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June 20, 2019

Sheriff Billy Woods Chief Greg Graham


Marion County Sheriff’s Office (MCSO) Ocala Police Department (OPD)
wwoods@marionso.com ggraham@ocalapd.org
692 NW 30th Ave. 402 S. Pine Ave.
Ocala, FL 34475 Ocala, FL 34471
VIA UPS No. 1Z64589FP294204688 VIA UPS No. 1Z64589FP290209494
Cc.: Timothy T. McCourt
Tmccourt@marionso.com
Lt. Charles Welch
South-Marion District Commander
cwelch@marionso.com
Marion County Sheriff’s Office (MCSO)
Southwest District
9048 SW State Rd. 200
Ocala, FL 34481
VIA UPS No. 1Z64589FP294292708
Gentlemen:

This is a referral for formal criminal charges against Judge Ann Melenda Craggs for violation of
Fla. Stat. § 812.014(1) and § 812.014 (2)(a)1 Grand Theft; and related crimes together with
Curtis Wilson, Esq., in the wrongful foreclosure of my Fla. residential homestead.

COUNT I
GRAND THEFT - THE PROPERTY STOLEN IS VALUED AT $100,000 OR MORE
812.014(1) and § 812.014 (2)(a)1

The Grand Theft amounts to $105,401.75 through a fraudulent deficiency judgment.

Proof of Claim filed by Attorney Fisher, MRLP: $185,966.75 (see below)


Value of the property asserted by Attorney Noel, MRLP: $80,565 (see below)
Current projected deficiency judgment: $105,401.75 (see below)

Judge Craggs and Mr. Wilson warrant prosecution for violation of Fla. Stat. § 812.014(1) and §
812.014 (2)(a)1 grand theft in the first degree, punishable as a felony of the first degree, as
provided in s. 775.082, s. 775.083, or s. 775.084.

The Office of David R. Ellspermann Marion County Clerk’s Office prepared an Evidence List
for a non-jury trial July 18, 2017 that appears at Exhibit 1, in Case Number 13-CA-115, Reverse
Mortgage Solutions, Inc. vs. Neil J. Gillespie et al.

Evidence ID # PL-1 is Original Adjustable Rate Note (Home Equity Conversion). (Exhibit 2)

Original Adjustable Rate Note (Home Equity Conversion)


13-CA-115-S
GRAND THEFT Re Judge Craggs and Mr. Wilson June 20, 2019

Admitted Into Evidence As:


Petitioner’s Exhibit 1
Judge Ann Melinda Craggs
Signed and dated 7/18/17 by Judge Craggs

Paragraph 10 of the Note states: (Exhibit 2)

10. OBLIGATIONS OF PERSONS UNDER THIS NOTE


If more than one person signs this Note, each person is fully obligated to keep all of the
promises made in this Note. Lender may enforce its rights under this Note only through
sale of the Property. (underline added)

Evidence ID # PL-2 is an Adjustable Rate Home Equity Conversion Mortgage admitted as


evidence on July 18, 2017. (Exhibit 3).

Adjustable Rate Home Equity Conversion Mortgage


13-CA-115-S
Admitted Into Evidence As:
Petitioner’s Exhibit 2
Judge Ann Melinda Craggs
Signed and dated 7/18/17 by Judge Craggs

Paragraph 10. No Deficiency Judgments, appears on page 4, and states:

10. No Deficiency Judgments. Borrower shall have no personal liability for payment of
the debt secured by this Security Instrument. Lender may enforce the debt only through
sale of the Property. Lender shall not be permitted to obtain a deficiency judgment
against Borrower if the Security Instrument is foreclosed. If this Security Instrument is
assigned to the Secretary upon demand by the Secretary, Borrower shall not be liable for
any difference between the mortgage insurance benefits paid to Lender and the
outstanding indebtedness, including accrued interest, owed by Borrower at the time of the
assignment.

Foreclosure Prevention Options

A four (4) page document by Reverse Mortgage Solutions, Inc., titled “INFORMATION
CONCERNING OPTIONS AVAILABLE ON YOUR FEDERALLY INSURED HOME
EQUITY CONVERSION MORTGAGE appears at Exhibit 4, and online at this URL
https://myrmloan.com/Documents/ForeclosurePreventionOptions.pdf

Page 1 states, last paragraph:


Am I personally liable for amounts owed on the HECM?

HECM’s are non-recourse loans and you, and your heirs, will not be personally liable for
the amounts owed. You and your heirs will not be pursued for any deficiency after
foreclosure or after any short sale or 95% payoff that is completed in accordance with the

2
GRAND THEFT Re Judge Craggs and Mr. Wilson June 20, 2019

rules, regulations and guidelines of the United States Department of Housing and Urban
Development (“HUD”).

Page 2 is titled,
What Options Are Available When the HECM loan becomes due and payable?

Page 3 states at paragraph (7):


(7) Walk Away. There is always the option of walking away and permitting the lender to
foreclose. This is a non-recourse reverse mortgage loan and the borrower, the borrower’s
estate and borrower’s heirs will not be pursued for a deficiency judgment after a
foreclosure.

The Plaintiff’s VERIFIED COMPLAINT TO FORECLOSE HOME EQUITY


CONVERSION MORTGAGE, 40 pages filed January 9, 2013, is available online, see the
Marion County Clerk’s website at https://www.marioncountyclerk.org/

The “WHEREFORE” part of the verified complaint alleges at paragraph g, “WHEREFORE,


Plaintiff requests this Honorable Court grant judgment in its favor as follows: (pp 4-5)

g. Retain jurisdiction of this cause and the parties hereto to determine Plaintiffs
entitlement to a deficiency judgment and the amount thereof; unless any Defendant
personally liable shall have been discharged from liability under the subject Note
pursuant to the provisions of the Bankruptcy Code 11. U.S.C. § 101, et. seq,.; and

I believe the “WHEREFORE” part of this verified complaint is meaningless because the Plaintiff
failed to plead grounds or entitlement for a deficiency judgment.

Nonetheless, Judge Craggs found RMS entitled to a deficiency judgment as follows:

The Final Judgment of Foreclosure (Exhibit 5) states at paragraph 10,

10. The Court retains jurisdiction of this action to enter further Orders that are proper
including, without limitation, writs of possession, deficiency judgments and re-
foreclosure of omitted parties and to determine the amount of assessments due pursuant
to Florida Statutes 718.116 or 720.3085, if applicable.

Chapter 13 Bankruptcy of Neil J. Gillespie Case No 3:19-bk-00808-JAF

Currently I am in Chapter 13 bankruptcy as a direct result of this reverse mortgage, Case No.
3:19-bk-00808-JAF, U.S. Bankruptcy Court, Middle District of Florida, Jacksonville Division.

Attorney Austin M Noel, Florida Bar No. 106539, McCalla Raymer Leibert Pierce, LLC,
represents creditor Reverse Mortgage Solutions, Inc., and filed two motions for relief from the
automatic bankruptcy stays, one for me as Debtor (Doc 45) and one for Mark Gillespie (Doc 46).

3
GRAND THEFT Re Judge Craggs and Mr. Wilson June 20, 2019

Attorney Noel contends in each pleading:

Paragraph 3, in part: “On July 18, 2017, a Final Judgment of Foreclosure was entered in
the amount of $148,363.32.” (Doc 45 and Doc 46)

Paragraph 5, in part: “The Debtor has no equity in the Property, as evidenced by the
Marion County Property Appraiser’s value, which lists the value of the Property at $80,565.00,”
(Doc 45 and Doc 46)

Attorney Melbalynn Fisher of McCalla Raymer Leibert Pierce, LLC filed a Proof of Claim for
creditor Reverse Mortgage Solutions, Inc. in the amount of $185,966.75. (Exhibit 6).

Therefore, using the amounts provided by Attorney Noel and Attorney Fisher, the amount of a
deficiency judgment exceeds $100.000, calculated as follows:

Proof of Claim filed by Attorney Fisher, MRLP: $185,966.75


Value of the property asserted by Attorney Noel, MRLP: $80,565
Current projected deficiency judgment: $105,401.75

Background

Judge Ann Melenda Craggs (“Judge Craggs”) has presided over the foreclosure of my home in
Reverse Mortgage Solutions, Inc. v. Neil J. Gillespie, et al., Case No.: 2013-CA-00115, Marion
County Circuit Court, Florida Fifth Judicial District, since August 18, 2016, after the recusal, sua
sponte, of Judge Steven G. Rogers, see Doc-354 Order of Recusal, entered on August 17, 2016.
The case commenced on January 9, 2013 in Marion County.

Reverse Mortgage Solutions, Inc. (“RMS”) is represented by Curtis Alan Wilson (Bar ID 77669)
of McCalla, Raymer, Leibert, Pierce, LLC, 225 E. Robinson St. Suite 115, Orlando, FL 32801.

RMS is an active (as of today) Foreign Profit Corporation registered with the Florida Division of
Corporations. The 2019 Foreign Profit Corporation Annual Report for RMS appears online, and
shows the address for RMS: 14405 Walters Road, Suite 200, Houston, TX 77014.

RMS and its parent company Ditech Holding Corporation are in chapter 11 bankruptcy,
consolidated case number 1:19-bk-10412 in the New York Southern Bankruptcy Court.

I am age 63. I am disabled as determined by Social Security. Judge Craggs presided over a non-
jury trial July 18, 2017 in the Marion County Judicial Center, 110 NW 1st Ave., Ocala, FL
34475. Judge Craggs entered a Final Judgment of Foreclosure that does not mention the
arguments I made before becoming sick, or mention the fact that I was transported to the hospital
before the trial ended, and left without anyone to represent me. Judge Craggs did not include any
of my documents into evidence.

4
GRAND THEFT Re Judge Craggs and Mr. Wilson June 20, 2019

A Home Equity Conversion Mortgage, or HECM, is a Federal Housing Administration (FHA)


“reverse” mortgage program administered by the Secretary, United States Department of
Housing and Urban Development (Secretary or HUD) to enable home owners over 62 years old
access the subject home's equity. 12 U.S.C. § 1715z20 et seq. and 24 C.F.R. Part 206. A HECM
does not require a homeowner to make mortgage payments as a conventional mortgage does.
Instead, a HECM does not become due and payable until the last surviving homeowner dies or
no longer lives in the home. 12 U.S.C. § 1715-z20(j) Safeguard to prevent displacement of
homeowner. The HECM becomes due and payable in full “if a mortgagor dies and the property
is not the principal residence of at least one surviving mortgagor....and no other mortgagor
retains title to the property.” 24 C.F.R. § 206.27(c).

Count II - F.S. § 837.06 False official statements

Judge Craggs and Mr. Wilson also violated related laws, such as,

F.S. § 837.06 False official statements .—Whoever knowingly makes a false statement in
writing with the intent to mislead a public servant in the performance of his or her official
duty shall be guilty of a misdemeanor of the second degree, punishable as provided in s.
775.082 or s. 775.083.

Mr. Wilson and Judge Craggs made false statements in writing to mislead the Marion County
Clerk in the performance of his duties. Regarding Judge Craggs,

Count III - F.S. § 838.022 Official misconduct

F.S. § 838.022 Official misconduct.—


(1) It is unlawful for a public servant or public contractor, to knowingly and intentionally
obtain a benefit for any person or to cause unlawful harm to another, by:
(a) Falsifying, or causing another person to falsify, any official record or official
document;

Judge Craggs knowingly and intentionally obtained a benefit (deficiency judgment) for any
person (Mr. Wilson) or to cause unlawful harm to another (Neil J. Gillespie) by falsifying, or
causing another person to falsify, any official record or official document;

Count IV - F.S. § 839.13 Falsifying records

F.S. § 839.13 Falsifying records.—


(1) Except as provided in subsection (2), if any judge, justice, mayor, alderman, clerk,
sheriff, coroner, or other public officer, or employee or agent of or contractor with a
public agency, or any person whatsoever, shall steal, embezzle, alter, corruptly withdraw,
falsify or avoid any record, process, charter, gift, grant, conveyance, or contract, or any
paper filed in any judicial proceeding in any court of this state, or shall knowingly and
willfully take off, discharge or conceal any issue, forfeited recognizance, or other
forfeiture, or other paper above mentioned, or shall forge, deface, or falsify any document
or instrument recorded, or filed in any court, or any registry, acknowledgment, or

5
GRAND THEFT Re Judge Craggs and Mr. Wilson June 20, 2019

certificate, or shall fraudulently alter, deface, or falsify any minutes, documents, books,
or any proceedings whatever of or belonging to any public office within this state; or if
any person shall cause or procure any of the offenses aforesaid to be committed, or be in
anywise concerned therein, the person so offending shall be guilty of a misdemeanor of
the first degree, punishable as provided in s. 775.082 or s. 775.083.

