Florida Supreme Court
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April 11, 2012
City of Palm Bay v. Wells Fargo Bank
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Wells Fargo Bank began foreclosure proceedings against a home after the owners fell behind on their mortgage payments. The city of Palm Bay had earlier fined the homeowners for code violations but the bank argued its mortgage took priority over the city's code enforcement liens. The trial court ruled for the bank and the city appealed to the Fifth District Court of Appeal, which ruled the city does not have the power to give its code enforcement liens priority over other liens and claims. The 5th DCA also certified the issue to this Court as one of great public importance.