Liberty Mortgage Corp. v. Fiscus

Summary

The court affirmed the invalidation and release of a deed of trust because the purported maker established a forgery defense that was not barred by negligence or ratification. The court held that forgery challenges the existence of an obligation rather than merely its enforcement and therefore may be asserted even against a claimed holder in due course. Because that defense resolved the case, the court expressly declined to decide whether a deed of trust is a negotiable instrument under Article 3.