Count V - Chapter 825, Abuse, Neglect, And Exploitation


Of Elderly Persons and Disabled Adults

I am an elderly person [825.101(4)] and a disabled adult as defined by Chapter 825.

Count VI - F.S. § 112.313(6) Misuse of Public Position

Judge Craggs is a public officer who corruptly used her official position as judge to secure a
special benefit (corrupt foreclosure) for Mr. Wilson.

F.S. § 112.313(6) Misuse of Public Position,


(6) MISUSE OF PUBLIC POSITION.—No public officer, employee of an agency, or
local government attorney shall corruptly use or attempt to use his or her official position
or any property or resource which may be within his or her trust, or perform his or her
official duties, to secure a special privilege, benefit, or exemption for himself, herself, or
others. This section shall not be construed to conflict with s. 104.31.

Count VII - violated Oath of Office, Art. II, sec 5(b)

Judge Craggs is a public servant as provided by the Fla. Const., Art. V, who violated her Oath of
Office, see Art. II, sec 5(b).

(b) Each state and county officer, before entering upon the duties of the office, shall give
bond as required by law, and shall swear or affirm:

“I do solemnly swear (or affirm) that I will support, protect, and defend the
Constitution and Government of the United States and of the State of Florida; that
I am duly qualified to hold office under the Constitution of the state; and that I
will well and faithfully perform the duties of (title of office) on which I am now
about to enter. So help me God.”,

and thereafter shall devote personal attention to the duties of the office, and continue in
office until a successor qualifies.

Count VIII - Art. II, Sec 8. Ethics in government.—A public office is a public trust.
The people shall have the right to secure and sustain that trust against abuse.

Note: The Judicial Qualifications Commission (JQC) has reviewed my complaints against Judge
Craggs (Docket No. 16-561; Docket No. 19-032) and reached the same conclusion:

6
GRAND THEFT Re Judge Craggs and Mr. Wilson June 20, 2019

The Investigative Panel of the Commission has completed its review of your complaint in
the above matter and has determined, at its most recent meeting, that the concerns you
have expressed are not allegations involving a breach of the Code of Judicial Conduct
warranting further action by the Commission but are matters for review through the
normal court process.

The purpose of the Commission is to determine the existence of judicial misconduct and
disability as defined by the Constitution and the laws of the State of Florida. If such
misconduct or disability is found, the Commission can recommend disciplinary action to
the Florida Supreme Court. The Commission has found no basis for further action on
your complaint that therefore has been dismissed.

Therefore, jurisdiction shifts to law enforcement for “review [trial] through the normal court
process” as stated in the attached JQC close-out letters for Judge Craggs, because,

A public office is a public trust. The people shall have the right to secure and sustain that
trust against abuse. - Art. II, Sec 8. Ethics in government.

Judge Craggs has committed other crimes in this foreclosure. I may submit those separately. But
I may not, if the enclosed evidence and accusations are sufficient to arrest and convict Judge
Craggs and Mr. Wilson. The Bar and the Bench have worked since 2013 to confuse just about
every issue in this case. I do not want to confuse this case further and thereby undermine any
prosecutable crime(s) against Judge Craggs and Mr. Wilson. Thank you.

Sincerely,

Neil J. Gillespie
8092 SW 115th Loop
Ocala, Florida 34481
neilgillespie@mfi.net
352-854-7807

Enclosures

7
Amend. IV, U.S. Const., right of the people to be secure in their homes, and their property
against unreasonable searches and seizures by the government.

The right of the people to be secure in their persons, houses, papers, and effects, against
unreasonable searches and seizures, shall not be violated, and no Warrants shall issue, but
upon probable cause, supported by Oath or affirmation, and particularly describing the
place to be searched, and the persons or things to be seized.

The Castle Doctrine

For a man’s house is his castle . . . .*

—Sir Edward Coke


Third Institute (1644)

The maxim that a "man's house is his castle" is one of the oldest and most deeply rooted

principles in Anglo-American jurisprudence. It reflects an egalitarian spirit that embraces all

levels of society down to the "poorest man" living "in his cottage." The maxim also forms part of

the fabric of the Fourth Amendment to the Constitution, which protects people, their homes, and

their property against unreasonable searches and seizures by the government.

*Citation: Sir Edward Coke, Third Institute of the Laws of England 162 (1644). The
complete quotation is: “For a man’s house is his castle, et domus sua cuique tutissimum
refugium.” The Latin means: “and his home his safest refuge.” See Semayne’s Case
(1603) 77 Eng. Rep. 194 (K.B.) (“[T]he house of every one is to him as his castle and
fortress, as well for his defence against injury and violence, as for his repose.”), quoted in
Wilson v. Layne, 526 U.S. 603, 609–10 (1999); Weeks v. United States, 232 U.S. 383,
390 (1914) (“[E]very man’s house is his castle.” (quoting Judge Thomas McIntyre
Cooley, A Treatise on the Constitutional Limitations Which Rest upon the Legislative
Power of the States of the American Union 299 (1868))); William Blackstone, 3
Commentaries 288 (1768) (“[E]very man’s house is looked upon by the law to be his
castle...”); William Blackstone, 4 Commentaries 223 (1765–1769) (“[T]he law of
England has so particular and tender a regard to the immunity of a man’s house, that it
stiles it his castle, and will never suffer it to be violated with impunity...”); Miller v.
United States, 357 U.S. 301, 307 (1958) (quoting William Pitt’s 1763 speech in
Parliament: “The poorest man may in his cottage bid deªance to all the forces of the
crown. It may be frail; its roof may shake; the wind may blow through it; the storm may
enter; the rain may enter; but the king of England may not enter—all his force dares not
cross the threshold of the ruined tenement!”).
OFFICE OF DAVID R. ELLSPERMANN
MARION COUNTY CLERK'S OFFICE

EVIDENCE LIST

REVERSE MORTGAGE 13-CA-115


SOLUTIONS, INC

PlaintifflPetitioner Case Number

vs.
NEIL J GILLESPIE AND MARK GILLESPIE AS
CO-TRUSTEES OF THE GILLESPIE FAMILY
LIVING TRUST AGREEMENT DATED
FEBRUARY 10~ 1997; OAK RUN
HOMEOWNERS' ASSOCIATION, INC; UNITED
STATES OF AMERICA, ON BEHALF OF THE
SECRETARY OF HOUSING AND URBAN
DEVELOPMENT; ELIZABETH BAUERLE;
MARK GILLESPIE~ NEIL J GILLESPIE;
ngVELoPMENT & CONSTRUCTION
CORPORATION OF AMERICA~ UNKNOWN
SPOUSE OF ELIZABETH BAUERLE;
UNKNOWN SPOUSE OF MARK GILLESPIE,
UNKNOWN SPOUSE OF NEIL J GILLESPIE;
UNKNOWN SETILERS I BENEFICIARIES OF
THE GILLESPIE FAMILY LIVING TRUST
AGREEMENT DATED FEBRUARY 10, 1007;
UNKNOWN TRUSTEES M SETILERS AND STATE OF FLORtDA COUNTY OF r~ARlott
9

IHERf-BY CERTIfY that the forepg ~ true and


BENEFICIARIES OF uNKNOWN SETTLERS I
BENEFICIARIES OF THE GILLESPIE FAMILY
LIVING TRUST AGREEMENT DATED
instrument fit~ inthis"
correct copy of pages-LuvOUQhd of the

The original instrument'" ~


_"\
FEBRUARY 10) 1997~ UNKNOWN TENANT IN .eY" rhts COfII has no redMiDM.

L] T1'i! CDf1I has btIn redadetj IJ'I'SUIM to . .

POSSESSION I AND UNKNOWN TENANT IN


POSSESSION 2 =l~ or , Qut
"
DefendantIRespondent

Exhibit ID# Date DESCRIPTION OF ITEM Date Evidence


Introduced Admitted as 10#
Evidence

' ...

* Original Adjustable Rate Note ( Home Equity 07/18/2017 PL-l


Conversion)

1
• Adjustable Rate Home Equity Conversion 07/18/2017 PL-2
Mortgage

• Assignment of Mortgage 07/18/2017 PL-3

., Notice of Default and Intent to Foreclose 07/18/2017 PL-4


l'
",~ Copy of: Home Equity Conversion Loan Agreement 07/18/2017 PL-5

Payoff Statement 07/18/2017 PL 6


, ~
Composite

Evidence received in Clerks' office 07/18/2017

• Origianal Documents kept in Court File

Court Clerk's Signature Date

Attorney for PlaintiffIPetitioner Attorney for Defendant/Respondent


2
ADJUSTABLE RATE NOTE
(HOME EQUITY CONVERSION)
STATEOFFL

~63r1'?71
June 05, 2008

PROPERTY ADDRESS FHA Case Number: 0914405741/952.255


Loan Number: 39100
8092 SW 115th Loop

Ocala, FL 34481

1. DEFINITIONS
"Borrower" means each person signing at the end of this Note. flLender" means Liberty Reverse Mortgage, Inc. and its
successors and assigns. "Secretary" means the Secretary of Housing and Urban Development or his or her authorized
representatives.

2. BORROWER'S PROMISE TO PAY; INTEREST

In return for amoWlts to be advanced by Lender up to a maximum principal amount of One Hundred Ninety-Eight Thousand

and 00/100 Dollars ($198,OOO.O~), to or for the benefit of Borrower Wlder the terms of a Home Equity Conversion Loan
Agreement dated June 05, 2008 ("Loan Agreement"), Borrower promises to pay to the order of Lender a principal amount equal
to the sum of all Loan Advances made under the Loan Agreement with interest. All amounts advanced by Lender, plus interest, if
not paid earlier, are due and payable on October 29, 2080. Interest will be charged on unpaid principal at the rate of Three and

66il00 percent (3.660%) per year until the full amount of principal has been paid. The interest rate may change in accordance

with Paragraph 5 of this Note. At the end of each montht accrued interest shall be added to and made part ofthe principal balance

as a Loan Advance and shall likewise thereafter bear interest.

3. PROMISE TO PAY SECURED

Borrower's promise to pay is secured by a mortgage, deed of trust or similar security instrument that is dated the same date as this

Note and called the "Security Instrument" The Security Instrument protects the Lender from losses which might result if

Borrower defaults under this Note.

4. MANNER OF PAYMENT

(A) Time
Borrower shall pay all outstanding principal and accmed interest to Lender upon receipt ofa notice by Lender requiring immediate

payment in full, as provided in Paragraph 7 of this Note.

(B) Place

Payment shall be made at 10951 White Rock Road, Suite 200, Rancho Cordova, CA 95670 or any such other place as Lender

may designate in writing by notice to Borrower.

(C) Limitation of Liability


Borrower shall have no personal liability for payment of the debt Lender shall enforce the debt only through sale of the Property
covered by the Secwity Instnunent ("Property"). If this Note is assigned to the Secretaryt the Borrower shall not be liable for any
difference between the mortgage insurance benefits paid to Lender and the outstanding indebtedness, including accrued interest,
owed by Borrower at the time of assignment.

5. INTEREST RATE CHANGES

(A) Change Date


The interest rate Inay change on the first day of September 1, 2008 and on _ that day of each succeeding year, or --X. the first
day of each succeeding month. Change Date means each date on which the interest rate could change.

(B) The Index


Beginning with the first Change Date, the interest rate will be based on an Index.. "Index" means the weekly average yield on
United States Treaswy Securities adjusted to a constant maturity of one year, as made available by the Federal Reserve Board..
"Current IndexU means the most recent Index figure available 30 days before the Change Date. lithe Index (as defined above) is
no longer available, Lender will use as a new Index any index prescribed by the Secretary. Lender will give Borrower notice of
the new Index.

