Old Kent Bank v. Sobczak

Defendants Michelle Sobczak and Timothy Obetts appeal as of right the trial court’s order granting plaintiff Old Kent Bank (the Bank) summary disposition pursuant to MCR 2.116(C)(8) and (C)(10), effectively affirming the Bank’s decision to repossess their boat pursuant to a preferred ship mortgage (the ship mortgage). We reverse and remand.

I. basic facts and procedural history

On July 24, 1996, Sobczak and Obetts purchased a forty-four-foot 1995 Sea Ray boat. They borrowed $372,016.05 from the Bank to finance this purchase and executed the ship mortgage on the boat and a second mortgage on…