Fox Secures Appellate Victory for Credit Union

July 8, 2014 – Press Releases

Ashley Lerch, an attorney in the Chester County office of Fox Rothschild LLP, recently secured a ruling by the Pennsylvania Superior Court in favor of Citadel Federal Credit Union.

The court confirmed that the defendant/debtor in the case, who represented himself pro se at the trial court level, waived his arguments concerning the application Pennsylvania’s Deficiency Judgment Act, 42 Pa. C.S.A. 8103, et. sec., by failing to raise them before the trial court.

In 2012, Citadel filed a complaint for deficiency judgment against the defendant/debtor for more than $650,000. The debtor’s property was sold at sheriff’s sale in an attempt by Citadel to collect the judgment. Citadel subsequently filed a petition to fix the fair market value of the property, and that petition was approved by the trial court, where the debtor represented himself pro se.

On appeal, the debtor, now represented by legal counsel, raised claims regarding the Deficiency Judgment Act. The debtor argued that Section 8103(e) the Deficiency Judgment Act prohibits waiver of the protections of the Act. The Superior Court noted that Section 8103(e) only applies to waiver by agreement and found the debtor procedurally defaulted on any defenses provided by the Act by not raising them before the trial court.

Lerch represents clients in commercial disputes and creditor’s rights issues. She handles mortgage foreclosures and assists creditors in collecting amounts owed in consumer and commercial matters. Lerch has successfully obtained and collected judgments in numerous common pleas arbitration matters.