(C) Calculation of Interest Rate Changes


Before each Change Date, Lender- will calculate a new interest rate by adding a margin of 1.500 percentage points to the Current
Index. SUbject to the limits stated in Paragraph S(D) of this Note, this amount will be the new interest rate until the next Change
Date. ''ctA''"\\"
........
~:ij;''1::''''
: "*:
~~:
~~\
..~?:~~
'tg,,··....
~~ Y
......
.: . . . i i.
OF FlORIDA, COUHTY OF MARIOtt
that tile fIlregoing .., true and

E:.
(BllfY
~ copy 01 ~aQeLL.through.
.....~~l "anent'".....2.,...
't C'o·······..~O'.D ThiscepJhMAOr~
of the

, \ \~..............- C This C8W hu been redacted JUSUMt to . .


""" DAVID R. . , 0Irt at c.a., c.n
z,l?r3-CA-- 11t;-S

1\ OMITTEDINTO EVIDENCE AS­


f?7J J jt/ 17;1 £,
PETITIONER'8 EXHIBIT L ·
FirslNole r RESPONDENT'S EXHIBIT
JUDGE ANN MELINDA CRAGGS

~~~ 7// 1 / 1 7
(D) Limits on Interest Rate Changes
~nnual: The interest rat~ will never increase or decrease by more than two percentage points (2.0%) on any
smgle C?~~e :O~te. The mterest rate will never be more than fiv~ percentage points (5.0%) higher or lower
than the lDltlal mterest rate stated in Paragraph 2 of this Note. .

--X- Monthly: The interest rate will never increase above 13.660%.

(E) Notice of Changes


~ender will give notice to Borrower of any change in the interest rate. The notice must be given at least 2S days before the new
~nterest rate takes effect, and must set forth (i) the date of the notice, (ii) the Change Date, (in) the old interest rate, (iv) the new
Interest ra~e, (v) th~ C~nt Index and th~ date it was published, (vi) the method of calculating the adjusted interest rate t and (vii)
any other mfonnatlon Wl11Ch may be requlled by law from time to time.

(F) Effective Date of Changes


A new interest rate calculated in accordance with Paragraphs 5(C) and 5(D) of this Note will become effective on the Change
Date, unless the Change Date occurs less than 2S days after Lender has given the required notice. If the interest rate calculated in
accordance with Paragraphs SeC) and S(D) of this Note decreased, but Lender failed to give timely notice of the decrease and
~pplied a higher rate than the rate which should have been stated in a timely notice, then Lender shall recalculate the principal
balance o\ved under this Note so it does not reflect any excessive interest.

6. BORROWER'S RIGHT TO PREPAY


A Borrower receiving monthly payments under the Loan Agreement has the right to pay the debt evidenced by this Note, in whole
or in part, without charge or penalty. Any amount of debt prepaid will first be applied to reduce the principal balance of the
Second Note described in ParagrapJ.111 of this Note and then to reduce the principal balance ofthis·Note.

All prepayments of the principal balance shall be applied by Lender as follows:

f:.iW, to that portion of the principal balance representing aggregate payments for mortgage insurance premiums;
Second, to that portion ofthe principal balance representing aggregate payments for servicing fees;

Third, to that portion of the principal balance representing accrued interest due under the Note; and

Fourth, to the remaining portion of the principal balance. A Borrower may specify whether a prepayment is to be created to that
portion of the principal balance representing monthly payments or the line of credit IfBOlTower does not designate which portion
of the principal balance is to be prepaid, Lender shall apply any partial prepayments to an existing line of credit or create a new
line ofcredit.

7. IMMEDIATE PAYMENT IN FULL


(A) Death or Sale

Lender may require immediate payment in full of all outstanding principal and accrued interest if:

(i) A Borrower dies and the Property is not the principal residence ofat least one surviving Borrower; or

(ii) All of a Borrower's title in the Property (or his or her beneficial interest in a trust owning all or part of the
Property) is sold or otherwise transferred and no other Borrower retains (a) title to the Property in fee simple (b)
a leasehold under a lease for less than 99 years which is renewable or a lease having a remaining period of not
less than 50 years beyond the date of the 100th birthday of the youngest Borrower (or retaining a beneficial
interest in a trust with such an interest in the Property), or (c) a life estate in the Property.

(B) Other Grounds


Lender may require immediate payment in full of all outstanding principal and accmed interest, upon approval by an authorized
representative of the Secretary, if:

(i) The Property ceases to be the principal residence of a Borrower for reasons other than death and the Property is
not the principal residence. of a least one other Borrower;

(ii) For a period oflonger than twelve (12) consecutive months, a Borrower fails to physically occupy the Property
because of physical or mental illness and the Property is not the principal residence of at least one other
Borrower; or

(iii) An obligation of the Borrower under the Security Instrument is not perfonned.

(e) Payment of Costs and Expenses


IfLender has required inunediate payment in full, as described above, the debt enforced through sale of the Property may include
costs and expenses, including reasonable and customary attorneys' fees, associated with enforcement of this Note to the extent not
prohibited by applicable law. Such fees and costs shall bear interest from the date ofdisbursement at the same rate 8S the principal
of this Note.

1-) . //i
If 7Jj.)f.
First Note

2
(D) Trusts ~
Conveyance of a BOlTOwer's inte~est in the Property to a trust which meets the requirements of the Secretary, or conveyance of a
trust's interest in the Property to a Borrower~ shall not be considered a conveyance for purposes of this Paragraph. A trust shaII not
be considered an occupant or be considered as having a principal residence for purposes of this Paragraph.

8. WAIVERS
Borrower waives the rights of presentment and notice of dishonor. "Presentment" means the right to require Lender to demand
payment of amounts due. "Notice of dishonor" means the right to require Lender to give notice to other persons that amounts due
have not been paid.

9. GIVING OF NOTICES

Unless applicable law requires a different method) any notice that must be given to Borrower under this Note will be given by
delivering it or by mailing it by first class mail to Borrower at the property address above or at a different address ifBorrower has
given Lender a notice ofBorro~ers different address.

Any notice that must be given to Lender under this Note will be given by first class mail to Lender at the address stated in
Paragraph 4(B) or at a different address if Borrower is given a notice ofthat different address.

10. OBLIGATIONS OF PERSONS UNDER THIS NOTE

If more than one person signs .this Note, each person is fully obligated to keep all of the promises made in this Note. Lender may
enforce its rights under this Note.only through sale of the Property.

11. RELATIONSHn) TO SECOND NOTE

(A) Second Note


Because Borrower will be required to repay amounts which the Secretary may make to or on behalf of Borrower pursuant to
Section 2S5(i)(I)(A) ofthe National Housing Act and the Loan Agreement, the Secretary has required Borrower to grant a Second
Note to the Secretary.

(B) Relationship of Secretary Payments to this Note

Payments made by the Secretary shall not be included in the debt due under this Note unless:

(i) This Note is assigned to the Secretary; or

(ii) The Secretary accepts reimbursements by the Lender for all payments made by the Secretary.

If the circumstances described in (i) or (ii) occur, then all payments made by the Secretary, including interest on the payments,
shall be included in the debt.

(C) Effect on Borrower


Where there is no assignm'ent or reimbursement as described in (B)(i) or (ii), and the Secretary makes payments to Borrower, then
Borrower shall not:

(i) Be required to pay amounts owed under this Note until the Secretary has required payment in full of all
outstanding principal and accrued interest under the Second Note held by the Secretaty, notwithstanding
anything to the contrary in Paragraph 7 ofthis Note; or

(ii) Be obligated to pay interest or shared appreciation under this Note at any time, whether 8CCmed before or after
the payments b.y the Secretary, and whether or not accrued interest has been included in the principal balance of
this Note, notwithstanding anything to the contrary in Paragraphs 2 or S of this Note or any Allonge to this
l\fote.

BY SIGNING BELOW, Borrower accepts and agrees to the terms and covenants contained in this Note.

Dated: J- t·,,/f,<
l.;''''' "2
.~ ~(?¥.
.,..;' ~

Marie Gillespie, Trustee

First Note

3
(D) Trusts .

Conveyance of a Borrower's interest in the Property to a trust which meets the requirements of the Secretary, ~r conveyance of a

trust's interest in the Property to a Borrower, shall not be considered a conveyance for purposes of this Paragraph. A trust shall not

be considered an occupant or be considered as having a principal residence for purposes of this Paragraph.

8. WAIVERS

Borrower waives the rights of presentment and notice of dishonor. "Presentment" means the right to require Lender to demand

payment of amounts due. liNotice of dishonor" means the right to require Lender to give notice to other persons that amounts due

have not been paid.

9. GIVING OF NOTICES

Unless applicable law requires a different method, any notice that must be given to Borrower under this Note will be given by
delivering it or by mailing it by first class mail to Borrower at the property address above or at a different address if Borrower has
given Lender a notice of Borrower's different address.

Any notice that must be given to Lender under this Note will be given by first class mail to Lend~r at the address stated in
Paragraph 4(B) or at a different address ifB~rrower is given a notice of that different address.

10. OBLIGATIONS OF PERSONS UNDER THIS NOTE

If more than one person signs .this Note, each person is fully obligated to keep all of the promises made in this Note. Lender Inay
enforce its rights under this Note .only through sale of the Property.

11. RELATIONSHIP TO SECOND NOTE

(A) Second Note

Because Borrower will be required to repay amounts which the Secretary may make to or on behalf of Borrower pursuant to

Section 255(i)(l)(A) of the National Housing Act and the Loan Agreement, the Secretary has required Borrower to grant a Second

Note to the Secretary.

(B) Relationship of Secretary Payments to this Note

Payments made by the Secretary shall not be included in the debt due under this Note unless:

(i) This Note is assigned to the Secretary; or

(ii) The Secretary accepts reimbursements by the Lender for all payments made by the Secretary.

If the circumstances described in (i) or (ii) occur, then all payments made by the Secretary, including interest on the payments,
shall be included in the debt.

(C) Effect on Borro\ver


Where there is no assignment or reitnbursement as described in (B)(i) or (ii), and the Secretary makes payments to Borrower, then
Borrower shall not:

(i) Be required to pay amounts owed under this Note until the Secretary has required payment in full of all
outstanding principal and accrued interest under the Second Note held by the Secretary, notwithstanding
anything to the contrary in Paragraph 7 of this Note; or

(ii) Be obligated to pay interest or shared appreciation under this Note at any time, whether accrued before or after
the payments by the Secretary, and whether or not accrued interest has been included in the principal balance of
this Note, notwithstanding anything to the contrary in Paragraphs 2 or 5 of this Note or any Allonge to this
Note.

BY SIGNING BELOW, Borrower accepts and agrees to the ternlS and covenants contained in this Note.

Dated: _ _ SC_~'-"'..--r.~ ~~

Penelope M. Gillespie

Penelope M. Gillespie, Trustee

First Note

3
..

DIRECT ENDORSEMENT ALLONGE

For purposes of further endorsement of the following described Note, this Allonge is affixed and
becomes a permanent part of said Note oIbMit.f~mj.
June 5, 2008.

LOAN NUMBER: 39100

FHA CASE NUMBER: 091-4405741/952-255

BORROWER(S): Penelope Gillespie

PROPERTY ADDRESS: 8092 SW 115th Loop


Ocala, FL 34481

NOTE/LOAN AMOUNT: $198,000.00

NOTE/LOAN DATE: ~1~~1QOB


June 5, 2008

PAY TO THE ORDER OF:


Bank of America, N.A., a National Banking Association

WITHOUT RECOURSE

COMPANY NAME: Liberty Reverse Mortgage, Inc.

SIGNATURE:

NAME:

Jessica Yee. Asst. Secretary


TITLE:
· I.

Allonge

Loan Number: 68011002615899

FHA Case No: 091-4405741

Borrower Name(s): PENELOPE GILLESPIE

Property Address: 8092 SW 115TH LOOP, OCALA, FL 34481

Note/Loan Date: 06/05/2008

Pay to the order of:

WITHOUT RECOURSE

Company Nam
' ...

Signature:

Name: Laura Smith

Title: Assistant Vice President


3
~). { 2.{~:,
I"~

~yt pDY1:& ':£,:;:

Liberty Reverse Mortgage, Inc.


10951 White Rock Road, Suite 200
Rancho Cordova, CA 95670

FHA Case Number: 091-4405741/952-255


39100

State of Florida ADJUSTABLE RATE ~~


HOME EQUITY CONVERSION MORTGAGE .,,,
.~\J\{~~ 1<V'
THIS MORTGAGE ("Security Instrument") is given on June 05, 2008. The mortgagor is Penelope M. Gillesp;t Neil J.
Gillespie and Mark Gillespie, as Co-Trustees of The GUJespie Family Living Trust Agreement dated February 10, 1997,
whose address is 8092 SW 115th Loop, Ocala, FL 34481 (ItBorrower"). This Security Instnunent is given to Liberty Reverse
Mortgage, Inc., which is organized and existing under the laws of the state of California, and whose address is 10951 White
Rock Road, Suite 200, Rancho Cordova, CA 95670 (ULendertl). Borrower has agreed to rep.ay to Lender amounts which
Lender is obligated to advance, including future advances, under the terms of a Home Equity Conversion Loan Agreement dated
the same date as this Security Instrument ("Loan Agreementlt). The agreement to repay is evidenced by Borrower's Note dated
the same date as this Security Instrument ("Noten). This Secwity Instrument secures to Lender: (a) the repayment of the debt
evidenced by the Note, with interest at a rate subject to adjustment, and all renewalst extensions and modifications of the Note,
up to a maximum principal amount One Hundred Ninety-Eight Thousand and 00/100 DoUars ($198,000.00); (b) the payment
of all other sums, with interest, advanced under Paragraph 5 to protect the security of this Security Instrument or otherwise due
under the tenns of this Security Instrument; and (c) the performance of Borrower's covenants and agreements under this Security
Instrument and the Note. The full debt, including all amounts described in (a), (b), and (c) above, if not paid earlier, is due and
payable on October 29, 2080.. For this purpose, Borrower does hereby mortgage, grant and ·convey to Lender, the following
described property located in Marion County, Florida:

The real property located at the address 8092 SW 115th Loop, Ocala, FL 34481, in the County of Marion, state of FL,
described more fully on Exhibit A attached to this Mortgage.

TOGETHER WITH all the improvements now or hereafter erected on the property, and all easements, rights, appwtenances, and
fixtures now or hereafter a part of the property. All replacements and additions shall also be covered by this Security Instrument.
All of the foregoing is referred to in this Security Instrument as the "Property. It

BORROWER COVENANTS that Borrower is lawfully seised ofthe estate hereby conveyed and has the right to mortgage, grant
