Nationstar Mortgage LLC v. Nordgren - 2023 IL App (2d) 220332-U

Sep 19, 2026

2023 IL App (2d) 220332-U is an Illinois appellate decision in a mortgage foreclosure action where Nationstar Mortgage LLC sought confirmation of a judicial sale. Defendants, heirs of Marian Hauschild, appealed the trial court’s order granting confirmation, arguing that the plaintiff’s issuance of a 1099-C tax form barred confirmation. The appellate court addressed procedural and merits issues related to standing, conditions precedent, and foreclosure-sale confirmation, and ultimately affirmed the trial court’s judgment.

LanguageEnglish

CategoryGeneral

FormatPDF

Pages16

Reading Time6 min

AccessFree to download

Background

Parties and claims

Procedural history and motions

Appellate decision

Issue regarding 1099-C tax form

Holding

2023 IL App (2d) 220332-U No. 2-22-0332 Order filed August 11, 2023 NOTICE: This order was filed under Supreme Court Rule 23 and is not precedent except in the limited circumstances allowed under Rule 23(e)(l) . IN THE APPELLATE COURT OF ILLINOIS SECOND DISTRICT NATIONSTAR MORTGAGE LLC d/b/a ) Appeal from the Circuit Court Champion Mortgage Company, ) of Lake County. ) Plaintiff-Appellee, ) ) v. ) No. 17-CH-1528 ) GERALD NORDGREN, as Special ) Representative for MARIAN HAUSCHILD, ) a/k/a Marian N. Hauschild a/k/a Marian Louise ) Hauschild a/k/a Marian Louise Nelson ) Hauschild a/k/a Marian Louise Nelson; ) UKNOWN HEIRS AND LEGATEES OF ) MARIAN HAUSCHILD a/k/a Marian ) Louise Nelson Hauschild a/k/a ) Marian Louise Nelson; SECRETARY ) OF HOUSING AND URBAN ) DEVELOPMENT; LOUISE KOOPMANN ) a/k/a Louise Marian Koopmann; ) LYNN CHRISTINE CLORE; JOHN NELSON ) HAUSCHILD a/k/a John N. Hauschild; ) UKNOWN HEIRS AND LEGATEES OF ED ) HAUSCHILD JR. a/k/a Edward A. ) Hauschild Jr. a/k/a Edward Arthur ) Hauschild Jr.; UNKNOWN OWNERS ) AND NON-RECORD CLAIMANTS ) ) Defendants ) ) (Louise Marian Koopmann; Lynn ) Honorable Christine Clore; John Nelson ) Donna-Jo Vorderstrasse, Hauschild, Defendants-Appellants) . ) Judge, Presiding. ORDER JUSTICE BIRKETT delivered the judgment of the court. Presiding Justice McLaren and Justice Kennedy concurred in the judgment. ¶ 1 Held: Defendant-heirs failed to show that plaintiff’s issuance of a 1099-C tax form precluded confirmation of foreclosure sale. ¶ 2 Defendants, Louise Marian Koopman (Louise) , Lynn Christine Clore (Lynn), and John Nelson Hauschild (John) (collectively, the heirs) appeal the trial court’s order granting a motion to confirm judicial sale filed by plaintiff, Nationstar Mortgage LLC d/b/a Champion Mortgage Company. We affirm. ¶ 3 I. BACKGROUND ¶ 4 We summarize the relevant facts from therecordon appeal. On November 9, 2017, plaintiff filed a complaint to foreclose the mortgage fora property located on North Mill Road inGrayslake, Illinois (property). Pursuant to the complaint, the mortgagor, Marian Hauschild, had died, and, after her death, there remained “an outstanding principal balance [for the mortgage in the amount] of $170,629.71 plus interest, attorney’s fees, foreclosure costs, late charges, advances and expenses incurred by the plaintiff.” The complaint further named Louise, Lynn, and John as defendants, given their status as “possible heir[s]/legatee[s] of the mortgagor.” On January 12, 2018, plaintiff amended its complaint to add Gerald Nordgren, a representative of Marian Hauschild’s estate (estate) , as defendant. ¶ 5 On March 23, 2018, the circuit court granted John 28 days to appear and answer plaintiff’s complaint. On May 3, 2018, John filed a motion to dismiss, arguing that the matter should be dismissed because plaintiff, a nonresident of Illinois, failed to file certain security costs prior to commencing the instant action, as it was required to do under section 5-101 of the Code of Civil Procedure (Code) (735 ILCS 5/5-101 (West 2018)). On May 18, 2018, John withdrew his motion to dismiss, as plaintiff produced a bond for security for costs, effectively mooting John’s arguments. ¶ 6 On August 2, 2018, John filed his motion for leave to file his answer instanter. Defendant’s answer incorporated two affirmative defenses: (1) lack of standing; and (2)“[l]ack of [c]ondition [p]recedent,” in that “[p]laintiff did not perform the conditions precedent to foreclosure on the [m]ortgage, as stated in the [m]ortgage.” On August 3, 2018, the circuit court entered an order finding that John’s answer and affirmative defenses were timely filed. ¶ 7 On September 25, 2018, plaintiff filed its response to John’s affirmative defenses, arguing that, as holder of the instant mortgage note, it did indeed have standing to file its foreclosure complaint. Plaintiff further relied on certain statutor

FAQs

Who were the parties in the foreclosure appeal?

Nationstar Mortgage LLC d/b/a Champion Mortgage Company was the plaintiff-appellee. The defendants-appellants were heirs associated with Marian Hauschild, including Gerald Nordgren as special representative and other heirs named in the case.

What was the central argument on appeal regarding the 1099-C form?

The defendants argued that issuance of a 1099-C tax form by the plaintiff precluded confirmation of the foreclosure sale.

What did the appellate court decide?

The appellate court held that the defendant-heirs failed to show the 1099-C issuance prevented confirmation and affirmed the trial court’s order.

Sep 19, 2026

Upload by Jordan Avery