Julia v. Vasquez, Debtor, Julia v. Vasquez, Plaintiff, v. Saxon Mortgage, Inc.; Saxon Mortgage Services Inc…

Summary

The court held that Arizona law does not require an assignment of a deed of trust to be recorded before a notice of trustee's sale is recorded when the assignee holds the underlying bearer note. Because the deed of trust transfers by operation of law with the note, and the recording statutes protect against later purchasers and creditors rather than the original obligor, the court declined to impose an additional recording prerequisite. The court declined to answer whether the foreclosing beneficiary must have the right to enforce the secured obligation because that question was not determinative of the bankruptcy proceeding.