Kendrick v. Deutsche Bank National Trust Co. (In Re St. Clair)

OPINION

JAMES D. GREGG, Bankruptcy Appellate Panel Judge.

In this appeal, L. Craig Kendrick (“Trustee”) seeks to avoid a mortgage on the Debtors’ real property because the certificate of acknowledgment was defective as the Debtors were not present before the notary when they executed the mortgage. The bankruptcy court determined that the notary’s acknowledgment was immune from attack by the Trustee under Kentucky Revised Statute § 61.060. This state statute limits challenges to an official’s certificate to a direct action against the official or to instances based upon allegations of fraud or…