Texas Commercial Law Firm
Foreclosure
Historically, deeds of trust have been worded to appoint substitute trustees after the occurrence of certain contingencies. For example, the deed of trust may authorize appointment where the trustee refuses to act or is incapable of acting. For proper appointment of a substitute trustee, these conditions must be met, and if they are not, the sale is void. City National Bank v. Moody, 115 S.W.2d 745 (Tex. Civ. App.--Galveston 1938, writ dism'd); Austin v. Carter, 296 S.W. 649 (Tex. Civ. App.--Eastland 1927, writ dism'd w.o.j.); Hart v. Estelle, 34 S.W.2d 665 (Tex. Civ. App.--Austin 1930), aff'd 55 S.W.2d 510 (Tex. Comm'n. App. 1931, judgment adopted). It is important to note that where a substitute trustee has not been properly appointed the sale is void and the statute of limitations does not run to bar an attack on the trustee's deed. Wilson v. Armstrong, 236 S.W. 755 (Tex. Civ. App.--Beaumont 1922, no writ).
F. Posting, Filing and Sending Notice of Sale: Critical Requirements1. Acceleration. Once notice of default has been properly given and the time provided to the borrower to cure the default has passed, the debt may be accelerated.
No doubt should remain in the borrower's mind that the debt has been accelerated. Notice of acceleration is usually combined with the Notice of Foreclosure required as a condition to non-judicial foreclosure.
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