and convey the Property and that the Property is Wlencumbered Borrower warrants and will defend generally the title to the
Property against all claims and dem~nds, subject to any encumbrances of record.

THIS SECURITY INSTRUMENT combines uniform covenants for national use and non-unifonn covenants with limited
variations by jurisdiction to constitute a uniform security instrument covering real property.

UNIFORM COVENANTS. Borrower and Lender covenant and agree as follows:


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ADMITTED INTO EVIDENCE AS­
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; . PETITIONER'S EXHIBIT L-. .
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JUDGE A~r:!f:LJID A CRA:-:--:--a-a-s- ­
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1. Payment of Principal and Interest. Borrower shall pay when due the principal at and interest on, the debt evidenced by
the Note. .

2. Payment of Property Charges. Borrower shall pay all property charges consisting of taxes, ground rents, flood and hazard
insurance premiums, and special assessments in a timely manner, and shall provide evidence of payment to Lender,
Wlless Lender pays property charges by withholding funds from monthly payments due to the Borrower or !?y charging such
payments to a line of credit as provided for in the Loan Agreement.
3. Fire, Flood and Other Hazard Insurance. Borrower shall insure all improvements on the Property, whether now in
existence or subsequently erected, against any hazardst casualties, and contingencies. including fire. This insurance shall be
maintained in the amounts, to the extent and for the periods required by Lender or the Secretary of Housing and Urban
Development ("Secretarytl). Borrower shall also insure all improvements on the Property, whether DOW in existence or
subsequently erected, against loss by floods to the extent required by the Secretary. All insurance shall be carried with
companies approved by Lender. The insurance policies and any renewals shall be held by Lender and shall include loss payable
clauses in favor oft and in a fonn acceptable to, Lender.

In the event of loss, Borrower shall give Lender immediate notice by mail. Lender may make proof of loss ifnot made promptly
by Borrower. Each insurance company concerned is hereby authorized and directed to make payment for such loss to Lender,
instead of to Borrower and Lender jointly. Insmance proceeds shall be applied to restoration or repair of the damaged Property,
if the restoration or repair is economically feasible and Lender's security is not lessened. If the restoration or repair is not
economically feasible or Lender's security would be lessened, the insurance proceeds shall be applied first to. the reduction of any
indebtedness under a Second Note and Second Security Instrument held by the Secretary on the Property and then to the
reduction of the indebtedness under the Note and this Security Instrument. Any excess insurance proceeds over an amount
required to pay all outstanding indebtedness under the Note and this Security Instrument shall be paid to the entity legally
entitled thereto.

In the event of foreclosure ofthis Security Instrument or other transfer of title to the Property that extinguishes the indebtedness,
all right, title and interest of Borrower in and to insurance policies in force shall pass to the purchaser.
4. Occupancy, Preservation, Maintenance and Protection of the Property; Borrower's Loan Application; Leaseholds.
Borrower shall occupy, establish, and use the Property as Borrower's principal residence after the execution of this Security
Instrument and Borrower (or at least one Borrower, if initially more than one person are Borrowers) and shall continue to occupy
the Property as Borrower's principal residence for the tenn of the Security Instrument. nprincipal residence" shall have the same
meaning as in the Loan Agreement.
\

Borrower shall not commit waste or destroy, damage or substantially change the Property or allow the Property to deteriorate,
reasonable wear and tear excepted. Borrower shall also be in default if Borrower, dwing the loan application process, gave
materially false or inaccurate infonnation or statements to Lender (or failed to provide Lender with any material infonnation) in
connection with the Loan evidenced by the Note, including, but not limited to, representations concerning Borrower's occupancy
of the Property as a principal residence. If this Security Instrument is on a leasehold, Borrower shall comply with the provisions
of the lease.. If Borrower acquires fee title to the Property, the leasehold and fee title shall not be merged unless Lender agrees to
11lerger in writing.
s. Charges to Borrower and Protection of Lender's Rights in the Property. Borrower shall pay all governmental or
municipal charges, fines and impositions that are not included in Paragraph 2. Borrower shall pay these obligations on time
directly to the entity which is owed the payment If failure to pay would adversely affect Lender's interest in the Property, upon
Lenders request Borrower shall promptly furnish to Lender receipts evidencing these payments. Borrower shall promptly
discharge any lien which has priority over this Security Instrument in the manner provided in Parag~ph 12(c).

If Borrower fails to make these payments or the property charges required by Paragraph 2, or fails to perfonn any other
covenants and agreements contained in this Security Instrument, or there is a legal proceeding that may significantly affect
Lender's rights in the Property (such as a proceeding in bankruptcy, for condemnation or to enforce laws or regulations), then
Lender may do and pay whatever is necessary to protect the value of the Property and Lender's rights in the Property, including
payment of taxes, hazard insurance and other items mentioned in Paragraph 2.
FL t'Mortgage

Page ~1 '71-/))1l,
,I..;. P' /1 . V

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To protect Lender's security in the Property, Lender shall advance and charge to Borrower all amounts due· to the Secretary for
the Mortgage Insurance Premium (UMIPf.) as defined in the Loan Agreement as well as all sums due to the loan servicer for
servicing activities (tiServicing Feelt) as defined in the Loan Agreement Any amounts disbursed by Lender under this Paragraph
are obligatory and shall become an additional debt of Borrower as provided for in the Loan Agreement and shaII be secured by
this Security Instrument.
6. Inspection. Lender or its agent may enter OD, inspect or make appraisals of the Property in a reasonable manner and at
reasonable times provided that Lender shall give the Borrower notice prior to any inspection or appraisal specifying a purpose
for the inspection or appraisal which must be related to Lender's interest in the Property. If the Property is vacant or abandoned
or the loan is in default, Lender may take reasonable action to protect and preserve such vacant or abandoned Property without
notice to the Borrower.

7. Condemnation. The proceeds of any award or claim for damages, direct or consequential, in connection with any
condenmation, or other taking of any part of the Property, or for conveyance in place of condemnation shall be paid to Lender.
The proceeds shall be applied first to the reduction of any indebtedness under a Second Note and Second Security Instrument
held by the Secretary on the Property, and then to the reduction of the indebtedness under the Note and this Security Instrument.
Any excess proceeds over an amount required to pay all outstanding indebtedness under the Note and this Security Instrument
shall be paid to the entity legally entitled thereto.

8. Fees. Lender may collect fees and charges authorized by the Secretary.

9. Grounds for Acceleration of Debt.


(a) Due and Payable. Lender may require immediate payment in full ofall sums secured by this Security Instrument if:
(i) A Borrower dies and the Property is not the principal residence ofat least one surviving Borrower; or

(ii) All of a Borrower's title in the Property (or his or her beneficial interest in a trust owning all or part of the
Property) is sold or otherwise transferred an no other Borrower retains (a) title to the Property in fee simple, (b) a
leasehold under a lease for not less than 99 years which is renewable or a lease having a remaining period of not
less than 50 years beyond the date of the lOOth birthday of the youngest Borrower, or (c) a life estate in the
Property (or a beneficial interest in a trust with such an interest in the Property).

(b) Due and Payable lvith Secretary Approval. Lender may require immediate payment in full ofall sums secured by this
Security Instrument, upon approval by an authorized representative of the Secretary, if:
(i) The Property ceases to be the principal residence of a Borrower for reasons other than death and the Property is
not the principal residence ofat least one other Borrower; or

(ii) For a period of longer than twelve (12) consecutive months, a Borrower fails to physically occupy the Property
because of physical or mental illness and the Property is not the principal residence of at least one other Borrower;
or

(iii) An obligation of the Borrower under this Security Instrument is not performed.

(c) Notice to Lender. Borrower shall notify Lender whenever any of the events listed in subparagraphs (a) and (b) of this
Paragraph 9(a)(ii) or (b) occur.
(d) Notice to Secretary and Borrower. Lender shall notify the Secretary and Borrower whenever the loan becomes due
and payable under this Paragraph 9(a)(ii) and (b). Lender shall not have the right to commence foreclosure until Borrower
has had thirty (30) days after notice to either:
(i) Correct the matter which resulted in the Security Instrument coming due and payable; or

(ii) Pay the balance in full; or

(iii) Sell the Property for the lesser of the balance or 95% of the appraised value and apply the net proceeds of the sale
FL r' Mortgage
Page 3 r'
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~~
toward the balance; or

(iv) Provide the Lender with a deed in lieu of foreclosure.


(e) Trusts.. Conveyance of a Borrower's interest in the Property to a trust which meets the requirements of the Secretary, or
conveyance of a trost's interests in the Property to a Borrower, shall not be considered a conveyance for purposes of this
Paragraph. A trust shall not be considered an occupant or be considered as having a principal. residence for purposes of this
Paragraph 9.

(t) Mortgage Not Insured. Borrower agrees that should this Security Instrument and the Note not be eligible for insurance
under the National Housing Act within eight (8) months from the date hereo~ Lender may, at its option, require inunediate
payment in full of all sums secured by this Security Instrument. A written statement of any authorized agent ofthe Secretary
dated subsequent to eight (8) months from the date hereof: declining to insure this Security Instmment and the Note, shall be
deemed conclusive proof of such ineligibility. Notwithstanding the foregoingt this option may not be exercised by Lender
when the unavailability of insurance is solely due to Lender's failure to remit a mortgage insurance premium to the Secretary.

10. No Deficiency Judgments. Borrower shall have no personal liability for payment of the debt secured by this Security
Instrument. Lender may enforce the debt only through sale ofthe Property. Lender shall not be permitted to obtain a deficiency
judgment against Borrower if the Security Instrument is foreclosed. If this Security Instrument is assigned to the Secretary upon
demand by the Secretary, Borrower- shall not be liable for any difference between the mortgage insurance benefits paid to Lender
and the outstanding indebtedness, including accrued interest, owed by Borrower at the time of the assignment.

11. Reinstatement. Borrower has a right to be reinstated if Lender has required inunediate payment in fulL This right applies
even after foreclosure proceedings are instituted. To reinstate this Security Instrwnent, Borrower shall correct the condition
which resulted in the requirement for immediate payment in fulL Foreclosure costs and reasonable and customary attonleys' fees
and expenses properly associated with a foreclosure proceeding shall be added to the principal balance. Upon reinstatement by
Borrower, this Security Instrument and the obligations that it secures shall remain in effect as if Lender had not required
immediate payment in full. However, Lender is not required to pennit reinstatement if:(i) Lender has accepted reinstatement
after the conunencement of foreclosure proceedings within two (2) years inunediately preceding the commencement of a current
foreclosure proceeding) (ii) reinstatement will preclude foreclosure on different grounds in the futUre, or (iii) reinstatement will
adversely affect the priority ofthe Security Instrwnent.

12. First Lien Status


(a) Modification. Borrower agrees to extend this Security Instrwnent in accordance with this Paragraph 12(a). If Lender
detennines that the original lien status of the Security Instrument is jeopardized under state law (including but not limited to
situations where the amount secured by the Security Instrument equals or exceeds the maximum principal amount stated or
the maximum period under which loan advances retain the same lien priority initially granted to loan advances has expired)
and state law pennits the original lien status to be maintained for future loan advances through the execution and recordation
of one or more documents, then Lender shall obtain title evidence at BOlTowerS expense. If the title evidence indicates that
the Property is not encumbered by any liens (except this Security Instrument, the Second Security Instrument described in
Paragraph 13(a) and any subordinate liens that the Lender detennines will also be subordinate to any future loan advances),
Lender shall request the Borrower to execute such docwnents. If state Jaw does not pennit the original lien status to be
extended to future loan advances, Borrower will be deemed to have failed to have performed an obligation under this
Security Instrument

(b) Tax Deferral Programs. Borrower shall not participate in a real estate tax deferral program, if any liens created by the tax
deferral are not subordinate to this Security Instrument..

(c) Prior Liens. Borrower shall promptly discharge any lien which has priority over this Security Instrument unless Borrower:
(a) agrees in writing to the payment of the obligation secured by the lien in a manner acceptable to Lender; (b) contests in
good faith the lien by, or defends against enforcement of the lien in, legal proceedings which in the Lenders opinion operate
to prevent the enforcement of the lien or forfeiture of any part of the Property; or (c) secures from the holder of the lien an
agreement satisfactory to Lender subordinating the lien to all amounts secured by this Secwity Instrument. If Lender
FL 1st Mortgage
pa?.f ~;
'/ (':7:'/ ..i J \,
detennines that any part of the Property is subject to a lien which may attain priority over this Security Instrument, Lender
may give Borrower a notice identifying the lien. Borrower shall satisfy the lien or take one or more of the actions set forth
above within ten (10) days ofthe giving of notice.
13. Relationship to Second Security Instrument
(a) Second Security Instrument. In order to secure payments which the Secretary may make to or on behalf of Borrower
