Ballaine & Ford PC, New York, New York; Howard Lindenberg , Federal Home Loan Mortgage, McLean, VA; Jill L. Nicholson , Jonathan William Garlough , Joanne Lee , Foley & Lardner, LLP, Chicago, IL; Howard N. Cayne , David Fauvre , Arnold & Porter, LLP, Washington, D.C.; Steven Edward Guinn , Laxalt & Normura, Ltd., Reno, NV; James R. Condo , Snell & Wilmer, LLP, Phoenix, AZ; Christina Wang (argued), Fidelity National Law Group, Henderson, NV; Neil Ackerman , Neil Ackerman, LLP, Las Vegas, NV; Keith Beauchamp , Roopali H. Desai , Coppersmith Schermer & Brockelman, PLC, Phoenix, AZ; Benjamin B. Klubes , Buckler Sandler, LLP, Washington, D.C.; Robert Bruce Allensworth , Gregory N. Blase , Brian M. Forbes , K & L Gates, LLP, Boston, MA; Rachel E. Donn , Marilyn Fine , Meier & Fine, LLC, Las Vegas, NV; Peter E. Dunkley , Wolfe & Wyman, LLP, Las Vegas, NV; Gregory L. Wilde , Tiffany & Bosco, PA, Las Vegas, NV; Douglas Erickson , Maynard Cronin Erickson Curran & Sparks, PLC, Phoenix, AZ; Robert M. Brochin (argued) and Benjamin Weinberg , Morgan Lewis & Bockius, LLP, Miami, FL; Brian J. Schulman , Laura Sixkiller , Greenberg Traurig, LLP, Phoenix, AZ; Richard Joseph Reynolds (argued), Burke Williams & Sorensen, LLP, Santa Ana, CA; William F. Hyder , William F. Hyder, PC, Phoenix, AZ; David H. Pittinsky , Ballard Spahr, LLP, Philadelphia, PA; Abran Vigil , Ballard Spahr, LLP, Las Vegas, NV; Adam Kyle Bult , Brownstein Hyatt Farber Schreck, LLP, Las Vegas, NV; Edward A. Treder , Barrett Daffin Frappier Treder & Weiss, LLP, Diamond Bar, CA; Ann Martha Andrews , Lewis Roca Rothgerber, LLP, Phoenix, AZ; Barbara Dawson , Snell & Wilmer, LLP, Phoenix, AZ; Kelly Harrison Dove , Snell & Wilmer, LLP, Las Vegas, NV; Randall W. Edwards , O'Melveny & Myers, LLP, San Francisco, CA; Elizabeth Lemond McKeen , O'Melveny & Myers, LLP, Newport Beach, CA, for Defendants-Appellees.

Before: A. WALLACE TASHIMA, WILLIAM A. FLETCHER, and JACQUELINE H. NGUYEN, Circuit Judges.


OPINION

W. FLETCHER, Circuit Judge:

Mortgage Electronic Registration Systems, Inc. ("MERS"), a subsidiary of MERSCORP, Inc., operates an electronic mortgage registration system ("the MERS System"). MERS is distinct from the MERS System. The MERS System is a private electronic database that records the ownership of and servicing rights in home loans. Various financial institutions are members of the MERS System. We described the operation of the System in...

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