BancorpSouth Bank v. Prevot

256 S.W.3d 719, 2008 Tex. App. LEXIS 3677, 2008 WL 2130404
CourtCourt of Appeals of Texas
DecidedMay 22, 2008
Docket14-06-00302-CV
StatusPublished
Cited by28 cases

This text of 256 S.W.3d 719 (BancorpSouth Bank v. Prevot) is published on Counsel Stack Legal Research, covering Court of Appeals of Texas primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
BancorpSouth Bank v. Prevot, 256 S.W.3d 719, 2008 Tex. App. LEXIS 3677, 2008 WL 2130404 (Tex. Ct. App. 2008).

Opinion

SUBSTITUTE OPINION

CHARLES W. SEYMORE, Justice.

We grant appellee’s motion for rehearing. We withdraw our opinion dated February 26, 2008 and issue this substitute opinion.

Appellant, BancorpSouth Bank f/k/a Bank of Mississippi (“Bancorp”), filed a motion to enforce a 2004 Mississippi judgment against appellee, Albert Prevot, that was filed in Texas in 2005 pursuant to the Uniform Enforcement of Foreign Judgments Act (“UEFJA”). 1 The trial court signed a final order stating it did not grant or deny the motion because it had no jurisdiction. We reverse and render judgment that the trial court has jurisdiction to enforce the 2004 Mississippi judgment, filed in Texas in 2005, and that the 2004 Mississippi judgement, filed in Texas in 2005, is presently enforceable as a Texas judgment.

I. BACKGROUND

Bancorp sued Prevot in federal district court in Mississippi to recover the amount due on a promissory note guaranteed by Prevot. In 1983, Bancorp obtained a default judgment in excess of $1.1 million against Prevot. Under Mississippi law, a judgment has a lifespan of seven years, and any action founded on a judgment must be brought within seven years after rendition of the judgment. See Miss.Code Ann. §§ 15-1-43, 15-1-47 (West 2007). Therefore, in 1990, 1997, and 2004, Ban-corp filed suits in Mississippi state court to extend each preceding judgment lien. Bancorp obtained a default judgment in each action. 2 The latest judgment was in excess of $4.6 million due to accrued interest.

Pursuant to the UEFJA, Bancorp sought to domesticate its Mississippi judgments in Texas, where Prevot has lived since the early 1980s. Bancorp filed the 1990 Mississippi judgment in Texas in 1992. This judgment became dormant in Texas in 2002 3 and was not revived through any of the methods allowed by statute. 4 Bancorp filed the 1997 Mississip *722 pi judgment in Texas in 2001. Bancorp filed the 2004 Mississippi judgment in Texas in 2005. 5

Prevot did not timely file any post-judgment motion challenging the filed foreign judgments. Further, he did not appeal from the judgments. Instead, after Ban-corp conducted some post-judgment discovery, Prevot advised Bancorp that he considered the judgments to be unenforceable in Texas. Therefore, in December 2005, Bancorp filed in the Texas trial court a “Motion to Enforce Mississippi Judgment.” Bancorp sought to enforce the 2004 Mississippi judgment, filed in Texas in 2005, or alternatively, the 1997 Mississippi judgment, filed in Texas in 2001. 6 After a hearing, the trial court signed a final order stating, “The Court neither grants nor denies the motion. The Court has no jurisdiction.” This appeal followed.

II. The UEFJA

Under the United States Constitution, each state must give full faith and credit to the public acts, records, and judicial proceedings of every other state. See U.S. Const, art. TV, § 1. To comply with the full-faith-and-credit principle, Texas has implemented its version of the UEF-JA. See generally Tex. Civ. Prac. & Rem. Code Ann. §§ 35.001-.008 (Vernon 1997 & Supp.2007). Section 35.003 of the Texas UEFJA governs the filing and status of foreign judgments as follows:

(a)A copy of a foreign judgment authenticated in accordance with an act of congress or a statute of this state may be filed in the office of the clerk of any court of competent jurisdiction of this state.
(b) The clerk shall treat the foreign judgment in the same manner as a judgment of the court in which the foreign judgment is filed.
(c) A filed foreign judgment has the same effect and is subject to the same procedures, defenses, and proceedings for reopening, vacating, staying, enforcing, or satisfying a judgment as a judgment of the court in which it is filed.

Tex. Civ. Prac. & Rem.Code Ann. § 35.003. 7

Under the UEFJA, filing a foreign judgment in a Texas court instantly creates an enforceable, final Texas judgment. See Tex. Civ. Prac. & Rem.Code Ann. § 35.003(b), (c); Walnut Equip. Leasing Co., Inc. v. Wu, 920 S.W.2d 285, 286 (Tex.1996); Urso v. Lyon Fin. Servs., Inc., 93 S.W.3d 276, 277, 279 (Tex.App.-Houston [14th Dist.] 2002, no pet.); Bahr v. Kohr, 928 S.W.2d 98, 100 (Tex.App.-San Antonio 1996, writ denied). The burden then shifts to the debtor to prove the foreign judgment should not be given full faith and credit. Mindis Metals, Inc. v. Oilfield Motor & Control, Inc., 132 S.W.3d 477, 484 (Tex.App.-Houston [14th Dist.] 2004, pet. denied); Reading & Bates Constr. Co. v. Baker Energy Res. Corp., 976 S.W.2d 702, 712 (Tex.App.-Houston [1st Dist.] 1998, pet. denied); Markham v. *723 Diversified Land & Exploration Co., 973 S.W.2d 437, 439 (Tex.App.-Austin 1998, pet. denied). The debtor is empowered with all procedural devices for reopening, vacating, or staying the judgment that any post-judgment debtor is allowed. Tex. Civ. Prac. & Rem.Code Ann. § 35.003(c); Mindis Metals, 132 S.W.3d at 485; see Urso, 93 S.W.3d at 279; Markham, 973 S.W.2d at 440; Bohr, 928 S.W.2d at 100.

III. The Issues

In its motion to enforce, Bancorp asserted the 2004 Mississippi judgment was properly filed in Texas in 2005; thus, it is enforceable pursuant to the UEPJA and the full-faith-and-credit principle. 8

In response to the motion and on appeal, Prevot essentially presents four substantive reasons this filed foreign judgment is allegedly unenforceable in Texas:

• because Bancorp filed the 1990 Mississippi judgment in Texas in 1992, enforcement of the subsequent judgment at issue would violate the “one judgment” rule; see Tex.R. Civ. P. 301 (“Only one final judgment shall be rendered in any cause except where it is otherwise specially provided by law.”);
• because this previously-filed judgment is dormant, enforcement of the subsequent judgment at issue would circumvent Texas statutes regarding dormancy and revival;

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Cite This Page — Counsel Stack

Bluebook (online)
256 S.W.3d 719, 2008 Tex. App. LEXIS 3677, 2008 WL 2130404, Counsel Stack Legal Research, https://law.counselstack.com/opinion/bancorpsouth-bank-v-prevot-texapp-2008.