pursuant to Section 25S(i)(1)(A) of the National Housing Act and the Loan Agreement, unless otherwise provided by the
Secretary, the Secretary has required Borrower to execute a Second Note and Second Security Instrument on the Property.
(b) Relationship of First and Second Security Instruments. Payments made by the Secretary shall not be included in the
debt under the Note unless:
(i) This Security Instrument is assigned to the Secretary; or

(ii) The Secretary accepts reimbursement by the Lender for all payments made by the Secretary.

If the circumstances described in (i) or (ii) occur, then all payments by the Secretary, including interest on the payments but
excluding late charges paid by the Secretary, shall be included in the debt under the Note.

(c) Effect on Borrower. Where there is no assignment or reimbursement 8S described in (b)(i) or (ii) and the Secretary makes
payments to Borro,ver, then Borrower shall not:

(i) Be required to pay amounts owed under the Note, or pay any rents and revenues of the Property under Paragraph
19 to Lender or a receiver of the Property, until the Secretary has required payment in full of all outstanding
principal and accrued interest under the Second Note; or

(ii) Be obligated to pay interest or shared appreciation under the Note at any time, whether accrued before or after the
payments by the Secretary, and whether or not accrued interest has been included in the principal balance under
the Note.

(d) No Duty of the Secretary. The Secretary has no duty to Lender to enforce covenants of the Second Security Instrument or
to take actions to preserve the value of the Property, even though Lender may be unable to collect amounts owed under the
Nate because ofrestrictions in this Paragraph 13.

14. Forbearance by Lender Not a Waiver. Any forbearance by Lender in exercising any right or remedy shall not be a waiver
of or preclude the exercise ofany right or remedy.

15. Successors and Assigns Bound; Joint and Several Liability. The covenants and agreements of this Security Instrument
shall bind and benefit the successors and assigns of Lender. Borrower may not assign any. rights or obligations under this
Security Instrument or under the Note, except to a trust that meets the requirements of the Secretary. BorrQwer's covenants and
agreements shall be joint and several.

16. Notices. Any notice to Borrower provided for in this Security Instrument shan be given by delivering it or by mailing it by
first class mail unless applicable law requires use of another method. The notice shall be directed to the Property Address or any
other address all Borrowers jointly designate. Any notice to Lender shall be given by first class mail to Lenders address stated
herein or any address Lender designates by notice to Borrower. Any notice provided for in this Security Instrument shall be
deemed to have been given to Borrower or Lender when given as provided in this Paragraph 16.

17. Governing Lalv; Severability. This Security Instrument shall be governed by Federal law and the law of the jurisdiction in
which the Property is located. In the event that any provision or clause of this Security Instrument or the Note conflicts with
applicable lawt such conflict shall not affect other provisions of this Security Instrument or the Note :~hich can be given effect
without the conflicting provision. To this end the provisions of this Security Instrument and the Note are declared to be
severable.

18. Borrower's Copy. Borrower shall be given one confo1111ed copy of the Note and this Secwity Instrument.
FL lSI Mortgage
PageS it
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NON-UNIFORM COVENANTS. Borrower and Lender further covenant and agree as follows:
19. Assignment of Rents. Borrower unconditionally assigns and transfers to Lender all the rents and revenues of the Property.
Borrower authorizes Lender or Lender's agents to collect the rents and revenues and hereby directs each tenant of the Property to
pay the rents to Lender or Lender's agents. However, prior to Lender's Notice to Borrower of Borrower's breach of any covenant
or agreement in the Security Instrument, Borrower shall collect and receive all rents and revenues of the Property as trustee for
the benefit of Lender and Borrower. This assignment of rents constitutes an absolute assignment and not an assignment for
additional security only.

If Lender gives notice of breach to Borrower: (a) all rents received by Borrower shall be held by Borrower as trustee for benefit
of Lender only, to be applied to the sums secured by this Security Instrument; (b) Lender shall be entitled to collect and receive
all ofthe rents of the Property; and (c) each tenant of the Property shall pay all rents due and unpaiod to Lender or Lender's agent
on Lender's written demand to the tenant

Borrower has not executed any prior assignment ofthe rents and has not and will not perfoml any act that would prevent Lender
from exercising its rights under this Paragraph 19.

Lender shall not be required to enter upon, take control of or maintain the Property before or after giving notice of breach to
Borrower. flowever, Lender or a judicially appointed receiver may do so at any time there is a b-!"each. Any application of rents
shall not cure or waive any default or invalidate any other right or remedy of Lender. This assignment of rents of the Property
shall tenninate when the debt secured by this Security Instrument is paid in full.

20. Foreclosure Procedure. If Lender requires immediate payment in full under Paragraph 9, Lender may foreclose this
Security Instrument by judicial proceeding. Lender shall be entitled to coRect all expenses incurred in pursuing the
rc.nedies provided in this Paragraph 20, including, but not limited to~ reasonable attorneys' fees and costs of title
evidence.

21. Lien Priority. The full amount secured by this Security Instrument shall have the same priority over any other liens on the
Property as if the full amount had been disbursed on the date the initial disbursement was made, regardless of the actual date of
any disbursement The amount secured by this Security Instrument shall include all direct payments by Lender to Borrower and
all other loan advances pennitted by this Security Instroment for any pwpose. This lien priority shall apply notwithstanding any
State constitution, law or regulation, except that this lien priority shall not affect the priority of any liens for unpaid State or local
governmental unit special assessments or taxes.

22. Adjustable Rate Feature. Under the Note, the initial stated interest rate of Three and 66/100 percent (3.660%) which
accrues on the unpaid principal balance ("Initial Interest Rate") is subject to changet as described below. When the interest rate
changes, the new adjusted interest rate wiD be applied to the total outstanding principal balance. Each adjustment to the interest
rate will be based upon the weekly average yield on United States Treasury Securities adjusted to a constant maturity ofone year
C'Index")plus a margin. The Index is published in 'the Federal Reserve BuIIetin and made available by the United States Treasury
Department in Statistical Release H.15(519). If the Index is no longer available, Lender will be required to use any index
prescribed by the Department of Housing and Urban Development The new index will have a historical movement
substantially similar to the original index, and the new index and margin will result in an annual percentage rate that is
substantially similar to the rate in effect at the time the original index becomes unavailable.

Lender will perfonn the calculations described below to determine the new adjusted interest rate. The interest rate may change
on September 1, 2008) and on the fttSt day of _ and on that day of each succeeding year, or ---.X- the first day of each
succeeding month (Change Date) until the loan is repaid in full.

The value of the Index will be detennined, using the most recent Index figure available thirty (30) days before the Change Date
("Current Index"). Before each Change Date, the new interest rate will be calculated by adding a margin to the Current Index.
The swn of the margin plus the Current Index will be called the tlCalculated Interest Rate". for each Change Date. The
Calculated Interest Rate will be compared to the interest rate in effect immediately prior to the cwrent Change Date (the
FL /" Mortgage
Page 6 f

fJ,7Jj,iJ­

~
, I

"Existing Interest Rate}.

Annually Adjusting Variable Rate Feature .. The interest rate will never increase or decrease by more
than two percentage points (2.0%) on any single Change Date. The interest rate will never be more than
five percentage points (5.0%) higher or lower than the initial interest rate stated in Para"graph 2 of this
Note.

Monthly Adjusting Varnible Rate Feature - The Calculated Interest Rate will never increase above
13.660%.

The Calculated Interest Rate will be adjusted if necessary to comply with the rate limitation(s) described above and will be in
effect until the next Change Date. At any change date, if the Calculated Interest Rate equals the Existing Interest Rate, the
interest rate will not change.
23.. Release. Upon payment of all sums secured by this Security Instrument, Lender shall release this Security Instrument
without charge to Borrower. Borrower shall pay any recordation costs. ,
24. Attorneys' Fees.. As used in this Security Instrument and the Note. "attorneys' fees shall include any attorneys' fees
ll

a\varded by an appellate court


25.. Riders to this Security Instrument. If one or more riders are executed by Borrower and recorded together with this
Security Instrument, the covenants and agreements of each such rider shall be incorporated into and shall amend and supplement
the covenants and agreements of this Security Instrument as if the rider(s) were a part of this Security Instnrment [Check all
riders that are applicable]. .

J1are{l p rec-ation Rider

\ --­ :"

Signature: .'
.- ~() . /)., .il r. ,­

/1/[(.</- t~iu:..._ IlL{ L{,..L·tfLA:-'(~'

FL /" Mor/gage
Page 7
"Existins Interest Rate).

Annually Adjusting Variable Rate Feature • The interest rate will never increase or decrease by more
than two percentage points (2.0f,) on any single Change Date. The interest rate will never be more than
five percentage points (5.()t) higher or lower than the initial interest race stated in Puagraph 2 of this
Note..

Moatbly Adjusting Variable Rate Feature • The Calculated Interest Rate wJ11 never increase above . .
13.660'11.

The Calculated Interest Rate will be adjusted if necessary to comply with the rate limitation(s) deacribed above and will be in
effect until the ~ 0wJge Date. At any change date. if the Calctllated Inteiest Rate equals the Existing Interest Rate, the
interest rate willllOt dJan&e.
23. Release. Upon payment of aU sums secwed by this Security Instrument, Lender shall release this Security Instrument
without charge to Borrower. Borrower shall pay any recordation costs.
24. AUOmeyst J'ees. As used in this Security lnstnunent and the Note. -attorneys' fees" shall include any attomeysr fees
awarded by an appeI1ate court.
25. Riders to this Security lDstrument. If one Qr more riders are executed by BOJIOWet and recorded together with this
Security Instrument, the covenants and agreements of each such rider aha)) be incorporated into and sbaU amend and supplement
the covenants and agreements of this Security Instrument as if the rider(s) were a pan of this Security Jnstrumcnt. [Check all
riders that 8l'e appJicable].

I" l~
BY SIGNING BELOW, Bonower accepts and apes to the terms and covenants contained in this Security lnstrttment and in
any rider($) executed by Borrower and recorded with it.

Witnesses:

Signature:

FLrMon8ag~
Pap 7
STATE OF FLORIDA
COUNTY OF t> /1/ II/ilill
/}~7;.J.
The foregoing instrument was acknowledged before me this -;:.? --=--- day of

iS~tltjC: A"'.cr:? . by Penelope M. GiUespie and Penelope M. GiDespie, Trustee, ~


Trustee, Neil J. Gillespie, Trustee, who is personally lmown to me; who has produced

"~III"~, RICHARD T. KWIATKOWSKI


::'t~~~:!.. PtJ!f::......
Notary Public - State of Florida Name: R_IC_H_AAO_T_"_KW_IA_T_K_OW_S_K_I _
........ ~\« "'-;. 1 2009

~.: A'J:. EMy Commission Expires Aug I

"ttl} ..
,..,/:
•~,ffS
." Commission # 00 413769
""t.9f,l,"~\" Bonded By National Notary Assn.

FL 1~' Mortgage
Page 8
STATEOF~
~ft?S ~~/7L)
~- ;I
COUNTY OF/?fra-vcf--­
,..-- .-~

The foregoing instrument was aclrnowledged before me this . .) {.11l {;

day of ,, )

d tlD t , by ~M;'-Cnt~tnlnd"PenelopeM: QHespte;~,


,"Ta:ustee;~J.-OUlespte;'Trustee, who is personally lrnown to me; who has produced ~..-:----'

J)rL'l.Jtr /s LI'C;--tn s·£. .


'
and who did (9'd not) take an oath.
//

~4 '£.~

e
'.
.
tELEN lOUISE MILLER
. IOTMY P*£ STAlE rJ1EXAS
CO"J."OI .1,1'1.~I:
08~29-2011

FL r'Mortgage
Page 8
PLANNED UNIT DEVELOPMENT RIDER

FHA ,Case Number: 091-4405741/952-255 Loan Number: 39100

THIS PLANNED UNIT DEVELOPMENT RIDER is made on June 05, 2008, and is incorporated into and shall be
deemed to amend and supplement the Mortgage, Deed of Trost or Security Deed (the "Security Instrumentfl) of the
same date- given by the undersigned C'Borrower") to secure Borrower's Note to Liberty Reverse Mortgage, [nc., a
California Corporation, (''Lender") of the same date and covering the Property described in the Security Instrument
and located at:

8092 SW 115th Loop, Ocala, FL 34481

The Property is a part ofa planned unit development (PUD) known as:

OAK RUN

PUD COVENANTS. In addition to thee covenants and agreements made in the Security Instrument, Borrower
and Lender further covenant and agree as follows:
A. So long as th~ Owners' Association (or equivalent entity holding title to common areas and facilities! acting as
trustee for the homeowners, maintains, with a generally accepted insuran~ parrier, a "master" or "blanket"
policy insuring the property located in the PUD, including all improvements DOW existing ·ar hereafter erected
on the mortgaged premises, and such policy is satisfactory to Lender and provides insurance coverage in the
amounts, for the p~riods, and against the hazards Lender and the Secretary require, including fire and other
hazards included within the term lIextended coverage,U and loss by flood, to the extent required by the
Secretary, then: (i) Lender waives the provision in Paragraph 2 of this Security Instrument for the payment of
the premium for hazard insurance on the Property, and (ii) Borrower's obligation under Paragraph 3 of this
.Security Instnlment to maintain hazard insurance on the Property is deemed satisfied to the extent that the
required coverage is provided by the Owners- Association policy. Borrower shall give Lender prompt notice
of ~y lapse in required hamrd insurance coverage and of any loss occurring from a hazard. In the event ofa
distribution of hazard insurance proceeds in lieu of restoration or repair following a loss to the Property or ta
common areas and facilities of the PUD, any proceeds payable to Borrower are hereby assigned and shall be
paid to Lender for application to the sums secured by this Security Instrument, with any excess paid to the
entity legally entitled thereto.

B. Borrower promises' to pay all dues and assessments imposed pursuant to the legal instruments creating and
governing the POD.

c. If Borrower does not pay PUD dues and assessments when due, then Lender may pay them. Any amounts
disbursed by Lender under this paragraph C shall become additional debt ofBorrower secured by the Security (It
