OCGA 44-14-3 Interpretation
In Franklin Credit Mgmt. Corp. v. Friedenberg, 275 Ga. App. 236, 237 (1) (a) (620 SE2d 463) (2005) the grantee of a security deed and payee of a note received payoff of the note along with a written demand from the grantor to have the security deed cancelled or be liable for $ 500 in liquidated damages and reasonable attorney fees under OCGA 44-14-3 (c).
Because the grantee failed to do so until after suing the grantor on the note four years after it had been satisfied, we held that the grantor was entitled to summary judgment on her counterclaim for liquidated damages and reasonable attorney fees under OCGA 44-14-3 (c).
In Heritage Creek Dev. Corp. v. Colonial Bank, 268 Ga. App. 369, 372 (2) (601 SE2d 842) (2004) the grantor of a security deed sued the grantee for, among other things, failing to timely release certain property from the security deed as required by OCGA 44-14-3.
The Court held that the grantor had waived this claim in certain loan modification documents it had signed after the claim arose but long before suit was filed.
The Court also held that the grantor had failed to show its entitlement to other damages under OCGA 44-14-3 (c) for loss caused by the grantee's violation of the statute.