1650 East 47th LLC v. 360 Degrees of Perfection

2025 Pa. Super. 23, 331 A.3d 63
Superior Court of Pennsylvania·Decided January 28, 2025·No. 280 WDA 2024·Published·Cited by 3 cases

Opinion

2025 PA Super 23

1650 EAST 47TH LLC : IN THE SUPERIOR COURT OF : PENNSYLVANIA

:

v. :

:

:

360 DEGREES OF PERFECTION, : HOAG INC., STEVEN HOAG, : INDIVIDUALLY, SUSAN HOAG, : No. 280 WDA 2024 INDIVIDUALLY, RICHARD E. HOAG, : SR., INDIVIDUALLY, AND PNC BANK, : GARNISHEE :

:

:

APPEAL OF: RICHARD E. HOAG, SR. :

Appeal from the Order Entered February 1, 2024 In the Court of Common Pleas of Erie County Civil Division at No(s): No.

10462-23

BEFORE: BOWES, J., BECK, J., and BENDER, P.J.E. OPINION BY BECK, J.: FILED: January 28, 2025 Richard Hoag, Sr. (“Hoag”) appeals from the order entered by the Erie County Court of Common Pleas (“trial court”) denying his petition to strike a foreign judgment. Hoag argues that the trial court should have struck the judgment because he was not provided notice of the underlying judgment, which constituted a fatal defect and rendered the judgment void. Upon review, we reverse and remand.

This appeal arises from extensive litigation between 1650 East 47th Street LLC (“1650 East”), and Hoag in his capacity as an officer of 360 Degrees

of Perfection LLC (“360 Degrees”) and Hoag Inc., LLC. 1 In September 2020, 1650 East initiated a lawsuit against 360 Degrees in the District Court for the County of Jefferson in Colorado (“the Colorado court”), resulting from a commercial landlord-tenant dispute between the two parties. 1650 East also named Hoag, Inc. and Hoag, Steven, and Susan in their individual capacities as officers of 360 Degrees as additional defendants.

On October 9, 2020, all the involved parties entered a stipulation in the Colorado court, resolving all claims between them. Pursuant to the stipulation, the defendants would tender payments to 1650 East on identified dates to resolve the outstanding claims and attorneys’ fees. The stipulation also stated that “[t]he Plaintiff may amend the judgment from time to time to reflect additional amounts as they accrue.” Stipulation, 10/9/2020, at 3 (unnumbered). 1650 East filed a motion for the entry of judgment pursuant to the stipulation on October 20, 2020. The Colorado court entered judgment against the defendants on November 12, 2021, in the amount of $10,074.84. Subsequently, on November 22, 2021, the defendants filed a motion to set aside judgment in the Colorado court, arguing, inter alia, that they were not provided proper notice of any hearings that occurred for violating the terms

1 Hoag’s brother, Steven Hoag (“Steven”), and sister-in-law, Susan Hoag (“Susan”), were also defendants in this litigation as officers of 360 Degrees. However, Hoag is the only defendant involved in this appeal.

of the stipulation2 or the amount owed pursuant to the stipulation. The Colorado court denied that motion on December 28, 2021.

On September 29, 2022, 1650 East filed a motion to amend the judgment from $10,074.84 to $133,206.83, seeking additional rents, utilities, late fees, commissions, and attorneys’ fees. Relevant herein, in the certificate of service attached to the motion, 1650 East indicated only that it served the motion on 360 Degrees at “6105 W. 55th Avenue, Suite C1 Arvada, CO 80002.” The certificate does not indicate that service was made on any other parties or addresses. The Colorado court granted that motion on October 24, 2022, and entered judgment in favor of 1650 East in the amount of $133,206.83 against the defendants, including Hoag.