Instrument Unless Borrower and Lender agree to other tenus of payment, these amounts shall bear interest
from the date of disbursement at the Note rate and shall be payable) with interest, upon notice from Lender to
Borrower requesting payment.

BY SIG~G BELOW, Borrower accepts and agrees to the tenns and provisions contained in this PUD Rider.

Mark Gillespie, 1'1 DSU!!

. e=:<.~ ~
,- J. G , 'E STEE

llCpUD Page lofl


PLANNED UNIT DEVELOPMENT RIDER

FHA Case Number: 091-4405741/952-255 Loan Number: 39100

THIS PLANNED UNIT DEVELOPMENT RIDER is made on June 05, 2008, and is incorporated into and shall be
deemed to amend and supplement the Mortgage, Deed of Trust or Security Deed (the "Security Instrument") of the
same date- given by the undersigned ("Borrower") to secure Borrower's Note to Liberty Reverse Mortgage, Inc., a
California Corporation, ("Lender") of the same date and covering the Property described in the Security Instrument
and located at:

8092 SW 115th Loop, Ocala, FL 34481

The Property is a part of a planned unit development (PUD) known as:

OAK RUN

PUD COVENANTS. In addition to thee covenants and agreements made in the Security Instrument, Borrower
and Lender further covenant and agree as follows:
A. So long as the Owners' Association (or equivalent entity holding title to common areas and facilities, acting as
trustee for the homeowners, maintains, with a generally accepted insurance carrier, a "master" or "blanket"
policy insuring the property located in the PUD, including all improvements now existing or hereafter erected
on the mortgaged premises, and such policy is satisfactory to Lender and provides insurance coverage in the
amounts, for the periods, and against the hazards Lender and the Secretary require, including fire and other
hazards included within the term "extended coverage, II and loss by flood, to the extent required by the
Secretary, then: (i) Lender waives the provision in Paragraph 2 of this Security Instrument for the payment of
the premium for hazard insurance on the Property, and (ii) Borrower's obligation under Paragraph 3 of this
Security Instrument to maintain hazard insurance on the Property is deemed satisfied to the extent that the
required coverage is provided by the Owners' Association policy. Borrower shall give Lender prompt notice
of any lapse in required hazard insurance coverage and of any loss occurring from a hazard. In the event of a
distribution of hazard insurance proceeds in lieu of restoration or repair following a loss to the Property or to
common areas and facilities of the PUD, any proceeds payable to Borrower are hereby assigned and shall be
paid to Lender for application to the sums secured by this Security Instrument, with any excess paid to the
entity legally entitled thereto.

B. Borrower promises to pay all dues and assessments imposed pursuant to the legal instruments creating and
governing the PUD.

c. If Borrower does not pay PUD dues and assessments when due, then Lender may pay them. Any amounts
disbursed by Lender under this paragraph C shall become additional debt of Borrower secured by the Security'-­
Instrument. Unless Borrower and Lender agree to other tenns of payment, these amounts shall bear interest
from the date of disbursement at the Note rate and shall be payable, with interest, upon notice from Lender to
Borrower requesting payment.

BY SIGNI;NG BELOW, Borrower accepts and agrees to the tenns and provisions contained in this PUD Rider.

f..eaelope l\f. Oittespie,:H~

Penelope M. 8i1tespie ,NEIL--.i. GlLLE8PIK, TRUS't'EE

IJCpUD Page 1 of 1
I ..

EXHIBIT A

Exhibit A to the Mortgage made on May 29, 2008.;Y en


P
f
elo e M. Gillespie, Neil J. Gillespie and Mark Gillespie, as Co­
d ted February 10 1997 (''Borrower'') to Liberty Reverse
Trustees ofI The("LGilldes~,i)e
Mortgage, nc. en er · i; l=~ ing~e::~~ty :fMarion, state ofF!., described as follows:
FT:::;ertyivtD
'r

Description ofProperty

Legal Description attached hereto as 'Exhibit A' and by this reference made a part hereof.

LOT(S) 1, BLOCK G, OAK RUN WOODSIDE TRACT, ACCORDING TO THE PLAT.

THEREOF AS RECORDED IN PLAT BOOK 2 AT PAGE(S) 106 THROUGH 112,

INCLUSIVE, OF THE PUBLIC RECORDS OF MARION COUNTY, FLORIDA.

I11l1\ I I~I U45842863-10MF13


I\I~
\1\\1\11'1 '1'1'11111l'II'lllll111111"\111\1\\\1"11II"11'111\"IIIII"!

MORTGAGE

US Recordings

FL 1" Mortgage
Page 9
4
INFORMATION CONCERNING OPTIONS AVAILABLE ON YOUR
FEDERALLY INSURED HOME EQUITY CONVERSION MORTGAGE

Contact Us:

Reverse Mortgage Solutions understands that people sometimes face personal and financial difficulties.
Whether you have received a letter informing you that your loan is in default, you are facing foreclosure
or you are just interested in obtaining information about what foreclosure alternatives are available to
you with a reverse mortgage, we urge you to contact us at 866-799-7724 during regular business hours.

We have representatives ready to take your call Monday-Friday between the hours of 8:00 a.m. to 5:00
p.m..

Other Assistance That Might Be Available to You:

You may be eligible for homeownership counseling. These services are provided by non-profit organizations
approved by the United States Department of Housing and Urban Development (HUD) and experienced in the
provision of Homeownership Counseling. You can obtain a list of HUD approved counseling agencies in your
area by calling toll-free 1-800-569-4287 or online at http://www.hud.gov/offices/hsg/sfh/hcc/hcs.cfm.

You can also review the HUD approved Home Equity Conversion Mortgage (HECM) Counselor Roster
at https://entp.hud.gov/idapp/html/hecm_agency_look.cfm.

You may also find the following link to the Fannie Mae Assistance Program helpful:
www.knowyouroptions.com.

New York State – You may obtain a list of government approved not-for-profit housing counselors in
your geographic area by visiting the below websites:

Department of Financial Services – www.dfs.ny.gov


Division of Housing and Community Renewals -- www.nyshcr.org

What does HECM mean?

HECM means Home Equity Conversion Mortgage. The HECM program is the Federal Housing
Administration’s (FHA) federally insured reverse mortgage program.

Am I personally liable for amounts owed on the HECM?

HECM’s are non-recourse loans and you, and your heirs, will not be personally liable for the amounts owed.
You and your heirs will not be pursued for any deficiency after foreclosure or after any short sale or 95% payoff
that is completed in accordance with the rules, regulations and guidelines of the United States Department of
Housing and Urban Development (“HUD”).
What Options Are Available When the HECM loan becomes due and payable?

Once a HECM has become due and payable, the following options may be available to the borrower or the
borrower’s estate:

(1) Payoff Loan. The reverse mortgage loan can be paid off by paying the full amount of the debt owed on the
loan via wire transfer or certified funds (cashier’s check or money order). Please do not send cash. A payoff
statement may be obtained by faxing a request from the borrower or authorized person on the loan to the
following: 866-790-3451. You can call to discuss this option and receive further instructions. Please note
that when the last borrower is deceased, an heir or the borrower’s estate may be entitled to a 95% Payoff
described below.

(2) Non-Borrowing Spouse. If the borrower has passed away and there is a surviving spouse who was not a
borrower on the reverse mortgage note, please contact us to discuss whether there may be any other options
available. HUD has provided guidance that permits a surviving non-borrowing spouse to remain in the home,
but only if very specific requirements are met. However, the servicer must be contacted immediately as the
timeframe for pursuing this option is limited. Please note that additional documentation and information will
be required to determine whether the loan and non-borrowing spouse are eligible to be considered for the
option and the non-borrowing spouse must continue to meet all obligations of the loan.

(3) Rights of Borrower’s Estate’s or Heirs to a 95% Payoff. This option is only available when the last
borrower on the reverse mortgage loan is deceased. When a HECM loan becomes due and payable as a result
of the borrower’s death and the property is conveyed by will or operation of law to the borrower’s estate or
heirs (including a surviving spouse who is not obligated on the HECM note) that party (or parties if there are
multiple heirs) may satisfy the HECM debt by paying the lesser of (1) the full amount of the debt owed on
the loan or (2) 95% of the current appraised value of the property. You must contact us immediately and
inform us of your intent to pursue this option and obtain all necessary documents. It will be necessary for us
to order an appraisal of the property through a HUD approved appraiser to determine the current appraised
value. It is important that you provide us with the contact information (name and telephone number) of
someone who will grant an appraiser access to the property so that the required interior appraisal can be
conducted. Please note that if you are using a lender to finance the amounts necessary to pay off the loan,
they may have additional requirements.

IMPORTANT: Pursuant to HUD guidance, in certain instances the 95% Payoff option may only available
when there is a post-death conveyance. This means that if you owned the property prior to the borrower’s
death (for instance, if your name was on the deed or title to the property at the time the borrower died), you
might not qualify for this option.

(4) Third-Party Sale of the Property (Including Third-Party Short Sale). The reverse mortgage loan can be
satisfied by selling the property to a third-party buyer and using the sale proceeds to pay off the loan. The
property can be sold for the lesser of (1) the full amount of debt owed on the loan or (2) an amount that is at
least 95% of the current appraised value of the property. You must contact us immediately and inform us of
your intent to pursue this option and obtain all necessary documents. It will be necessary for us to order an
appraisal of the property through a HUD approved appraiser to determine the current appraised value. It is
important that you provide us with the contact information (name and telephone number) of someone who
will grant an appraiser access to the property so that the required interior appraisal can be conducted.
(5) Enter into a Deed in Lieu of Foreclosure. We may be able to accept a deed in lieu of foreclosure, which
avoids the foreclosure process by permitting you to deed the Property to the mortgagee. If the borrower or
the borrower’s estate is interested in this option, the next steps are to (1) fill out and sign the Important Notice
and check the box for deed in lieu of foreclosure or (2) prepare a written request to enter into a deed in lieu
of foreclosure and return either the executed Important Notice or the written request to the loan servicer as
follows (1) if by mail, send to 14405 Walters Rd., Suite 200, Houston, TX 77014 or (2) if by fax, then fax
to 866-790-3451. Please note that to complete a deed in lieu transaction: (1) all parties with an interest in
the property may need to execute the deed in lieu or other documents, (2) good marketable title must be
conveyed and (3) the property must be vacant and cleared of all personal items, trash and debris.

(6) Cure the Default that Caused the Loan to Become Due and Payable. If the loan has become due and
payable for reasons other than death (such as failure to pay property taxes or insurance or failure to occupy
the property as a primary residence), then you may be able to cure the default by taking actions to correct the
default that resulted in the loan becoming due and payable. Please call immediately to discuss your options.

(7) Walk Away. There is always the option of walking away and permitting the lender to foreclose. This is a
non-recourse reverse mortgage loan and the borrower, the borrower’s estate and borrower’s heirs will not be
pursued for a deficiency judgment after a foreclosure.

Appraisal Vendors: HUD requires that an appraisal of the property be performed by a HUD approved appraiser.
Once the reverse mortgage loan is due and payable, you may be contacted by an appraiser used by our appraisal
vendor to schedule an appointment to visit the property.

Documents Required: Please help us to help you by promptly providing us with the information and documents
we need to assist you in pursuing your options. If you desire to sell the property, enter into a third-party short sale
transaction, enter into a deed in lieu of foreclosure or the borrower is deceased and you believe you are entitled to the
95% payoff option, there is information we must obtain from you.

 First, fill out and return the form called “Important Notice” and inform us of your intentions with respect to the
property.
 Second, during the sale of the property or the 95% payoff option copies of the following documents must be
provided. Please note that the applicability of the documents listed varies based on the reason that the loan has
become due and payable and all documents listed will not be applicable to your situation.

o Contact information (name and telephone number) of someone who will grant access to the property so that the
required interior appraisal can be conducted.
o A copy of the borrower’s death certificate;
o A complete copy of the Power of Attorney or Guardianship document;
o A complete copy of the court appointment of the executor, administrator or personal representative of the
deceased borrower’s estate;
o A complete copy of borrower’s trust and appointment of trustee;
o Letters testamentary or letters of administration, if any;
o If you are planning to refinance, a copy of the loan approval letter from your new lender;
o If you are selling the property with a realtor, a copy of the listing agreement;
o If you are selling the home yourself, please provide proof of these attempts;
o When you accept an offer to sell the property, provide a copy of the sales contract;

Depending on your situation, not all of these documents may be necessary.

What if my HECM loan is not yet due and payable?

Contact us to discuss your options. You can pay off the loan or you may have options of entering into a deed-in-
lieu of foreclosure or selling the home to a third-party in an approved short sale based on the current appraised
value as determined by a HUD-approved appraiser.

What if my reverse mortgage is not a federally insured HECM?

Contact us to discuss your options.


5
IN THE CIRCUIT COURT OF THE FIFTH
JUDICIAL CIRCUIT OF FLORIDA IN AND FOR
MARION COUNTY

CASE NO. 42-20 I3-CA-OOO 115-AXXX-XX

REVERSE MORTGAGE SOLUTIONS, INC.,

Plaintiff,

vs.

NEIL J. GILLESPIE AND MARK GILLESPIE


AS CO-TRUSTEES OF THE GILLESPIE
FAMILY LIVING TRUST AGREEMENT
DATED FEBRUARY 10,1997; OAK RUN
HOMEOWNERS ASSOCIATION, INC.;
UNITED STATES OF AMERICA, ON
BEHALF OF THE SECRETARY OF
HOUSING AND URBAN DEVELOPMENT;
ELIZABETH BAUERLE; MARK
GILLESPIE; NEIL J. GILLESPIE;
DEVELOPMENT & CONSTRUCTION 0'::]
.......,

0:::>
CORPORATION OF AMERICA; UNKNOWN :J::"- :>
:t> rri ~~ -..I
.. ,­ l
SPOUSE OF ELIZABETH BAUERLE; ~~~~~.. <-
c
r
­
.~

UNKNOWN SPOUSE OF MARK "- ~-'

~:.:. ;._~
--1-
rlJ
GILLESPIE; UNKNOWN SPOUSE OF NEIL (J(':;~_ 0:> C:Jr
J. GILLESPIE; UNKNOWN E~~Jj ~<fTl
z--: -0 ::7)C1
SETTLERS/BENEFICIARIES OF THE --1. c:~: ::r::
/ ....J,;.~,
GILLESPIE FAMILY LIVING TRUST .. Cl

