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THE LEASING HOTLINE
FORECLOSURE
Purchaser of land at foreclosure needs proof of ownership to be entitled to rent. Mortgage Management purchased land with two billboards on it at a foreclosure sale. It received a Substitute Trustee's Deed at foreclosure that conveyed all the 'improvements, buildings … appurtenances thereon.” Mortgage Management sued Eller Media for the rental revenue it had received for its continued use of the billboards after Mortgage Management purchased the land. Eller claimed it owned the billboards: Eller Media's predecessor had constructed the two billboards on the property and the attorney representing Eller stated the billboards were the personal property of Eller and under a ground lease with the Ramada Inn. Evidence at trial included the lease and correspondence between the attorneys for Eller and Mortgage Management. One letter from Mortgage Management's attorney gave the other attorney the option of selling the billboards or removing them ' several months after Mortgage Management claimed to have bought them at foreclosure. The trial court granted Mortgage Management's motion for partial summary judgment, finding that Mortgage Management owned the billboards. Eller appealed both the finding and the damages.
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