Florio v. Lau

Opinion

VARTABEDIAN, J.

This appeal raises a statutory interpretation issue of first impression, involving the interplay between Code of Civil Procedure section 726, which concerns deficiency judgments after judicial foreclosure sales of real property, and California Uniform Commercial Code section 9501, subdivision (4), the so-called “mixed collateral statute.” We must resolve the following question: When a debtor secures a single obligation with “mixed collateral” (that is, with a combination of real and personal property) and when the secured creditor would otherwise be entitled to a…