~~~~
~

:?'
AGREEMENT DATED FEBRUARY 10, 1997;
UNKNOWN TRUSTEES, SETTLERS AND W

BENEFICIARIES OF UNKNOWN
SETTLERS/BENEFICIARIES OF THE
GILLESPIE FAMILY LIVING TRUST
AGREEMENT DATED FEBRUARY 10,1997;
UNKNOWN TENANT IN POSSESSrON 1
and UNKNOWN TENANT IN POSSESSION
2,

Defendants.
- - - - - - - - - - - - - - - -/

FINAL JUDGMENT OF FORECLOSURE


THIS ACTION came before the Court at Non-Jury Trial on July 18,2017. Based on the
evidence presented and being otherwise fully informed in the premises,
ORDERED AND ADJUDGED that:

5543731 12-02121-2

DAVID R ELLSPERMANN CLERK & COMPTROLLER MARION CO


CFN# 2017065654 BK 6612 Pgs 0679-0684 07/19/2017 05:43:26 PM
REC FEE INDEX
1. This Court has jurisdiction of foreclosure cases pursuant to Florida Statutes.
Service of process has been secured upon all parties.

2. Plaintiff holds a lien for the total sum in this Final Judgment, which is superior
and prior to the right, title interest, claims of lien, encumbrances and equities of the following
Defendants: NEIL J. GILLESPIE AND MARK GILLESPIE AS CO-TRUSTEES OF THE
GILLESPIE FAMILY LIVING TRUST AGREEMENT DATED FEBRUARY 10, 1997; OAK
RUN HOMEOWNERS ASSOCIATION, INC.; UNITED STATES OF AMERICA, ON
BEHALF OF THE SECRETARY OF HOUSING AND URBAN DEVELOPMENT;
ELIZABETH BAUERLE; MARK GILLESPIE; NEIL J. GILLESPIE; DEVELOPMENT &
CONSTRUCTION CORPORATION OF AMERICA; UNKNOWN SPOUSE OF ELIZABETH
BAUERLE; UNKNOWN .SPOUSE OF MARK GILLESPIE; UNKNOWN
SETTLERS/BENEFICIARIES OF THE GILLESPIE FAMILY LIVING TRUST AGREEMENT
DATED FEBRUARY 10,1997; UNKNOWN TRUSTEES, SETTLERS AND BENEFICIARlES
OF UNKNOWN SETTLERSIBENEFICIARIES OF THE GILLESPIE FAMILY LIVING
TRUST AGREEMENT DATED FEBRUARY 10, 1997, and all others claiming through or on
behalf of said defendants, on the following real property:

Lot(s) 1, Block G, OAK RUN WOODSIDE TRACT, according to the Plat thereof as
recorded in Plat Book 2 at Page(s) 106 through 112, inclusive of the Public Records of
Marion County, Florida.
a/kJa 8092 SW 115th Loop, Ocala, FL 34481

3. Plaintiff, REVERSE MORTGAGE SOLUTIONS, INC., C/O 2727 Spring Creek


Drive, Spring, TX 77373 (servicer's address), is due the following:

Principal $123,200.85

Interest to date of this judgment until 7/18/2017 $184.20


Monthly Service Fee $30.00
Property Inspections $1,320.00
Filing Fees $4,549.60

554373·1 12-0212] -2

DAVID R ELLSPERMANN MARION COUNTY FL


CFN# 2017065654 OR BK 6612 PG 680 Pgs 0679-0684 07/19/2017 05:43:26 PM
Attorney's fees
Finding as to reasonable hourly rate: $175.00
Attorney's Fees Total $19,109.00

TOTAL $148,363.32

Said total shall bear interest at the rate of 5.17% a year.

4. This is an IN ~M judgment against Neil J. Gillespie as record title owner of the


real property herein described.' All other Defendants' interests are in the form of inferior liens to
Plaintiff's note and mortgage. As such, said liens are extinguished subject to any statutory right
of redemption as outlined further in this final judgment.

5. If tl1e total sum with interest at the rate described in paragraph 3 and all costs
accrued subsequent to this judgment are not paid, the clerk of this court shall sell the property at
public sale on ~f)tEMbEC /q ,20fl, at 11:00 AM to the highest bidder for cash,
I
except as prescribed in paragraph 6, at 11 :00 AM electronically at
www.Marion.realforeclose.comin accordance with section 45.031, Florida Statutes.