On February 28, 2023, 1650 East filed a praecipe to transfer the amended judgment from the Colorado court to the trial court for the purpose of execution of that judgment against the defendants. 1650 East attached an affidavit to the praecipe, noting Hoag’s correct personal address in Erie. 1650 East then filed an amended praecipe to transfer foreign judgment on March 2, 2023, specifying that the transfer of judgment was only as to Hoag, not the remaining defendants. The trial court entered judgment against Hoag on March 2, 2023. 1650 East then filed a praecipe for writ of execution on Hoag’s personal property.

2 The docket does not reflect that there were any hearings or claimed violations of the stipulation prior to the November 2022 motion.

A sheriff’s sale was subsequently scheduled for October 10, 2023, at Hoag’s personal address in Erie. On the date of the sheriff’s sale, Hoag filed a petition to strike the foreign judgment for want of due process. 1650 East filed an answer to the petition to strike and supportive brief, arguing, in relevant part, that any issues related to service were already litigated in the Colorado court. 1650 East additionally pointed to Hoag’s receipt of the original motion for entry of judgment pursuant to the stipulation in October 2020, which effectively ended litigation and the opportunity to address the defendants’ concerns related to service. Alternatively, 1650 East asserted that Hoag received notice of the motion to amend judgment in September 2022, as the motion was sent to the Colorado address used by 360 Degrees, and also received the order granting the amendment at his Erie address, purportedly concluding that this cured any due process concern. Lastly, 1650 East raised jurisdictional arguments based on Hoag’s failure to take any legal action in Colorado to challenge the amended judgment and his failure to timely file his petition to strike in Pennsylvania, which was filed seven months after he received notice of the amended praecipe to transfer foreign judgment.

The trial court granted a stay pending resolution of the petition to strike and held a hearing on December 7, 2023. At that hearing, Hoag argued that 1650 East’s amended judgment was obtained in a manner that violated his right to procedural due process, which constituted a fatal defect. Hoag testified that he was never provided notice of 1650 East’s motion to amend

judgment, noting that the motion to amend judgment filed on September 29, 2022, was addressed only to “360 Degrees of Perfection, LLC, at 6105 W. 55th Avenue, Suite C1, Arvada, CO, 80002,” an address that, according to Hoag, had been expired for approximately eight months. He acknowledged that he received the order granting the amended judgment at his personal address in Erie, Pennsylvania, but argued that the order had already been granted, thereby depriving him of a reasonable opportunity to respond to the motion.

Susan testified regarding her communication by email with an officer of 1650 East on April 8, 2022, where she provided 360 Degrees’ updated address of 6340 West 56th Avenue, Unit 1, Arvada, CO 80002. She testified that several months prior to filing the motion to amend the judgment, 1650 East had towed three of 360 Degrees’ vehicles from its expired address to its new address, demonstrating that 1650 East knew of 360 Degrees’ new address, but nonetheless mailed the September 2022 motion to amend judgment to the expired address.

The trial court denied Hoag’s petition to strike the foreign judgment.

Hoag filed a timely notice of appeal and a statement of matters complained of on appeal pursuant to Pa.R.A.P. 1925(b).

Hoag raises the following issue for our review:

I. Whether the trial court erred in denying [Hoag]’s petition to strike the Colorado judgement [sic] for want to due process of law[?]

a. Whether the notice given by [1650 East], precedent to obtaining an amendment which modified the judgment from $10,074.84 to $133,206.83, was reasonably calculated to

place the appellant on notice to the extent that he could prepare an adequate defense[?]

b. Whether the manner in which appellee obtained the judgment constitutes a fatal defect on the record to the extent considerations of timeliness are irrelevant[?]

Hoag’s Brief at 7.

We begin by observing the following:

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1650 East 47th LLC v. 360 Degrees of Perfection, 2025 Pa. Super. 23, 331 A.3d 63 (Pa. Ct. App. 2025).

2025 Pa. Super. 23 (1650 East 47th LLC v. 360 Degrees of Perfection) — published by Counsel Stack Legal Research, free access to 12M+ legal documents.

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