Hey All, I'm picking up a mortgage in Columbus but the seller doesn't have the original Promissory Note. Does anyone know if a lost Note Affidavit is valid in the state of Ohio and stand up in court if I need to foreclose? Thanks!
LNAs are fairly common. I have purchased a number of loans where the original note has been lost. The key here is the seller must provide a copy of the original note along with the LNA. Without a copy there is no documentation for the terms of the loan.
Thanks @Mike Hartzog
I have been informed that this is generally acceptable if a copy is still available, but some states are cracking down if the original cannot be produced. I got an answer for the state of Ohio from another reputable source.
Ohio has only recently adopted the newer version of the UCC. Prior to that Lost Note Affidavits were only enforceable by the party who lost the note. Now they are enforceable by that party and 1 party removed. In short, you have to be able to execute an LNA that says you were the last party in possession, basically, you had the note and you lost it. Or, you can only be one party removed from the party that lost it.
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