6. Plaintiff shall advance all subsequent costs of this action and shall be reimbursed
for them by the clerk if Plaintiff is not the purchaser of the property for sale, provided, however,
that the purchaser of the property for sale shall be responsible for the documentary stamps
payable on the certificate of title. If Plaintiff is the purchaser, the clerk shall credit Plaintiffs bid
with the total sum with interest and costs accruing subsequent to this judgment, or such part of it,
as is necessary to pay the bid in full.

7. On filing the Certificate of Title, the clerk shall distribute the proceeds of the sale,
so far as they are sufficient, by paying: first, all of Plaintiffs costs; second, documentary stamps
affixed to the certificate; third, Plaintiffs attorneys' fees; fourth, the total sum due to Plaintiff,
less the items paid, plus interest at the rate prescribed in paragraph 3 from the date of this
jud~ent to the date of the sale; and by retaining any remaining amount pending the further
Order of this court.

554373] 12..02]21-2

DAVID R ELLSPERMANN MARION COUNTY FL


CFN# 2017065654 OR BK 6612 PG 681 Pgs 0679-0684 07/19/2017 05:43:26 PM
8. On filing the Certificate of Sale, Defendant(s) and all persons claiming under or
against Defendant(s) since the filing of the Notice of Lis Pendens shall be foreclosed of all estate
or claim in the property, except as to claims or rights under chapter 718 or chapter 720, Florida
Statutes, if any. Upon the filing of the certificate of title, the person named on the certificate of
title shall be let into possession of the property. If any Defendant remains in possession of the
property, the clerk shall not, without further Order of the court, issue forthwith a writ of
possession upon request of the person named on the Certificate of Title.

9. The right of redemption of any Defendant is terminated upon the issuance of the
Certificate of Sale by the clerk of court pursuant to the provisions of Florida Statutes 45.0315.

10. The Court retains jurisdiction of this action to enter further Orders that are proper
including, without limitation, writs of possession, deficiency judgments and re-foreclosure of
omitted parties and to determine the amount of assessments due pursuant to Florida Statutes
718.116 or 720.3085, if applicable.

11. In the event the instant case is dismissed by the Plaintiff, the Clerk of Court is
hereby directed to release any original loan documents filed with the Court to counsel of record
for Plaintiff.

Plaintiff hereby assigns the bid to Federal National Mortgage Association and the
Certificate of Title shall be issued to said entity.

IF THIS PROPERTY IS SOLD AT PUBLIC AUCTION, THERE MAY BE ADDITIONAL


MONEY FROM THE SALE AFTER PAYMENT OF PERSONS WHO ARE ENTITLED
TO BE PAID FROM THE SALE PROCEEDS PURSUANT TO THIS FINAL
JUDGMENT.

IF YOU ARE A SUBORDINATE LIENHOLDER CLAIMING A RIGHT TO FUNDS


REMAINING AFTER THE SALE, YOU MUST FILE A CLAIM WITH THE CLERK NO
LATER THAN 60 DAYS AFTER THE SALE. IF YOU FAIL TO FILE A CLAIM YOU
WILL NOT BE ENTITLED TO ANY REMAINING FUNDS.

5543731 12-02121-2

DAVID R ELLSPERMANN MARION COUNTY FL


CFN# 2017065654 OR BK6612 PG 682 Pgs 0679-068407/19/201705:43:26 PM
IF YOU ARE THE PROPERTY OWNER, YOU MAY CLAIM THESE FUNDS
YOURSELF. YOU ARE NOT REQUIRED TO HAVE A LAWYER OR ANY OTHER
REPRESENTATION AND YOU DO NOT HAVE TO ASSIGN YOUR RIGHTS TO
ANYONE ELSE IN ORDER FOR YOU TO CLAIM ANY MONEY TO WHICH YOU
ARE ENTITLED. PLEASE CHECK WITH THE CLERK OF THE COURT FOR
MARION COUNTY, TELEPHONE NUMBER (352) 671-5610, 110 NW 1ST AVE,
OCALA, FL 34475, WITHIN TEN (10) DAYS AFTER THE SALE TO SEE IF THERE IS
ADDITIONAL MONEY FROM THE FORECLOSURE SALE THAT THE CLERK HAS
IN THE REGISTRY OF THE COURT.

IF YOU DECIDE TO SELL YOUR HOME OR HIRE SOMEONE TO HELP YOU


CLAIM THE ADDITIONAL MONEY, YOU SHOULD READ VERY CAREFULLY ALL
PAPERS YOU ARE REQUIRED TO SIGN, ASK SOMEONE ELSE, PREFERABLY AN
ATTORNEY WHO IS NOT RELATED TO THE PERSON OFFERING TO HELP YOU,
TO MAKE SURE THAT YOU UNDERSTAND WHAT YOU ARE SIGNING AND THAT
YOU ARE NOT TRANSFERRING YOUR PROPERTY OR THE EQUITY IN YOUR
PROPERTY WITHOUT THE PROPER INFORMATION. IF YOU CANNOT AFFORD
TO PAY AN ATTORNEY, YOU MAY CONTACT MARION COUNTY LEGAL AID, 1610
SE 36TH AVE., OCALA, FL 34471, 352-629-0105 TO SEE IF YOU QUALIFY
FINANCIALLY FOR THEIR SERVICES. IF THEY CANNOT ASSIST YOU, THEY
MAY BE ABLE TO REFER YOU TO A LOCAL BAR REFERRAL AGENCY OR
SUGGEST OTHER OPTIONS. IF YOU CHOOSE TO CONTACT FLORIDA RURAL
LEGAL SERVICE FOR ASSISTANCE, YOU SHOULD DO SO AS SOON AS POSSIBLE
AFTER RECEIPT OF TmS NOTICE.

DONE AND ORDERED at Marion County, Florida, this '~da of ~~~--

2017.

Copies to parties on the attached service list.

5543731 12-02121-2

DAVID R ELLSPERMANN MARION COUNTY FL


CFN# 2017065654 OR BK 6612 PG 683 Pgs 0679-0684 07/19/2017 05:43:26 PM
SERVICE LIST

MCCALLA RAYMER LEIBERT PIERCE, LLC


225 E. ROBINSON ST. SUITE 155
ORLANDO, FL 32801

Neil J. Gillespie
8092 SW 115th Loop
Ocala, FL 34481
neiIgillespie@lnfi.net

Colleen Murphy Davis, Assistant United States Attorney (IRS)


400 North Tampa Street, Suite 3200
Tampa, FL 33602 .
USAFLM.HUD@usdoj.gov
Jaxsfforeclosures@hud.gov

Oak Run Homeowners Association, Inc.


7480 SW Highway 200
Ocala, FL 34476

Neil J. Gillespie and Mark Gillespie as Co-Trustees of the Gillespie Family Living Trust AgreeJnent dated
February 10,1997
8092 SW 115th Loop
Ocala, FL 34481

Unknown spouse of Mark Gillespie n/k/a Joetta Gillespie


7504 Summer Meadows Drive
Ft. Worth, TX 76123

Development & Construction Corporation ofAmerica


clo Registered Agent: Priya Ghulnman
10983 SW 89 Avenue
Ocala, FL 34481

Unknown Settlors/Beneficiaries ofThe Gillespie Family Living Trust Agreement dated February 10, 1997
8092 SW 11 5th Loop
Ocala, FL 34481

Elizabeth Bauerle n/k/a Elizabeth Bidwood


7504 Summer Meadow Drive
Ft. Worth, TX 76123

Unknown spouse of Elizabeth Bauerle


6356 SW 1o6th Place
Ocala, FL 34476 ~.~~lFY~TAN~ ..
;1EOFHASl1EENFURNlSHEDBYU.S~a .
A1LTQ" '. '.
Mark Gillespie
7504 Summer Meadows Drive /lI.( tJsfed ·.4r~/~J . :­
Ft. Worth, TX 76123
ilts" 19'. DAy~-r~/r . .:"~"~
5543731
.?R-P~. -. .. 0,(:
12-02121-2

DAVID R ELLSPERMANN MARION COUNTY FL


CFN# 2017065654 OR BK 6612 PG 684 Pgs 0679-0684 07/19/201705:43:26 PM
6/7/2019 Middle District of Florida Live Database

Claim History
6
Detailed Description of Claim Activity 5-1
-------------------------------------------------------------------------------------------------------------------
-----
Date of Change Made
Description of Change
Change by
Melbalynn Created Amount Claimed: $185966.75
05/17/2019
Fisher Created Secured Claimed Amount: $185966.75

Created Filed By: Creditor


Created Date Filed: 05/17/2019

Created Description: This is an Reverse Mortgage; there is no arrearage.


Created Remarks: Please forward all payments to Reverse Mortgage So
lutions, Bankruptcy Department, 2727 Spring Creek
Drive, Spring, TX 77373

PACER Service Center


Transaction Receipt
06/07/2019 01:56:34
PACER Login: ng0053:2606585:0 Client Code: njg
Description: Claim History Search Criteria: 3:19-bk-00808-JAF
Billable Pages: 1 Cost: 0.10

https://ecf.flmb.uscourts.gov/cgi-bin/ClaimHistory.pl?1277865,5-1,4968591,3:19-bk-00808-JAF 1/1
STATE OF FLORIDA

HON. KERRY I. EVANDER .JUDICIAL QUALIFICATIONS COMMISSION


CHAIR
POST OFFICE BOX I 4 I 06
HON. JAMES A. RLJTH
VICE¥ CHAIR TALLAHASSEE. FLORIDA 323 I 7
MICHAEL L. SCHNEIDER (850) 488-158 I
EXECunVE DIRECTOR
GENERAL COUNSEL

ALEXANDER J. WILLIAMS
ASSISTANT GENERAL COUNSEL
January 17,2017

Neil Gillespie
8092 SW 115th Loop

Ocala, FI 34481

Re: Docket No. 16-561; Craggs

Dear Mr. Gillespie:

The Investigative Panel of the Commission has completed its


review of your complaint in the above matter and has determined, at
its most recent meeting, that the concerns you have expressed are
not allegations involving a breach of the Code of Judicial Conduct
warranting further action by the Commission but are matters for
review through the normal court process.

The purpose of the Commission is to determine the existence of


judicial misconduct and disability as defined by the Constitution and
the laws of the State of Florida. If such misconduct or disability is
found, the Commission can recommend disciplinary action to the
Florida Supreme Court. The Commission has found no basis for
further action on your complaint that therefore has been dismissed.

Sincerely yours,

AleX~J. Williams
Assistant General Counsel

AJWjmc

Inquiries by the Commission are confidential pursuant to Art. V, Sec /2(a)(4) ofthe Florida
Constitution and Rule 2.420, Florida Rules ofJudicial Administration.
STATE OF FLORIDA

HON. KRISTA MARX ..JUDICIAL QUALIFICATIONS COMMISSION MICHAEL L. SCHNEIDER


CHAIR EXECunVE DIRECTOR
POST OFFICE BOX I 4 I 06
HON. MICHELLE T MORLEY
VICE· CHAIR TALLAHASSEE, FLORIDA 323 I 7 ALEXANDER .J. WILLIAMS
GENERAL COUNSEL
(850) 488- I 58 I

March 12,2019

Neil Gillespie
8092 SW 115th Loop
Ocala, FI 34481

Re: Docket No. 19-032; Craggs

Dear Mr. Gillespie:

The Investigative Panel of the Commission has completed its


review of your complaint in the above matter and has determined, at
its most recent meeting, that the concerns you have expressed are not
allegations involving a breach of the Code of Judicial Conduct
warranting further action by the Commission but are matters for
review through the normal court process.

The purpose of the Commission is to determine the existence of


judicial misconduct and disability as defined by the Constitution and
the laws of the State of Florida. If such misconduct or disability is
found, the Commission can recommend disciplinary action to the
Florida Supreme Court. The Commission has found no basis for
further action on your complaint that therefore has been dismissed.

Sincerely yours,

~J. Williams
General Counsel

AJWjmc

Inquiries by the Commission are confidential pursuant to Art. V, Sec 12(a)(4) ofthe Florida
Constitution and Rule 2.420, Florida Rules ofJudicial Administration.