Lis Pendens and Estate Law

 Excerpt from: 

Murphy v. Fishman: Lis Pendens Ruled Suficient to Trip Lenders of Bona Fide Purchaser Status by Gregory Ferra, partner Liff, Walsh & Simmons https://liffwalsh.com/murphy-v-fishman-lis-pendens-ruled-sufficient-to-strip-lenders-of-bona-fide-purchaser-status/

RE: Lis Pendens and Estate Law

"The court held that because the Lender had constructive notice of the Estate Lawsuit at the time it acquired its interest in the Property, it was not entirled to the protections to which a bona fide purchaser is entirtled, and is not entired to foreclose on the Property.  In other words, the filing of the complaint in the Estate Lawsuite provided constructive notice, at the time the mortgage was acquired, of the eisting interest in the Property, thereby precluding the Lender from protection as a bona fide purchaser.  Murphy v. Fishman, No. 786 September Term (Md. App., Sept 4, 2011 serves as a cautionary tale of the improtance of thorough search of court records for pending litigation prior to extending a morrgage loan."