IN THE SUPREME COURT OF THE STATE OF NEVADA

SFR INVESTMENTS POOL 1, LLC, A No. 63914 NEVADA LIMITED LIABILITY COMPANY, Appellant, vs. FIRST HORIZON HOME LOANS, A FILED DIVISION OF FIRST TENNESSEE NOV 1 4 2014 BANK, N.A., A NATIONAL TRACE K LINDEMAN CLERK....9F SUPREME COURT ASSOCIATION, BY Respondent. DEPUTY CLERK

ORDER VACATING AND REMANDING This is an appeal from a district court order denying a preliminary injunction in a quiet title action. Eighth Judicial District Court, Clark County; Joanna Kishner, Judge.

The district court denied SFR Investments' preliminary injunction motion, finding that SFR Investments failed to demonstrate a reasonable likelihood of success on the merits because "Plaintiff has not established that it is likely to be found to be a bona fide purchaser." This court's recent disposition in SFR Investments Pool 1, LLC v. U.S. Bank, N.A., 130 Nev. , 334 P.3d 408 (2014), decides that a common-interest community association's NRS 116.3116(2) superpriority lien has true priority over a first security interest, and the association may nonjudicially foreclose on that lien. Thus, the district court's decision, insofar as it was based on the conclusion that appellant had record notice of a first-priority security interest, was based on an erroneous

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I Li- 375(02 interpretation of the controlling law and did not reach the other issues colorably asserted. Accordingly, we VACATE the order denying preliminary injunctive relief AND REMAND this matter to the district court for further proceedings consistent with this order.

reicittLcc J.

Hardesty

CHERRY, J., concurring: For the reasons stated in the SFR Investments Pool 1, LLC v. U.S. Bank, N.A., 130 Nev. 334 P.3d 408 (2014), dissent, I disagree that respondent lost its lien priority by virtue of the homeowners association's nonjudicial foreclosure sale. I recognize, however, that SFR Investments is now the controlling law and, thusly, concur in the disposition of this appeal.

J.

cc: Hon. Joanna Kishner, District Judge

SUPREME COURT OF NEVADA (0) 1947A Howard Kim & Associates Ballard Spahr, LLP Eighth District Court Clerk

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