Appellate Division, Second Department · November 4, 2026 · 2026 NY Slip Op 06409
Blue Castle (Cayman), Ltd. v Dacosta
Read the official decision: 2026 NY Slip Op 06409
Holding The court affirmed the foreclosure judgment, holding that New York’s statute of limitations does not apply to mortgage foreclosure actions where the note was previously held by a federal agency like GNMA. As an assignee of a federal agency, the plaintiff was immune from state limitations periods, thereby defeating the defendants’ affirmative defense that the action was time-barred.
The court’s words
There is no federal statute of limitations applicable to mortgage foreclosure actions brought by the United States or its federal agencies
2026 NY Slip Op 06409, at the official text
That rule applies equally to an assignee of a federal agency, including a commercial lender, and includes the benefit of immunity from a state limitations period
2026 NY Slip Op 06409, at the official text
the plaintiff, as an assignee of a federal agency, demonstrated that New York's statute of limitations was inapplicable
2026 NY Slip Op 06409, at the official text
| Court | Appellate Division, Second Department |
|---|---|
| Decided | November 4, 2026 |
| Citation | 2026 NY Slip Op 06409 |
| Area of law | Real Property |
| Week | Week ending November 7, 2026 |
| Official text | Official decision: 2026 NY Slip Op 06409 |
| Publication status | Slip opinions are uncorrected and subject to revision before publication in the Official Reports. |
| Source feed | New York slip opinion page |
| Law Watch record id | 1704 |
Recommended citation
ESQ HQ, New York Law Watch, Blue Castle (Cayman), Ltd. v Dacosta, 2026 NY Slip Op 06409 (Appellate Division, Second Department, November 4, 2026), https://esqhq.com/decisions/2026-ny-slip-op-06409/
How this record was made
Holding drafted by Law Watch’s in-house model, graded by three reviewers; every quotation verified word for word against the official text.
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